Globalworth posts EUR 70 mln profit from Romania acquisitions

Real estate investment fund Globalworth, which was founded by Greek businessman Ioannis Papalekas and listed on the London Stock Exchange last year, posted a profit before tax of EUR 70 million for the first quarter of the fiscal year (January 1 to March 31, 2014). The profits came mainly from buying number of properties, previously owned by Papalekas himself, at a discount to their official evaluations. The properties that the fund bought were Tower Center, BOB and BOC office buildings and Upground Estates residential project. The fund’s revenues from rents and property management fees were EUR 3.5 million in the reporting period. The total market value of the fund’s assets was EUR 490 million at the end of March, of which EUR 374 million are finalized projects. The debt related to these assets was of EUR 240 million and the fund’s net assets were of EUR 229 million. The fund's full report is here. editor@romania-insider.com