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Ledurgas apartments - finishing works
100% Funded

100%
100%
Need:0.00€
Min.:0.00€
Interest rate:22%
Period:9 months
Target: 35 000€
Min. target: 10 000€
Opens: 2021/05/24
Expires: 2021/06/24
Type: Real Estate
Location: Latvia
Investments: 271

SUMMARY

CROWDESTOR is announcing a new investment opportunity: Ledurgas apartments - finishing works.

The current opportunity offers CROWDESTOR investors to fund the finishing stage of the Ledurgas apartments project. The loan term is 9 months; the interest rate is 22% p.a. The interest and the loan principal are paid in a bullet payment at the end of the Loan Term. The financing target for this round is 35 000 EUR.

The raised funds will be used to finance fittings, kitchens, and landscape work, preparing the property for sale. The borrower expects to sell two 55 m2 and two 85 m2 apartments at 1800 EUR/m2. The apartments can be sold after the property arrest is lifted as there is no legal ground for further arrest. The borrower has submitted a release application to the attorney general. 

The borrower has signed the land lease agreement with Rīgas Namu Pārvaldnieks (Riga municipal housing manager) for a 5 000 m2 plot of land under municipal housing. The lease agreement ensures the borrower 6 000 EUR annual revenue.

The Borrower SIA Milgravja Māja has raised a total of 328 000 EUR on CROWDESTOR in two rounds. For detailed information on projects CRP-2257 and CRP-2770, please see the INVESTORS MEMORANDUM in the attachment. 

LOAN

Maximum target: 35 000 EUR
Loan period: 9 months
Interest rate: 22% p.a.
Repayment: The interest and the loan principal are paid in a bullet payment at the end of the Loan Term.
Security: First-hand collateral on real estate (Lēdurgas iela 9, Riga, Latvia, cadastral number 0100 068 0212) 
Location: Latvia

LEDURGAS 9 PROPERTY

Ledurgas 9 is a renovated early 20th-century residential building with four apartments. During the renovation works in 2019 and 2020, the facade, the roof, the staircase, and the windows were rebuilt. All the communications, including electricity, water, and sewage, were reinstalled according to modern standards. 

There are two 55 m2 and two 85 m2 apartments on an 800 m2 plot of land. The buyers will receive modern housing in a warm pre-war townhouse in a small and secure community. The borrower plans to sell apartments at 1800 EUR/m2, although according to CenuBanka.lv (real estate transaction database (archive)) evaluation, the price is 1900 EUR/m2.

The Borrower offers even more value as the apartments come with a fenced territory of 800 m2.

1st-floor plan 2nd-floor plan

LOCATION

Ledurgas 9 property is located on the border of Mezaparks - one of the greenest and most prestigious neighborhoods in Riga. Most of the Mezaparks territory is occupied by a large urban park, the home for Riga Zoo, open-air Green Theatre, and Mežaparks Great Bandstand open-air stage.

The park is adjacent to Ķīšezers lake with a small beach and a boat pierce. Various entertainment objects like BMX tracks, minigolf complex, playgrounds, and others make it one of Riga's most popular places for family recreation.

INFRASTRUCTURE

The property is well-connected to Riga public transportation network. Tram, bus, and train stops are within a 10-minute walk. A bicycle path connecting the city center, Mežaparks and Vecaki are also available nearby. A ten-minute train ride will get you to the Vecaki beach on the Gulf of Riga.

DISTANCES

• International Airport Riga - 18.8 km (36 minutes driving distance)
• Riga Ferry terminal - 9.7 km (21 minutes driving distance)
• Riga Train terminal - 11.9 km (24 minutes driving distance)
• Riga Bus terminal - 11.6 km (23 minutes driving distance)
• Riga Old Town - 11.1 km (22 minutes driving distance)

LEGAL DISPUTE

In September 2020, Latvian Police arrested the Ledurgas 9 property for one year. The ground for the arrest was that the Borrower is owned by the person owning SIA Ezermalas 6. SIA Ezermalas 6 was raising funds for a hostel project on Envestion.com in November 2019.

SIA Ezermalas 6 has signed a restructuring agreement about the loan repayment with Envestio SI OU bankruptcy administrator, so there is no ground for further burdens by the police.  The Borrower has applied to the attorney general and expects the property to be released in the near future. 

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