Second Luminor auction features 10 new properties and reduced prices

Second Luminor auction features 10 new properties and reduced prices

Registration begins on 4 June for a second auction of real estate owned by Luminor Bank AS and its group companies, organized by international real estate advisors Newsec. The 48 properties which are up for sale have a combined starting price of EUR 6.27 million. In light of buyers’ expectations after the first auction, 10 new properties have been included and prices have been reduced by 10-15%. Registration for the auction will be open until 19 June. It is also possible to acquire properties without waiting for the start of the auction.

The properties being offered by Luminor Bank are spread throughout Lithuania. According to Jurgita Šilaikytė, Head of Brokerage at Newsec, the auction includes objects that are attractive both for individuals in search of real estate for themselves and for legal entities interested in quality city-centre property or land for development. The lowest price on a property that is for sale is EUR 575 000, while the highest is EUR 1.093 million.

“The most expensive property in the auction is a 1250-square-meter administrative building with outstanding architecture located in the old town of Klaipėda, at Liepų St. 10, which is priced at a bit more than one million euros. Altogether 10 administrative buildings in different Lithuanian cities will be offered. All are in central locations and suited to commercial activities. A number of historic buildings belonging to the Lithuanian bank in Klaipėda, Panevėžys, Ukmergė and Mažeikiai, with exclusive interior details, are being sold,” Šilaikytė notes.

One of the more valuable items in the auction is a 4650-square-meter reconstructed factory complex in Šiauliai, at Lingailių St. 6. Suited to manufacturing, it includes administrative and warehousing premises. The complex is leased out on a permanent basis and so generates a constant flow of income without additional investments.

Many of the properties for sale are land tracts or individual plots of varying sizes. They are suited to the development of residential projects or the construction of private homes. The Newsec specialist expects developers to take interest in a 5.4 hectare tract of land near Vilnius, in the rapidly growing Mažieji Gulbinai district beside the Green Lakes and in the vicinity of three other lakes. The land is suited to the construction of low-rise residential buildings.

Recreational facilities are also on offer, such as a 400-square-meter vacation house with tennis courts beside Lake Siesartis in Molėtai Region.

“At the first auction, the bank’s premises in Šiauliai were successfully sold. Buyers were attracted by the city-centre location and very good conditions. In the second auction we will offer administrative premises which the bank uses in Gargždai and Kaišiadorys. The buildings, which are being sold at a lower price, could be used for the activities of a small or medium-sized business,” Šilaikytė says.

The auction will take place on an e-auction platform. This solution chosen by Luminor Bank to dispose of property not used in the bank’s operations through an e-auction simplifies the sale/purchase process, as participants do not need to agree on a time and physically meet at a specific place. Additionally, all required information is provided in a timely way and the equal rights of auction participants are ensured.