Reasons to invest in the project R99, Kaunas:
Guest house - in a strategically and convenient part of Kaunas;
The whole guest house is fully rented;
Fixed, attractive annual rental income (7.07-7.57%)
Fixed interest is indexed to inflation;
Low price per square meter, capital growth starts from - 689 €/m²;
The premises were appraised by an independent valuer at EUR 384 000;
The owner of the project is an experienced real estate administrator.
The “InRento“ team is introducing a new buy to let investment opportunity: R99, Kaunas. The investment offer consists of a guest house for employees located in an attractive part of the city, at Raudondvario pl. 99E, Kaunas.
The total area of the guest house is 529.70 m² (the price from which the profits share of capital growth is calculated for investors is 689 €/m²). The premises were renovated a few years ago, their total area consists of a conference hall, common areas, catering and laundry areas, and 16 rooms. Each room is equipped with a shower/bath and a toilet.
At the moment, all rooms are rented to an industrial company, where the employees are staying (most of them are foreigners). Photos are provided prior to the lease.
Due to its location, this real estate object is attractive both for the employees of the surrounding industrial companies and for the students of the Veterinary Academy (LSMU). Also, the guest house is only a 15-minute walk away from Kaunas Castle. This makes it possible to rent these rooms separately to individual persons. In the conservative scenario (at the rental price: € 200/month), fully leased rooms would generate € 3,200/month (annual return: 10.52%). Even in this case, it would remain one of the cheapest options in the Kaunas Vilijampolė district.
The project owner will pay a fixed annual interest (as a return on rent) to investors. The annual interest rate for investors: 7.07-7.57% depends on the amount invested (more information below). This project also has a variable capital gain potential. If the assets are sold at a higher price than they were acquired, the capital gain will be distributed proportionally between the investors, the project owner, and InRento (more information below).
The loan term is 48 months.