Pillar Group Company Attracts Long-Term Financing

NHC 4, SIA, the subsidiary of real estate developer Pillar Capital, AS, has received long-term financing from a Latvian credit institution in the amount of EUR 18 million.

The received financing shall be used by NHC 4, SIA for refinancing its liabilities, including the ones against mother company Pillar Capital, AS. The financing is issued against the collateral – A6 Logistics Park.

A6 is the first A-class logistics park in Latvia, designed and built in accordance with BREEAM standards. It has been recognised as the best industrial project in Latvia, as well as across Baltics. The total leasable area of the logistics park exceeds 50 thousand m2, and its high quality and other advantages have been appreciated by the tenants since the premises are already fully leased now. The construction of the logistics park was started in July 2020 and the object was put in commission in December 2021.

“We highly value the involvement of the credit institution that has provided the financing, which allows us to strengthen the company’s financial flow. Refinancing of the existing liabilities will allow for additional investments in other development projects of ours, including the new A-class office building that is under construction at New Hanza territory, at 1 Mihaila Tāla St.”, — says Arnolds Romeiko, Member of the Board and CFO of Pillar Capital, AS.

Pillar Capital, AS is a company founded in 2006. The objectives of its operation include investing own and third-party funds in commercial and residential real estate objects to achieve sustainable increase in income from renting the premises and enlarging of the value of properties.