Purpose of the loan
The financing required amounts to EUR 1,475,000, which is being raised in stages. The loan proceeds will be used for the acquisition of a real estate complex located at Parko St. 50, Bačkoniai Village, Žiežmariai Municipality, Kaišiadorys District, as well as for the planned expansion and renovation of the property. As part of the project, plans include further developing the existing hotel, restaurant, conference, event, and wellness infrastructure; renovating and adapting the premises to provide higher-quality lodging and leisure services; create additional event and conference spaces, expand spa, culinary, and nature tourism services, and increase the complex’s accommodation capacity. The loan is expected to be repaid using revenue generated during the project’s implementation from accommodation, catering, conferences, event organization, recreation, and wellness activities, proceeds from the sale of real estate, or by refinancing the loan with another financial institution. The amount that the project owner is contributing to this project is 1,475,000 EUR.
About the Project
The project consists of a complex of commercial and recreational buildings, as well as a long-term right to lease the state-owned land plot associated with its use. The following buildings are included in the composition of the mortgaged property: the Reception Hall, unique No. 4997-0003-1013; the building—Tourism and Conference Center, unique No. 4400-0278-3340; the building—Smokehouse, unique No. 4997-0003-1024; other engineering structures belonging to the Living Room building, unique No. 4997-0003-1035, consisting of a water tower and a courtyard; as well as the right to lease the land plot, unique No. 4955-0005-0154.
The building—a retail space, unique No. 4997-0003-1013—belongs to the commercial buildings category; its primary intended use is retail, and it is designated as 1E1p on the plan. The building was constructed in 1970, is 100% complete, is a single-story structure, has a total area of 1,077.66 square meters, a main area of 512.26 square meters, volume: 3,933 cubic meters; built-up area: 601 square meters. According to registry data, the building is equipped with local central heating, a local water supply, and local sewage disposal, and has a natural gas supply; the walls are masonry, and the roof is covered with ceramic tiles.
The building’s layout is designed for public catering, events, and visitor services. The building features large common areas and dining halls, auxiliary kitchens and service areas, restrooms, as well as administrative and support rooms. The main visitor areas feature ceramic tile or stone floors; some rooms have laminate or wood flooring; the walls are painted and, in some places, decorated with wood elements. The main structural elements include reinforced concrete foundations, brick walls, reinforced concrete floor slabs, a pitched roof with ceramic tiles, plastic windows with double-pane glass, and plastic and wooden doors. This building is suitable for continuing operations related to restaurants, banquets, weddings, conference catering, and other event services.
Building – Tourism and Conference Center, unique No. 4400-0278-3340, classified as a public recreation building; its primary intended use is public recreation; current designation on the plan is 3K2b. Construction began in 2004 and was completed in 2006; the building is 100% complete and has two stories. Total area: 945.55 square meters; main area: 791.61 square meters; volume: 3,580 cubic meters; built-up area: 624 square meters. The building is equipped with local central heating, a local water supply, and a local sewage system; there is no natural gas; the walls are made of concrete blocks, and the roof is covered with metal.
The layout and functional structure of the tourism and conference center are designed for accommodation, conferences, training, business events, recreation, and wellness activities. The complex features 20 hotel rooms, a restaurant, a conference center, spaces for business events, an indoor pool, a sauna, a spa, wellness services, and event management infrastructure. The building houses guest rooms, conference and meeting rooms, common recreational areas, administrative, technical, and support facilities, as well as restrooms. The guest rooms and common areas feature laminate, carpet, or ceramic tile flooring; painted walls; wood trim; suspended ceilings; artificial lighting; and ventilation systems. There is a swimming pool, a sauna, conference and catering facilities, and a well-maintained recreational area.
Building – Smokehouse, unique No. 4997-0003-1024, is designated for auxiliary farm use, marked on the plan as 2I1p, built in 1970, with 100% completion. The building is a single-story, brick structure with a volume of 82 cubic meters and a built-up area of 17 square meters. This building may be used as an auxiliary facility for food production, catering, storage, or technical purposes, integrated into the restaurant’s and event venue’s operations. Other engineering structures belonging to the building—the Reception Hall, unique No. 4997-0003-1035—include a water tower and a courtyard.
The condition of the complex’s buildings is described in the appraisers’ reports as good, but the need for cosmetic repairs is noted. This means that the main structures and engineering systems allow for the continuation of the complex’s intended operations; however, in order to achieve a higher level of service, a stronger brand, and higher prices for accommodations and events, it is advisable to renovate part of the interior finishes, furniture, lighting, and restrooms, SPA and conference infrastructure, adapt more spaces for people with limited mobility, and install electric vehicle charging stations and bicycle parking areas.
The best and most economically viable use of the complex is to retain its current specialized purpose and develop it as an integrated suburban hotel, restaurant, wedding and private celebration venue, conference and corporate event center, spa, wellness, and nature tourism complex. This use is supported by the existing building layout, the accommodation, dining, swimming pool, sauna, and conference infrastructure, the commercial land-use designation, the large area of the leased plot, the forest, bodies of water, the historic park surroundings, and the property’s location between Vilnius and Kaunas. Converting the existing complex into an industrial, warehousing, or large-scale residential development would be less justified from a functional, spatial planning, and economic perspectives, as it would fail to capitalize on the property’s key natural and recreational features.
The 2026–2030 “Natural Green” development plan envisages positioning the property as a nature tourism and high-end hospitality complex focused on three main segments: weddings and celebrations, conferences, and private corporate or group leisure events, as well as high-income couples and professionals seeking a short getaway in nature. The plan calls for an investment budget of approximately 500,000 euros, including the construction of a conference hall, a wine cellar, an outdoor wedding pavilion, and high-speed internet, followed by the development of an additional 10–15 individual guest cottages. From a functional perspective, these solutions align with the optimal use of the property.
The business plan presents the following financial targets: approximately 507,000 euros in revenue in 2026, 897,000 euros in 2027, and 2.05 million euros in 2030, with a target EBITDA margin of 40 percent starting in 2028. The plan also specifies a 75% target capacity utilization rate and a goal to recoup investments within 3–4 years. The main risks identified are seasonality and a shortage of qualified staff; the company plans to mitigate seasonality by hosting winter conferences, corporate events, and Christmas celebrations. These indicators are treated as a business development scenario. The complex’s appeal is enhanced by its exceptional natural surroundings, a large and varied plot of land, bodies of water, a forest, elements of a historic park, the already established hotel, restaurant, conference, and spa infrastructure, the property’s history of recognition, and the opportunity to diversify revenue streams across lodging, dining, weddings, conferences, private events, and wellness services.
Potential buyers of the property include Lithuanian or foreign hotel and hospitality service operators, managers of wedding and event venues, operators of conference and corporate training centers, spa and wellness service companies, developers of nature-based tourism and private resort complexes, restaurant or hotel groups, real estate investment companies, private equity and family investment funds, as well as larger companies seeking their own prestigious training, leisure, or client event center. The property could also be of interest to wellness or rehabilitation service providers, provided that the necessary permits for specific activities are obtained and the premises are adapted to meet the relevant requirements.
The property is a large-scale, specialized, and functionally integrated complex designed for recreation, accommodation, dining, conferences, events, and wellness. Its greatest economic potential stems not from the independent use of individual buildings, but from the combined use of the entire infrastructure, including the forest, bodies of water, park, lodging, restaurant, conference, and spa services. The optimal use is the continuation of current operations and gradual expansion into a high-quality suburban hotel, wedding venue, conference center, private event venue, and nature-based wellness complex. The investment appeal is considered good by appraisers in the segment of specialized buyers.
More about the project (see Documents).