Moreover, Romania is the core market for the fund in the SEE region. CEE will receive 33 percent of the investments, while Russia and Ukraine will see 24 percent, says Karl Petrikovics, general manager of Immoeast.
The investment fund will soon launch a EUR 3 billion capital increase meant to cover additional investments throughout Europe. There are already precise plans for using the inflow of cash, which include investments in the range of EUR 6 billion, say Immoeast officials.
The investment fund currently owns 40 properties in Romania. Its latest acquisition involves the Euromall commercial center in Galati, according to media reports. None of the parties involved in the transaction gave details about the purchase. Immoeast's local property portfolio reached some EUR 1.4 billion at the end of the first quarter of this year. Of the total 1.2 million sqm owned by the fund in Romania, the biggest projects are S-Park, Iride Business Park and two Polus Center projects located in Cluj-Napoca and Constanta.
Retail has gained a bigger role in the fund's portfolio, according to its latest announcement, with 61 percent of the committed sum. Offices come next with 30 percent of the plans, while logistics and retail have 5 and 4 percent respectively. The investment fund plans to get involved in projects under development rather than acquire finalized ones, according to its strategy. Around two thirds of the investment program will be covered by properties under development, while only 25 percent will constitute completed properties. The rest will go on investments for stakes in other companies.
Immoeast has already invested some EUR 500 million in Romania this year. The biggest transaction was that involving Polus Center in Constanta for some EUR 185 million.
The fund's portfolio in Romania covers all market segments. On the residential segment, the fund controls 25 percent of housing developer Adama, while in logistics it is present through the acquisition of local firm Logistics Contractor, which will develop a EUR 70 mln project.