Investment risk

The Nordstreet platform offers only real estate projects conforming to the most stringent criteria –all projects are assessed by a team of real estate professionals. This allows us to ensure that only credible projects are presented on the platform, however, Nordstreet does not bear liability for any information provided by Project Developers. This means that when concluding a financial agreement, the Investor shall confirm that it/he/she understands and accepts any possible risks – potential full or partial loss of funds allocated for funding of the project or the potential loss of the estimated profit.

Even though Nordstreet does not bear liability for the losses incurred by the investors and the investments implemented via the platform are not subject to the insurance cover provided for in the Republic of Lithuania Law on Insurance of Deposits and Liabilities to Investors, Nordstreet will take all efforts to ensure protection of the investors’ funds and receipt of the return on investment.

The following risk may arise during the loan transaction and thus the financing of selected real estate projects through the „Nordstreet“ platform:

    Failure or improper execution of the financial obligations under the loan transaction - there may be cases where, for some reason (unforeseen or complex construction work, changes in cash flow, new liabilities or creditor claims, etc.), the debtor (the project owner) is fully or timely will not meet its financial obligations under the loan transaction.
    Delay in real estate project implementation deadlines and higher than expected cost of real estate project realization risks - there may be times when the real estate project implementation period lasts longer than planned before real estate project start, and costs for real estate may increase, which may lead to default or improper execution of the financial obligations of the debtor (the project owner) in the loan transaction.
    The risk of changes in the economic situation and the tax system - there may be occasions when the economic indicators related to real estate (depreciation of real estate, decrease of the debtor's (project owner's) income, inflation, etc.) may change for some reason.
    Liquidity risk - there may be cases where low real estate liquidity may result in forced sale of assets at a lower price, which may cause the debtor (the project owner) to incur losses, which may affect the improper performance or non-performance of the financial obligations under the loan transaction.
    Risk of damage or loss of Property - real estate funded through „Nordstreet“ platform may be damaged or destroyed due to natural or natural disasters, as well as intentional or careless human activities.
    Market risk - there may be a risk of losing some of the investment by unexpectedly diminishing the value of real estate due to the massive sale of real estate in the market.