GTC concludes significant property refinancing in Romania (RO)

GTC Romania, a subsidiary of Globe Trade Centre S.A. (GTC), has finalized a €80 million refinancing loan agreement with a consortium of banks including Alpha Bank Group, Bank of Cyprus and Eurobank EFG Group.

City Gate Bucharest

City Gate is one of the best performing office projects in Bucharest.

"This is the largest real estate refinancing transaction concluded in Romania this year," said Hagai Harel, International Development Manager at GTC. "It is also one of the first major commercial real estate loans in Romania since the beginning of the financial crisis."

City Gate is one of the best performing office projects in the Romanian capital. The building, a joint development by GTC (59%) and Blue House Capital (41%), has a total rental space of 46,000 m² and is located in the most prestigious business district of Bucharest. The complex includes retail space on the ground floor, two 18-story towers, and a three-level underground garage providing more than 1,000 parking spaces. Both towers of the complex are nearly 90% leased. Some of the most prominent tenants are: Microsoft, Millennium Bank, Romtelecom, Hoffmann - La Roche, Rompetrol, and Autoitalia.

According to Eli Alroy, Chairman of GTC's Supervisory Board, "The transaction shows the confidence of the lenders in the financial strength of GTC and in the quality of the asset. City Gate is a landmark office development in Bucharest. I believe that it is the best office property in Romania today."

City Gate won two CEE Real Estate Quality Awards in 2009. The project was honored both as the best office complex (CEE Real Estate Office Development of the Year) and as the top construction project overall (CEE Real Estate Building of the Year).

Source: GTC

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