The private debt fund Nucapital provided a €4.5M loan to Reefo

The private debt fund Nucapital, managed by 1 Asset Management, provided a €4.5M loan for a residential conversion project developed by Reefo at J. Basanavičiaus St. 28. The project involves converting a building with a total area exceeding 5,000 sq. m into apartments, with completion planned for 2025. The loan proceeds will be used to refinance the existing lender and support further development works.

The Nucapital fund actively finances real estate development projects and has issued a total of €38M in loans over the past five years. This marks the fifth investment by Nucapital into Reefo-developed projects, with the total amount of financing provided, including previous projects, reaching €12.5M.

“We have been working with Reefo for several years, and their previous projects have attracted strong interest. Their concept of revitalizing existing real estate assets is unique. Having strong familiarity with Reefo, we trust their experience and distinctive know-how in developing such projects. The building is located in an attractive area – central Vilnius – where housing demand remains very strong, which is why we confidently invested €4.5M in this project,” commented Simonas Jurgionis, Board Member at 1 Asset Management, which manages the private debt fund Nucapital.

The project at J. Basanavičiaus St. 28 has already received permits for cultural heritage restoration works as well as a reconstruction building permit (Class A). A general contractor agreement was signed with Insitus in August this year, and construction works have commenced.

To date, Reefo has already sold 60% of all apartments in the project. Buyers can still choose from apartments ranging from 59 to 300 sq. m: ground-floor units with private courtyards, spacious second-floor apartments, or top-floor units offering panoramic views of Vilnius. For those seeking commercial premises in the city center, unique spaces ranging from 47 to 76 sq. m are available on the ground floor. Residents of this historic building will also benefit from modern features, including a two-level underground parking facility, unusually spacious staircases and corridors, art installations in shared indoor and outdoor areas, and high ceilings.

Interest from real estate developers in private debt funds as an alternative to bank financing is growing rapidly, driven by more flexible financing terms and faster decision-making processes.

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