The office space offer in Cluj totals some 55,000 square meters in class A buildings. The projects are mainly developed by local businesspeople.
South-African investment fund New Europe Property Investments (NEPI) and Sandor are ready to start works on the first phase of The Office, an office tower located on the site of former plant Tricotaje Somejul in Cluj-Napoca. The first phase of the project, which will have a lettable area of 20,000 square meters, is scheduled for completion in the second quarter of 2014.
“Cluj has an extraordinary market dynamic. (…) We are in touch with multinational companies that put the city on their shortlist for future expansion. Compared to Timisoara, Cluj has 50% more students and its international airport represents an advantage,” said Sandor.
According to Sandor, office space in the new project will be rented for EUR12-14/sqm/month, similar to what other office building owners in Cluj charge their clients. On the other hand, services costs will be lower, of EUR2.3-2.7 per month, as the project has green certification. In Cluj, such investments benefit from a 72% reduction of property taxes.
Works on the second phase of the project might start next spring or next fall, depending on how much of the first phase will be rented, Sandor said.
“We are currently negotiating rental contracts the first phase cannot cover,” he highlighted.
The Office is scheduled to be completed by 2016.