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Romania's real estate market rises 7% to 1.06 bln euro in 2019 - consultancy

Romania's real estate market rises 7% to 1.06 bln euro in 2019 - consultancy AFI Tech Park

BUCHAREST (Romania), January 21 (SeeNews) - The volume of real estate investments in Romania in 2019 rose by an annual 7%, reaching 1.06 billion euro ($1.17 billion), real estate consulting CBRE Romania said on Tuesday.

This is the market's highest value in the last five years, CBRE Romania said in a press release.

"2019 was the year of regional cities for transactions with office buildings, as Cluj-Napoca attracted investments of almost 200 million euro, accounting for 20% of the total volume traded at the country level," CBRE Romania Head of Investment Properties Gijs Klomp said.

"However, Bucharest remained the leader, with 64% of the total transactions. Office buildings were the main traded products, accounting for almost 75% of the total transactions at national level," he added.

Regarding the buyers' profile, Israeli investors occupied accounted for 36% of last year's real estate transactions in terms of volume, followed by Romanian investors with a 26% share and South African funds with 17%.

"Romania is an increasingly interesting destination for new investors and most likely 2020 will bring, just like 2019, new names on the local market. There are several companies that want to expand their portfolio in Romania, which are particularly pursuing office buildings and industrial spaces acquisitions," Klomp added.

Top 10 real-estate transactions in 2019:

City Property  Transaction value (mln euro) Buyer Seller
Bucharest, Timisoara NEPI - office portfolio 308 AFI Europe NEPI Rockcastle
Cluj-Napoca The Office 129 Dedeman NEPI Rockcastle
Bucharest Retail parks portfolio 113 MAS Real Estate Prime Kapital
Bucharest America House 77 Morgan Stanley AEW
Bucharest Oregon Park III 60 Lion's Head Investment Portland Trust
Targu-Mures Promenada Mall 43 Indotek AEW
Bucharest A1 Bucharest Park 40 CTP Invest Vabeld
Cluj-Napoca Liberty Technology Park 35 White Star Fribourg Development
Cluj-Napoca Hexagon Portfolio 30 Ideal Project Services Hexagon
Bucharest Day Tower 31 Corporate Finance House Day Group

Commercial real estate investment and services company CBRE Group is headquartered in Los Angeles and employs over 90,000. In Romania, CBRE offers a wide range of integrated services, including transactions, coordination and project management, design and build services, valuation, property rental, strategic consulting, property sales as well as mortgage and development services.

($=0.902 euro)