The transaction is a first on the Bucharest profile market, considering that this type of lease extension agreements are usually concluded for a five to seven-year period.
At an average rent of EUR13/sqm, charged in Novo Park, HP is to pay nearly EUR4 million a year.
Speaking at a conference Tuesday, Tudor said the lease extension is the largest deal of the year, which marks the longest presence in Romania, namely, 18 years in the same location. HP is the largest tenant in Romania, occupying 34,000-35,000 sqm of office space, he also said.
Tudor added that Novo Park is fully occupied and all rental contracts were extended, including those with Garanti and HP, which were to expire in 2014.
Novo Park is the second office compound, after the West Gate compound in western Bucharest, developed by Romanian realtor Genesis Development, controlled by Tudor.
Novo Park, located in Bucharest’s northern area of Pipera, includes seven office buildings with a total rentable area of 75,000 sqm. Other tenants include Hewlett-Packard, Procter & Gamble, Mondelez Romania (formerly known as Kraft Foods), group Garanti Romania, Ringier, Sodexo, Infineon Technologies, Yokagawa, Luxoft and UniCredit Business Integrated Solutions. Some 100,000 employees work in the office compound.
West Gate and Novo Park have obtained the BREEAM Very Good certification in 2013 and became the first green office parks in Romania.