Tag Archives: Echo Investment

Echo to develop an outlet in Szczecin

Echo Investment said today it would build Outlet Park Szczecin, a project of 23,000 sqm GLA, to be developed in three stages. Stage one will consist of a 9,000 sqm GLA shopping gallery with 60 retail outlets. The second stage should add a further 10,000 sqm. The entire project is to be filled by 120-130 tenants, with the first stage of the project will go online in Q4 2011.
“We have a great location at our disposal with a reach of over 2.2 mln people, we have financial resources reserved and we cooperate with teams of designers and consultants who are experienced in the field of outlet centers,” says Marcin Materny, shopping centre sales director at Echo Investment, as quoted in corporate press release.
“The pool of tenants interested in running their business in outlet centers is not without importance. The sector will be relatively saturated over the next few years and sudden growth in leasable area in this sector is not to be expected…Szczecin is ready for another format of a shopping facility such as an outlet center,” said Magda Frątczak from CB Richard Ellis.
The architectural concept of Outlet Park Szczecin comes from Vsf – Creative architectural studio.

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High-rise projects back in Warsaw

Readers of this blog surely remember when, just before the crisis hit, the property talk in Warsaw was all about how many, and how tall, new office, hotel, and residential towers were going to be. Two years later, not one of them got off the drawing board, really, and the focus has shifted to timing new construction right in order to catch new demand as the market returns. A pair of developers now seem to be betting the high rise days are back.

Yesterday, Echo Investment entered into a preliminary agreement to purchase a centrally located Warsaw plot at the junction of Jana Pawła II and Grzybowska streets, where the Mercure hotel currently stands. The transaction volume was €31m. Echo is going to build a 155-meter tall office tower with 45,000 sqm GLA office space on the plot, currently owned by Accor.

The other high-rise story involves the return of state-owned property management company Dipservice of its pre-crisis plans (on which we reported here). The company wants to go ahead with plans to tear down its current seat in obsolete building on Świętokrzyska Street, directly opposite the Rondo 1 office tower, in order to build a 30,000 sqm office complex consisting of two buildings of 16 and 37 storeys, plus a hotel and conference center. ”

“We cannot offer high standards here, and therefore we’re losing out on the rents we could possibly charge in a modern building in such a location,” Dispervice told CIJ when we first spoke to them about their plans in 2007.

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).

Eurohypo agrees €50m loan for Echo

Just weeks after Eurohypo’s announcement that it was leaving all the CEE markets besides Poland, Echo Investment has achieved a financing agreement with the bank for its 33,000 sqm Warsaw office scheme Park Postępu. To be handed out in five installments by September 2010, it will cover the construction costs of project where works began in January 2008.

Echo Investment president Piotr Gromniak says the deal could spell brighter days ahead for the property market.  “I hope that the agreement with Eurohypo may be interpreted as the beginning of a change of the unfavorable market tendencies. Apparently decisions concerning financing of good and secure projects may be taken without needless delay.”