Globe Trade Centre has successfully issued a debut unsecured green bond for €500 million. The bonds, bearing a coupon of 2.25% p.a., received a strong reception from the broad European fixed-income investor universe and were several times oversubscribed with a peak order book in excess of €1.4 billion.

Globe Trade Center announced today that it has been assigned an investment grade rating of BBB- with a Stable Outlook by Fitch Ratings and Ba1 with Positive Outlook rating by Moody’s Investors Service.

Globe Trade Center has presented its first-ever ESG report, summarizing the group’s achievements during 25 years across its six markets. The 2020 report presents data on GTC’s engagement in sustainable development, responsible construction and asset management, collaboration with local communities and responding to stakeholders’ expectations. GTC is the first among commercial developers to present an ESG report on the CEE market.

Yovav Carmi, CEO and Ariel Ferstman, CFO of Globe Trade Centre talked to Property Forum about GTC`s recent acquisitions, the sale of the Serbian office portfolio, coping with COVID-19's long-term effects and their new investment strategy.

Globe Trade Centre has decided to sell its Belgrade office portfolio to the Hungarian investor Indotek Group. The proposed acquisition price is €267.6 million, exceeding the book value of GTC’s Serbia portfolio as of 31 December 2020. The agreement will cover the sale of 11 buildings within 5 business parks of a total 122,175 sqm GLA with high occupancy rates, located in the New Belgrade district. Once completed in Q3 2021, the sale will become one of the largest real estate transactions in the last 5 years on the CEE market.

GTC has appointed Eszter Salamon to the position of Transactions Director. Her in-depth sector knowledge and experience in real estate and financial operations will boost GTC’s optimization and expansion goals. As Transactions Director, Eszter Salamon will be responsible for real estate transactions across all GTC markets as the investor plans completion of large-scale transactions in various markets in the upcoming period.

GTC’s rental and service revenues decreased by €3.8 million to €37 million in Q1 2021 from €41 million in Q1 2020. Profit before tax and fair value adjustments for Q1 2021 reached €15 million, up from €13 million in Q1 2020. The company published its financial results for Q1 2021.

GTC has decided to boost its Hungarian portfolio again by investing €160 million in the acquisition of two office properties in Budapest, the Ericsson HQ and the Siemens Evosoft HQ, both developed by local company Wing.

In February 2021, the N3 building of GTC’s Green Heart office complex in Belgrade has obtained a LEED Gold certificate, thus finalising the certification process for the whole complex. Completed in 2020, Green Heart comprises five Class A buildings providing 46,300 sqm of office space.

Real estate investor and developer GTC has appointed Ziv Gigi as Managing Director of operations in Romania. He has more than 15 years of experience in Central and Eastern Europe-based real estate markets, developing and operating dozens of projects in the office and retail segments.