The office sector dominated H1 activity, attracting €138 million, or around 65% of total transaction volume. After the €282 million AFI Europe and MAS Real Estate deal closed, retail regained its position as the most transacted asset class, with a volume exceeding €350 million. Other transactions completed in the first half included the @EXPO office complex in northern Bucharest, the NEST retail parks in Miercurea Ciuc and Moineşti, the Record Park office scheme in Cluj-Napoca, and the Equilibrium 2 building in Bucharest's Floreasca-Barbu Văcărescu submarket.
In terms of capital origin, investors from Central and Eastern Europe, including Romanian buyers, were the most active, accounting for €144 million or 68% of total volume, followed by Turkish investors with €52 million, representing 25% of the total.
"Romania's real estate investment market remained active despite a broader environment marked by economic and political uncertainties, successfully attracting two new investors: Turkey's Mondo Development, which acquired the @EXPO office complex, and Czech-based Star Capital Finance, the new owner of the NEST retail parks in Miercurea Ciuc and Moineşti. AFI Europe's €282 million acquisition of the Value Centres portfolio from MAS Real Estate, the second-largest transaction ever completed in Romania's real estate market, demonstrates that investors with a strong understanding of local market fundamentals remain confident in the sector's long-term performance and are willing to execute large-ticket transactions," said Cristi Moga, Head of Capital Markets at Cushman & Wakefield Echinox.
The macroeconomic environment remains challenging, with Romania's economy contracting by 0.3% in the second quarter and inflation hovering around 10% in the first half of the year. Prime yields held steady across all major segments, at 7.00% for high-street units on Calea Victoriei, 7.25% for offices and shopping centres, and 7.50% for industrial space. These levels remain 100 to 200 basis points above those recorded in most other Central and Eastern European markets. The report notes that an economic recovery and greater political stability could support stronger investment activity in the second half of the year, with several medium- and large-sized transactions in advanced stages of execution.
