The hotel will require an investment of about EUR 17.5 million part of which will have to be a bank loan, said Beck, adding that banks continue to be reluctant in financing real estate projects. At present, the company is negotiating with several international hotel chains to affiliate the future hotel, he added.

It will be built on a 40,000 sqm plot of land the company acquired in 2004 for an estimated EUR 2.5 million. On the same plot of land, the developer wants to build a logistics center an office project.

On the local market S+B Gruppe has also built the Pipera Business Tower office project and more recently the Magheru One office project located at 1-3 Magheru Boulevard, downtown Bucharest. The boulevard has been ranked in the 45th position in Cushman & Wakefield’s most recent report on the most expensive streets in the world in terms of rents. The company is presently in the process of renting the 4,000 sqm project.

Beck, who owns 50 percent of S+B Gruppe, is also the managing partner of Austrian amb Holding which has invested locally in agriculture, wine production and alternative energy. (source: business-review.eu)