The real estate investment company INVL Baltic Real Estate had a consolidated net profit of EUR 52 000 in the first quarter of this year, a decrease of 57% compared to the same period of 2021. The company’s consolidated equity at the end of March was EUR 20.34 million. Equity per share was EUR 2.52 and grew 18% compared to the end of the first quarter last year (also taking into account dividends that were paid).
INVL Baltic Real Estate’s net operating income in this year’s first quarter was EUR 514 000, or 62% more than in the same period last year. Consolidated revenue grew 31.4% from the first quarter last year to EUR 806 000. Of that amount, consolidated rent income from property holdings increased 11.2% to EUR 456 000.
The largest property that INVL Baltic Real Estate owns is the office building at Palangos Street 4 in Vilnius, which contains the Talent Garden Vilnius coworking space that the company operates. That building’s consolidated net operating income in the first quarter of the year was EUR 332 000, or 71% more than in the same period of 2021. The rent income of the Žygis Business Centre increased 52% over the same period to EUR 86 000.
“In the first quarter of the year, INVL Baltic Real Estate’s property holdings improved their results, mainly due to the very successful operations of Talent Garden Vilnius and new lease agreements signed last year at the Žygis Business Centre. The drop in the company’s net profit is a result of the additional investment property acquired early in the year at Vilniaus Street 37, the market value of which will rise after design work on the property is completed,” says Vytautas Bakšinskas, the real estate fund manager at INVL Asset Management, which manages INVL Baltic Real Estate.
He said the company remains focused on increasing the value of existing holdings and is looking for new investment projects. It is ready to invest in non-standard, creative solutions that can help earn a big return for investors and grow the property management business.
INVL Baltic Real Estate owns real estate in Vilnius and Riga: office buildings in the Old Town of the Lithuanian capital on Vilniaus Street and in Šiaurės Miestelis, and the Dommo Business Park manufacturing, warehouse and office complex beside the Riga bypass. At year-end the company’s properties had occupancies of 98% to 100%.
INVL Baltic Real Estate’s current property holdings have a total area of 28 000 sq. m. and a value of EUR 29.7 million.
Since its launch as a collective investment undertaking (on 22 December 2016), INVL Baltic Real Estate has been one of the Baltic real estate funds open to retail investors with the highest stable returns. The fund operates as a closed-end investment company. Management of the company was assumed by INVL Asset Management, one of Lithuania’s leading asset management firms. The company will operate as a closed-end investment company until 2046, with extension possible for a further 20 years.
