Troubled Romanian air carrier plans real estate project
Romanian low-cost airline Blue Air plans to enter the real estate market through a large-sized project, Profit.ro announced.
For now, the investment is postponed due to the pandemic, according to Profit.ro. Blue Air has recently settled its financial problems prompted by the coronavirus crisis with a EUR 60 million state aid.
The project will encompass a training center, offices, a hotel, and a residential section. It will require an investment of over EUR 100 million, according to sources quoted by Profit.ro.
The project “is postponed [for better times], but not abandoned,” the sources say. It will be developed on a 9.4-hectare plot near the Baneasa Forest, in northern Bucharest.
The land, on which there is an acacia forest, is owned by a special purpose company, Blue Air Investiii. The plan is to develop buildings with mixed functions, and between 9 and 11 floors, after logging the forest. For now, the land is used as collateral for the EUR 60 mln loan contracted with state guarantees.
(Photo source: Facebook/Blue Air)