Update: Developer says EUR 100 mln project in Bucharest not affected by court ruling

UPDATE: Romanian developer One United Properties announced that a court ruling issued earlier this week doesn't affect its EUR 100 million mixed real estate project on the former Automatica platform in Bucharest and that work on this project continues based on a new building permit the company obtained in November 2018, which is valid.

(Initial news said: Romanian developer One United Properties must stop the construction of its EUR 100 million mixed real estate project on the former Automatica platform in Bucharest.)

A local court suspended the execution of the City Hall decision HCGMB 85/2011, the mediation agreement 3/2017 and the building permit 4/1564415/2018 for the One Floreasca City retail, residential and office project on March 4 (source). The Save Bucharest Association, led by Nicusor Dan, challenged the building permit for this project. The developer can appeal the ruling.

"The work on One Floreasca City complies with all legislation and was initiated after obtaining all authorizations required by law. One Mircea Eliade Properties, the company that coordinates the project One Floreasca City, part of One United Properties, acknowledged the Court ruling in the case 26421/3/2018 and will appeal it within the legal deadline. Since its beginning, the company has been concerned with complying, as it has done in all its projects, with all legislative and environmental requirements imposed by the authorities," the company's representatives stated in a point of view sent to local publications on March 6.

On March 7, the company issued another statement saying that it holds a valid building permit for the One Floreasca City project, issued by the Bucharest City Hall in November 2018, which means that work can continue.

“It should be noted from the very beginning that One Floreasca City benefited from 2 building permits - one on an old project, which included the Ford Hall (Auchan property) - which was subject to suspension (abusive, we consider it, and which will be challenged in a legal appeal as soon as possible), and a second authorization no. 631/1663880 issued by the Mayor of Bucharest on November 27, 2018, that does not refer to the Ford Hall.

At present, work on the site is carried out on the basis of this last authorization, in accordance with the notices of starting the execution of the works registered under no. 1691744 of 18 December 2018 at the Bucharest City Hall and under no. 86336 of 17 December 2018 at the State Building Inspectorate. Up to now, this building permit has not been challenged either by the issuing authority or by the court, thus further enjoying the presumption of legality.