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December 7, 2022
BUSINESSCOMPANIESECONOMYReal Estate

Forty Managements sells three commercial spaces located in its mixed urban developments for EUR 3,3 million

  • EUR 3.3 million turnover generated by the transaction of three commercial spaces
  • 1,220 sqm total commercial area sold based on generated yield
  • 50% increase of real estate prices expressed in euros, in the past 6 months, for Central District 4 Elements
  • Profi and Somproduct retail stores are the tenants of Central District 4 Elements and Central District Cuza 99
  • Turnover of LEI 132.2 million and net profit of LEI 80.7 million reported for 2021

Forty Management SA, one of the main real estate developers of mixed-use and urban redevelopment projects in Romania, has completed the transactions for the sale of 1,220 sqm of commercial spaces located within its mixed-use urban developments, Central District 4 Elemente, Central District Cuza 99 and Central District Viitorului 134. These transactions generated a total revenue of €3.3 million, excluding VAT.

Profi retail store occupies the commercial space located in the Central District 4 Elemente complex, while Somproduct furniture store is the tenant of the commercial space located in Central District Cuza 99. The commercial space situated in Central District Viitorul 134 is under construction and is not yet leased.

“These transactions highlight the success of Central District projects. We sold these retail spaces to secure a strong cash flow before future major developments, and to be on the safe side considering the market conditions. Central District projects continue to be appealing and generate demand, but unfortunately, we have nothing left to sell,” states Lucian Azoiței, CEO & Founder of Forty Management.

With a share capital of LEI 497 million (EUR 100.2 million), the company started expansion in the neighbouring capitals (Warsaw, Prague and Budapest) with the scalable project Central District Lagoon City. The land purchase negotiations are advanced for the above-mentioned capitals.

Forty Management has a land portfolio of 43,000 sqm, which it plans to use for the development of new mixed real estate projects, with a surface of 138,000 sqm and a market value exceeding 430 million euros (Central District Lagoon City Bucharest and Central District Royal Suites).

Forty Management is founded and managed by Lucian Azoiței, who currently holds 88.43% of the company’s shares.

 

 

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