Gaucho Group announces formation of Gaucho Open Asset Lending

Gaucho Group announced the formation of a new fintech mortgage lending division, Gaucho Open Asset Lending. As Gaucho Holdings’ new financing arm, GOAL is intended to serve as the Company’s self-financing option for buyers of its unique luxury vineyard real estate project, Algodon Wine Estates, with plans to expand beyond. This strategic development allows Gaucho Holdings, which owns Algodon Wine Estates outright, to offer self-financed mortgages to prospective buyers. These options include 10, 15, and 20-year mortgage terms, providing greater accessibility to over 400 vineyard estate lots. The Company estimates that the potential revenue from the sale of these vineyard lots could be approximately USD 80 – 100 million, excluding any future appreciation. GOAL’s introduction is designed to bolster the Company’s financial structure by generating significant interest income from these transactions. Even after the sale of all projected lots, Gaucho Holdings will retain over 2,500 acres for its operations and further development. Furthermore, Gaucho Holdings aims to expand GOAL beyond its own real estate projects, with the potential to disrupt the lending industry in Argentina by providing innovative fintech mortgage and lending solutions in a country where traditional financing options are largely unavailable to the public. GOAL anticipates soon launching an app to reach 46 million Argentines, focusing on highly urbanized cities such as Buenos Aires, Cordoba, Mendoza, and Rosario. These cities have substantial populations that have historically been excluded from the lending market, with limited access to mortgages and credit. The Company believes this is a timely and fitting product for Argentina, where it foresees a robust demand for lending services, particularly in urban areas with a growing need for housing and credit access.