Monthly Archives: November 2009

Quality projects rewarded at 2009 CIJ Awards Czech Republic

From CIJ Awards Czech Republic 2009

Multi Development, Cushman & Wakefield, Waldeck Capital, Europolis, Wilson & Partners, EMCM, ING Real Estate Development, Somerston Olympia and Panattoni: these were the big winners at the ninth annual CIJ Awards, which took place in central Prague last night at the Marriott Hotel. (See the growing Awards picture gallery)

In a year marked by severe financial restrictions and cost-cutting in the property industry, the event proved a remarkable success, with nearly 300 of the industry’s leading figures on hand to witness the ceremony.

But it was the high quality of the nominations in such troubled times that was most noteworthy, confirming what’s become increasingly clear over the course of 2009: only the best projects stand a chance in this market.

The winners on the evening were:
Best Residential: A7 Brewery Holešovice
Best Office: Amazon Court
Best Shopping Center: Forum Usti nad Labem
Best Warehouse/Logistics: Panattoni Park Prague Airport
Best Hotel: The Augustine
Best Overall: Olympia Brno
Legal firm of the year: Wilson & Partners
Property Management team of the year: EMCM
Personality of the Year: Walter Dackiw (AIG/Lincoln)
Developer of the Year: Multi Development
Agency of the Year: Cushman & Wakefield

The 6th CEE Housing Finance Congress, Nov 26-27, Warsaw

CIJ is a media patron of one of the most important property conferences in Poland, the 6th International Congress on Housing Finance in the CEE countries. It’s taking place on November 26 and 27 in the Holiday Inn hotel in Józefów, just outside Warsaw.

The Congress’ intensive agenda is here. Highlights include discussions on the consequences of the  financial crisis on the housing markets of Central and Eastern European countries and mortgage portfolio refinancing.

Confirmed speakers  include:

Cezary Grabarczyk, Minister of Infrastructure

Annik Lambert, Secretary General of the European Mortgage Federation

Włodzimierz Kiciński, President of Nordea Bank Polska SA

Kazimierz Kirejczyk, President of REAS

Jarosław Szanajca, CEO of Dom Development

Piotr Cyburt, President of BRE Mortgage Bank

There will be blog updates as the Congress will be happening tomorrow and Friday, as well as a larger article in the January issue of CIJ on the issues raised during this event.

Orco falls further into the red

Orco’s third quarter results were at least as disappointing as those of the entire sector. Whereas the company reported a loss of just €29.8m over the first nine months of 2008, this figure ballooned to €202m in 2009. The company, which is currently in creditor protection through French courts, said it had cut expenses by 24% compared to last year, and that its revenues had risen 24%. But revenues fell from €225.6m to €186.8m as its residential sales fell to €66.2m (from €111.8m), with the company ceasing its resi development activities in Hungary.

Orco said it was seeking the sale of various assets, including the Stein project in Bratislava and Cumberland Haus in Berlin. It claims that work on the Vaci 1 department store in Budapest will resume and that it hoped to reinstate the building permit for Zlota 44 in Warsaw after a court revoked it over the summer.

Bonarka opens in Krakow

TriGranit and IPR have opened Bonarka City Center in Kraków through their joint venture vehicle Roland Investments. With 270 units, the 91,000 sqm shopping center’s debut marks the end of the project’s €30m first phase which will eventually be extended to include office and residential components. Two thousand local under-privileged children received vouchers for Christmas gifts as part of the opening. Sources hint the two companies could be cooperating in Bratislava in a new entertainment hub being spearheaded by TriGranit.

Auchan to double Romanian presence in 3 years

French hypermarket chain Auchan has pledged to double its presence in Romania within three years through an investment of €140m. The company will be looking to own its stores, rather than renting space from landlords, which has not been the case until now. The expansion could increase the company’s revenues to €700m by 2012 compared to its 2008 level of €278m.

Echo Investment posts €14m profit in Q3

The developer Echo Investment had a net profit exceeding €3.2m for the third quarter of 2009, while its net income exceeded €23.9m.

Combined net profit over the period  stands at €20.7m, an increase of 14 percent from the same period last year. Net revenues exceeded €80m and were 20% higher.

Q3 income came from sales at its residential projects in Warsaw – Inflancka (phase III ) and Zwycięzców (phase II),in Poznan – Naramowice Housing Estate (phase III),and in Bilcza near Kielce (Bilcza Housing Estate II).

Eurozone moves out of recession

As is now usual, good news, like the end of a recession, comes with provisos. So while it’s great that the Eurozone has officially moved out of recession, it doesn’t mean we’re out of the woods yet. Economists had expected 0.5% growth quarter-on-quarter, but the best Eurozone countries could do was 0.4%.  Pessimists believe the low figure indicates a slower than hoped for recovery.