Funding for Sidrabauši

Loan

• Amount € 58600.00
• Interest rate 11%
• Term 24m
• Collateral type Land
• LTV 33%

Description

This project gives LANDE investors an opportunity to provide funding in the amount of € 58 600 for Self-employed farmer to re-finance an exisiting loan for which loan term will be extended by additional 24 months.

The annual interest rate of 11%, LTV of 33%. The Loan is repaid in several payments according to the Schedule agreed with the Borrower. The Loan and interest on the use of the Loan for the specified period of use of the loan are repaid in one payment according to the Schedule.

The borrower is engaged in grain farming, managing 80.8 ha of arable land and growing wheat. Financial results for 2022: annual turnover € 4 191.

The collateral consists of a land plot with a total area of 37 ha of agricultural land located in "Meža Kaijas", Straupe parish, Cēsu prov., cadastral number: 42820020071.

In order to secure the claims, arising out of loan agreements, a first-hand mortgage in the amount of € 133 200 will be registered on the collateral in the Land Register of Latvia.

The demand for agricultural land currently in Latvia exceeds supply and 25% of farmers are forced to rent the land, as there is none available on the market. The price of agricultural land plots in the parish of the collateral ranges from € 3 500 to 4 000 per ha.

To secure the repayment of the loan, the borrower is also pledging farming machinery Grain dryer, MIG, - model: MIG-6; -serial number: 262.

The current market value of machinery is estimated to be € 47 000.

Borrower aims to repay the loan from incoming business revenues.

The borrower is a recipient of support payments from the European Agricultural Guarantee Fund and the European Agricultural Fund for Rural Development.v

Documents

• Land evaluation
• Machinery appraisal

Other borrower loans

• Pagarināšana Guntis Puzuls
• Agricultural loan for purchase and construction of grain dryer