One United Properties reports sales of long-term rental properties worth EUR 52.4 mln at 6.64% yield

One United Properties (BVB: ONE), the leading green investor and developer of residential, mixed-use, and office real estate in Romania, has sold long leasehold properties, part of its portfolio of commercial projects, worth EUR 52.4 mln in the last 18 months. The total GLA (gross lettable area) of these properties is 20,851 sqm (GLA) and the transactions have achieved an average yield of 6.64%.

Among the properties transacted are One Herăstrău Office, the Lidl retail space at One Verdi Park, the One North Gate 2 building, as well as the commercial spaces in One Cotroceni Park and One High District developments destined for the opening of new sports centres with swimming pool operated by WorldClass.

”The intense activity that our company's commercial division has seen over the past year and a half suggests a significant increase in investor interest in income-generating assets, signalling that the market for the sale of these properties is not only dynamic but also liquid. This trend is being fuelled by falling interest rates, making market yields increasingly attractive to investors. We sold all the leased assets in the portfolio that were small in size, below EUR 10 mln per property, and the demand we found in the market was very robust”, said Mihai Păduroiu, CEO Office Division One United Properties.

Properties marketed by One United Properties are recognized for their sustainability and strategic positioning, providing stable returns in a dynamic market environment. The company's strategy is to deliver quality, certified sustainable projects that not only meet current market demands, but also contribute to the long-term development of the city. One United Properties has also recently started the construction of One Technology District, a campus of offices and research labs that aims to be the most sustainable in Romania and one of the most sustainable in Europe, built for the German giant Infineon Technologies, a company listed on the Frankfurt Stock Exchange and a world leader in the semiconductor industry. One Technology District will house the largest research and development centre for semiconductor chips in south-eastern Europe and will serve Infineon's needs for 15 years from 2026. The total value of the contract amounts to EUR 57 mln (excluding VAT) and represents one of the largest pre-let agreements ever recorded in the local office market.

The company is focused on developing fully leased and pre-leased office projects. As of June 30, 2024, One United Properties' commercial portfolio included 163,000 sqm GLA, of which 119,000 sqm is operational in developments such as One Tower, One Cotroceni Park, One Verdi Park and Eliade Tower, and under construction in One Gallery (former Ford factory undergoing restoration), One Technology District and Mondrian Bucharest.