The Bucharest Municipal Property Company (CMIB) is planning to buy 100 apartments on the free market by the end of the year in order to help the City Hall find effective solutions to a major housing crisis in Bucharest, the City Hall said. According to a press release, more than 2,500 applications for housing distribution are registered at the City Hall, which is the reason why the CMIB’s project was launched.
In the first stage, the municipal company is planning to acquire 100 apartments (10 studios, 40 two-room apartments, 40 three-room apartments and 10 four-room apartments). The total cost is estimated at around RON 40 million, (EUR 8.5 million), including VAT. The asking price per sqm built must not exceed RON 6.711,60 lei (around EUR 1,440 VAT included).
CMIB has already launched invitations to all real estate developers to send offers for one, two, three or four-bedroom apartments, in the comfort 1 category, located in any of Bucharest’s districts. Any investor must submit a bid covering at least 10 apartments located in the same building. For 10 days, real estate developers will be able to submit their bids, and at the end of this period, an evaluation committee will review and select those that will match the criteria they have announced.
The apartments that the Bucharest Municipal Property Company will buy at the end of the assessment process must comply with the provisions of Law no. 114/1996 and not be on the list of technically qualified buildings classified to seismic risk degrees I, II, III. The money for this project was allocated by the City Hall through a decision of the General Council of Bucharest (HCGMB 638 / 26.09.2018).
The acquisition of the 100 dwellings is only the first stage of a larger project, which the municipality will continue with the CEMIB in 2019, according to the press release.
Bucharest Municipal Real Estate Company is one of 22 joint stock companies that make up the Municipal Holding. It was established by HGMB 136 / 11.04.2017 and is under the authority of the General Council of the Municipality of Bucharest.