The Company was established in 2020 for the purpose of holding and developing a residential apartment property located in Zasulauka Street 6, Riga, Latvia. The property includes a 677 m² land plot with an existing, structurally outdated 12-apartment building. In 2022, the Company completed a full architectural plan to redevelop the site into two modern residential buildings: a fully reconstructed 12-unit building with added mansard and basement levels, and a newly constructed 3-storey, 12-unit apartment building. The total planned residential area of the project is 1,550.55 m².

Initial construction activities—including demolition and foundation works—were launched in 2023 and financed through shareholder equity and a EUR 150,000 SME Finance loan. As of early 2025, construction works worth EUR 324,596 (excluding VAT) have been completed, with EUR 1,703,522 in costs remaining. The estimated market value of the completed project is EUR 2,757,000, significantly exceeding the current value of EUR 746,000. The Company has paused development due to an State Revenue Service (‘’SRS’’) imposed restriction resulting from a tax debt of EUR 10,218, which prevents the registration of collateral and hence access to bank financing.

Therefore, the Company is seeking EUR 29,500 financing for 24 months to settle the tax debt and remove the SRS restriction, thereby enabling the registration of collateral and the finalisation of ongoing negotiations for bank financing. The loan will be secured by a first-rank mortgage on a property from Management’s personal portfolio, with a market value of EUR 54,700 (LTV 53%) (appraised by INTERBALTIJA on 23 April 2025).

The loan will carry a 10.92% annual interest rate (0.91% monthly) and it will be amortized at the end of the term. All three shareholders will provide a personal guarantee for the loan. The project risk rate is B (80 out of 100).

There are a number of factors that make lending to the Company an attractive opportunity and the main highlights are as follows:

• The loan is secured with first-rank mortgage with the current market value of EUR 54,700.
• All three shareholders will provide a personal guarantee for the loan.
• The Company has a management team with over 10 years of experience in real estate and a real estate project manager who has successfully developed multiple residential projects in Latvia.