Mezkalna 4, LV-1058 Riga, Latvia
Economy-class apartment project in Riga, Latvia
- Start of investment period14.12.2017
- Start time08.12.2017 13:00
- Asset classResidential
- Investment typeDevelopment
- Investment end date21.06.2019
- Remaining termOverdue 90+ days
- Expected rate of return15% p.a.
- Expected cash yield%
- No of investors860
- Goal€1 025 000
This real estate development Project, located at Mežkalna iela 4 (new address Ozolciema iela 4), Riga, Latvia, will consist of the acquisition of residential land plot, completion of architectural design and technical drawings. The aim of this real estate investment is to allow the developer to submit the documents for approval, receive the preliminary building permit within the next 6 months and to prepare the project for construction activities.
Mežkalna iela 4 (project name Dienvidu Pakavs 3) is a land plot with a perspective development area of 18 882 m2 (above ground Gross Buildable Area, or the GBA), that would consist of up to 211 economy class apartments with a total net sellable area of 12 669 m2. The total plot size is 14 978 m2.
The Sponsor to the project is RAC Holding OÜ (Estonia), owning 100% of the project company SIA Mezkalna Invest (Latvia), which would own the property located at Mežkalna iela 4, Riga. RAC Holding is effectively owned by the team of real estate developers, that crowdfunded their Briezu 7 development project through Crowdestate.
The sponsor is planning to raise 750 000 - 1 025 000 EUR on one or more tranches. The duration of this real estate investment opportunity is 18 months, with an early partial or full redemption option after 12 months.
The Project offers Crowdestate's investors a fixed interest rate of 15% p.a. with the first interest payment in 12 months. This real estate investment opportunity is secured by 1st charge mortgage on the Mežkalna iela 4 property (to be acquired, collateral value EUR 0.95 million) and by 1st charge mortgage on the property at Briezu iela 9, Riga (collateral value EUR 1.1 million).