(Some of) My activities in the Real Estate market of Cluj

Last week one of the most important regional newsapapers in Romania, "Ziua de Cluj", had a market analysis for the Real Estate market of Cluj. Kristina Restea was the journalist who wrote the story, being one of the experts in the Real Estate segment in her area (and not only).

If you want to read what my opinion was, you can check the text below. For the original text and the newspaper's site, please visit Ziua de Cluj' website.

Foreigners buy land in the center of Cluj
Real estate investors  looking for properties start to purchase properties. Places  of interest: Napolact platform, housing projects and commercial spaces.

More Real Estate Services (MRES) a Real Estate consulting company, participated  in 2010 to three transactions, worth 4.1 million Euro, for foreign investors in Cluj, Norwegians are showing interest in the residential segment and lands in the center could be transactioned by some funds.

The transaction for which MRES offered their consultancy services targeted  the acquisition of a land within the city and two revenue-generating properties. "The real estate market has moved as expected, with lots of problems, and entered on a downward trend. As the situation will continue for at least 12 months, we are interested in the market in Cluj, but not only for opportunities such as: commercial buildings, supermarkets, office buildings but anything that generates stable income and is a strategically located land within the city, " said Ilias Papageorgiadis, CEO of More.

"The market in Cluj will continue to be" silent "during this period. It is natural that most foreign investors focus on Bucharest and would consider investing in other major cities only when prices will be attractive for them. But on long term, once Romania will start developments in 2012 or 2013, Cluj will be among the leading cities in terms of development and will become an important destination for developers, according to Papageorgiadis.

The Norwegian investment fund, Romania Invest, announced that they prepare 40 million Euro for housing within some residential  projects  either planned or under construction, and Cluj is one of the market in sight. "There are discussions for several areas within the country, and our consultants have realized some market studies for cities such as Cluj, Brasov and Iasi. Completion of negotiations depends primarily on construction quality and the requested price Now is a good time to purchase, everyone admits that the prices are much lower compared to previous years, "said Loredana Albu, PR director at the Four Points, responsible for the investment fund, Romania Invest communication department .

A foreign investment fund is interested in a land situated on December 21 Boulevard  which Morava investment fund purchased from Napolact in 2006, according to information of the Ziua de Cluj newspaper . According to the project the complex will include 88 apartments, 7350 sqm offices and 3500 sqm commercial and  service areas,. Towards the Boulevard will be built  a commercial complex with basement, ground and first floor and in the back will be built another volume with heights varying from 11 floors up to 1-2 floors having various functions foe offices or apartments.

Morava representatives announced that they would begin to work on the retail segment, which they desire to complete in 2010.  The perimeter will host commercial spaces (3,500 sqm) will be allocated  to a store of 1,400 sqm  for food segment (supermarkets or discount stores), an electronics store and it will include as well a pharmacy and a café shop. The investment is worth 4 million Euro. Morava acquired  the spaces  from Napolact  with 4.2 million Euro.

Tips for the British  
The British newspaper the Daily Mail performed a scan of Transylvania in terms of its relation with Prince Charles, who has bought several properties there.

The conclusion is that the British should invest in Cluj-Napoca because the city has the biggest  university of the country, many foreign student are potential renters, a new airport and the Nokia factory. Cluj is not, however, a bargain for all investors, warns the Daily Mail, but only for "adventurous buyers. "