Echo Investment SA has announced that it has sold three projects in Lódz and Kielce to Catalyst Capital and that it is going to develop a Class A office park on a 70,000-m² site in the center of Katowice.
Echo Investment has sold to Catalyst Capital the following three projects: the Business and Entertainment Center on Pilsudskiego Avenue and the Orion office building on Sienkiewicza Street in Lódz, and the shopping center Swietokrzyski Arcade on Massalskiego Street in Kielce.
The value of this transaction equaled almost PLN 249 million (approx. €60 mln). Means acquired from the transaction shall be assigned to carry out the investment plans of the Echo Investment Capital Group, particularly next phases of construction of shopping centers in Kielce and also to complete the office buildings in Cracow, Lódz and Katowice.
Additionally, on 5 July 2007 a final agreement was signed for the purchase of the property situated at the cross-roads of Górnoslaska Avenue and Francuska Street in the center of Katowice. The local land development plans provide office and administrative functions for the newly purchased plot. On the plot Echo Investment is going to construct a business park of about 70,000 m² with underground car parks. The new complex shall provide employment for about 7,000 people. Designing works shall commence in July of this year.
The beginning of the investment is planned for the second quarter of 2008 and finishing of the first phase for the fourth quarter of 2009.
The investment in Katowice is a result of the adopted strategy of the company, which assumes construction and improvement of the quality of the portfolio of the real estate meant for lease.
The investment plans of Echo Investment for years 2007-2011 comprise, among others, a 170% increase of the office portfolio.
Source: Echo Investment