# Structure of an operation

#### 🧠 Types of Investment Strategies

Lend does not lock itself into a single investment format. To capture the best market opportunities, the platform works across different real estate strategies.

**✅ Buy-and-Hold (Long-Term)**

Invest in rental properties that generate steady income over several years.

* **Long-term rental:** Properties rented to tenants under leases ranging from 3 to 9 years. Investors receive recurring yield paid out weekly or monthly.
* **Short-term rental:** Properties listed on platforms like Airbnb or Booking. These typically offer higher yield but require more active management. Only assets in high-demand areas with strong fundamentals are considered.

**✅ Buy-and-Flip (Capital Gain)**

These operations focus on buying undervalued properties, upgrading or repositioning them, and reselling them at a profit.\
Typical holding time: 12 to 36 months.\
Returns are paid every months based on the estimated yield calculation of the project.

Each strategy is clearly detailed on the deal page, with risk analysis and target timelines.

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#### 📅 Duration of Projects

Investment durations vary based on the underlying strategy:

* **Flipping projects:** 12 to 36 months
* **Rental strategies:** 2 to 10 years

Every project includes a **target holding period**, which gives investors visibility on the expected timeline. Market conditions, rental performance, and asset value evolution can influence the final exit date.

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#### 💸 How Lenders Earn Yield

By holding an **opLend token**, investors are entitled to a share of the project’s cash flows. These tokens are distributed after the deposit and the legal bond agreement is signed.

* **For long-term holdings:** Yield comes from rent, distributed weekly or monthly in USDC.
* **For flipping deals:** Return is paid once the asset is sold and capital gain realized.

You can claim your returns directly from the Lend app.

*For more information, see the “*[*Revenue Distribution*](https://lendxyz.gitbook.io/lend/fundamentals/revenues-distribution)*” section.*

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#### 📈 APR Calculation

Each project on Lend displays a **projected APR** to help users assess potential return.

This figure is based on one of two models:

* The property already has a tenant in place, and rental income defines the target APR.
* For new acquisitions, Lend’s analysts model expected yield using detailed competitive benchmarks, market data, and specialized valuation tools for long or short-term rental.

APR is net of all expected costs and based on conservative estimates. Complete assumptions are provided per deal.

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#### 🧱 Asset Selection & Due Diligence

Only about **7% of the projects** reviewed by our team are selected for listing. Our real estate partner **Sate** is responsible for:

* Deal sourcing through local and institutional networks
* Legal and financial due diligence
* Risk assessment and asset underwriting

Every operation is backed by its own SPV and includes a full project breakdown, location data, and downloadable analysis report.