The transaction amounts to €120 million, the most significant on the office market to date.
GTC, controlled by the Israeli Kardan group, sold all the shares of the Complexul Multifunctional Victoria company, owner of America House, indicates a Kardan document. America House has a 27,000 square meter leasable area, with the price per sqm at approximately €4,500.
The Israeli company will obtain some €7 mln, at a 5.5 percent yield. As such, America House becomes the first investment of this kind in Romania, obtained at a yield below 6 percent, comparable to that registered in more developed Central and Eastern European countries. The office building’s tenants include BCR, Romania’s largest lender in terms of assets, the Cosmote mobile phone operator, the Deloitte audit company, the Tuca, Zbarcea & Asociatii law firm, and the Euroest real estate consultancy company. GTC also developed the Europe House building, similarly located at Victoriei Square, sold to the Austrian Europolis investment fund in 2003. The transaction was valuated at $30 mln (some €33 mln) at that time. Europe House is today worth €80 mln, according to market analysts.
The third largest office building in Victoriei Square, BRD Tower, is estimated to be worth €100 mln, bringing the value of the three most important office buldings in that square to an excess of €300 mln.
