Atrium, owner of Militari Shopping Center turns to profit in Romania with EUR 6.5 mln rents in 2011

With 55 tenants and Auchan as main food anchor, the Militari Shopping Center in Bucharest, Romania, brought Atrium Real Estate a net income of EUR 6.5 million from rent last year, EUR 234,000 less than in 2010.

However, the group's total net profit from Romania stood at EUR 7 million after taxation, due to the re-evaluation of its property, after a loss of EUR 6.4 million at the end of 2010. The 2010 results were impacted by the devaluation by EUR 10 million of its property in Romania. Real estate fund Atrium Real Estate's property in Romania valued at EUR 71.3 million last year, up from EUR 68.9 million in 2010.

“In Romania, the decline in rental income results from certain units being previously over-rented with the leases having been agreed at the top of the market boom in 2007 and 2008,” according to Atrium's latest financial report. Its gross rental income in Romania, including rental income from the lease of investment properties, rent from advertising areas, communication equipment and other sources, stood at EUR 7 million last year, down EUR 779,000 on the year before. Romania contributed just 4.1 percent of the fund's total gross rental income. The fund has properties in Poland, the Czech Republic, Slovakia, Russia, Hungary and Romania. Militari Shopping Center, opened in 2003, covers 51,400 sqm and is located in the Western part of capital city Bucharest. editor@romania-insider.com