October 07, 2021
We would like to inform you, that the mortgage on the P141, Vilnius assets has been successfully placed (document is attached in the documents section).
InRento is introducing a new buy to let investment opportunity located in Vilnius, the capital of Lithuania. The investment opportunity consists of seven studio type lofts located: at Pramonės str. 141, Vilnius (referred to as P141, Vilnius).
This project is unique in that the owner will pay a fixed 7.3% annual interest (as a rental return). The project distributes 974 EUR per month for investors, which is distributed proportionally according to the amount invested. One of the seven lofts is currently fully equipped. The installation of the last six lofts will be similar to the existing one.
This project has a fixed percentage of capital gains. Investors are guaranteed a 2.5% return on capital gains per year, which raises the overall return on the project.
Reasons to invest in P141, Vilnius -
All seven lofts are rented out. The tenant - a legal entity whose field of activity is the administration and subrenting of the lease of premises.
The rental contract is valid until 2026-10-07. Rental income (interest) for the current period is indexed every January 15th, using the average annual consumer price index (CPI) calculated by Statistics Lithuania.
Financial terms of the investment:
InRento investors are granting a loan to the borrower for the acquisition of the rental property. The loan is secured with a first-charge mortgage, which in case of the borrower’s inability to fulfil financial obligations would be used to repossess the asset.
Rental income (interest):
The interest is calculated from the moment investment funds are received.
The project owner (borrower):
The borrower - MB „P141 loftai“, is an established legal entity that serves as a special purpose vehicle (SPV) to increase investment security for loans from InRento. The head of this company is Linas Ginaitis, who specializes in the sale of residential housing, lofts and land plots. L.Ginaitis also has experience in developing massive residential plots and Microloft projects.
When is it possible to "exit the project"?
When the project is fully funded you will be able to sell your investment on the secondary market. The fee for the secondary market transactions is 2% of the principal value, which is charged to the seller.
What happens if the tenants leave the property?
This project has a fixed percentage of capital gains. Investors are guaranteed a return on capital gains of 2.5% per annum. This means that regardless of whether the assets are sold or refinanced, investors will be paid a fixed percentage of capital gains.
If the project lasts for one year, the interest of investors from the capital gain will be: 2.5%, two years: 5%, three: 7.5%, four: 10%, five: 12.5%.
Key investment risks:
Risk of falling prices: The price of the property might fall due to the increase in supply or decrease in demand in the area or other economic factors.
Liquidity risk: The borrower might be unable to find a buyer in order to sell the property.
Investing with InRento, is similar to owning a rental property, however with us you don't have to worry about day-to-day property management and in the periods of vacancies, the borrower is required to distribute fixed-interest payments, which protects your bottom line.
|Laenuvõtja omakapital ületab vajaliku finantseerimise summa||1 / B|
|Laenuvõtja eelmise aasta puhaskasum on piisav fikseeritud intressi katmiseks||1 / B|
|Laenuvõtja võime varem kohustusi tagasi maksta||-1 / A+|
|Kinnisvara hinnavõrdlus kolmanda osapoole hinnanguga||0 / A|
|Objekti tüüp||0 / A|
|Kas üürnik on juba olemas?||0 / A|
|Laenuvõtja kogemus üüripindadega||0 / A|
|Kinnisvara hõivatus viimase kahe aasta jooksul (kui see on renditud)||2 / C|
|Kas kinnistu vajab renoveerimist||2 / C|
|Mikroasukoht||1 / B|
|Kas majutusasutuses on lift, kui see pole esimesel korrusel?||1 / B|
|Kas majutusasutusel on hoonete lähedal spetsiaalne parkimiskoht? (pikaajaline üür)||0 / A|
|Kinnisvara on olnud müügiks vähem kui 1 aasta?||0 / A|
|Laenuvõtja võla / omakapitali suhtarv||0 / A|
|Aastaid möödunud pärast ruumide viimast renoveerimist||-1 / A+|
|Kokku:||6 / B|
*InRento riskireiting on informatiivne ja seda ei saa pidada investeerimisnõustamiseks. InRento on litsentseeritud ja reguleeritud Leedu Panga poolt.