Estateguru volumes and returns recover in March
Estateguru originated €7m (£6.2m) of loans in March, up from a 12-month low of €6.5m in February, while average investor returns increased by nearly two per cent.
The European peer-to-peer property lending platform said that the most active market last month was Estonia (€3.1m), followed by Lithuania (€1.9m) and Finland (€1.2m).
Repayments in March amounted to €7.5m, with a total of 62 loans repaid, Estateguru said. The average return increased to 9.3 per cent, from 7.5 per cent in February.
Read more: EstateGuru investors have earned €306k from secondary market sales
“Two projects, with a total principal amount of €0.3m, were recovered during the last month,” Estateguru said in a blog post on its website. “One of them was in Finland (a compromise with the borrower, who refinanced, was reached) and the second was in Estonia, where collateral which we had taken over was sold at auction.
“By the end of April our investors will also receive the final recovery payments relating to the Tolli 7 bridge loan, which defaulted in March of 2018, leading to legal disputes with a hostile borrower. A compromise which included ending all the court proceedings, was suggested by the borrower after years of consistent legal work by our security agent.”
Estateguru has had a busy few months, having secured a new funding line with Czech investment bank J&T Banka in March, and raised equity to support its plans for growth.
In April, it announced that it had passed its €700m lending milestone in the first quarter of this year, after completing 178 projects with a loan volume of €23m.