FM newsroom – office, investment, Sofia. Raycho Raychev, founder and CEO of EnduroSat, and Petar Mitev, CEO of Chaos, have teamed up to strike a landmark investment transaction on Bulgaria’s commercial real estate market in 2024. The CEOs have purchased an office project previously hosting the HQ of Alpha Bank in Sofia.
A Cushman&Wakefield Forton team acted as an intermediary in one of the landmark investment transactions on the commercial real estate market in 2024 in Bulgaria. The consultants of the firm helped conclude the sale of the former headquarters of Alphabank on the capital’s Tsarigradsko Shose Blvd, the official announcement says.
Where is the aerospace sector heading?
The buyer is Raycho Raychev, founder and CEO of EnduroSat, one of Europe’s fastest-growing aerospace companies. His partner in the transaction is Petar Mitev, co-founder and long-time CEO of Chaos. The building has a gross area of over 17,000 sqm and will be used by EnduroSat for its own purposes.
“We have specific plans for the development of the aerospace sector and this building is strategically important for us to achieve our goals. We will announce further details in the coming months. We are grateful to UniCredit Bulbank and Cushman&Wakefield Forton for their successful collaboration on the transaction, as well as to the team of law firm Yonev Valkov Nenov,” – commented Raycho Raychev.
The state of the market
According to Yavor Kostov, managing partner at Cushman & Wakefield Forton, the transaction for the former headquarters of Alphabank is indicative of the state of the investment market for commercial real estate in Bulgaria.
“The market is dominated by deals with properties for own use. Most active are domestic investors, who see acquisition opportunities with no competition from large international funds,” – Yavor summed up.
Yavor Kostov expects that this investment environment would remain in place over the next 6 to 12 months. He justified this prospect with the more conservative than expected policy of the European Central Bank and the sentiment of large institutional investors in Central and Western Europe, who are focused on solving their own internal issues and tend to make decisions on new acquisitions more carefully.
Image: gbs-bg.com
