LHV pension funds invest in Liven real estate development

21 December 2021

LHV pension funds are investing 2.4 million euros in the development of Liven, a residential project with nearly 400 apartments.

Based on an agreement between LHV Varahaldus and Liven AS, LHV pension funds will provide Liven with a total guaranteed development loan of 2.4 million euros with an annual return of 8%. Liven will use the loan in the development project at Kadaka tee 88 in Tallinn to construct 17 two to four-storey apartment buildings with around 400 high-quality homes by the end of 2026.

‘We are interested in long-term cooperation with local entrepreneurs who have the courage to stand out and take on unique projects. Liven is certainly one of the real estate developers that attracts attention in the market for the design and quality of its homes,’ says Maarja Pärs, the Portfolio Manager at LHV Asset Management . From the perspective of the pension fund client, in addition to the return on investment, it is most certainly important that the loan is properly secured by a mortgage on the property. We believe that the development of Kadaka tee 88 will be a success story in the residential real estate market,’ the Portfolio Manager at LHV adds.

In addition to the motorway, the quarter will be connected to the city centre by a light traffic road, a new shop will be within walking distance, and a community park will be established in the neighbourhood.

Liven aims to create homes that are characterised by excellent planning, outstanding interior solutions, and thoughtful details, or in other words high-quality square metres. ‘In all developments by Liven, we involve the home buyer at an early stage in order to take their needs into account. The homes at Kadaka tee 88 are planned to be developed into a holistic living environment, which is well connected to the city centre on the one hand, while the Nõmme-Harku health trails start from the doorstep on the other hand,’ says Andero Laur, the CEO at Liven.

The real estate quarter of Kadaka tee will be completed in four stages by the end of 2026. In the first stage, up to four-storey buildings will be built along Kadaka tee, and in the final stage, two and three-storey buildings will be completed.

Liven has been operating as a residential real estate developer since 2014. During this time, around 400 homes have been established, and today, nearly 1,800 homes are in various stages of development.

LHV pension funds have approximately 139,000 clients, making it the second largest management company in the Estonian pension market. The total volume of the investments of LHV pension funds related to Estonia is approximately 358 million euros, meaning that every fourth euro of assets in LHV pension funds contributes to the growth of the Estonian economy.

More information
Maarja Pärs
Portfolio Manager at LHV Varahaldus
5593 0140

Andero Laur
CEO at Liven AS
5373 9943

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