Blog Details

Unlocking the Potential of Latvia’s Real Estate and Auction Markets

Latvia’s real estate market presents significant opportunities for discerning investors who are willing to explore untapped potential. Our objective is to capitalize on this by acquiring flats in Riga city and land across Latvia through belief auctions. While these auctions are less conventional than traditional methods, they offer an excellent opportunity to secure properties below market value.

A Clear Strategy for Success

Our strategy is straightforward yet highly effective. With the support of investors, we aim to identify and acquire undervalued flats and land through belief auctions. Upon acquisition, we will renovate properties as necessary, transforming them into attractive investment opportunities. Our target is to resell these properties quickly—ideally within 3 to 4 months—to generate profitable returns.

This model is not limited to flats. Land, particularly in Latvia’s expanding regions, offers considerable potential for development or resale. By leveraging our expertise and streamlining the process, we aim to create value for both investors and buyers.

Rural Subsidies for Agricultural Land at Verdenergy

The rural subsidies for agricultural land within Verdenergy are structured as follows: We will acquire land through real estate auctions, and once purchased, lease the land to agricultural businesses, specifically farms, for a single season. At the end of the season, typically in September, we will sell the land at a suitable price to "ALTUM" (a government-owned company) or other investors. The farms will cultivate the land, which allows us to receive subsidies for its use.

Farm tenants will not be required to pay rent, as some farms may face financial difficulties within the agricultural sector. The only financial obligation for the farm will be the payment of land tax in Latvia at the commencement of the rental period.

The government subsidies for the land are guaranteed by both the Latvian government and the European Union.

For more information on government subsidies, please visit the following link:

Government Subsidies Information

www.lad.gov.lv 

For information regarding the government company responsible for purchasing land, please refer to the link below:

ALTUM Land Purchase Information

https://www.altum.lv/pakalpojumi/latvijas-zemes-fonds/

A Vision Beyond Real Estate – Auction Infrastructure

While our primary focus is on real estate, we are also working to revolutionize the Latvian auction market by developing a platform that fills a clear gap in the industry.

Currently, Latvia lacks a comprehensive auction platform for individuals and companies. The only government-owned belief auction website exists but is limited in scope and functionality. Meanwhile, the private advertisement site www.ss.lv dominates the market, generating a remarkable €4.1 million in annual profit with an 80% margin. However, ss.lv serves purely as an advertisement platform and does not operate as an auction site.

Why Now Is the Right Time

With Latvia’s digital infrastructure improving and consumer habits evolving, there is increasing demand for efficient and transparent methods to buy and sell assets. An auction platform is not only overdue but perfectly aligns with current trends.

By combining this innovative platform with our real estate investment model, we aim to establish a sustainable business that creates value on multiple fronts. Investors can participate in high-potential real estate projects, while individuals and businesses can benefit from a modern auction system that encourages competition and transparency.

The Road Ahead

We are confident that this dual approach will redefine how properties and goods are bought and sold in Latvia. Through a strategic blend of technology, marketing, and customer focus, we aim to disrupt the market and build a competitive advantage.

If you share our belief in the untapped potential of Latvia’s real estate and auction markets, we invite you to join us on this exciting journey. Whether you’re an investor, a future platform user, or someone passionate about innovation, we welcome you to be part of our vision for the future.

Early Exit Option

The early exit option for real estate projects on our investment platform allows investors to withdraw their investment before the project reaches its completion or maturity. To exercise this option, investors must notify the Verdenergy platform via email at info@verdenergy.eu at least 10 business days in advance. Upon receiving the request, we will process the early exit, subject to a fee of 10% of the invested amount. Additionally, any cashback accrued during the investment period may be reduced, adjusted, or revoked based on the duration the investment was active.

Investment

The minimum deposit is set at 10 EUR, while the minimum investment in any project is 1 EUR. The minimum investment for the savings account is also 1 EUR.

Cashback

A 5% cashback is applicable to all projects on the platform, including real estate and IT startup projects, as well as on savings accounts. Please note that these cashback offers will be reduced or discontinued after March 20th.