- Sales Promotion: The project owner is investing in the furnishing of show apartments to accelerate sales and increase the project's attractiveness to potential buyers. This is expected to help sell the apartments more quickly and achieve higher sales prices.
- Smooth construction progress: Construction works are progressing according to plan and steadily moving forward. The main structural works have been completed and balconies installed in Building A2; the third floor has been completed and construction of the fourth floor is underway in Building B; while façade works in Building A1 are nearing completion.
- Strengthening Riga RE market: Improving liquidity of newly built housing and steadily increasing prices create favorable conditions for project development – the speed of apartment sales is increasing, and developers are gaining more leverage to consistently raise selling prices, thereby ensuring improving performance indicators.
Interest rates based on investment amount:
– From 100 EUR to 299 EUR – 8.50%
– From 300 EUR to 699 EUR – 8.70%
– From 700 EUR to 1 999 EUR – 9.90%
– From 2 000 EUR to 4999 EUR – 9.10%
– From 5 000 EUR to 9 999 EUR – 9.30%
– From 10 000 EUR – 9.50%
Important: individual investments are not aggregated and cannot be combined.
About the Project:
The project owner continues the construction of the multi-apartment residential quarter Piekrasta Rezidence in the Latgale microdistrict, Riga, Latvia. This apartment building will have 64 apartments and 3 998 m² of sellable area. The average apartment size is 62 m², and 62 parking spaces are also planned. Construction works are progressing according to plan. In building A1, 24 apartments have currently been sold and 40 apartments remain for sale.
Following the sale of another property owned by the developer, more than EUR 500,000 of additional own funds are being invested in the development of the project. Construction works are progressing according to plan: the main structural works and balcony installation have been completed in Building A2; the third floor has been completed and construction of the fourth floor is underway in Building B; and façade works are nearing completion in Building A1. In addition, the underground parking deck has been completed, and the construction crane is scheduled to be dismantled in the near future.
The project is located near Latgale Park and the Mols shopping center, in one of the most dynamic parts of the city, just 3,5 km from the center of Riga. The Latgale neighbourhood, home to more than 22,000 residents, offers convenient public transport connections and well-developed urban infrastructure. The area is undergoing active building renovation and urban improvement projects, enhancing its attractiveness for living and long-term investment.
It is planned that the sales revenue of apartments in building A1 will reach 7 835 020 EUR without VAT.
The funds raised during this financing stage will be used to extend the financing of the existing PROFITUS loan, providing the project owner with additional time to complete the construction works and realize the project. The project loan term is 24 months. Funds for the project may be raised in stages, and during this financing stage, they are being raised for a period of 12 months. At the end of this stage, funds may be raised again to extend the financing.
Loan information:
The loan will be repaid from apartment sales revenue, while interest to investors will be paid from advances and/or the project owner's operating income.
The project is financed based on the existing pledged asset valuation until it reaches the established maximum loan-to-value (LTV) ratio. Upon reaching the maximum LTV, a new asset valuation must be performed, and further stages of project financing will be announced and collected only if the established maximum LTV is not exceeded.
The fundraising amount is planned to be collected within 7 days, with the possibility to extend up to 30 days if the funds are not fully raised.
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.
