The Eika Real Estate Fund (EREF), managed by the investment management company UAB Eika Asset Management (EAM), has acquired the Highway business center, located at Savanorių pr. 178A, Vilnius, for EUR 5.8 million. The fund acquired 100 percent of the shares of UAB Akvilas, which owns the Highway business center, from AB Invalda privatus kapitalas. The developer and manager of Highway is the Inreal Group.
The acquisition of the investment property is partially financed by a bank loan provided by SEB Bank. The transaction was agreed upon by both parties directly, without intermediary companies.
Business center “Highway” – a building with a total area of 5700 sq. m, completely reconstructed by the “Inreal” group and operating since 2016. Currently, the business center is 100 percent leased. The property manager will remain UAB “Inreal valdymas”, which developed “Highway” and has been supervising the activities of the business center until now.
“We have created high added value for the Highway business center and are selling it so that we can create new projects – this is the real estate development strategy of our group,” says Gediminas Pruskus, head of the Inreal group. According to him, Highway is the first reconstructed A-A+ energy class business center in Lithuania, which uses a 100 percent geothermal system for heating and air conditioning.
According to Viktorija Orkinė, CEO of EAM, this transaction symbolically marks the beginning of the investment activities of the real estate fund “Eika Real Estate Fund”. “With increased competition in the market for prestigious commercial real estate, we are looking at already developed and time-tested buildings located further from the city’s central business district, which are characterized by higher profitability,” – comments V. Orkinė on the fund’s decision to acquire this business center.
EREF is the second fund managed by EAM, the founding documents of which were approved by the Supervisory Service of the Bank of Lithuania in March 2019. The fund invests in commercial operating and developing flow-through objects and is intended for informed investors. EREF invests in classic commercial assets – offices, shopping centers and logistics in the Baltic States.
Eika Residential Fund, the first residential real estate fund managed by EAM, began investment activities in spring 2018, when it began developing an apartment building project in Antakalnis, Vilnius. Currently, the fund, which invests exclusively in residential development projects, is committed to acquiring two more plots in Vilnius.
About EAM
UAB “Eika Asset Management” is a fund management company that has been providing services to informed investors since 2016. EAM’s activities are licensed and supervised by the Bank of Lithuania. The management company has the right to manage collective investment undertakings intended for informed investors. The EAM team consists of investment management professionals with more than 10 years of experience in commercial and residential real estate development, who are familiar with the real estate market, are able to analyze it and disclose investment opportunities and risks.
About INREAL Group
INREAL is a sign of an idea that gives rise to unique projects, the basis for professional services and added value for businesses, clients and partners. INREAL positions creativity as an essential value in the dynamic business world. The INREAL group, which consists of: UAB “Inreal”, UAB “Inreal GEO” and UAB “Inreal” valdymas with the companies it manages, develops unique real estate (RE) projects and provides perhaps the widest range of RE services in Lithuania. They currently employ over 90 employees in 11 cities of the country. Over 60 real estate projects for various purposes have been implemented over 25 years of operation, which have earned recognition and awards not only in Lithuanian but also in international competitions. In 2015/16, 2016/17, 2017/18 and 2018/19, the INREAL group was awarded the title of National Winner in the prestigious European Business Awards competition. INREAL group companies belong to UAB “Invalda privatus kapitalas”.
