We present the new stage of the phased financing project – „Basanaviciaus patalpos III". The owner of the project will use the pooled amount to develop the property and refinance the existing loan. The total development period of the project is envisaged to be 36 months. The project commenced development in October 2022 and is on schedule. Part of the funds mobilised for the third phase were earmarked for the refinancing of the balance of the first phase loan. The amount to be raised is EUR 58 600.
About the project owner:
The project owner has experience in real estate development. The owner has experience in construction of 7 different construction projects with a total area of 6,400 square metres. The developer has financed 7 projects on the Profitus platform („LOFT206", „Basanaviciaus patalpos", „Elniu namas Viciunuose", „Butas Sodu G66-33“, „Butas Vaidoto G192A–2“, „Paslaugu patalpos Basanaviciaus al.“, „Butas Vaidoto G192E–2“). Investors are paid interest on time. Has already repaid part of the funds in projects „LOFT206“ and „Basanaviciaus patalpos“ and reimbursement of all funds in projects „Butas Sodu G66–33" and „Butas Vaidoto G192A–2“.
Project objective:
The owner of the project is developing 453 square metre of service premises in Kaunas, close to Topo centre. Upon completion of the renovation works, the premises will be leased or sold. The projected rental income is EUR 8 000 per month and sales income is EUR 800 000.
Project progress:
The developer has already invested EUR 100 000 in the project. With the funds raised in previous phases, the project owner replaced the building's structure, installed slabs and raised ceilings, as well as carried out all the necessary demolition work and started the insulation of the exterior facade. The project owner will use the funds raised to concreting the floors, installing internal partitions, installing electricity, underfloor heating and lighting, and to continue the insulation of the external facade.
The maximum financed amount is EUR 400 000 (EUR 121 302 already raised, of which EUR 87 402 will be returned to investors following the refinancing of the balance of first Phase). The project is financed according to the current valuation of the mortgaged property until it reaches the set maximum LTV. Once the maximum LTV is reached, a new valuation of the property will have to be carried out, and the further stages of financing the project will be announced and collected only if the set maximum LTV is not exceeded. The loan-to-value ratio (LTV) with VAT at this stage is 63%.
Interest by investment amount:
– From EUR 100 to EUR 299 – 11%
– From EUR 300 to EUR 899 – 11.5%
– From EUR 900 – 12%
Important: individual investments are not cumulative.
We plan to raise the amount within 7 days, with the option of extending it to 21 days if we do not raise funds.
About the Profitus
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. Monetary operations on the platform are carried out in cooperation with Paysera and Trustly. The risk relating to the project and project owner are assessed on the basis of information provided by Creditinfo.
