IMMOEAST AG has finalised another large-scale investment in Romania, with the acquisition of the Polus Center Constanta in Constanta, Romania. The project is a shopping center with total usable space of 90,000 m². Construction will begin in summer 2007 with completion planned for fall 2008. The acquisition is taking place in the form of a forward purchase upon the completion and letting of the property. The overall investment volume is €185 million.
The Polus Center Constanta is being developed by TriGránit, the leading real estate developer in CEE and SEE. IMMOEAST holds a 25% stake in TriGránit since summer 2006.
The location of the new IMMOEAST shopping center is extraordinarily attractive. With considerably more than 300,000 inhabitants, Constanta is the second largest city in Romania. Its position as the most important seaport of the country and most important Black Sea port in the EU ensures it high growth rates and excellent economic prospects. Moreover, the Polus Center Constanta is so far the first center of this kind in the city. A half million people live in its catchment area.
The interest of potential buyers is commensurately strong. A significant amount of the spaces were already let prior to the start of construction. 40% of the business space has already been allocated. In addition to a large food market and international cinema operator, a large number of leading fashion and retail chains will be some of the prominent tenants in the future.
The Polus Center is already IMMOEAST's second large investment in Constanta. The Harbourside office and shopping center is currently under construction. There 30,000 m² of usable space will emerge, with completion intended for spring 2008. At this time IMMOEAST has 40 properties in Romania totalling 2.13 million m². Among the biggest single investments are the Iride Business Park in Bucharest (86,000 m² plus 63,000 in various stages of expansion) and the Polus Center Cluj (100,000 m²) in Cluj (Klausenburg). "Romania is one of our most important investment locations," Chairman Karl Petrikovics points out. "We are the leading real estate investor of the country and since the prospects for the market are excellent, we will gradually strengthen our commitment even further."
In the course of the 2006/07 business year, IMMOEAST will realise an extensive programme of investment and diversification. The target investment volume of €5 billion was already reached in the course of the third quarter (ending January 31, 2007), and in the meantime this ambitious growth target has even been exceeded."
Source: IMMOEAST
