www.business-review.eu Business Review | July-August 2022
8 REAL ESTATE
Retail segment recovering as shoppers crave more human interaction The end of all pandemic-related restrictions in earlier this year convinced people to go to the shopping mall more often. After two years of covid-19 pandemic, when they did more online shopping, people have been eager to meet and spend time together. By Aurel Constantin
The total stock of retail spaces in Romania reached 4.14 million sqm at the end of Q1 2022
T
he largest mall owner in the country,
ance. People are bored of shopping online and
area will bring an additional 35,000 square
NEPI Rockcastle, expects 2022 sales
they want to go out to meet other people. I
metres, according to CFO Eliza Predoiu.
to be at least at the same level as 2019,
think they saved money during the pandemic
The company is open to new investments
which was a good year for Romanian retail.
period, and now the market has recovered. As
in Romania, as it has EUR 1 billion in available
The developer continues to invest locally,
long as there are no other major disruptions, I
liquidity for the entire region, but there are
where it has projects worth about EUR 400
believe we will return to the 2019 level," says
no good opportunities in sight. "We can make
million under construction.
Rudiger Dany, the new CEO of NEPI Rock-
purchases, but I don't see any viable product.
castle.
I hope prices will fall, but I don't know when
Sales of tenancy in NEPI Rockcastle malls, excluding hypermarkets, were 53 percent
The company is currently developing six
that will happen and whether it will be quick
higher in the first quarter of this year than
projects, four of which are in Romania. The
enough. If you look at the purchases of the
in the first three months of 2021. Sales in
extension of Promenada Mall in Bucharest,
last two years, the average ticket price in Cen-
February and March were only slightly higher,
where construction works have started to add
tral and Eastern Europe was EUR 20 million,
but still exceeded those achieved in the first
34,000 sqm of additional retail space and a
which for retail is a very small number; our
quarter of 2019, which indicates a return to
similar surface area for offices, with a total
shopping centres go over EUR 100 million.
the pre-pandemic level.
investment value of EUR 280 million. Another
There haven't been that many transactions in
major investment, worth over EUR 100 mil-
the last two years because no one wanted to
to be at least as good as 2019, a landmark year.
lion, is in Craiova. NEPI Rockcastle is also
sell and everyone was asking for a pandemic
"The online market has grown strongly in the
investing in a mixed project in Galati, where it
discount. Now that the pandemic is over, the
last two years, and now we’re seeing a bal-
already has a shopping centre. The new retail
market will start offering more opportuni-
NEPI Rockcastle officials expect this year
