Prelucrarea Carnii Splai, the former slaughterhouse in Bucharest's sector 4 located on an area of land worth around 100 million euros, will be put up for sale by the State Assets Resolution Authority (AVAS) at a price starting at1.9 million RON (600,000 euros).
The land, which is currently rented by PC Splai, is located 3 kilometres away from the centre of the capital and could be an attractive target for real estate developers in search of central city locations.
The company does not have the right to lease the 45,000 square metre plot, but sources within the Bucharest City Hall say that the representatives of Prelucrarea Carnii (Meat Processing) Splai have filed an application regarding in this regard, which is to be discussed soon.
"Prelucrarea Carnii Splai does not have the right to lease this land, but has been using it since the sixties or seventies and pays rent. The company that will buy the former slaughterhouse will have to wait to get the lease of the land to be able to build in the area," City Hall sources told ZF. AVAS put up for sale shares accounting for 70.2% of the capital of the PC Splai, whose core business is the production and preservation of meat. The sale of the stake will take place during an outcry auction held on July 31. The remaining shares, accounting for 28.8% of the company are held by PPM shareholders (individuals who received the shares through the mass privatisation programme).
AVAS says that so far 5 books detailing the conditions of the contract have been bought for the auction at the end of this month. The starting price for the sale at auction is 1.9 million RON and was calculated by an evaluator from the National Association of Evaluators of Romania (ANEVAR).
PC Splai now owns several facilities that it leases; yet the same platform is also home to several smaller companies that have bought small storage facilities ranging between 50 and 200 square metres over the last few years.
Other assets to be auctioned off on July 31 will be the plots of land of the Timpuri Noi company, located by the Dambovita River, 2 kilometres away from the capital's centre, for an asking price of 100 million euros. The sale of the land on which Timpuri Noi is located could become one of the biggest real estate deals in Bucharest.
Prelucrarea Carnii Splai was put up for auction in March last year, when it was won by Getico Exim Bucuresti, held by two Iraki businessmen. Meanwhile, after winning the auction, but before managing to sign the contract, the main owner of the buyer company died and the deal fell through.
Ten bidders submitted papers for last year's auction, and the auction committee accepted four investors from Romania including SC Practic Bucuresti, controlled by the Dimofte family, Sc Getico Exim, Nedelcu Marius and Sfantu Ioan Alexandru, as well as one from Greece, Ferfelis Vasileios.
Practic Bucuresti, held by Zerlin Dimofte, father of one of the most important players on the real estate market in the Capital, has bought a number of plots of land and properties in the city over the last few years, with a view to developing real estate projects. Practic Bucuresti officials could not be reached to confirm whether they intended to participate again in the auction for PC Splai.
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