AFI Europe Romania concludes a EUR 22 million Development Loan from Bank Leumi Romania for the financing of AFI Tech Park phase 1
Bucharest, December 20, 2017: AFI Europe Romania has signed a financing agreement of EUR 22 million with Bank Leumi Romania for the development of phase 1 of AFI Tech Park, the newest business park the company is currently developing in Bucharest.
AFI Tech Park is a 56,000 sqm GLA of Class A offices, developed in 3 phases and targeting companies from the FMCG, Automotive, IT&C, BPO and shared services markets, seeking to upgrade their facilities to a new Class A offices. The first phase of the project will be delivered in Q2 2018, offering 20,000 sqm GLA office space and 2,000 sqm of retail area, including the already signed tenants World Class fitness club and 1 minute. The project is developed close to the city center, in proximity to the JW Marriott Hotel and the Romanian Parliament and will comprise of two office buildings with GF+8 floors and one office tower of 14 floors, all surrounded by over 5,000 sqm of green areas.
„AFI Europe has an excellent long term and strategic relationship with the banks for financing projects and we are glad to have, once again, Bank Leumi as our partner for phase 1 in AFI Tech Park, a project through which we plan to open a new zone for office development in Bucharest. The fact that the Park is located in downtown Bucharest and not in city outskirts provides the Park the unique advantage sought after by multinational companies in Romania. With our current development projects, AFI Tech Park office project in Bucharest, AFI Brasov mall and offices, and soon to start our first residential project in Bucharest AFI City, AFI Europe continues its expansion in Romania”, said David Hay, CEO AFI Europe Romania.
The total investment for AFI Tech Park 1 is of over EUR 30 million.
A unique service AFI which will be provided to the tenants in Tech Park is a 400 sqm conference hall to be shared by the tenants in the park. This allows the tenants to avoid the necessity of having such large halls within their spaces throughout the term of the lease. Together with the surrounding retail facilities (Vulcan Retail Park, Liberty mall), the office project is bringing additional benefits such as: “AFI Club” membership offering discounts for lunch and other services, and also the first car sharing service in Bucharest.
Construction works for AFI Tech Park 1 are advancing on schedule, currently having already completed the skeleton structure.
AFI Tech Park is built to obtain the highest recognition of green building and has already obtained the LEED Platinum pre-certification for the use of construction, design and operating techniques and technologies with a minimum impact on the environment.
About AFI Europe:
AFI Europe is a subsidiary of AFI Properties and one of the leading real estate development, management and investment companies in the Central Eastern Europe markets. Ever since 1997 it is present in countries such as Romania, the Czech Republic, Poland, Germany, Bulgaria, Serbia, Hungary and Latvia. AFI Europe owns and manages within its portfolio over 450,000 sqm of commercial spaces consisting of shopping malls and business parks, in addition to large-scale residential developments.
AFI Europe is currently constructing 1,000 residential apartments in Belgrade, Krakow, Riga and Prague. Since the beginning of 2017, the company sold over 500 residential units across Europe.
About AFI Europe Romania:
AFI Europe entered the Romanian market in 2005 and is the developer, owner and manager of AFI Cotroceni, the largest and most dominant shopping mall in Romania and among the leading shopping malls in Europe, with 50,000 customers a day, a leasable area of 90,000 sqm GLA and offering its visitors a large entertainment area with multiple leisure options and a variety of over 300 shops from local and international brands.
The complex also consists of AFI Park, Bucharest’s newest and most advanced Class A business park, consisting of 70,000 sqm GLA of office space fully leased by multinational IT&C corporations such as Electronic Arts, Microchip Technology, TELUS International, Endava Romania, Dell SecureWorks, and Hexaware Technologies.
In October 2013, the company inaugurated AFI Ploiesti, the first and only modern shopping mall developed in the city center of Ploiesti, following an investment of over EUR 50 million. The shopping mall offers a leasable area of 34,000 sqm, occupied by 100 national and international brands, and more than 7,000 sqm of entertainment.
Currently AFI Europe Romania is under construction with an investment of over EUR 120 million in AFI Brasov (shopping mall and offices), AFI Tech Park in Bucharest (an investment of over EUR 30 million in a 56,000 sqm office park) as well as Phase 1 of AFI City, which consists of 190 residential units in Bucurestii Noi.
According to the valuation performed on September 30, 2017, AFI Europe Romania’s value of the existing income producing assets (AFI Cotroceni, AFI Ploiesti and the 5 office buildings of AFI Park) has increased by 7.5% to EUR 735 million compared to 2016.