ImmoEast, the largest listed property company in Austria, has announced the acquisition of a EUR 210 mln shopping centre development in Romania from Hungary's TriGranit. The new mall in the Romanian city of Cluj will comprise a total lettable space of 100,000 m[sup]2[/sup] and is scheduled for completion in November 2007.
ImmoEast, the largest listed property company in Austria, has announced the acquisition of a EUR 210 mln shopping centre development in Romania from Hungary's TriGranit. The new mall in the Romanian city of Cluj will comprise a total lettable space of 100,000 m2 and is scheduled for completion in November 2007.
Cluj is a city in the northwest of Romania with 270,000 inhabitants and a total catchments area of 700,000 people. 'We are positive on this acquisition that has an expected net yield slightly above 8%, while the market yields on these type of projects vary between 7.5-8.0 %. We expect about 3% rental growth in the next year in Romania,' Immoeast said.
The Austrian company took a 25% stake in TriGranit last July and merchant bank Kempen & Co said that Immoeast has reached 80% so far of an expected EUR 5 bn in total acquisitions for 2006.
