Romania: from a “real estate El Dorado” to the toughest market for Immoeast
Autor:
Cristi Moga
24.03.2010
Austria's Immoeast investment fund, owning a real estate
portfolio of almost one billion euros on the Romanian market,
particularly acquired in the 2005-2008 period, derived revenues
worth 55.2m euros in May 2009-January 2010 from renting its
properties of Romania, the investor views as the most difficult
key-market it operates on. "Romania continues to be the most
difficult key-market for Immoeast. The office space surplus of
Bucharest will rise further amid the finalisation of new projects
in 2010: as a result, rents will still be under pressure and the
vacancy rate, already high, will see further increases," reads a
financial report by the fund, the biggest owner of offices in
Bucharest, with a portfolio of almost 200,000 square metres.
Immoeast owns a portfolio valued at 976m euros domestically,
including a series of properties, particularly commercial ones, in
various stages of completion, which are likely to generate revenues
in the following years.