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EfTEN Real Estate Fund AS plans to sell a logistics property in Riga, Latvia, at a price EUR 500,000 above its book value of EUR 8.5 million. The fund expects net proceeds of around EUR 5.6 million from the transaction. Following the sale, total assets are projected to decline by about EUR 9.0 million, while bank borrowings are expected to reduce by EUR 3.3 million. The transaction is scheduled to be completed during Q1 2026 and forms part of the fund's ongoing portfolio optimisation efforts.
EfTEN Real Estate Fund AS has decided to sell a logistics property in Riga, Latvia, through one of its subsidiaries, marking another portfolio adjustment in the Baltic region. The asset is being sold at a price EUR 500,000 higher than its balance sheet value, indicating stable demand for well-located logistics properties despite a cautious investment environment. Advertisement
The logistics property has a book value of EUR 8.5 million, while the agreed sale price exceeds this level, resulting in a positive valuation outcome for the fund. From the transaction, EfTEN Real Estate Fund expects to receive net proceeds of around EUR 5.6 million after accounting for related costs and liabilities. The sale is also expected to lead to a reduction in the fund's total assets by approximately EUR 9.0 million.
Alongside the decline in asset value, the fund's bank borrowings are projected to fall by about EUR 3.3 million following the completion of the transaction. This reflects EfTEN's continued focus on balance sheet discipline and selective deleveraging. The transaction is scheduled to be completed during Q1 2026, subject to customary closing conditions.
EfTEN Real Estate Fund has been active in reshaping its portfolio over the past few years, periodically exiting mature assets while focusing on income-generating properties across Estonia, Latvia and Lithuania. The logistics and industrial segment has remained a relatively resilient part of the Baltic real estate market, supported by steady tenant demand and long-term leases. The current sale aligns with the fund's earlier strategy of realising value where pricing exceeds internal valuations.
Source Reuters
5th Jun, 2025
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