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Press-release: The owners of Capital Mill bought Rappel centre in Rapla and the Maxima in Ahtme

Last week, the owners of Capital Mill – Igor Mölder, Marko Kull, Tanel Samuel, and Aleksandra Samuel bought the biggest shopping centre in Raplamaa, Rappel, from Fausto Capital, and the Maxima supermarket properties in Ahtme. The value of the transaction is around 14 million euros.

‘Adding the modern retail spaces located in Rapla and Ahtme to the Capital Mill portfolio supports the company’s expansion strategy in every way. We are always on the lookout for investment opportunities in all Baltic states and the investing portfolio we manage has been in stable growth throughout the company’s existence,’ said the CEO of Capital Mill, Kaarel Loigu.

According to Kaarel Loigu, the current economic situation has grown complicated, unpredictable, and made foreign investors anxious. This is also the reason for the halt or temporary putting on hold of large real estate transactions. ‘We see great opportunities here since the situation favours local investors’ activity in making transactions,’ Loigu stated.

Sven Mihailov, one of the shareholders of Fausto Capital, says that the decision to sell was made due to the wish to direct focus mainly on the development of commercial real estate, especially the development of the new phases of the Fahle business quarter created in the area of the historic paper mill.

Fausto Capital was advised on the transaction by the law firm RASK. The transaction was coordinated by SUPPA Advisers, a partner of the Savills Group in the Baltics. The purchase of the retail spaces in Rapla and Ahtme was financed by LHV and Bigbank.

‘Investors in Capital Mill’s business volumes and activity expect financial partners to react quickly and on flexible terms, this fits well with Bigbank’s vision and ambitions,” said Aimar Roosalu, the Head of Estonian Corporate Banking Unit at Bigbank. According to him, the Estonian economy has reached a phase, in which investment decisions are difficult to make. ‘Then again, it is relatively convenient for the bank to finance the purchase of well-located retail space, since such objects can withstand different economic cycles,” Roosalu added.

The size of the Rappel centre property, completed in 2012, is almost 16 000 square metres, and the closed net area reaches 5293 metres. The size of the Ahtme Maxima property, completed in 2015, is 7465 square metres and the closed net area is 3600 square metres.

Capital Mill was founded in 2008. The company is focused on investments in commercial real estate in the Baltics, and today, the portfolio volume reaches 485 million euros. The founders and partners of the company is a team of lengthy experience in real estate and banking. Capital Mill manages several highly regarded commercial buildings in Estonia, Latvia, and Lithuania.


Additional information:

Kaarel Loigu

CEO of Capital Mill

+372 503 2845

Press release: Citadel is financing Skyon high-rise building with 30 million euros

Citadele Bank and Skyon developer Capital Mill signed a long-term financing agreement of 30 million euros. The purpose of the loan is to refinance the loan for the construction of the high-rise building Skyon and to finance other development activities of Capital Mill.

The Skyon high-rise was completed in August last year and was awarded the highest international certificate (LEED Platinum) for energy efficiency. The LEED certificate is an internationally recognized certification system developed by the US Green Building Council. To earn the certificate, a building can get points in five different areas: sustainable construction, water efficiency, energy efficiency, materials and resources, and indoor environment quality.

Skyon, with its outstanding architecture and design, was quickly booked fully with tenants, including several companies from the IT, legal, financial and other industries. Among them Tuum, BaltCap, the Estonian Banking Association and Capital Mill themselves.

“We are extremely proud of Skyon because we have succeeded in creating here technological solutions that support environmental protection and energy saving. The LEED Platinum certificate is also a proof that we have moved in the right direction, being innovative and bold in fulfilling our goals,” said Kaarel Loigu, CEO of Capital Mill. According to Loigu, such achievements increase the value of real estate and give reassurance to the client and the public that the high requirements set for the building have been met.

Smart energy solutions and a distinguished exterior design allow Skyon to save a significant amount of energy that would otherwise be generated by a similar high-rise building. There are places for employees to charge their electric cars, bicycle parking and a time tracking system in the stairwell that motivates people to walk and even creates a competitive moment between them.

Vaidas Žagūnis, Citadele Board Member and Head of Corporate Banking in the Baltics, noted that strong Citadele presence in the Baltics helps to serve such clients as Capital Mill in the way they require and expect from their financial partners. “Our key asset is an individual approach and local expertise in providing financial services. As a bank, we highly value the professionalism of Capital Mill, which has strong knowledge of the entire sector,” said Žagūnis. “We see that Capital Mill has a great vision, not only in Estonia but throughout the Baltics, and we are very pleased to be part of their development plans.”

Kaarel Loigu, CEO of Capital Mill, added that the Citadele loan will first refinance Skyon’s construction loan and the rest will be used to finance the groups other investments. “We have set ourselves the goal of creating good living environments that are sustainable also in the future. The cooperation with Citadele has been extremely business-accommodating and we are pleased to say that they came along with our ambitious plans, being very cooperative and solution-oriented. Like us, Citadele is strongly represented in all Baltic countries. In the future, we want to put more emphasis on real estate projects also in Latvia and Lithuania in order to increase Capital Mill’s portfolio in these countries,” Loigu explained.

About Citadele Bank

Citadele aims to bring innovation to the Baltic banking sector and offer more opportunities for people and companies to use banking services.

In addition to day-to-day banking services, Citadele offers services based on financial technology, including a modern mobile app and delay and flash payments. Citadele was the first in the Baltics to introduce a name payment, e-identification for opening an account and payment rings supporting prompt payments.

Citadele Group is a Latvian financial group headquartered in Riga. The Group’s subsidiaries and branches operate in Latvia, Lithuania and Estonia.