iO Partners

BREC OMNICHANNEL CONFERENCE: Retail and Logistics Deliveries Exceed 330,000 sqm for Q1-Q3 25
BREC OMNICHANNEL CONFERENCE: Retail and Logistics Deliveries Exceed 330,000 sqm for Q1-Q3 25 901 600 BUCHAREST REAL ESTATE CLUB

Retail and logistics deliveries totalled 339,600 sqm in the first three quarters of 2025, according to data presented by iO Partners during the Omnichannel Conference held  in Bucharest.

In the retail market, total deliveries reached 148,000 sqm in the first nine months. The largest projects were Mall Moldova in Iași (62,000 sqm, extension), Agora Mall in Arad (36,000 sqm, reopening after renovation), and Iulius Mall Suceava (14,500 sqm, extension).

Romania continues to attract new international brands in fashion, sports, and fast food, despite a period of cautious consumer spending. Recent market entries include Wendy’s, Funky Buddha, Sports Direct, and Action.

The retail portfolio of CPI Romania, comprising 250,000 sqm across Bucharest, Constanța, Cluj-Napoca, Pitești, Baia Mare, Iași, and Botoșani, continues to perform strongly with an occupancy rate of 98%. This result reflects the owner’s strategic investments in modernizing the shopping centres and attracting leading international brands. In September, Primark opened a new 5,000 sqm store at VIVO! Cluj-Napoca, with a 3,700 sqm retail area spread over two floors.

In Bucharest, Calea Victoriei has become over the years the city’s luxury retail hotspot, home to brands such as Louis Vuitton, Hugo Boss, and Max Mara. A milestone for the area’s development will be the opening of H Știrbei Palace, owned by Hagag Development Europe, scheduled for the end of this year. The investor will launch Romania’s first department store, featuring collections from Dior, Saint Laurent, Valentino Garavani, Celine, Loewe, Dolce & Gabbana, Santoni, Roger Vivier, Amina Muaddi, Rene Caovilla, Jimmy Choo, Moncler, and other prestigious brands.

Prime retail rents are on an upward trend, driven by strong demand and low vacancy rates. In Bucharest, rents have reached €85/sqm/month, while in Cluj-Napoca, Timișoara, and Iași, they range between €55–65/sqm/month. The stock of modern retail spaces currently stands at 1,253,000 sqm in Bucharest, 240,000 sqm in Timișoara, 237,000 sqm in Iași, and 158,000 sqm in Cluj-Napoca.

In the logistics and industrial parks sector, total deliveries reached 191,600 sqm in the first nine months of the year. The Top 10 leasing transactions accounted for 284,800 sqm, with 41% of tenants coming from the retail and consumer goods industries.

VGP’s Romanian portfolio has surpassed 420,000 sqm of gross lettable area this year, with properties in Bucharest, Brașov, Sibiu, Timișoara, and Arad. One of the year’s highlights was the opening of VAT Group’s global production center in Arad—the company’s third facility worldwide, after Switzerland and Malaysia. VGP currently has 160,000 sqm under development, scheduled for completion in Q1 2026, when the Romanian portfolio will exceed 600,000 sqm.

Logicor is a leading owner, manager, and developer of European logistics real estate. Its portfolio spans over 19 million sqm of warehouse space in key transportation hubs and near major population centres, supporting over 2,200 customers. The company’s strategy focuses on expanding its presence in high-demand and strategic European markets. In Romania, this means a continued emphasis on Bucharest, where it holds the largest footprint, with over 250,000 sqm of a total portfolio exceeding 330,000 sqm of Class A warehouse space. The total value of its current portfolio in Romania exceeds EUR 220 million.

Real Estate Investment Market in H1 2025: €386 Million and two new investors enter Romania
Real Estate Investment Market in H1 2025: €386 Million and two new investors enter Romania 620 600 BUCHAREST REAL ESTATE CLUB

The total volume of commercial real estate transactions recorded in Romania in the first half of 2025 reached €386 million, marking a 7.4% decrease compared to the same period last year.

The office sector attracted the highest share of investment in H1, with a volume of approximately €169 million, accounting for 44% of the total. Close behind was retail, with €163 million (42%). The remainder of the transactions involved industrial assets and hotels. This marks the first time in two years that real liquidity has returned to the office segment, after a prolonged period during which it was almost completely off the investors’ radar. The rebound reflects both a narrowing of the gap between buyer and seller price expectations and a renewed confidence in the outlook for the office market.

Roughly two-thirds of the total investment volume – €253 million – came from international investors, while domestic capital accounted for the remaining €133 million. Among local players, Alfa Group and Pavăl Holding stood out, having acquired part of the Iride platform and the Ethos House building, respectively. However, the share of Romanian capital remains well below regional benchmarks, and the market continues to rely heavily on interest from international investors. With the notable exception of M Core, most active investors in Romania during this period have come from Central and Eastern Europe or the Middle East.

“In a market dominated by regional investors, a platform with a strong CEE focus, such as iO Partners, becomes a real differentiator. In the first half of the year, we advised on four of the six transactions over €25 million and facilitated the entry of two new investors – Granit Asset Management and Solida Capital. Based on the projects currently in progress, we expect at least two more new entries by the end of the year,” said Andrei Văcaru, Head of Capital Markets CEE at iO Partners.

The two largest transactions in H1 involved office and retail assets. Skanska sold the Equilibrium 1 office building in Bucharest – with a leasable area of 20,700 sqm – to Granit Asset Management, marking the investor’s first acquisition in Romania. In parallel, MAS REI sold a portfolio of seven retail parks located in seven cities across the country to M Core, totaling over 32,000 sqm. iO Partners represented the buyers in both transactions.

Prime shopping centre yields compressed slightly in Q2, from 8% to 7.75%. Yields for office assets remained stable at 7.75%, while industrial yields held steady at 8%.

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