Invarsa buys 10m-euro land in Bucharest

Spanish holding Indarsa bought land worth almost 10 million euros in the centre of Bucharest to kick-start a project linked to the construction of luxury apartments, worth 25-30 million euros, according to real estate sources.

The company, whose main shareholder is Spanish businessman Alfonso Cadaval, has businesses in the constructions, trade, steel and wine industries.

Invarsa owns in Romania the recently launched Sarica Niculitel wine producer, with sales worth almost 2 million euros projected for next year.

The above-mentioned sources say the Spanish bought an area of almost 200,000 square metres close to the complex including the JW Marriott hotel of Bucharest, as well as in other central locations of the capital city.

The Spanish are planning to build up about 1,000 apartments per year, with construction works to be launched next spring.

“The opportunity of launching a real estate project involving the construction of apartments in the central area of Bucharest very much depends on finishing works. If we’re talking about super-luxury apartments, costing 2,000-2,200 euros per square metre, the outcome might not be very positive. Instead, there is solid demand for luxury apartments, generally costing 1,000-1,400 euros per square metre, in the central area,” says Bogdan Georgescu, general manager of Colliers International real estate company.

Until two-three years ago, Bucharest-based developers were primarily interested in the land that could be used to erect office buildings.
stelian.negrea@zf.ro ; ionut.bonoiu@zf.ro