Over 15 relevant transactions were concluded last year in Bucharest, with a total land area of 45 hectares and a total price of EUR90 million.
Last year, the most active investors acquiring land plots for commercial developments in Bucharest were Swedish and local investors.
The world’s largest furniture retailer IKEA acquired a land plot located in the eastern part of Bucharest, while Skanska performed two land acquisitions last year in the capital city, one in Barbu Vacarescu-Floreasca area (central northern area of Bucharest) and one in Politehnica area (western part of Bucharest).
“More than 50% of the land area transacted last year was acquired for retail developments, especially big boxes. Land plots suitable for residential and industrial/logistics developments represented 20% each out of the total land area transacted throughout 2015,” DTZ Echinox consultants said.
Land plots suitable for office developments continued to be the most expensive, the average price paid being around EUR717/sqm. Land plots suitable for residential and retail developments (big boxes) were transacted under EUR200/ sqm.
Early this year, Swedish investor Vastint acquired a 48 ha plot in Baneasa – Sisesti area for a mixed (mainly residential) project.
“The residential market in Romania remains underdeveloped, and long – term investors are expected to continue to secure lands for residential developments since prices are affordable and demand for new homes is increasing. Dominant retailers still have expansion plans for Bucharest and will continue to acquire lands located mainly in neighborhoods with high residential densities,” according to DTZ Exhinox consultants.