Austrian listed property group Immofinanz is sounding out investors' interest in its southeastern European residential development arm Adama.
Immofinanz, which took full control of Adama in 2011, is believed to be in negotiations with a number of financial investors to sell the residential business for a price of around €100 mln, according to news reports in the Romanian press.
The move is in line with the company's strategy to focus on its core business - the office and retail sectors. It follows the sale of Immofinanz's logistics business to US private equity group Blackstone in late 2015.
'Adama is specialized on the residential segment and therefore doesn’t belong to our core business in the medium term. We are analysing alternatives,' the group's head of communications Bettina Schragl told PropertyEU.
The company bought the remaining 69.22% stake it did not already own in Adama in 2011 for just over €42 mln. Immofinanz had held a stake in the company since 2007.
Headquartered in Bucharest, Adama owns 47 hectares of land and around 100 complete apartments. The firm is active in Ukraine, Turkey, Croatia and Moldavia.
