The deal, worth EUR2.65 million, brought total revenues of around EUR1.6 million during the entire investment period.
Meta Estate Trust invested in the project through a real estate development partnership with Novarion, starting in December 2021 and continuing to date. The investment was phased, reaching a total value of approximately EUR 2.84 million, of which EUR 200,000 was partially repaid in 2024.
„The investment in Novarion represented one of Meta Estate Trust’s largest exposures, and in over three years of partnership we have been able to achieve three goals. First, we have realized a significant return for our shareholders and investors – 20% annualized and supported the realization of a major residential project in Sibiu. Meta Estate Trust’s exposure during this investment period to the residential development sector is a valuable experience for the entire Meta team,” stated Alexandru Bonea, Meta Estate Trust Managing Director.
The project developed by Novarion is part of the Co-Development business line, under which Meta Estate Trust’s investment strategy involves the allocation of preferential equity capital exclusively for the development of real estate projects, with the aim of achieving maximum returns. Therefore, the exit achieved is in line with the targeted investment margin, namely an annualized return of 20-30% and is in line with the company’s other successful investments, such as The Level Apartments II or the project located at 21 Ion Dragalina Street.
The Lake Home by Novarion is a large-scale residential development in the western part of Sibiu, spread over 53,000 square meters, with 20,000 square meters of green spaces, parks and gardens. The complex will include, 494 apartments, 34 premium villas, 3 restaurants, 1 aparthotel, gym with spa and swimming pool, kindergarten and afterschool. The project is currently 21% completed with the last phase to be completed in 2030.
Meta Estate Trust shares have shed 10% since the start of the year amid RON61 million capitalization.
Meta posted RON25.5 million revenues in the first nine months of 2024, 65% above the year-earlier level. Net profit climbed by 4% to RON7.4 million.
(English version by Catalina Apostoiu)