With the “Hero” Business Center Nearing Completion, New EUR 5 Million Bond Offering to Be Launched

UAB Sostinės bokštai, a company affiliated with Lithuanian real estate developer Realco, will launch the sixth tranche of its bond issuance on May 19, raising up to EUR 5 million to finance the construction of the Hero business center in Vilnius’ central business district. To date, over EUR 40 million has already been raised through five previous tranches.

This sixth offering, running from May 19 to June 6, will be available to both private and institutional investors from Lithuania, Latvia, and Estonia. The bonds, which mature within 12 months, are secured by land and buildings. Each bond is priced at EUR 1,013.95 and will offer a 7.12% yield. The final redemption date is May 18, 2026. The securities will also be listed on Nasdaq Vilnius’ alternative market, First North.

The offering is being managed by Redgate Capital (Estonia), Evernord (investment management), and Artea Bank.

Over EUR 40 Million Already Raised from Investors

"Across five previous tranches — the first two being private placements — we’ve raised more than EUR 40 million on the market for the Hero project. Our total investment in Hero now exceeds EUR 68 million. In the first four months of this year alone, we signed construction contracts worth over EUR 8 million, and the total value of all signed contracts has reached nearly EUR 50 million," says Realco CEO Julius Dovidonis.

Over 1,000 investors have already participated in the project through public offerings, the majority of whom are retail investors. Lithuania accounts for over 800 investors, who collectively invested nearly EUR 37 million. More than 150 Estonian investors contributed almost EUR 2.5 million, and 76 Latvian investors added another EUR 1.4 million.

"There is strong interest from investors across all three Baltic countries. Hero stands out not only because of its central location, but also due to the steady and transparent implementation of the project. We are currently finalizing engineering systems and progressing with interior fit-out works, approaching the final development stage," Dovidonis added.

Opening Scheduled for This Autumn

The 31,600 sq. m Hero business center is set to open in September 2025. Major tenants already secured include COBALT, one of the leading integrated law firms in the Baltics; PwC, a global leader in audit, tax, and business consulting; and Sirin Development, one of the largest logistics real estate developers in the region.

The building will also host two restaurants, a café, the Sapiegos Dermatology Clinic, the Eureka Early Education School, beauty salon Leana, a dental and implantology clinic, and other service providers.

The total investment into Hero will reach EUR 112 million. With A++ energy efficiency, the building aims to become the first in Lithuania to pursue two prestigious international certifications — WELL Gold and BREEAM Excellent — affirming its high standards in sustainability and occupant well-being.

About Realco

Realco is one of the largest real estate developers in Lithuania, operating for over 19 years. The company develops residential, commercial, and public-use projects known for their high quality, innovative solutions, and attention to customer needs — both in Lithuania and internationally.