- Development experience: The company’s manager has accumulated experience in developing more than 20,000 m² of real estate projects, demonstrating her ability to manage projects effectively and providing confidence in their successful implementation.
- Stable income: The pledged property is 100% complete, fully furnished, and generates stable income from short-term rentals.
- Experience with PROFITUS: The project owner has already financed 3 projects in cooperation with the PROFITUS platform, with obligations to investors fulfilled on time.
About the Project:
The project owner, MB “Sweet sun”, has acquired a 48.29 m² apartment with a share of land in Palanga, located at Latgalos g. 9B-1. The apartment is 100% complete, fully and well-furnished, and is rented out for short-term stays. The attractiveness and stability of the rental income are ensured by the property’s location: a wooded area of Palanga, close to the sea and the vibrant resort center.
At this stage, the raised funds will be used to refinance the existing PROFITUS loan. The refinancing is planned with conditional mortgage collateral, taking into account current restrictions due to ongoing legal proceedings related to the building permit. Despite the legal circumstances, the property is fully furnished, successfully rented, and generates stable income. The legal dispute arose after inspections by the State Territorial Planning and Construction Inspectorate, which identified possible violations of construction regulations, specifically a 20% exceedance of the building density indicator and non-compliance with distance requirements. This complicates the standard refinancing process and leads to the application of a conditional mortgage as a temporary collateral measure.
The effectiveness of the conditional mortgage depends on a favorable court ruling.
Loan information:
Interest will be paid from the company’s sales revenue, short-term rental income, and, if necessary, from the shareholder’s personal capital. The loan will be repaid by refinancing with another credit institution or from the proceeds of the pledged property sale.
We plan to raise the amount within 7 days, with the option of extending it to 30 days if we do not raise funds.
About the Profitus
Profitus is a crowdfunding and investment platform with a minimum investment of 100 euros. Profitus investments are secured by real estate mortgages, Your investment is secured by a first or second mortgage on the property, as well as by other collateral (e.g. a surety or guarantee). Transactions are managed through Lemonway, a regulated payment service provider.
Profitus is a crowdfunding and investment platform whose main goal is to make investment available to everyone. Investments start at 100 euros, and the platform is open 24/7. Investments are secured by pledging real estate and other collateral (e.g., indemnity or warranty). Different projects have different security tools that users can access in self-service for each project.
Profitus consults with the Bank of Lithuania in order to ensure perfect compliance with the law. Profitus operates with Lemonway, a regulated payment service provider.
