Czech PPF pays EUR 10 mln for land and plans EUR 60 mln project in western Bucharest
Czech real estate developer PPF Real Estate, which manages real estate assets in excess of EUR 2 bln, has acquired an 8,000 square metres plot of land in western Bucharest (Orhideea area) from the RC Europe group, owned by Czech entrepreneurs Miroslav Hartman and Jan Prokop.
The transaction is valued at over EUR 10 mln, according to sources contacted by Profit.ro.
PPF Real Estate has planned a total investment of approximately EUR 60 mln in the development of an office building project, which will be completed in 2024, on the site.
The building (Arc Office Building) will have ten floors and will be located in an area that is becoming one of the most important business districts of Bucharest. Work on the project is scheduled to begin in the second half of this year.
After the death of millionaire Petr Kellner, who controlled the PPF group, Jiří Tošek, the CEO of PPF Real Estate, announced that the value of real estate investments in Romania could increase to EUR 300-400 mln in the medium term.
PPF entered the Romanian market in 2016 through the acquisition of the Metropolis Center office building for EUR 48 mln, followed by the takeover of the Crystal Tower for EUR 43 mln in 2018.
The buildings are 100 meters away from each other, in the center of Bucharest, and have a total leasable area of 35,000 square meters.
The construction of the Arc Office Building, designed on the land now being bought by PPF, will almost double the local portfolio of the group.
(Photo: Ronstik/ Dreamstime)