Descripton

Introduction

Purpose of funding

• Refinancing/extension of an existing loan.

Loan protection

• Pledge of premises with a primary mortgage.

Project investment return and interest payment

• Start of fundraising on the Nordstreet platform: 2021-02-18.

• Investment from 100 €

• Annual investment return of the project from 10-10.5% (investment conditions are described in more detail in the Detailed information section)

• Interest on the Loan amount is calculated from the date (inclusive) on which the Loan amount is paid to the Borrower's Paysera account or to such other account (or accounts) as the Borrower notifies the Operator in writing prior to the disbursement of the Loan amount.

• Loan term: 12 months

• Interest is paid monthly. The loan is repaid at or before maturity.

Nordstreet takes these measures to guarantee a safe investment

• The loan to value ratio of the project will not exceed the LTV ratio provided in the project description, including in cases when the project will be financed in stages.

• If the required amount of funding is not collected before the start of the project, all investments will be returned to the invested persons. Upon application by the Borrower, financing may be considered successful upon completion of a smaller amount, project financing may be divided into several stages and/or the project financing period may be extended. In these cases, Nordstreet informs the funders and publishes the information on the completion of the project with a smaller amount, the division of the project funding into several stages or the extension of the project funding term on its website together with other information about the project.

• By investing in a project, financiers acquire claim rights. Nordstreet may make it possible to transfer these claim rights to other users of the platform in the Secondary Market in accordance with the Terms of Use.

• The activities of UAB Nordstreet are supervised by the Bank of Lithuania and included in the Public List of Operators of Concentrated Financing Platforms administered by the Bank of Lithuania.

Business loan terms

The object of the loan

The object of the loan is the property owned by the owner of the company, which is intended as collateral to refinance/extend the existing loan.

To ensure the need for financing, the Developer pledges the real estate located at M.K. Čiurlionio str. 2, Vilnius City Municipality, Lithuania.

- Residential apartment (Un.nr.1094-0218-5015: 0006) with a total area of ​​229.21 m2;

Loan terms

• Loan amount: € 290,000 (refinancing / extension)

• Loan term: 12 months

• Minimum loan term: 3 months

• Value of the mortgaged property: € 590,000

• LTV (Loan-to-value ratio): 49%

• Project risk: C (higher)

• Loan protection: mortgaging property on a primary mortgage

Interest:

• When investing from 100 € - interest 10%

• When investing from 2 500 € - interest 10.5%

Collateral information:

• Address of the mortgaged property: M.K. Čiurlionio st. 2, Vilnius City Municipality, Lithuania

• Type of real estate: residential - apartment

• Value of the mortgaged property: € 590,000

• Documentation: Property valuation report and additional updated property value certificate.

• Report preparation date: 7 January 2019 and updated version on 18 February 2021

• Evaluator: UAB Centro kubas

• Mortgage: senior mortgage

Borrower

Project developer - PLC Vasga, whose owners and administration are involved in real estate development, project management administration and sales processes.

The company's shareholders have developed and are experienced in the development of land plots and commercial premises. One of the biggest major transactions was the 6400 sq/m object located at Ateities street, additionally, large plots are being developed in Avižieniai (3,19 hectares) and Druskininkai (175 acres) which are being prepared for the market sale this year.

Loan protection collateral

Purpose of a business loan

For this stage, an amount of € 290,000 is required for financing, which is intended to refinance/extend the existing loan.

Loan collateral

Mortgage of the first line of existing real estate - Mortgage. The loan will be repaid after the sale of all / part of the pledged property, from the sale of the company's development assets, current and future profits or after refinancing the loan.

Investment risk: C (higher)

LTV: 49%

Mortgage property: residential apartment (un. nr. 1094-0218-5015: 0006) with a total area of ​​229.21 m, address M.K. Čiurlionio str.2, Vilnius, Lithuania.

Value of mortgaged property: € 590,000

Interest:

• When investing from 100 € - interest 10%

• When investing from 2 500 € - interest 10.5%

Loan term

12 months (with the possibility of repayment earlier, but not earlier than after a period of 3 months).

If the Borrower repays the Loan amount or a part thereof earlier than 3 months after the due date of 12 months, it undertakes to pay interest to the Lender for a period of 3 months. After a period of 3 months, the Borrower may repay the loan (together with the applicable interest) without any additional fees.

Company loan repayment period

Estimated start date of the loan: 2021 03 01

Expected repayment date of the loan: 2021 12 01 - 2022 01 01

Strengths and risks

SWOT analysis of the project beneficiary:

Strengths   - First lien on existing real estate - Mortgage.

                    - The borrower made payments on time and without delay. (current loan at Nordstreet)

                    - The value of the borrower's balance sheet assets is EUR 1.4677 million. 

Weaknesses - Loan refinancing.

Opportunities - The borrower's expected average annual interest rate payable is 10 - 10.5%.

Threats - Unclear current economic situation, the borrower's company is unprofitable.