We advised Lords LB Baltic Fund III, the closed-end real estate investment fund managed by Lords LB Asset Management, on closing down and selling 11 properties in Lithuania and Latvia.
This is one of the largest portfolio sales in the Baltic States in recent years. Among the largest assets within the sale were the logistics centre Bergi LC and shopping centre Stirnu in Riga, as well as the shopping centres Mandarinas in Vilnius and Taikos64 in Klaipėda.
The fund, which started its activities in May 2012, has over its lifetime paid out EUR 108.8 million to more than 90 private and institutional investors and has received an investment of EUR 46.7 million over its lifetime.
“The fund, which manages a logistics centre and a dozen shopping centres in Lithuania and Latvia, has achieved its objectives and has delivered a net investment return of 13.56% over the nine years of its operation,” says Efim Hiterer, manager of Lords LB Baltic Fund III.
The value of the fund’s assets grew during its nine years of active management, exceeding EUR 140 million in the first quarter of 2020. The main tenants for the assets in the fund’s portfolio have always been Rimi, Norfa, Maxima, Jysk, and Topo centras.
“The successful closure of a retail-focused fund of this size shows that new investors believe that our region is a successful one and that this asset class remains attractive. We are delighted to have been able to contribute to these deals. The fact that we operate as an integrated team across all three Baltic countries allowed us to meet the client’s expectations in a complex, multi-country project like this one,” says Kęstutis Adamonis, partner and head of Sorainen’s regional Real Estate & Construction team.
Our services and team
Our team in Lithuania and Latvia consisted of partners Kęstutis Adamonis, Lelde Lavina and Jorens Jaunozols, counsel Renāte Purvinska and senior associate Julija Kirkilienė. We advised the fund on all legal aspects of the sale of the portfolio assets.