Coffee with Craig Show – daily CRE news covering the CEE region Monday, February 21 with Winston Norman Editor and Chief of EuropaProperty.com. Celebrating over 300 shows!!! Become a partner and reach over – 8,000 viewers weekly – 14,000 viewers on the Executive interviews.
ROMANIAN PROPERTY DEALS HIT RECORD IN Q4 2021 SAYS COLLIERS
The fourth quarter was one of the best in recent history, with property deals in Romania at €342 million, compared to €40 million in the same period of last year, according to Colliers. The overall investment transactions volumes edged close to €900 million, which is roughly similar to the result of 2020.
In the last three months of 2021, the retail sector was dominant in terms of transactions, with a share of 48 percent in the total volume of investments, followed by industrial and logistics spaces (29 percent) and offices (17 percent).
Cora’s sale of its six properties in Romania, consisting of hypermarkets with shopping gallery and parking with a total area of 135,000 sqm, to the Austrian investor Supernova marked the largest retail transaction in CEE during 2021, according to Colliers representatives.
According to Colliers, investors’ interest in retail products has been growing steadily over the last half-year, focusing on various product categories such as retail parks or shopping arcades, shopping centres in secondary tertiary cities in need of repositioning or boxes leased to supermarkets or DIY.
“The volume, while good, fails to show the true extent of demand as the investors’ interest responds to a limited supply of products. This applies to all major real estate sectors: office, retail and industrial,” said Anca Merdescu, Associate Director for Investments Services at Colliers.
PRIMARK TO OPEN FIRST STORE IN BUCHAREST BY YEAR-END
International retailer Primark has announced the opening of its first store in Romania as part of an expansion bid in Central and Eastern Europe. The new store will start operations towards the end of this year and will be located in Bucharest-based ParkLake Shopping Centre, owned by Sonae Sierra.
Romania is the fourth CEE market where Primark will be present, and the retailer plans to open new stores in Poland and Slovakia by 2023.
“We are delighted to be continuing with our expansion plans and moving into Romania for the first time with a fantastic location secured in a popular shopping centre in the east of Bucharest,” said Primark’s CEO Paul Marchant.
CORAL OFFICE PARK IN PRAGUE SOLD TO MINT INVESTMENTS
Ares Management Corporation, a leading global alternative investment manager, and local partner Portland Trust have sold Coral Office Park in Prague to Mint Investments.
Coral Office Park, is a rebranded and modernised office park located in Prague 5. The Office Park was also the first in the Czech Republic to obtain the WELL Health-Safety Rating.
Savills advised the vendors in this acquisition.
Stuart Jordan, Managing Director of Savills CZ&SK, says: “The transaction confirms continued strong interest in the office sector in Prague from investors, whereby the occupational outlook remains positive. The amenity offers of the asset alongside its WELL Certification ensured that post lockdown periods, occupancy bounced to pre-pandemic levels exceptionally quickly.”
Robert Neale, Managing Director of Portland Trust comments: “The disposal marks a successful conclusion to our business plan. Since the acquisition, we have undertaken a systematic upgrade and modernisation of the entire business park resulting in almost full occupancy, whilst adding a raft of “prop-tech” amenities and well-being initiatives essential to attract and retain tenants.”
Sebastien Dejanovski, Mint Investments adds: “We see a continued opportunity in this acquisition to yet again deliver exceptional returns to our private investors.”
MEDIA EXPERT TAKES ON A FURTHER 80,000 SQM IN THE CENTRAL EUROPEAN LOGISTICS HUB
Panattoni has already delivered 150,000 sqm to Media Expert in two buildings within the Central European Logistics Hub in Łódź and is now completing the third project for the chain within the complex. Altogether the electronics store chain leases over 300,000 sqm from Panattoni within Central Poland.
Eventually, the entire Central European Logistics Hub will have an area of over 720,000 sqm. Upon completion of the three buildings for Media Expert, the area of the Hub has reached 550,000 sqm. The Hub is driving the development of the New Industrial District in Łódź and has the possibility to create up to 7,000 jobs.
Marek Dobrzycki, Managing Director of Panattoni, commented: “This is a unique development not only for Poland but for all of Europe, which is why we are pleased that it is becoming an important element in the development of leading companies from different sectors.”