The private debt fund NuCapital has provided a loan of 4.5 million euros to Reefo
2024 10 06The private debt fund NuCapital of the management company 1 Asset Management has provided 4.5 million euros for the project by Reefo to convert the building at J. Basanavičiaus St. 28 in Vilnius into apartments, with a total area exceeding 5,000 square meters. The completion of the work is scheduled for 2025. The loan funds will be used to refinance the existing creditor and for further development work.
The NuCapital fund actively lends for real estate development projects, having provided a total of 38 million euros in loans over the past five years. Specifically, the NuCapital fund is investing in Reefo projects for the fifth time, with a total loan amount, including previous projects, reaching 12.5 million euros.
“We have been working with Reefo for several years, and their previous projects have garnered significant interest. Their chosen concept of revitalizing existing real estate is unique. Knowing Reefo well, we trust their experience and exceptional know-how in developing such projects. The building is in an attractive location—centrally located in Vilnius, where the demand for housing remains extremely high, so we confidently invested 4.5 million euros in this project,” commented Simonas Jurgionis, a board member of 1 Asset Management, which manages the private debt fund NuCapital.
The project at J. Basanavičiaus St. 28 has already received permission for cultural heritage conservation work and an A class construction permit for reconstruction, with a general contracting agreement signed with Insitus in August of this year, and construction work has begun.
To date, Reefo has already sold 60% of all apartments in the project. Buyers can choose from apartments ranging from 59 to 300 square meters: ground-floor units with private courtyards, spacious apartments on the second floor, or top-floor apartments with panoramic views of Vilnius. For those seeking commercial space in the city center, unique commercial premises ranging from 47 to 76 square meters are available on the ground floor. New residents in the historic building will enjoy modern amenities, including a two-level underground parking lot, spacious stairwells and corridors uncommon in modern apartment buildings, artworks in shared indoor and outdoor spaces, and high ceilings.
Interest among real estate developers in private debt funds as an alternative to bank financing is rapidly growing due to more flexible financing conditions and a quick decision-making process.
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