Reasons to invest in the project K36, Panevėžys V:
One of the most attractive locations in Panevėžys – on the banks of the Nevėžis River with well-developed infrastructure, in the city centre;
Six-storey building with a total area of 2869.63 m². After the fit-out and renovation works, it is expected to generate a total rental income of EUR 25,258 per month;
Interest is payable monthly with an attractive annual return of 9% – 9.5% and fixed annual return on capital gains: +1.5% (payable at the end of the project);
The project owner is an experienced property developer who has developed large-scale conversion projects;
Maximum loan-to-value (LTV) for the whole project is 70%;
According to the reports of an independent appraiser, the value of the property has increased from EUR 1,019,000 to EUR 1,784,000 in ten months.
InRento team presents the fifth stage of financing of the buy-to-let project – K36, Panevėžys V, address Kranto str. 36. The location of this project is one of the most attractive places in Panevėžys – on the bank of the Nevėžys River with well-developed infrastructure, right in the city centre.
According to the reports of an independent appraiser, the value of the property has increased from EUR 1,019,000 to EUR 1,784,000 in ten months.
During this period, the facade of the building was partially renovated, and some partition walls were added inside to optimize the existing space. The current status of the project includes three fully finished and furnished units, with ongoing work on the facade and interior renovations, upgrades on the building's utilities, namely wiring, as well as the formation of additional units.
The total area of the building – 2869.63 m². The project is planned to be converted into 52 separate loft apartments, of which 4 apartments located on the sixth floor of the building will offer higher class units with private terraces with panoramic views.
After the renovation and furnishing works, the project owner forecasts a rental income of EUR 176,803 in 2024 and EUR 303,091 in 2025. In addition, according to the submitted business plan, the project owner expects to generate between EUR 727,327 and EUR 1,304,437 in profit (before tax) from the realisation of the project assets. This provides a large margin of safety for the investors.
The owner of the project is Kauno plėtros projektai, UAB. The company's CEO, Oleg Orlov, is an experienced real estate developer who has developed large-scale conversion projects.
Investors will be paid a fixed monthly interest of 9% – 9.5% per annum, depending on the amount invested. This project also has a fixed annual capital gain of 1.5%, payable at the end of the project, which raises the total yield of the project from 10.5% to 11% annual return.
Please note that the mortgage for this project signed, thus the interest for this phase will start to accrue to the investors as soon as the money is actually disbursed to the project owner.