INVESTMENT

OPORTUNITY 2014 –

historical center of

BUCHAREST

Anteea Estate www.anteea-estate.ro

Contents

Building Characteristics

Occupancy rate

Lipscani 43 in images

1

2

4

3 3

Retail/ office market 2014 5

Building specifications/ facilities

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

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).

Photo Lipscani 43

Lipscani 43 building – commercial/office space

Photo Lipscani 43

Gang entrances – Blanari & Lipscani street

Photo Lipscani 43

Gang view

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

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.

Retail Space – Romanian market

2014

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.

Office space – Romanian market

2014

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