The Imofinance group, which is run by former Banca Transilvania chairman Iosif Pop, will invest more than 17 million euros in apartment buildings in Cluj this year. It also plans to expand its real estate business to Bucharest and Sibiu.
"Our target is not to invest quickly, make huge profits and then withdraw. We like to settle in various locations, buy land and then plan to start building site after building site, and develop over time," said Iosif Pop, Imofinance chairman.
At the end of last week the group inaugurated its first "high standard" apartment block in the Gheorghieni district of Cluj County in a real estate investment of over 1 million euros.
The building has four floors and 16 apartments. "The usable area for a two-room apartment is 80 square metres, while there is 92 square metres for a three-room apartment and 156 square metres for a four-room apartment. Each apartment also has its own parking space on the secured underground level," explained Mona Tobias, executive manager of Imoinvest.
Seven of the building's 16 apartments have already been sold. The sale price excluding VAT of a two-room apartment is 2.1 billion ROL (about 65,000 euros VAT included), while a four-room duplex-type apartment on two levels costs 3.8 billion ROL (120,000 euros including VAT). The average price in Cluj for an 80 square metre apartment (three or four rooms) ranges between 45,000 and 65,000 euros, depending on area.
Imofinance has also completed the designs and been given the necessary building permits for a second apartment block with 132 apartments. Construction of the block will take one and a half years. "This is a different concept and different areas are involved," explained Tobias.
The project requires funds of 6.5 million euros.
The next investment will be in Gilau, an area 18 km from Cluj-Napoca, where Imofinance has already acquired a 100,000 square metre plot. Imofinance will use the site for a residential complex to be called "Castel Gilau" in an investment of over 10 million euros.
According to officials, this year's investment objectives also include projects in Sibiu in the Dumbrava micro-district and in Bucharest, the Foisorul de Foc and Modrogan House. They provided no further details, however. transilvania@zf.ro
Pentru alte știri, analize, articole și informații din business în timp real urmărește Ziarul Financiar pe WhatsApp Channels
