Members’ news: Colliers sells the office
portfolio of East Balkan Properties
The real estate consultancy company Colliers International Romania advised East Balkan Properties plc in the selling of its office portfolio consisting of four buildings with a total area of 9,047 sqm, situated in strategic locations in the capital. The aquisition was made by Adam Europe.
“The real estate investment market was characterized in the first half of this year by a very high diversity: properties with medium and very large premises, located in Bucharest and in regional cities, from different real estate sectors. This variety is very healthy for the market and marks the maturity of the portfolio of products available for sale”, Narcisa Stănimir, Senior Associate Investment Services at Colliers International Romania, said.
The portfolio includes four office buildings with a total area of 9,047 sqm, placed from the north of Bucharest to its center.
Airport Smart Offices is in the immediate vicinity of Henri Coanda Airport, Domenii Offices is located in the northwest area – near the Exhibition Area, Jules Michelet Office Building is near the center of Bucharest, in the historical part of the Romana Square, and Casa Mosilor Office Building is located between Universitate and Unirii Square, close to the cultural and academic institutions of the capital.
The positioning in these prominent areas, which also enjoy good connectivity to public transport, has favored a high occupancy rate, with a presence in these buildings of companies from various sectors of activity: marketing and advertising (e.g. McCann Erikson, Mercury Research), IT (e.g. Meti Logiciels et Services, Elkotech, Essensys Software), logistics (e.g. Militzer & Munch), construction (e.g. Martifer) and services.
East Balkan Properties plc is a private property company based on the Isle of Man and is invested in Romania, Bulgaria, Slovakia and Serbia. Adam Europe is coordinated by Isaac Cohen Hoshen.
EBP owns primarily logistics assets and industrial land. The office portfolio was purchased in 2006 and 2007 and managed since the acquisition by the asset and property management company Equest Investments SRL.
Adam Europe, a vertically integrated real estate investor and developer, under the coordination of Isaac Cohen Hoshen, acquired Phoenix Tower and Construdava Business Center in 2016, respectively 2017, announcing in this way the re-entering of the group on the Romanian market, which is under the extension of its portfolio of office buildings, but also the development of new residential projects, such as Reveria Palady 43 of Eastern Bucharest.
This year, the office segment will be the main attraction of the real estate investment market in Romania. Products are available, so, by end-2019, yield compression could happen quickly and the investment volume on the office sector could reach EUR 1 bn.
(23.08.2018)