- Developer’s experience: The project owner has more than 5 years of experience in real estate development and construction. During this period, the project owner has completed more than 2,000 m² of projects for various purposes – ranging from residential properties to more complex reconstruction projects. One of the more significant projects is the reconstruction of the Suurupi Museum, which was carried out in compliance with strict cultural heritage requirements.
- Significant equity contribution: The project owner is investing a significant amount of own capital – EUR 439,200, representing 25% of the total project costs.
- Attractive location: The project is being developed only approximately 3 km from Tallinn city centre, in one of the city’s most sought-after areas. The location offers excellent transport connections, well-developed infrastructure and a limited supply of new developments, contributing to strong housing demand and good property liquidity. Further conversion and development projects are planned on Katusepapi Street, meaning that the area is expected to undergo significant transformation over the coming years and become even more attractive.
About the Project:
The project owner is currently developing an 8-apartment residential building at Katusepapi St. 38 in Tallinn. The total building area is 335 m², of which 278.10 m² constitutes the saleable area. The project is being developed in a strategically attractive part of Tallinn, only 3 km from the city centre. The location offers excellent transport connections, well-developed infrastructure and steadily growing demand for newly built housing. The limited supply of smaller-scale developments in this part of the city contributes to good liquidity and strong demand among buyers.
The apartments are planned to be finished using high-quality materials and delivered fully fitted. In addition to the standard solutions typically included in a full fit-out, kitchen units, built-in furniture and other features will be installed, allowing buyers to acquire homes that are fully ready for occupancy. This concept enhances the project’s attractiveness and competitiveness in the market. The project owner plans to sell the property for EUR 1,589,919 excluding VAT, or approximately EUR 5,645/m² excluding VAT.
Since the previous financing stage of the project, demolition works have continued and the installation of the roof structure has commenced. The funds raised will be used to finance further construction works, complete the project and fully prepare the property for sale.
About the Additional Collateral:
As additional collateral, a residential property by the sea, located approximately 23 km from Tallinn city centre, will be pledged. It is a fully operational 235.50 m² residential house with a land plot and appurtenances, situated in an attractive coastal location.
The property also includes the historic Suurupi lighthouse, for which the Republic of Estonia holds an easement ensuring access to the site. This feature adds further uniqueness to the property and enhances its attractiveness. The property belongs to a private individual – a shareholder of the company. It is currently being offered for sale for EUR 950,000. In the event of a sale, part of the loan would be repaid to investors while maintaining the stipulated maximum loan-to-value (LTV) parameters.
Loan Information:
The loan will be repaid from the proceeds of the property sale or through refinancing with another credit institution. Interest payments will be covered from the company’s working capital.
The maximum project financing amount is EUR 1,300,000 (EUR 776,000 has already been raised, secured by a first-ranking mortgage). The project loan agreement is scheduled to expire on March 27, 2028. Funds for the project may be raised in phases, and during this funding phase, they are raised for a 12-month period. Upon expiration of this phase, funds may be raised again to extend the financing. Please note that the project will be financed with the loan secured by first- and second-ranking mortgages. The project will be financed based on the current valuation of the pledged property until the established maximum loan-to-value (LTV) ratio is reached. Once the maximum LTV is reached, a new property valuation will be required, and subsequent financing stages will only be announced and funds raised if the established maximum LTV is not exceeded.
We plan to raise the required amount within 7 days, with the possibility of extending the fundraising period up to 30 days if the required amount is not raised within the initial period.
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.
