Eika Asset Management, an investment management company belonging to the EIKA Group, has established a new closed-end fund, Eika Co-Living Fund, for investments in co-living projects in Europe. The Bank of Lithuania has granted permission to establish the Fund.
Today’s young professionals and students are increasingly choosing a lifestyle that values flexibility, social interaction, and community. Co-living spaces provide an opportunity to live in a modern way, with shared social spaces that encourage communication, exchange of ideas, and collaboration.
As co-living projects become more popular in European cities due to their financial attractiveness to their residents, the investment company Eika Asset Management has established a new closed-end fund, Eika Co-Living Fund, designed to invest in co-living space projects in Europe.
“In the past few years, both in Lithuania and other European countries, there has been an active development of Co-Living or Student Housing projects, the demand for which is mainly influenced by the desire of students (both local and foreign) and young professionals to live in a modern and comfortable environment in central city areas with all the necessary infrastructure. Usually, the availability of quality housing in such areas is quite low, especially for young people, therefore the offer of Co-living type housing creates an excellent affordable alternative, which is what the newly established fund will seek with its projects in the Baltic States, Poland or other European countries,” says Alfredas Šemeta, the manager of the established fund.
The first project is planned in Riga, on the territory of the former university campus. This place is unique due to its historical buildings, unique architecture and the size of the territory. Each space will be adapted to a modern lifestyle, while maintaining the original architectural details that will give the project a special charm.
Eika Co-Living Fund is the sixth investment fund established by Eika Asset Management, which will invest in co-living projects in Central Eastern Europe. The new fund will aim to achieve an average annual return of more than 12% for investors.
Recently, Eika Asset Management announced the start of construction of the Senamiesčio Sodai project in Vilnius, the development of which will involve investments of more than EUR 41 million. Eika Private Equity Secondaries Fund I was also established, investing in the Luxembourg-based alternative collective investment undertaking StepStone Secondary Opportunities Fund V Europe.