Rietumu Banka has provided a loan of EUR 3.56 million to SIA FRB. The financing is intended for acquisition and reconstruction of two historical buildings on Daugavpils Street, the Latgale district in Riga. The buildings are local architectural landmarks, and after renovation those will be modern apartment buildings. The loan will also be used by the company to increase its current assets.
Following the renovation, there will be 59 apartments available, and their total area will be about 1929 sq. m, as well as storage facilities are planned to be built in the basement.
“We see steady demand for modern, fully renovated properties in historic buildings of Riga, as they usually have a good location in the city centre or its immediate vicinity, as well as have a special value due to their historical heritage context. We have already cooperated with these investors on another project, which involves the renovation of an Art Nouveau building on A. Čaka Street,” said Member of the Board and Head of the Lending Department of Rietumu Banka Artūrs Jukšs.
The buildings date back to 1909, and their author is architect Heinrihs Devendruss, who designed a number of other buildings in the Latgale suburb.
“We believe the Latgale district is a promising and attractive area in Riga, which has been undervalued so far, although it is well-located and offers a high quality of life – in terms of entertainment, recreation and infrastructure. We are confident that in the near future we will see more renovated buildings in this area, as a significant part of property buyers are looking for their next home in the historical districts of Riga. The preserved architectural heritage combined with modern amenities creates a unique living environment and gives this area high growth and investment potential,” said Member of the Board of SIA FRB Vitālijs Fedulovs.
The construction works will be performed by SIA DBU, which
has a substantial experience in renovating historical buildings.