Lords LB Asset Management is launching its Baltic closed-end Real Estate (RE) investment fund - Lords LB Baltic Fund I. Its prospectus was approved last week by the Lithuanian Securities Commission.
This Fund will allow institutional investors and wealthy private individuals to make non-direct investments into a wide range of large-scale real estate projects, normally unavailable to most regular private investors. Along with the economic recession in the Baltics, the Fund will acquire high-quality commercial property in Lithuania, Latvia, and Estonia. The term of the Fund is five years with possible extention for up to two more years.
"The current economic situation in the Baltics creates very favorable conditions to acquire high-quality commercial property and to earn attractive returns from the changing value of real estate assets as a result of the general recovery of the Baltic economies, improving financial conditions and professional management of the acquired properties," explains Vykintas Misiûnas, Fund Manager at Lords LB Asset Management.
The €25 million Fund will be offered to investors in three rounds, but for no longer than 18 months from the start of placement. With planned minimum investment sum of €50,000 for private investors and €300,000 for institutional investors, the Fund is oriented towards investors tolerating above average long-term risk.
"This Fund creates a perfect opportunity for private investors to invest in large RE objects collectively by taking advantage of the economic situation and tax-friendly investment form regulated by the Lithuanian Securitites Commission," adds Mr. Misiûnas.
Source: Re&Solution Group
