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Real Estate : Ten active developers in real estate market
There are less than ten active developers in the Romanian market and investments have in view the commercial and office segments since there is an important confidence deficit in the residential sector, cumulated with financial problems specific of the economic crisis. “I think there are less than 10 active developers (in Romania – e.n.). There is maximum activity only in retail, with accent on office”, said Mihnea Serbanescu, general manager of DTZ Echinox real estate consulting company, at a press conference on the construction market, organized by Ziarul Financiar.
“There are no developers in the residential market,” said Tatian Diaconu, managing director of real estate developer Immochan Romania. He said that retailers operating with commercial centers or investors with a non speculative approach were making investments.While until 2007 the developer was an entity affording the luxury of starting a project without financing, now we can talk about the idea of partnership with the land seller, builder or retailer who will be a tenant in the gallery.
David Hay, CEO of real estate developer AFI Europe Romania showed that the problem of most developers is money and obtaining finances in the present period can be a long and difficult process.
He showed that AFI Europe Romania is focusing its investments on retail and office. There is no reason to begin residential projects at present as there is no residential market proper, he added.
Hay said he did not think that any programs or aid coming from the authorities could help the residential market, affected mainly by the existing European crisis and by financial difficulties.