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MJL Enterprises activates Group Guarantee for “historical projects”

MJL Enterprises (the owner of Devon platform) is pleased to announce that a full and final settlement has been reached with the Crowdestate platform regarding two historical projects that were initially financed on the platform.

These projects, launched back in 2021, faced challenges, but through constructive dialogue and mutual understanding, both parties have successfully concluded an agreement that fully closes this chapter.

Under the signed settlement, MJL Enterprises will cover:

• 100% of the investors' principal amount
• 100% of all accrued interest for investors since 2021, up to the final repayment
• An additional 3% penalty fee
• Crowdestate’s previously issued invoices and incurred legal fees.

“We have worked for a long time to find a fair and constructive solution with Crowdestate and to ensure that all investors receive what they are entitled to. The total repayment amount will reach approximately €1.45 million, exceeding the original contractual limit of €1.15 million. Even though the registered security amount at Crowdestate’s request was €1.15 million, and we would have been legally entitled to insist on repayment limited to that amount, out of high respect for the investors and their contributions, we made the decision to proceed with a settlement exceeding this registered limit. In doing so, we ensured that investors receive not only full repayment of the principal amount, but also all accrued interest and even the 3% penalty fees,” said Jānis Lagzdiņš, CEO of MJL Enterprises.

“Working with partners and fulfilling our obligations in a timely and proper manner has always been one of our core operating principles — one that we have consistently upheld for more than 20 years. With this settlement, we continue our track record of a zero default rate,” adds Lagzdiņš.

The first repayment has already been made, with all remaining payments scheduled to be completed by February 2026. The funds for these repayments are sourced from MJL’s Jelgava project, a development carried out in cooperation with the European Commission and ALTUM (Latvia’s national development institution). The first five-story building in Jelgava is already nearing completion, and rental income from the project will ensure a stable cash flow to support the repayment schedule.

A strong signal to the market

This settlement is not only a positive outcome for Crowdestate investors — it’s also a strong signal for the wider P2P and real estate community. By assuming full responsibility for the old obligations, MJL Enterprises demonstrates that the MJL Group Guarantee is not just a promise on paper, but a real financial commitment backed by capital and integrity.

As Lars Wrobbel mentioned in his blog Passives einkommen mit P2P: “Such cases are rare in the P2P investment world, where problematic projects often end in partial recovery or unresolved disputes. MJL’s proactive approach sets a benchmark for transparency and investor care.”

An agreement: both an end and a beginning

For MJL Enterprises, this agreement marks both an end and a new beginning. Having operated in the construction and real estate development market since 1993, the company deeply values its relationships with partners and customers.

In recent years, MJL has collaborated with several major European crowdfunding platforms, including EstateGuru, Crowdestate, and Profitus. However, as CEO Jānis Lagzdiņš explains, the company has drawn important conclusions from these experiences:

“Working with different platforms, we realised that cooperation through intermediaries also comes with increased risks. That’s why we decided to create Devon, our own P2P platform, where only our projects are funded. It’s an environment we can fully control — one that allows us to maintain direct contact with investors and fulfil our obligations more easily. Therefore, closing the Crowdestate projects is both a new and secure step forward for us and our investors,” summarises Lagzdiņš.

If you have any queries regarding MJL Enterprises and Crowdestate settlement, please contact us at [email protected]