Piekrasta Rezidence II

We present new phase of phased financing project – „Piekrasta Rezidence II“. The project owner will use the pooled funds for property development. The amount to be raised in this phase is EUR 350 000.

About the project owner:
SIA SKY KRASTI group of companies has experience in mixed-use real estate development in Latvia, which has been operating since 1997 and has developed about 25 000 square metres of projects. In Riga, the developer has developed 3 residential blocks (Riga warmhouse, Slock 84, Sniega street).

About the project:
The project owner is developing a 3-apartment block in Riga with 191 apartments and studio units. The flats in the apartment blocks will have one, two and three rooms with an area of 31-88 square metres. The studio apartments will have an area of 28 square metres. The developer is currently taking pre-reservations, having made preliminary agreements with 21 buyers, 15 of whom have already paid reservation fees of EUR 3 000 – 5 000. The developer plans to refinance the existing bank commitment within 6-9 months. The expected sales proceeds are EUR 22 000 000 including VAT.

Project progress:
With the funds mobilised in the last phase, the developer has continued to pour concrete walls, future lift shafts and has started to prepare the base for the main entrance to the underground car park. The funds raised in this phase will be used by the project owner to pay for the fabrication and installation of the underground car park slabs and to continue with further construction works.

The maximum financed amount is EUR 2 000 000 (EUR 500 000 already raised). The project is financed according to the current valuation of the mortgaged property until it reaches the set maximum LTV of 50%. 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) without VAT at this stage is 22%.

Risk category (probability of default) of this project: 10/12.

Interest by investment amount:
– From EUR 100 to EUR 4 999 – 12.6%
– From EUR 5 000 to EUR 24 999 – 13.1%
– From EUR 25 000 to EUR 49 999 – 13.6%
– From EUR 50 000 to EUR 99 999 – 14.1%
– From EUR 100 000 to EUR 199 999 – 14.6%
– From EUR 200 000 – 15.1%
Important: investments made separately are not aggregated and cannot be pooled.

We plan to raise the amount within 7 days, with the option of extending it to 21 days if we do not raise funds.