Palace in Western Romania city put up for sale for EUR 2.5 mln

The Children’s Palace (Palatul Copiilor) in Arad, one of the most important and impressive buildings in the city, is now for sale. The building, which was included in the portfolio of real estate agency RE/MAX Romania, has a starting price of EUR 2.5 million. The agency’s representatives estimate that the transaction would be completed in about two years. The palace is located in downtown Arad, has 37 rooms, and a usable area of 2,220 sqm. According to Beatrice Cioflica, RE/MAX Gold broker, the building could be turned into a hotel and/or restaurant, learning center, or office space. However, it could also be used for housing.

“We expect potential buyers to come from the area of private investors who want average rental yields of 7-8% a year. We also take into account private users active in education, health, finance-banking or hotel services,” said Beatrice Cioflica. According to the real estate agency, the building is in good condition but the buyer will still need to make modernization investments, depending on his plans for it. “For example, if the final destination is a hotel, we are talking about costs ranging from EUR 500 to EUR 600 per built sqm. If the destination is office space, the price per sqm will be between EUR 200 and EUR 250,” reads a statement from RE/MAX Romania. The beautiful building, which now hosts the Children’s Palace, was built between 1880 and 1890 by the Andrényi family of merchants. Palace in Eastern Romania put up for sale on classifieds website Irina Marica, irina.marica@romania-insider.com