The tallest building in Romania, the most expensive mall ever sold in Bucharest, the first project on the local market of Sweden’s group Skanska and the headquarters of companies such as Oracle, Raiffeisen, PwC, Colgate-Palmolive or Exxon share the perimeter between Fabrica de Glucoză and Barbu Văcărescu streets, Pipera passage and Calea Floreasca.
In the beginning of the crises in this area was only the former headquarters of Oracle, developed by Raiffeisen Evolution, an auto showroom of Porsche group, some older buildings and lots of available plots for construction. Meanwhile the area became unrecognisable following the investors developments and transactions of EUR 600 million in the area, the stake could be reaching one billion Euros in the next two-three years.
A contribution of nearly EUR 100 million to those investments will bring the project Bucharest One, the largest office development currently in construction in Bucharest, future headquarters of Vodafone.
Ioannis Papalekas (Globalworth), the project’s developer, has more ambitious investment plans for this area. The investor is in advanced negotiations with Skanska for the takeover of the first building of Green Court, EUR 50 million transaction which could be signed in the following weeks.
Moreover, Papalekas also was in advanced negotiations with Nusco in order to develop together an office building on the land between Green Court and Nusco Tower, and some weeks ago Romenergo also started to demolish the former headquarters on Calea Floreasca in order to start a new office project. Dragoş Bîlteanu, one of the shareholders of Romenergo, was associated with Papalekas in the acquisition of Tower Center from Piaţa Victoriei, so a new partnership wouldn’t be a surprise.
For the moment the largest bet on the area is made by NEPI, a company which paid EUR 310 million for the projects Floreasca Business Park and The Lakeview, as well as for Promenada mall.
Apart from the lands near Promenada – where Bucharest One and the former Romenergo headquarters are in construction –there are plots for development mainly in Pipera, where Nusco is having the control over the former furniture factory.
The Italian group only developed one project in the area - Nusco Tower – but this year they sold for nearly EUR 20 million a four ha plot of land to the group Portland Trust, so they would have the funds for a new investment.
Considering Portland Trust, after developed and sold Floreasca Business Park, and then developed and fully let Floreasca Park, Robert Neale’s company is preparing for its third project in the area, named Oregon Park, more than EUR 100 million which could start by the end of this year.
Skanska is currently developing the second building within Green Court project, where the French group Carrefour could relocate, and they intend to start next year the third and last building of the project.
There are not only “success stories” in the area. After hosting for almost eight years the headquarters of Oracle, the building Floreasca Tower, currently owned by Uniqa group, is nearly empty and the competition with the new projects for tenants could be kept only by cutting the prices. Sky Tower also, has not found yet tenants for the floors in the upper levels, where the rents are higher but the view unveils a brisk Bucharest, in constant change.
The Pipera passage in the area also brought its contribution to the fluidization of the traffic. The presence of the underground is a major plus, but if in the area there will be 40,000 employees, an investment in a heliport could prove extremely profitable. (source: zf.ro)
