After the successful completion of the developed projects and the realization of all the Fund’s assets, the investment fund for informed investors “EIKA Residential Fund” (ERF), which has been operating since 2017 and is managed by the fund management company “EIKA Asset Management” (EAM), is being closed. Despite operating in a tense period, the average annual return obtained exceeded investors’ expectations and reached 31.37 percent after management and performance fees..
EIKA Residential Fund has successfully developed three apartment building projects in Vilnius – “Šv. Stepono Baltas lapas”, “Mėlyni vilkai” and “Antakalnio panorama” – and has built and sold 464 apartments and commercial premises. The initial size of the fund was 7.5 million euros, the capital was invested with a target return of 15%. After the successful implementation of all planned projects, it is closed by distributing the return to investors.
“ERF, which was the first fund established by EAM, is completing its activities with more than encouraging results. The fund survived the Covid-19 pandemic, interest rate rollercoasters, changes in the geopolitical situation and other extreme market fluctuations, but despite these adverse circumstances, it exceeded investors’ expectations and achieved an annual return exceeding 30 percent,” says Andrius Uždavinys, CEO of EAM.
After closing this fund, EAM will continue to manage 6 investment funds, which currently manage about 200 million euros of assets. The main one of them, EIKA Real Estate Fund (EREF), is currently actively developing in Poland, together with its partner Panattoni, the largest logistics real estate developer in Europe, is developing a 28 thousand sq. m. logistics complex in the west of Warsaw, and also plans to start construction of another logistics warehouse in the north of Warsaw this year. Currently, the majority of investments in the commercial real estate portfolio are directed to acquisitions and development outside Lithuania.
“In Lithuania, we are still actively investing in residential housing, we currently manage a similar type of fund, EIKA Development Fund, in which we will develop and offer more than 1,000 apartments to the market in four housing projects. This fund has fully utilized the collected investments and is currently implementing the construction of projects. In the future, we plan to offer investors new investment opportunities of this type,” reveals A. Uždavinys.