What is next for the main leisure area of the city?
“The place to go out is traditionally located in the center of the cities in all the major capitals of the world, and I don’t think this will change in Bucharest’s case. I think they would sooner renovate but I don’t think the Old Town as it is now will disappear,” Andrei Vacaru, capital markets consultant & head of research with JLL Romania, told ZF.
The consultant who has been with JLL Romania for almost nine years says there are other areas that have the necessary infrastructure, such as Piata Romana, the Lahovari area and Piata Amzei (all of them in the center of the city), but not as much space for bars or clubs.
“It took about seven years to create the Old Town as it is now, so I think we will see refurbishments and seismic retrofits.”
Some of the owners of those hangouts that closed say they are negotiating relocation in the Old City or to other areas of Bucharest. Some of them say they are still considering what to do because they do not want to leave the area they operate in at the moment.
The places that closed not long ago are City Grill Lipscani, Trattoria Buongiorno (both part of the City Grill group), Biutiful (Fratelli group), Terasa Argentin, Club Fire and Bon Bouche restaurant, according to the data supplied by companies and Octav Dura, the chairman of the association of retailers in Bucharest’s Old Town.
“There is ample space on the Unirii Boulevard in the fountains area, which allows for the development of such a restaurant, bar and coffee shop hub. It would need some interest from the local authorities to do it, though,” says Dani Caramihai, one of the shareholders of the Fratelli group. His company closed the Biutiful bar in the Old Town and moved it to Glodeni Street (somewhere near the north of the city) where a Fratelli club operates.
Bucharest’s Old Town is currently home to more than 200 food service locations, 150 of which restaurants and coffee shops, according to companies in the industry. Only 14 buildings are rated as high risk of collapse in an earthquake, Octavian Dura says.
“Without the government’s involvement, the Old Town cannot be restored. It needs funding and interest-free funding, and this can only be done with the authorities’ help,” says Catalin Mahu, owner of the La Mama restaurants.
“If the law is enforced as it is, we might see the Old Town in its current iteration disappear and that would be a disservice to Bucharest. The Old Town is a tourist attraction and it is actually what put Bucharest on the European city break map. I do believe that those places that operate in unsuitable conditions must be closed and relocated. The closing of the Old Town, however, will not only cause losses to the business sector, but to the government, because it will lose the tax money, be it VAT, salary or profit.”
The entrepreneur operates in the Old Town but says none of the buildings he uses carry a red dot (The red dot is a sign placed on the façade of a building deemed most likely to collapse in an earthquake warning people of its status i.e.).
“If the customers see you are not safe, you don’t have insurance or operate in a shabby building, they will penalize you.”
The entrepreneur believes a new restaurant, coffee shop and bar hub might developed in the Floreasca area and in the north of the city.
“Still the Old Town is unique. There is no other area in Bucharest like it in terms of pedestrian traffic, position and atmosphere.”
Mahu believes the fountain areas on the Unirii Boulevard might become home to a new restaurant, bar and coffee shop hub, running up to the Palace of Parliament, but that would require turning that area into a pedestrian-only zone. It would also need the City Hall’s involvement.
The Old Town started to develop in mid 2000’s after being a place of dilapidated buildings, stray dogs and homeless people for years. It has since turned into the main destination for those looking to go to a restaurant, coffee shop or bar.
“We cannot recreate the Old Town. We can, however, see some businesses move to well positioned office buildings, such as those in Aurel Vlaicu and Pipera. Everything under construction in the northern part of the city includes a retail or food service component. We will also see relocations to semi-industrial areas, which are less popular now,” says Oana Iliescu, managing director of real estate consultant DTZ Echinox.
The Unirii area might develop if it becomes a pedestrian-only zone, because of the ample space available there. Moreover, the Old Town will not lose all its restaurants, bars and coffee shops but the area will see some cleanup done. The Old Town will remain, she added.
(English version by Loredana Fratila-Cristescu)