The European Bank for Reconstruction and Development said that it is considering providing a EUR 51 mln loan to CEE property developer Globe Trade Centre for the development of the Galeria Burgas shopping centre in Bulgaria.

The European Bank for Reconstruction and Development said that it is considering providing a EUR 51 mln loan to CEE property developer Globe Trade Centre for the development of the Galeria Burgas shopping centre in Bulgaria.

The financing will consist of a EUR 44 mln senior loan, of which EUR 22 mln to be syndicated to a lender; as well as an equity or shareholder loan investment of up to EUR 7 mln.

Located in the city of Burgas, the shopping mall will provide 35,700 m2 of lettable space across 130 shops and over 1400 parking places.

EBRD said that it will 'deliver an important response to the current crisis by providing liquidity to the commercial real estate market in regional Bulgaria, which has come to a complete freeze during the financial crisis'. 'The project will contribute to narrow the gap in retail supply in Bulgaria, which has the lowest proportion of retail offering of all EU countries,' the financial institution said.

Listed on the Warsaw stock exchange, GTC has been active in the Central Eastern European real estate development market since 1994, with operations in Poland, Czech Republic, Hungary, Romania, Serbia, Croatia, Ukraine, Slovakia and Bulgaria. The company currently manages over 3.6 million m2 of office, retail and residential space in the region.