Riga, Latvia, 2015-02-03 07:55 CET (GLOBE NEWSWIRE) -- The last year turned to be successful and busy with intense work for the property development and trading group Pillar. Despite the prevailing moods of instability and fears regarding further development of the market, Pillar managed to maintain the sales results at the level of 2013 and even succeeded to excel them. It gives evidence that more and more clients appreciate the quality of accommodations offered by Pillar.
Overall, in 2014, Pillar completed 626 purchase and sales deals totaling EUR 33.5 million. In comparison to the results of 2013, the number of deals this year grew by 2%. The portfolio of secondary residential market during the year decreased from 836 to 583 objects. Good results were also achieved selling the new projects; only around 8% of apartments remained unsold in the new projects developed by Pillar at the end of the year.
Analyzing last year, Chief Executive Officer of Pillar Ieva Valtere remarked: “Last year local residents demonstrated stable demand for the residential properties in the secondary market of apartment blocks. In its turn, the interest of foreigners in property was influenced by governmental decisions following the changes in the residence permit programme. Therefore, among these buyers haste and impulsiveness were witnessed until the end of August and, on the contrary, in the last third of the year the interest of these clients became significantly moderate. In 2014, the prices for private houses remained without changes, as well as for serial apartments, located in less popular districts of Riga, outside Riga and in Jurmala. Additionally, prices for serial apartments in popular districts of Riga and prices for apartments in new projects demonstrated a growing tendency - between 5 to 10 per cent.”
In new and reconstructed projects, 126 apartments were sold, among them there were 5 premium-class apartments in “Elizabetes Park House”. In the serial apartment blocks, 428 serial apartments were sold: 286 apartments sold in Riga and 142 - outside the city. Besides that, 48 sale deals of private houses were concluded and 11 land plots were sold.
In order to meet the requirements of clients, Pillar actively continued managing the existing property portfolio, developing new projects and maintaining the programme of reconstruction. For example, at the beginning of the year, Pillar fully completed interior finishing in the apartment block “Dārza Apartment House”, as well as put in commission another apartment block, “Lielezeres Apartment House”. In turn, in June, reconstruction works were completed in 10 new apartments in the apartment block at 13A Akadēmiķa M.Keldiša Street in Riga.
It is worth noting, construction works are nearly completed in the premium-class apartment block “Miera Park House”. In order to meet high quality criteria, construction of the previously mentioned project was carried out applying new technologies. It is planned that the sale of apartments is going to start already in the second quarter of 2015.
One of the most significant projects for Pillar and ABLV Group — the financial and business center New Hanza City (NHC) – also received new investments. In August, having undertaken the development of NHC, Pillar purchased the Riga’s office of the German architect bureau Schaller Kyncl Architekten Stuttgart. Thus, a new enterprise Schaller Kyncl Architekten Riga joined Pillar group. The aim of the architect bureau takeover is to concentrate all processes related to the project NHC “under one umbrella” that will help to structure and optimize work of Pillar within the frames of this large-scale project. The task of Schaller Kyncl Architekten Riga is to elaborate all necessary technical documents for the project, so that in 2015 first construction works will be started in the territory of NHC.
In Pillar portfolio of reconstruction properties there are special and appreciated by our clients property projects, such as: «Elizabetes Park House», «Saules Rasa», «Pine Breeze», «Mārtiņa Nams 2», «Liesmas Apartment House», «Dārza Apartment House», «Lielezeres Apartment House» and others. The quality of Pillar work is evidenced by fact that most of those have already been sold off. Read more about Pillar and its properties on the website: www.pillar.lv.
Pillar Holding Company, KS, established in 2008, is owned by the largest private bank in Latvia – ABLV Bank, AS, and it includes ABLV Group companies that operate in the field of real estate development, management, and trade. Pillar holds one of the largest real estate portfolios in Latvia, which comprises apartment blocks, apartments, private houses, land, and commercial properties. In total, Pillar supervises about 730 properties worth approximately EUR 60 million. So far, the company has invested the total of EUR 15 million in renovation of properties.
Ilmārs Jargans
Head of Public Relations Department
ABLV Bank, AS
Tel.: +371 6777 5296
e-mail: ilmars.jargans@ablv.com