Sea Apartments 13, Palanga IX

Reasons to invest in the project Sea Apartments 13, Palanga IX:

• Attractive Returns: 10.25 – 11.5% annual interest paid monthly;
• Capital Gains: up to 30% of the project’s generated profit distributed to investors;
• Loan-to-value ratio (LTV): up to 70%, with a collateral value of EUR 1,621,000;
• Growing Demand: Palanga is one of the most visited Baltic Sea resorts with a strong rental market;
• Investment Security: first-rank mortgage on project assets and surety.

The InRento team presents the ninth financing stage of buy-to-let project – Sea Apartments 13, Palanga IX. The investment offer consists of a residential property in Lithuania situated near the Baltic Sea, including a land plot and additional premises, located at Vanagupės St. 2, Palanga.

One of the most attractive aspects of the project is its location. The property is surrounded by well-developed infrastructure, allowing Vanagupė Beach to be reached in just 12 minutes on foot. Vanagupė Beach itself is a clean and less urbanised part of the Lithuanian seaside coastline, valued for its natural environment and surrounding forests.

The financed project consists of a 513 m² residential house with 96 m² of bar premises and a 20-are land plot. The plan is to make efficient use of all available spaces by installing 13 separate apartments, each with an individual storage room and a dedicated parking slot. The planned average apartment size is 37 m².

Given its desirable location, the project owner aims to either rent or sell holiday homes.

Since the first stage of financing, all preparation works have been completed, new apartment partitions built, the second floor redesigned, stairs poured, ceilings constructed, plumbing and electrical works in each apartment finished, and heating system installation completed. Since the last financing stage, all apartment doors and windows have been fitted, facade preparation works have commenced, and apartment fit-out works have commenced.

The project owner – K8-5, MB is successful company led by director Donatas Banys. He has more than 15 years of experience in the construction sector, working as both an individual and a general contractor. His expertise lies in renovation and conversion projects in Klaipėda, Palanga, and Kunigiškiai.

The project owner has successfully completed a similar project financed on the InRento platform – B35, Vilnius. In addition to regular monthly interest payments, the project was fully repaid, demonstrating the project owner's ability to efficiently execute and deliver this type of project.

The project owner's profit from selling all the apartments is expected to be up to EUR 210,000, which will be split between the project owner and the investors. 

The project allows investors to earn a return on variable capital gains if the property is sold at a higher price. The investors' share of the profit (capital gains) is up to 30%. Please note that investors are subject to an accounting fee on capital gains, which depends on the amount invested – the higher the amount invested, the lower the accounting fee.

The project is secured by a first-rank mortgage on the project assets and surety, with a loan-to-value (LTV) up to 70%. The project offers investors fixed monthly interest of 10.25% – 11.5% p.a. together with a profit share of up to 30% upon the final realisation of the property.

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.

The maximum loan duration for this project is 10 months.