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Real estate leasing market expands

27.03.2007, 17:27 6

In 2003, real estate leasing had accounted for just 1% of the total market, while in the first nine months of 2006 the figure stands at almost 8% (almost 50 million euros), according to estimates made by the Leasing and Non Banking Financial Services Association.
The share held by real estate leasing in the portfolio of local leasing companies is increasing, as more and more companies begin to operate on the market.
In 2003, real estate leasing had accounted for just 1% of the total market, while in the first nine months of 2006 the figure stands at almost 8% (almost 50 million euros), according to estimates made by the Leasing and Non Banking Financial Services Association (ALB).
For instance, Romstal Leasing, last year taken over by financial group KBC, explains the increase witnessed in 2006 (a figure of 139.2 million euros) as a consequence of its openness in providing funding for an extensive range of goods including; land, commercial and residential buildings, and by the national coverage they offer to clients.
Launched in March 2006, real estate leasing accounted for 6% of the company's total funding, with 48 contracts being closed, valued at a total of 9.5 million euros.
Septimiu Postelnicu, CEO of UniCredit Leasing Corporation, the company that resulted from the merger between HVB Leasing and UniCredit Leasing, has stated early in the year that real estate leasing is a sector that people are expecting more from each year. This year, the company expects to see growth, as well as to enter the residential real estate leasing market. Unicredit Leasing Corporation granted funding worth 400 million euros last year, with real estate leasing accounting for around 7% of the total funding.
BCR Leasing, the financial leasing company held by the BCR group, which financed goods worth 295 million euros last year, has said it intends to launch new products in 2007, mainly in the corporate and residential fields, stating that they have the appetite and capacity to sustain large and complex projects.

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