Dragos and Adrian Paval, owners of DIY retailer Dedeman announced plans to purchase the AFI 1, 2, 3, 4&5 office buildings, Profit.ro announced. The market value of the five buildings is estimated at EUR 154 million.
The two entrepreneurs also announced they were setting up two investment funds that will invest in real estate projects and in Romanian start-ups, respectively.
“We decided to invest in the real estate sector not because it is fashionable […] We think it as a support for the period to come, someday, when demand in our field of activity could enter a descending trend,” Dragos Paval told Profit.ro.
The Paval brothers are the first Romanian entrepreneurs to exceed EUR 1 billion in turnover. The retailer has grown to become the main player on the DIY segment, rising ahead of international competitors.
The AFI Park project has a total leasable area of 70,000 square meters in the five buildings – AFI Park 1,2,3,4&5 and has close to 100 percent occupancy rate.
Dedeman entered the DIY market in 1992 and currently has a network of over 40 stores with a total surface of over 500,000 square meters, over one million meters of land and, in 2017, will have 10,000 employees.