Investment funds eying Titan Mar land

The six-hectare plot of land is for sale for real estate developments, according to sources on the market for Business Standard.

Mediafax newswire recently reported that Videanu declined a €60 million offer and that he plans to sell the land at €1,800 per square meter, which means a total of €108 mln. "We are not considering selling the land, for the moment. But it is natural that an industrial operation be relocated from the city center, especially since the price of land in the area is €2,000 per sqm. I have had several offers, but, for now Titan Mar is operating at its present location," Videanu said recently. His wife indicated there are several "good" offers from real estate developers.

The marble and ceramic tile factory is to be relocated close to Bucharest, to the village of Chiajna, according to a decision by shareholders.

Videanu owns 49.13 percent of Titan Mar, his wife a further 49.21 percent, and the remainder is belongs to three minor shareholders.

Both investment funds planning to buy the land are already involved in the real estate market. Last year, AIG Lincoln invested some €34 mln in an office building, while Romanian Investors purchased several apartments in the Planorama residential complex in Bucharest.

Their interest in the Titan Mar land is part of a trend on the real estate market in Bucharest, due to a shortage of land in Bucharest’s center. The value of the industrial platform rose significantly, especially since new legislation was enforced to compel factories to relocate outside the city.