Bucharest City Mall Auctioned Off For At Least EUR33M

In November 2010, Victoria Holdings, a unit of Australia's APN European Retail Trust fund, and the owner of City Mall, entered bankruptcy procedures, and Casa de Insolventa Transilvania was named its judicial administrator.

Other auctions might be organized until June, if the end-March offers do not comply with the judicial administrator's demand, the statement says.

The auction committee will include, besides Casa de Insolventa Transilvania, representatives of the most important creditors of Victoria Holdings.

According to Casa de Insolventa Transilvania, several investment funds, real estate and shopping center developers showed interest in the auction.

Recently, City Mall's management has been taken over by Coldwell Banker Affiliates, for a better organization, the statement reads.

The three banks that financed the City mall project have to recover from Victoria Holdings EUR41 million, of which Bancpost - EUR5 million, UniCredit Bank Austria - EUR35.7 million, and UniCredit Tiriac Bank - EUR300,000.

Several service providers and business partners of Victoria Holding have to recover some EUR33 million. APN European Retail Trust, the indirect owner of the shopping mall, has to recover EUR15 million from Victoria Holding, while Porolis Expert, part of the fund - other EUR16 million.

City Mall has an overall surface of 38,000 sqm, including an overall 19,000-sqm rentable area. The unit was launched four years ago, following an investment of EUR35 million.

If you liked this story, please follow MEDIAFAX.RO on FACEBOOK »

The content of mediafax.ro is for your information only. Republishing or using this content is forbidden without express consent of MEDIAFAX. For this consent, please ask for it by mail at vanzari@mediafax.ro.