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COBALT advised the client on a long-term lease transaction for a historic building in the Old Town of Vilnius

2020-10-14

COBALT has advised its client Arūnas Kuraitis in the implementation of another ambitious project in Vilnius and helped conclude a long-term lease agreement of a building located in the Old Town of Vilnius (Didžioji St. 36).

It is a building of historical value, first mentioned in the late 17th century. For a long time, the building belonged to Abramavičiai who rebuilt the building into an ornate Abramavičius Palace. The palace later became part of the religious community and still belongs to it.

COBALT's client has signed a 30-year Emphyteus (long-term lease) agreement with a religious community Lithuanian Jesuit Province. This is an extremely rare case in the real estate market. The contract also covers not only the long-term lease but also the maintenance, restoration and repair work. It is planned that the leased building will be revived and used for multifunctional activities. 

This is not the first project of the client to renovate historic Vilnius buildings. In 2014-2018, the company of A. Kuraitis developed the project of the 5-star hotel Pacai in the Old Town of Vilnius. At the beginning of this year, the renovation of the building at A. Jakšto St. 9 was also announced, installing a 144-room hotel of 7.5 thousand sq. meters.

COBALT has prepared the lease transaction documents, represented the client in negotiations with the religious community, obtained the necessary permits from the Vatican, and provided advice on all matters related to the transaction. The team has consisted of COBALT partners Artūras Kojala and Dr Paulius Markovas.