ONE OF LARGEST REAL ESTATE DEVELOPERS IN LITHUANIA (II)

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Summary

Company was established in 2012 and has been successfully developing residential real estate projects in Lithuania. It belongs to group of companies, with main function of managing actual construction works. Since the beginning of operations, company has built more than 41,000 m2 of residential area in Vilnius and Kaunas. On average, each project construction cycle takes less than 12 months from start to finish.

Company is currently looking for financing of EUR 600,000 for up to 6 month period in order to refinance first Capitalia syndicated loan and continue using funds for ongoing real estate development projects in Vilnius. Loan is secured with real estate pledge - 11 apartments in Vilnius city, with a total area of 528 m2 and market value of EUR 751,700 (valuation by Domus optima). Investors are offered 11.04% annual interest. The interest rate is increased from the previous syndicated loan by 0.08% per month as minimum loan to value ratio is increased from 70% to 80%. As collateral apartments are sold, loan principal will be returned in line with these apartment sales during loan term. Interest rate will be paid for the full outstanding principal amount at the start of each callendar month.

There is a number of factors that make investment in the Company an attractive opportunity and the main highlights are the following:

  • Company is amongst 5 largest real estate developers in the country;
  • Business owner has 8 years of experience and its management team has more than 20 years of experience in the industry;
  • Financing is secured with liquid real estate collateral;
  • Company has no loans from outside credit institutions;
  • Company made all previous interest payments to Capitalia on time;
  • Company has already built more than 41,000 m2 of residential area.
ID 10809-2018-1
Industry Real estate
Location Lithuania
Loan type Flexible
Term Up to 6 months
Expected return 11.04%
Interest rate Monthly
Amortisation Flexible
Risk grade A+ (96 out of 100)
Collateral Real estate worth 751k EUR and warranty from related company
Capitalia's cofinancing 50733
Target amount 600000
Successfully funded