Sparkassen Immo board member Holger Schmidtmayr has told the Wall Street Journal his company has no plans to pull out of CEE. Just the opposite. He says the fund will actually quit investing in Germany and Austria.
Holger Schmidtmayr told Dow Jones Newswires in an interview that the company is planning to invest EUR400 million in the next two years in the major capitals of Central and Eastern Europe, excluding Poland, which has become too expensive. “We are looking for developments with longer term, international tenants and stable income,” he said.
The company, which first entered the CEE in 1999 with an office development in Prague and today has EUR600 million of assets in the region, will also cease its investment in Austria and Germany as Schmidtmayr doesn’t see those countries as growth markets.
“CEE is the place to be and now is the right time to grow,” he said, adding that Sparkassen will gain a leading position as developments have stopped in the region.