Romanian company Bucharest Arena, which owns the Stirbey Domain in Buftea, northern Bucharest, went into insolvency, according to local Profit.ro.
The company has total debts of some RON 100 million (EUR 21.5 million).
Bucharest Arena, which is owned by several Romanian investors, including former government officials, bought the domain in 2007 for EUR 9 million. The company wanted to turn the Stirbey palace into an exclusive hotel and restaurant. However, the project didn’t go through and the domain has been used mainly for private events, such as weddings and parties.
The owners wanted to sell the domain, which includes a 24-hectare land plot, for EUR 20 million, but failed.
In 2016, Bucharest Arena had a turnover of some EUR 1.5 million and losses of EUR 640,000, according to official financial results.