AFI Europe acquired the myhive Victoriei building on Calea Victoriei from IMMOFINANZ. The transaction, brokered by Colliers and Cushman & Wakefield Echinox, was valued at around €27m and is part of IMMOFINANZ's strategy to optimise its portfolio.
Completed in 1998, myhive Victoriei was the first modern office building in Bucharest and the tallest building in the city centre, with an area of 38,703m2. Renovations in 2012 brought the property up to modern standards and now holds a recently granted building permit for a complete renovation, which has been transferred to the buyer.
“The successful sale of the office development in Bucharest shows that we consistently implement our focused portfolio strategy even in a challenging market environment. We will reinvest the proceeds from the sale in value-creating purchases of higher-yielding properties in our core markets,” said Radka Doehring, member of the Executive Board of IMMOFINANZ.
“The acquisition of the myhive Victoriei building is in line with our development strategy in Romania. As a long-term partner for the business community, known for developing high-end projects that bring added value to the community and the local economy, our goal is to transform this iconic property into a modern, A-Class mixed-use project that meets the highest standards of quality. A sustainable building, complying with ESG requirements, creating a work and leisure destination in the heart of Bucharest,” mentioned Doron Klein, Deputy CEO AFI Europe & CEO AFI Europe Romania and Czech Republic.
“The sale of myhive Victoriei has been a well-executed and well-paced transaction between our Client, IMMOFINANZ, and AFI Europe, who have displayed high conviction in this project. The opportunity attracted meaningful interest and contributes to an increasingly active Romanian investment market as shown by the year-to-date results, and with more activity on the way," stated Robert Miklo, Director of Investment Services at Colliers.
The property, previously acquired by IMMOFINANZ from Banca Comerciala Romana in March 2021, is located near Bucharest's Kilometer 0, close to the Old Centre. Following the new building permit, the refurbished property will offer flexible office spaces, attractive common areas, and various additional facilities and services, such as conference rooms, lounge areas, and social events for tenants. The concept focuses on creating a friendly and collaborative environment that promotes employee productivity and well-being.
“Beyond the transactional aspects, this investment represents a unique opportunity to revive a building and its surroundings, transforming it from an old property to a new one with improved architectural and commercial appeal. Our team was pleased to work with IMMOFINANZ and AFI Europe, both contributing to the vision of what the new property will become and how it will benefit the community," underlined Anca Merdescu, Director of Investment & Debt Advisory at Colliers.
“The transaction and the subsequent development of this landmark property reconfirm the solid fundamentals of Bucharest office market and will create a new retail and F&B hotspot on Calea Victoriei, between Lipscani Street, CEC Palace, Victoria Store and the National History Museum,” added Cristi Moga, Head of Capital Markets, Cushman & Wakefield Echinox.
Image provided by Colliers.
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