The market’s engine were office and retail buildings, accounting for 37 percent each of the total number of transactions in real estate in H1. Industrial development ranks second, according to the JLL study.
Austrian investment funds Immoeast, Europolis and CA Immo were the main source for investment capital in the field. “This domination of Austrian funds is likely to continue, although we expect British, Irish, German, Spanish and even U.S. funds to increase operations,” reads the JLL study.
The value of investments in office buildings registered in the first six months of 2007 totaled €172 mln. This figure includes only projects already in construction.
Investments in commercial spaces also totaled €172 mln, with five major transactions registered in H1. The interest in such investments is increasing both in Bucharest and other cities. According to JLL data, investors are interested in hypermarkets, do-it-yourself stores, retail parks, outlets, and commercial centers. The industrial area market is still low among real estate investments, making up a total of €74 mln in H1 from two transactions, and JLL consultants expect the number of deals in this segment to remain low.
