“Works will take 18 months, but we will do our best to make this period as easy as possible for both tenants and clients. Investments rise to EUR10 million for Plaza Romania, of a total EUR25 million earmarked for both shopping centers, Plaza Romania and Bucuresti Mall. Financing is provided by Fiba Group,” Razvan Gaita, managing director Anchor Grup, told a news conference Thursday.
Plaza Romania was inaugurated ten years ago. Anchor Grup had previously developed the first shopping mall in Romania- Bucuresti Mall whose remodeling is due to start in June.
The decision to reposition the two shopping centers on the local market was made in 2012, but plans have changed and investments were slashed from EUR50 million to EUR25 million.
Gaita said the target is to bring Plaza Romania’s occupancy rate to at least 95% and increase the number of visitors by 20% to 25%, following the implementation of the investment plan, and reach around 30,000 visitors a day. Anchor has attracted new tenants over the last year, namely, Timeout, which opened a store two weeks ago, fitness center operator World Class which expanded the occupied area, and Koton, LC Waikiki, Damat Tween and Al Saj which are expected to open stores in the upcoming period.
“We are in talks with other retailers as well, two of which have barely entered the local market and will occupy together 4,500 square meters. The occupancy rate currently stands at 65%, from 54% in 2013, and is expected to reach 85% if we manage to sign other lease contracts,” Gaita also said.
Anchor Grup’s turnover reached EUR35 million in 2013, of which EUR7 million was generated by Plaza Romania, down 24% from 2012, and EUR12 million by Bucuresti Mall, down 18% from 2012. The remainder comes from office spaces and housing.
Anchor Grup also owns office building Anchor Plaza in Bucharest.
Anchor Grup, owned by Turkish group Fiba, has invested over EUR350 million in Romania so far.