News Article Bucharest development Globalworth investment Poland Romania
by Property Forum | Investment

Globalworth has completed the acquisition of two additional land plots adjacent to its assets on the Gara Herastrau/Barbu Vacarescu corridor of Bucharest for approximately €16 million. These plots are anticipated to allow for the development of 40,000 sqm of commercial (predominantly office) space. The company published an update for its operations.


  • The company completed its strategic investment in Griffin Premium Real Estate resulting in a shareholding of 71.66% in December 2017. GPRE has now been fully consolidated into Globalworth's financial statements for the year ended 31 December 2017.
  • As at 31 December 2017, Globalworth's combined real estate portfolio was valued at €1,815.4 million. Total contracted rental income for the combined portfolio stood at €115.9 million, including pre-leases on developments, an increase of 134% compared to 31 December 2016. The weighted average lease length is 5.7 years.
  • The combined standing portfolio was valued at €1,710.3 million, representing a total gross leasable area of 791,000 sqm.
  • The total average occupancy of the commercial standing portfolio was 93.3% (95.4% including tenant expansion options) at 31 December 2017, compared to 83.1% at 31 December 2016. Like-for-like occupancy of the Romanian portfolio improved by 10.2% in 2017.
  • At the Globalworth Campus office development, occupancy at Tower I (completed in Q3 2017) as at 31 December 2017, where Amazon is the largest tenant, was 46.8% (73.6% including tenant expansion options), increasing to 54.5% (88.9% including tenant expansion options) as at 15 February 2018. Tower II (due to complete in Q1 2018) is now 28.0% pre-leased. Commencement of Phase B of this project, primarily comprising the 34,800 sqm Tower III, is anticipated in H1 2018.
  • The company has completed the acquisition of two additional land plots adjacent to its assets on the Gara Herastrau/Barbu Vacarescu corridor of Bucharest's new CBD, announced on 22 December 2017, for an aggregate consideration of approximately €16 million. These plots are anticipated to allow for the development of approximately 40,000 sqm of commercial (predominantly office) space.
  • The company successfully closed a €340 million equity placing on 8 December 2017 with solid support from both existing and new shareholders, increasing the free float of the Company's shares.
  • Combined with Globalworth's debut €550 million Eurobond in June 2017, the Company raised €890 million from the capital markets in 2017.