The latest report by Activ Property Services shows that the area includes 5 new buildings under construction, including three office buildings, the forthcoming Courtyard by Marriott 4-star hotel with 259 rooms and conference rooms, and the 236-story Aviatiei Towers residential complex (first phase: 134 apartments).
In the last 10 years, most of the former industrial platforms here have been redeveloped in modern real estate projects, office buildings and Promenada Mall, radically changing the area's profile. The intersection now includes the tallest buildings in Romania, Sky Tower (36 floors + technical) and Globalworth Tower (26 floors), alongside other 6-19 storey buildings. The street front was occupied by modern buildings over a distance of about 1 km along Barbu Văcărescu Boulevard and Floreasca Avenue, giving the area a unified appearance of a "business district" rarely encountered in Romania.
The existing office stock is more than 370,000 m2, being the second largest concentration of offices in Bucharest, surpassed only by the neighboring area Dimitrie Pompeiu (430,000 m2). Over 95% of office space has been delivered over the past 10 years, with the growth of the area starting in 2009-2010 and accelerating between 2013-2016. The most intense activity was recorded in 2016 when office buildings with a surface area of more than 120,000 m2 were delivered.
The office stock will continue to grow and has the potential to exceed half a million m2 over the next 3 years. Three new buildings (Equilibrium 1, Oregon Park - Building 3, Zone 313), totaling 51,500 m2, are under construction and are to be delivered in 2019, and another 4 buildings, totaling 85,000 m2, are announced by the end of 2021.
The Promenada Mall, strategically located in the middle of the area, will be expanded with over 62,000 m2 of commercial and office space, and will become the second major shopping destination in northern Bucharest. After several delays, the project is estimated to open in 2021.
"The intense construction activity was confirmed by the interest of the companies to relocate / expand in the area, the volume of rental transactions exceeding 50,000 m2 per year over the last 5 years, with an absolute record of 95,000 m2 in 2014 and over 58,000 m2 last year", says Andrei Bîrsan, manager of the office department of Activ Property Services.
The area concentrates the headquarters of major companies such as Oracle, Raiffeisen Bank, Vodafone, Orange, Carrefour, PwC, Huawei, or Kellogg, and attracts more than 40,000 employees daily.
Existing inventory occupancy rate exceeds 98%, most of the buildings being fully occupied.
In addition to the announced projects, the area also has land suitable for real estate development, with a total area of over 6.5 hectares.
In the last two years, developers tended to start major residential projects in the vicinity of the office area, with new projects including Cloud 9 (820 apartments) and Vibe Pompeiu (500 apartments). (source: constructiv.ro)
