Real estate group Resolution Holdings establishes new holding company
Resolution Holdings, the group of real estate service companies which owns the real estate advisory, valuation and asset management companies operating in the Baltics under the Newsec brand, is separating its operations and announcing the establishment of a new holding company Newsec PAM Baltics. The new holding company will cover property asset management and related services, while the existing one, Resolution Holdings, is changing its name to Newsec Advisory Baltics and will provide all real estate advisory services.
According to Ugnius Meidus, the CEO of Resolution Holdings UAB, this is a strategic step for the group in the Baltic region, taken in keeping with the example of the Newsec group in the Nordic countries, with the aim of separating the property management and advisory services that are provided.
“These changes mark a new stage in the group’s operations. We enter it not just having separated our activities but also having distributed the diverse expertise of the more than 100 members of our team, thus enabling us to not only optimize our operations and more effectively provide services to clients but also to strengthen our positions on the market and give the group of companies impetus for further growth,” Mr Meidus says.
The newly established holding company Newsec PAM Baltics UAB will own the Newsec Property Management companies in Lithuania, Latvia and Estonia, and Newsec Finance UAB. The property asset management services provided will include the management and maintenance of properties, the management of tenant relations, and accounting and financial management.
Mr Meidus notes that Newsec manages 32 commercial properties in the Baltics with a total area of more than 485,000 sqm. A team of 53 professionals is responsible for managing the commercial properties and increasing their value. Throughout Northern Europe, Newsec manages EUR 60 billion of assets and is second in Europe for total area managed.
Resolution Holdings UAB, meanwhile, is changing its name to Newsec Advisory Baltic UAB and will own such companies as Newsec Advisers LT, Newsec Valuations, Newsec Project Management, Resolution LT, Newsec LV, Newsec Valuations LV, Newsec Advisers EE and Newsec Valuations EE. This holding company’s team will work with real estate advisory services including the leasing and sale of commercial real estate, investment transactions, market research and analysis, and property valuation. It will also provide construction project management services.
“Last year in the Baltics, the value of transactions concluded by Newsec was EUR 493 million while the 2,400 property valuations we performed had a total value of EUR 3.2 billion. We now have a 70% share of the office lease market, with 76,000 sqm of office space leased out per year. The international capital and financial markets magazine Euromoney last year named us the best provider of real estate advisory services in Lithuania, and this year – the top provider of real estate valuation services in the Nordic and Baltic countries. Our advisory team consists of 63 specialists who examine clients’ needs in depth, know the commercial real estate market, and actively engage at every stage from strategy creation to implementation,” Ugnius Meidus says.
The shareholders of both holding companies remain the Swedish company Newsec AB, Neringa Rastenytė-Jančiūnienė, Giedrius Ragaišis, Martynas Babilas, Rida Kalvaitienė, and Ugnius Meidus – who will serve as the CEO of both holding companies.