CEE property developer Immoeast expects to complete a review of its development pipeline in the next six weeks aimed at reducing the number of projects from 140 in October last year to about 50-55. 'We are close to achieving the target, as around 60 projects have already been terminated,' said Edgar Rosenmayr, Immoeast board member, at the Mipim fair in Cannes.
CEE property developer Immoeast expects to complete a review of its development pipeline in the next six weeks aimed at reducing the number of projects from 140 in October last year to about 50-55. 'We are close to achieving the target, as around 60 projects have already been terminated,' said Edgar Rosenmayr, Immoeast board member, at the Mipim fair in Cannes.
The 55 projects going ahead have financing in place from a number of Austrian and international banks, he added. The developments that have been terminated could be strung together and be sold as a portfolio to strategic investors, or the group could seek new funding partners for the development. In all, the company hopes to raise annual proceeds of EUR 500 mln for the next three years from the disposals of the properties.
Commenting on the progress of Immoeast's EUR 400 mln disposal programme announced in October, Rosenmayr said the company is currently in exclusive negotiations on the sale of some assets in Poland, the Czech Republic and Croatia, for a combined value of EUR 160 mln. The transactions are expected to be completed within the next four to six weeks. 'The disposal plan was not as successful as planned, because we are not selling at any price. But we hope to have carried out about 80% of the sales by the end of our financial year, April 30, 2009,' he concluded.
