Gijs Klomp said that in Romania, the supply of real estate products on sale is still low, and the industrial sector faces a massive shortage of products, associated with large demand (latent). Klomp added the mix between the limited supply and the demand better than the initial estimates could trigger unexpected price fluctuations in 2021.
The volume of real estate investments in Romania totaled EUR588.5 million in 2020, almost half the record value registered in 2019, but similar with that reported in 2015, the year in which the real estate market resumed its growth after the global financial crisis, per a CBRE Romania report.
Thus, although 68% of the total volume of real estate investments was transacted in the first six months of 2020, the second half of the year brought the largest transaction in 2020, marking the entry of a new Chinese investor in Romania, called Fosun, which acquired the Floreasca Park office building in Bucharest for EUR101.5 million, reconfirming the attractiveness of the Bucharest office space market.
In 2020, the biggest investment transaction negotiated in 2019 was concluded when AFI Europe completed an agreement with NEPI Rockcastle for three office buildings in capital Bucharest, namely, Floreasca Business Park, The Lakeview and Aviatorilor 8, and one building in Timisoara – City Business Park, with a total volume estimated at EUR308 million.
The end of 2020 brought a new transaction on the office space market, after investment fund S IMMO, advised on by CBRE, agreed the contractual terms for the acquisition in advance of the Campus 6.2 and 6.3 office buildings, for as much as EUR97 million.
In Europe, the volume of commercial real estate investments reached EUR275 billion in 2020, down 17% from EUR331 billion in 2019, a performance better than initially predicted, considering the Covid-19 pandemic, per CBRE.