Funding for ŠVIRKALE, Bukauskas Austras Īslīces pagasta zemnieku saimniecība

Loan

• Amount € 40500.00
• Interest rate 11%
• Term 30m
• Collateral type Land
• LTV 7%

Description

This project gives LANDE investors an opportunity to provide funding in the amount of € 40 500 for farming company ŠVIRKALE, Bukauskas Austras Īslīces pagasta zemnieku saimniecība to re-finance an exisiting loan for which loan term will be extended by additional 30 months.

The annual interest rate of 11%, LTV of 7%. The Loan is repaid in several payments according to a schedule agreed with the Borrower. Interest payments on the use of the Loan shall be made monthly in accordance with the Schedule.

The borrower is engaged in crop and cattle farming, managing 73.39 ha of arable land, growing wheat, barley and owning 80 livestock animals. Financial results for 2022: annual turnover € 61 383.65, profit € 1 323.53.

The collateral consists of a land plot with a total area of 73.39 ha of agricultural land located in "Lejas Balčiņi", Kurmenes parish, Bauskas prov., cadastral number 32620040015 and "Švirkale", Īslīces parish, Bauskas prov., cadastral number 40680040041.

In order to secure the claims, arising out of loan agreements, a first-hand mortgage in the amount of € 589 771 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 € 2 000 to 10 500 per ha.

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.

Documents

• Land evaluation

Other borrower loans

• Agricultural loan for working capital
• Funding for Z/S "ŠVIRKALE"
• Funding for ZS Švirkale