The centre will be developed by late 2015 and will include office buildings, commercial spaces and housing units across a total area of more than 50,000 square metres.
The targeted area covers 14 hectares, where up to 20 storey-tall buildings may be built. Private investors hold 70% of the land on which the centre will be developed.
"Once the financial-banking centre is completed in 2015, it will attract significant funds, expand current services and contribute to their development. At the same time, new jobs will be created, medical services will be boosted and last but not least the development of Cluj as a brand will make people become at one with their city," says Pop, one of the investors who announced projects in the area.
The businessman plans to develop Europa Business Center.
Polus Real Estate and Beyfin Romania have also announced projects in the area. Tiriac Imobiliare together with Germany's LBBW Immobilien also plans to develop a project worth 80m euros.
Pop's project will have around 11,500 built square metres, while class A and B office space will account for as much as 50% of the overall construction.
Originally, the value of the project was put at around 12m euros, but it will go up by at least 20% due to the rising prices of the main construction materials, according to Imofinance representatives.
Investments will be 20-35% covered by the company's own resources, with the rest of funds to come from banking loans.
"We are waiting to get the approval for the project so that by the end of the current month we can start construction works, which we expect to last for around one year and a half. We're even considering organising a tender to get the best investment financing conditions," adds Pop.
The partner of Imo Grup in this deal is Matei Miko, owner of Mikotronic company. Businessman Iosif Pop headed Banca Transilvania since it was set up until 2002, and subsequently created Imo financial group, designed to operate as a mortgage company. At present, the group is developing various real estate projects in Cluj, Arad, Sibiu and Baia Mare.
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