SIA “Marijas 2” audited financial statements with independent auditor's report for year 2023
The year 2023 has been very productive for the company. The balance sheet has remained strong at nearly 67 million euros, a 45% increase from last year’s number. Fixed assets, which consist mainly of the capitalized development costs, have exceeded 60 million euros, a 70% increase from last year’s number. The company has raised sufficient funds to finance its development until commissioning of the building under the Program for the Issuance of Bonds in the total amount of up to EUR 45 000 000 with ISIN code LV0000802551.
The highlight of the recent developments has been partial commissioning of the bigger part of the complex. The business center consists legally of two separate buildings that will be united after commissioning – Marijas 2A and Marijas 2. The approximate proportion of two buildings is 80% and 20% respectively. The larger property, Marijas 2A, has been commissioned in mid-February 2024 and tenants have started moving in. This has resulted in generating of first revenue after handover of the premises. The commissioning of the smaller Marijas 2 building has been slightly postponed due to delays in façade installation and is planned to be executed in May 2024.
Strong work with tenants has continued resulting in nearly 40% of building occupancy. After opening the building to the public, potential tenants have significantly increased their interest in the premises. It has already led to few advanced negotiations and will lead to signing more rental agreements in 2024.
Since the beginning of the project over 75% (including over 40% done during year 2023) of the total construction works have been completed. Construction works of the first stage (ca 25% of the premises) are completed with mainly minor repairs on the rented-out premises remain to be finished. Construction works on the second stage (ca 20% of the premises) are ongoing with premises being handed over to the tenants in March through May 2024.
The main plan for refinancing the outstanding bonds and continuing financing fit out costs of the remaining vacant premises envisages a new secured bond emission. The other option of refinancing under consideration is combining the secured bank loan with subordinated bonds. The company has received a binding offer from a financial institution in the amount of 30 million EUR and is consulting with financial advisors on the new potential bond issue. The final decision on refinancing will be made in early May based mostly on the best financial outcome.
SIA “Marijas 2” audited financial statements with independent auditor’s report is attached to the announcement and published on NASDAQ Riga as well as web page of Novira Plaza https://noviraplaza.lv/en/investor.
About SIA “Marijas 2”
SIA “Marijas 2” was established in December 2020. SIA “Marijas 2” owns and develops a modern A-class office building Novira Plaza in central Riga located at Marijas 2 and Marijas 2A. The building’s architecture was inspired by historical city center and is in-line with modern offices’ design principles. A unique seven-floor building will accommodate 25 000 m2 of safe, convenient as well efficient offices and retail premises, underground floors will accommodate 255 parking spaces and bicycle storages.
Novira Plaza is being developed according to LEED Gold standard and will be fully commissioned in Q2 2024.
For further information, please contact:
Nikolay Kryzhanovskiy
SIA “Marijas 2” member of the management board
Phone: +372 58 436 663
E-mail: noviraplaza@novira.lv
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