MLP Group's financial condition remains strong, as demonstrated by its reported H1 2022 performance figures. In the first six months of the year, the Group’s net asset value (NAV) went up 26%, to PLN 2.3 billion. The value of its investment properties rose 25%, to more than PLN 4.2 billion. Consolidated revenue increased 26% y-o-y, to PLN 123.2 million. Net rental income, on the other hand, rose 22% y-o-y, to PLN 90.4 million. Operating profit rose 181%, to PLN 577.2 million. For the first half of this year, MLP Group posted PLN 433.9 million in net profit, an over 2.5-fold improvement (+161%) relative to the same period last year.

Affiliates of Lone Star Funds have acquired a real estate package from Cavatina Holding S.A. After announcing their intention to go ahead with the deal in June, the parties managed to quickly bring it to a conclusion. Carbon Tower in Wrocław, Ocean Office Park A and Tischnera Office in Kraków offer a total of nearly 66,000 sqm of GLA with an average lease rate of approx. 90%. The deal amounted to more than €139 million.

The Slatina Shopping Park, located in Southern Romania, has reached a total commercial area of 8,700 sqm following an extension completed by Square 7 Properties and Mitiska REIM investment fund. 

Existing income-producing assets with a reasonable capital value per sqm and strong tenants will be a winner for many investors in the upcoming period. Avison Young has published its CEE property investment market report for H1 2022.

Slovak developer Corwin has sold the Blumental office centre in Bratislava to Czech real estate fund ZFP realitní fond. With more than 21,000 sqm of lettable area, it is one of the largest Bratislava office transactions of 2022. The price of the acquisition has not been disclosed.

First Property Group has acquired another 7,171 sqm (or 32.1%) of Blue Tower in Warsaw city centre, bringing its ownership of the property up to 80.3% (17,937 sqm).

GTC signed an SPA to sell its Matrix A and B office buildings in Zagreb to a strong local real estate group from Croatia. This transaction will mark a return on cost exceeding 22% and is about 7% above the book value. GTC’s ability to sell assets well above the book value demonstrates that the current discount to NAV on its share price is not justified.

Real estate investments amounting to around €1.2 billion are currently in various stages of negotiation, while over €600 million in investment volumes were completed in the first eight months of this year, according to real estate consultancy Cushman & Wakefield Echinox. 

We can see many significant changes, architectural achievements and positive trends in the Czech real estate market. Nevertheless, there is still much to do, says Zdenka Klapalová who is the President of the Association for Real Estate Market Development (ARTN) and has followed the Czech real estate market as an expert for more than 30 years.

Lavinia Ioniță Rasmussen, Partner at Romanian law firm NNDKP, spoke to Property Forum about the real estate segments that are driving the real estate investment market in 2022 and the progress in harmonising national legislation with effects on the real estate industry, especially in the area of building permits. The firm has a diversified portfolio of property clients and expects a continuation of this trend this year.