Projects list

Ristiku tee, Kasteheina tee, Loo tee, Parnu city, Estonia (3 stage)

Processing

Amount of funding 115 500 €

Value of collateral 671 000 €

LTV 50%

Annual interest rate 12% - 13.5%

Total expected project return 16% - 18%

Loan period

16 mo.

Risk

B (medium)

Purpose of the loan

Bridge loan

Collateral Real estate pledge

Country

Estonia

Investors 246

Raised:
115 500 € Goal:
115 500 €

100%

Project updates

Period paid

2023-05-03

The debtor has paid interest for the period 2023-05-18.

Business loan terms

About the loan

Purpose of the loan To increase the company's working capital

Amount of funding 115 500 €

Value of collateral 671 000 €

LTV 50 %

Risk B (medium)

Payment of interest Every month

Loan repayment At the end of the loan period

Loan period 16 mo.

Minimum loan period 2 mo.

Collateral

Real estate pledge

Mortgage rank First order mortgage

Funding requires amount of € 335 500, which be funded in stages. The loan funds will be used for the construction apartments in the project Meshihaina tee street 6, Pernu city, Estonia.

The loan can be refinanced in other financial institution, from income of real estate sales or from company's capital.

Investment from 100 €.

Interest

Annual interest rate

Investing from 100.00 € - fixed interest 12 %
Investing from 1 000.00 € - fixed interest 12.25 %
Investing from 3 000.00 € - fixed interest 12.5 %
Investing from 9 000.00 € - fixed interest 12.75 %
Investing from 10 000.00 € - fixed interest 13 %
Investing from 15 000.00 € - fixed interest 13.5 %

The Interest on the Loan Amount shall be calculated from and including the date of disbursement of the Loan Amount to the Debtor's Account or to such other account (or accounts) as notified by the Debtor to the Operator in writing prior to the disbursement of the Loan Amount.

Loan term and repayment

Loan period 16 mo.

Minimum loan period 2 mo.

Loan repayment At the end of the loan period

Estimated start date of the loan:* 2023-04-18

Estimated loan repayment date:* 2024-09-11

If the Debtor repays the Loan earlier than after the specified minimum loan period, it undertakes to pay interest to the Lender for the entire specified minimum period.

* The loan is planned to be repaid by the end of the project term from the expected growing income of the company, increasing profits, sale of assets or refinancing of the loan.

Debtor

Company title LTD Erel trading group

Company code 12216805

Company website http://www.leonardogolf.ee/

Erel Trading Group OÜ, engaged in real estate contracting, purchasing, sales and development. Registred capital 0,6 mln EUR. Shareholders AS Erel group (396 000 capital ownership), Faustini Europe SA (60 000 EUR capital ownership), osauhing Alminger (24 000 EUR capital ownership), OU Drevor investments (120 000 EUR capital ownership). Currently company is developing real estate projects, some of them are on sale. Company is specialized in residential real estate development (apartments, villas, etc). Company's total assets over 6 million EUR, equity ratio is more than 35%. Real estate selling price is approx. 1 800 - 2 100 EUR with VAT.

The company's financial indicators based on 2021 financial statements:

Sales revenue - EUR 1,310,125;
Net profit - EUR 512,635;
Equity - EUR 2,492,159;
Total assets - EUR 6,008,793.

Loan protection collateral

Loan collateral:

The firs real estate pledge - mortgage:

Land plot, address Ristiku tee 2, Pärnu, registration number 3411406, area 1,336 m2, property value - 49,000 EUR;
Land plot, address Ristiku tee 4, Pärnu, registration number 3411506, area 1,151 m2, property value - 42,000 EUR;
Land plot, address Ristiku tee 6, Pärnu, registration number 3411606, area 1,165 m2, property value - 43,000 EUR;
Land plot, address Ristiku tee 8, Pärnu, registration number 3411706, area 1,178 m2, property value - 43,000 EUR;
Land plot, address Ristiku tee 10, Pärnu, registration number 3411806, area 1,191 m2, property value - 44,000 EUR;
Land plot, address Kasteheina tee 1, Pärnu, registration number 3926306, area 1,310 m2, property value - 48,000 EUR;
Land plot, address Kasteheina tee 8, Pärnu registration number 3926406, area 1,359 m2, property value - 50,000 EUR;
Land plot, address Kasteheina tee 13, Pärnu, registration number 3927806, area 1,161 m2, property value - 43,000 EUR;
Land plot, address Kasteheina tee 14, Pärnu, registration number 3413006, area 1,293 m2, property value - 47,000 EUR;
Land plot, address Kasteheina tee 16, Pärnu, registration number 3413106, area 1,197 m2, property value - 44,000 EUR;
Land plot, address Kasteheina tee 18, Pärnu, registration number 3413206, area 1,747 m2, property value - 61,000 EUR;
Land plot, address Kasteheina tee 20, Pärnu, registration number 3413306, area 1,374 m2, property value - 50,000 EUR;
Land plot, address Loo tee 7, Pärnu, registration number 3928706, area 1,635 m2, property value - 57,000 EUR;
Land plot, address Loo tee 8, Pärnu, registration number 3925406, area 1,356 m2, property value - 50,000 EUR.

Value of mortgaged property: € 671 000

About Leonardo Golf Village, the location of the property:

The Leonardo Golf Village is a one of a kind project in Pärnu. It consists of 10 apartment buildings and 69 private houses. It is located in a rapidly developing area and constitutes one of the most notable new developments in Pärnu. Everything you need for life is at your fingertips. The Leonardo Golf Village offers the solution for a new lifestyle, a unique location in the midst of greenery and quite; bus stop 50 m, kindergarten and supermarket 300 m, golf track and beach 500m.

Strengths and risks

Strengths:

The borrower made payments on time and without delay. (current loan at Nordstreet)
The first order of real estate pledge - mortgage.

Weaknesses:

Borrower 's activities are in a competitive sector.
In 2020, due to the quarantine introduced caused by Covid - 19, the company had a loss.

Possibilities:

The annual interest rate payable by the borrower is 12-13.5%.

Threats:

Property is in development stage.
Rising cost of building materials.

Documents

#	File name	File type	Actions
1	Vertinimas.pdf

Important

NORDSTREET takes the following measures to ensure a safer 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 investors. Upon application by the Debtor, the financing may be considered to have been successfully completed with a smaller amount collected, the financing of the project may be divided into several stages and / or the financing period of the project 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 period on its website together with other information about the project.
By investing in a project, financiers acquire rights of recourse (claim rights). NORDSTREET may provide the financiers with the possibility to transfer these claim rights to other users of the platform on the Secondary Market in accordance with the User Terms.
The activities of UAB Nordstreet are supervised by the Bank of Lithuania and UAB Nordstreet is included on the Public List of Operators of Crowdfunding Financing Platforms administered by the Bank of Lithuania.

About the loan

Purpose of the loan To increase the company's working capital

Amount of funding 115 500 €

Value of collateral 671 000 €

LTV 50 %

Risk B (medium)

Payment of interest Every month

Loan repayment At the end of the loan period

Loan period 16 mo.

Minimum loan period 2 mo.

Collateral

Real estate pledge

Mortgage rank First order mortgage

Funding requires amount of € 335 500, which be funded in stages. The loan funds will be used for the construction apartments in the project Meshihaina tee street 6, Pernu city, Estonia.

The loan can be refinanced in other financial institution, from income of real estate sales or from company's capital.