Income-producing properties are becoming an increasingly appreciated option for Romanian or foreign private investors who have previously been mainly active in the residential sector, according to real estate consultancy Cushman & Wakefield Echinox.
At present, these investors are focusing on all market segments – office, retail, industrial or hospitality, as the allocated budgets start from €2-3 million for a property, while they could also exceed €10-15 million, depending on the product.
“Whether we refer to entrepreneurs who have available liquidity resulting from other businesses, or to families who have already been investing in real estate, private investors are extremely active nowadays, as they have made acquisitions of more than €200 million in the last 3 years alone," said Mihaela Pană, Partner Residential Agency Cushman & Wakefield Echinox.
These market players do not typically need external financing and invest in products which can generate immediate income and assets that, through further investment, would become income-producing ones as well, according to the agency.
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