The Eika Asset Management (EAM) Fund is strengthening its position in the Latvian market by taking on unusual projects. The latest is the development of co-living spaces, which are currently gaining popularity worldwide. With an investment of EUR 20 million and the acquisition of more than 3.7 hectares of land and buildings formerly occupied by a university, EAM will develop more than 250 high-quality apartments and modern co-living spaces that meet the needs of modern living.
Investing in a new asset segment
According to Viktorija Orkinė, CEO of EAM, the decision to invest in this project is based on the fact that the Latvian market is already familiar to the Fund and there are opportunities to invest in unique projects where the competition is currently quite low.
‘We saw an opportunity to invest in a unique project that could add value not only to the city, but also to people looking for a unique place to live. Such sophisticated products are still an unfilled niche in Riga, and the demand for them is growing, just like in other European cities’, she says.
V. Orkinė is convinced that co-living spaces perfectly respond to modern people’s desire to live in communities, to be in the whirlwind of events together with friends and like-minded people, and to have active spaces that meet human needs nearby: ‘Therefore, the trust of investors and partners in the strategic direction we are creating allows us to enter this real estate segment with confidence’.
Revitalising former university buildings
The land and buildings acquired by EAM are located in the historic Āgenskalns district of Riga. The site is unique in terms of its history and its surroundings, which combine modern city life with nature. The site, which is larger than 3.7 hectare, is abundantly planted with a various vegetation, and the adjacent park, which has just been reconstructed by the city municipality, further enhances the sense of harmony between man and nature and allows for a wide range of activities to make leisure time meaningful.
The main historic building of the university, which until recently was the site of the university lectures, adds a special charm to the project, as if to emphasize the importance of science and culture to the community.
‘When renovating the spaces, EAM aims to maintain the continuity of the use of these buildings, associating them with active life and the image of a young, knowledge-seeking person, so the decision to create co-living spaces here was not taken by chance. It’s like reviving this complex, adapting it to modern needs and at the same time preserving a part of the history of the former university’, says V. Orkinė.
More than 250 high quality apartments and common areas for all amenities
The more than 9,000+ square metre building complex, which is to be converted into co-living spaces consists of four main buildings. More than 250 high quality apartments are planned to be installed there. For the convenience of future residents, a car park will be built nearby and some of the spaces will be adapted for charging electric cars. In the courtyard and throughout the area, there will be relaxation areas, gazebos, a barbecue area and other outdoor spaces that will come to life when the sun is shining.
‘Imagine getting up early on a spring morning, taking a walk or a light jog in the park just a hundred metres away as dawn breaks, or perhaps relaxing in a yoga/meditation room? Daily productivity guaranteed! In addition, tenants of this project will be able to use a gym dedicated only to them, relax in recreational areas, use quiet rooms for work, a cinema room, an event area and other areas for co-living, without which modern co-living projects are unimaginable’, says V. Orkinė.
The Eika Asset Management is not abandoning Lithuania: it is actively developing projects in Vilnius
Although a significant part of EAM’s investments are planned and implemented in foreign markets, the Fund continues to see a rapidly growing potential for investment in the development of residential projects in the Lithuanian capital. Currently, four residential projects owned by the Eika Development Fund are under active development: ‘Metų laikai’ in Visoriai, ‘Saulės namai’ in Pilaitė, ‘Nauji peizažai’ in Kaminkėlio Street, and the prestigious project ‘Senamiesčio Sodai’ in Sodų Street, at the junction of the Old Town and the New Town.