GTC boosts stake in City Gate offices

Israeli-held Globe Trade Center (GTC), which developed and
sold office buildings Europe House and America House in Bucharest
now owns 59% in City Gate office towers, located in Piata Presei
Libere, following an acquisition worth several million euros. “The
financial crisis brought GTC opportunities to consolidate its
holdings and buy out minority shareholders. Recently the company
purchased shares in the City Gate project in Bucharest and in
Galleria Burgas in Bulgaria, bringing GTC’s share to 59% and a 100%
respectively. Approximately 12 million euros were invested in those
two acquisitions,” reveals a company report. The company’s partners
in this project, which entailed an over 100 million-euro investment
are Greek companies Pantechniki and Bluehouse, but the report does
not reveal the exact shareholder structure before or after the
transaction. Construction of the City Gate buildings has been
completed, with the project covering a 44,000 square-metre lettable
area being one of the largest office building projects to be
completed this year. “In the third quarter of this year both City
Gate tower blocks received an occupancy permit. (…) The main
tenants of City Gate include Romtelecom, Millennium Bank,
Microsoft, Autoitalia, Hoffman LaRoche, Knauf and Global Eye. At
present around 75% of office and retail spaces have been rented
out,” GTC representatives said.