Voestalpine buys 96.4 ha plot near Constanta

Voestalpine initially sought out a 700-1000 hectares terrain, but changed the entire project to fit the 600 available hectares in the area. Corporate Communications representative Peter Schiefer said Romanian plots of land are the most expensive in the region, compared to those in Turkey, Bulgaria and Ukraine. The Austrian group announced its intention to pay owners 5 percent of the terrains value as down payment, so the owners will not increase the price.

The owners said they talked with Voestalpine representatives, who offered some €22-29 per square meter. One of the owners said Voestalpine offered €29 per sqm, but he only wants to sell for at least €120 per sqm. Another owner expects at least €150-200 per sqm.

Voestalpine is already operating in Romania through Elmsteel, its British branch, which owns a factory in Satu Mare (Northern Romania). The unit produces 50 million steel tubes for the auto industry.

Prime Minister Calin Popescu Tariceanu visited the Voestalpine headquarters last May, and told company officials that the Romanian authorities would ensure the best conditions for this investment.