Investement opportunities/ office/ retail market data Romania 2014

1. INVESTMENT
OPORTUNITY 2014 –
historical center of
BUCHAREST
Anteea Estate www.anteea-estate.ro

2. Contents
Building Characteristics
Occupancy rate
Lipscani 43 in images
1
2
4
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Retail/ office market 20145
Building specifications/ facilities

3. Building Characteristics
• Location: Lipscani 43, in the historical center of Bucharest; 3rd
district.
• Total GLA: 326.62 sq.m. / Leasable area: 297.43 sq.m.
• Structure of building: P+2, attic and basement.
• Utilities: water, gas, ventilation, waste.
• All utilities, cleaning, security services are covered by tenants.
SELLING PRICE: 3,500,000 Euro

4. Occupancy Rate
• 90 % occupation rate from the beginning.
• Income from current tenants totals 340,000 Euro/ year.
• All lease increase each year due to market growth.
• The majority of lease contracts are long term contracts.
• There is an additional space of 150 sq.m .that can be
transformed in a roof terrace ( there are no roof terraces in
the historical center).

5. Photo Lipscani 43
Lipscani 43 building – commercial/office space

6. Photo Lipscani 43
Gang entrances – Blanari & Lipscani street

7. Photo Lipscani 43
Gang view

8. General View of Romanian real-
estate market - 2014
• The Romanian real-estate market transactions were around 402 million
Euro in the 1st half of 2014 and the entire transitioned surface was over
692,000 square meters.
• Compared with first half of 2013 the market reported an increase in
investments of 222% (3. 22 times);
• In comparison with the entire year , the increase in the first semester
was of 17%.*
• Due to increased investments the prime yields for the office market
suffered a compression from 8,25% to 8%.
• The rest of prime yields remained unchanged. *
• The prime rent was relatively stable for the commercial centers – 60
Euro/sq.m. / month; 18 Euro/sq.m./month for office space *
* According to a CBRE market report

9. Retail space – Romanian market
2014 -
• Retail sales grew by 7.8% in the first five months of 2014.
• Occupier demand in Q2 was for the most part stable. Interest was focused
primarily on large cities.
• On the supply side, this year’s new shopping centre supply will represent a
12-year low, with only 4,170 sq.m of GLA delivered in the first half of the
year and 30,000 sq.m under construction and set to be completed in H2.
• There are, however, four schemes under construction and due to be added
to the market in 2015 and 2016, consisting of approximately 210,000
sq.m of GLA – 3 in Bucharest and one in Brasov.
• In Bucharest and major cities the demand is split between major shopping
centers ( Promenada, Baneasa, AFI Palace) and major high street
locations of which the HISTORICAL CENTER is prime with businesses
waiting up to one year for a possible location.

10. Retail Space – Romanian market
2014

11. Office space – Romanian market
2014 -
• Q2 office take-up reached 89,500 sq.m in Bucharest, marking a 47% growth
on previous quarter.
• New leases accounted for 40% of take-up, followed by renewals (29%),
expansions and pre-leases each with 16%.
• Relocations represented 43% of take-up, while 30% was new demand.
• Over the quarter 46,700 sq.m of space was delivered in Bucharest taking
overall stock levels to 2.1 million sq.m of which approximately 75% is Grade A.
• Pipeline activity recorded an increase to 172,000 sq.m, out of which 76,600
sq.m is due for completion over the remainder of the year.
• Vacancy rate is expected to remain around 13% as during the last 4 quarters.

12. Office space – Romanian market
2014

13. www.anteea-estate.ro
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