Over 5,000 apartments disappeared from the Polish market in one day
As part of one transaction, 5.3 thousand apartments throughout Poland changed the owner in an instant. The German developer bought them immediately.
One of the largest development companies in Poland, implementing housing projects in Warsaw, Krakow, Wrocław, Łódź, Katowice and Poznań – Echo Investment – as part of one transaction, it sold 5.3 thousand apartments for rent from the Resi4rent platform.
All apartments were bought by one German company – Vantage Development, for PLN 2.4 billion. The transaction must still be approved by the Office of Competition and Consumer Protection.
Money to pay off debts and subsequent construction
“A successful transaction with Vantage Development, part of the Tag Immobilien Group, confirms that our alternative real estate investments attract leading strategic investors,” said Rafał Mazurczak, Operational Director of Echo Investment in an official announcement.
The transaction with the equivalent of EUR 565 million was covered by 5322 premises in 18 Echo Investment projects located in the six largest Polish cities.
“The purchase price corresponds to the expected future return rate of NOI (net operational income) determined at 6.3 percent by 2026, when the real estate completed in 2025 will reach” full stability “. The parties signed a preliminary contract, and its implementation requires the standard consent of the Polish antitrust authority” – says the message. The funds obtained from the transaction will be allocated to reducing debt, financing new projects and payments to shareholders.
Germany will earn on renting apartments in Poland
The German developer also achieved the goal, which was to expand the current offer of apartments for rent to 8.7 thousand. apartments within the Vantage Development form. – Thanks to about 1,450 units under construction, which is planned for 2026, we will achieve the strategic goal of our shareholders before the deadline, which is 10,000. apartments for rent under the Vantage Rent brand – announced Dariusz Pawlukowicz, vice president of Vantage Development and Robyg.
The Resy4rent platform is the largest company in Poland offering apartments for rent in a subscription. It has been operating since 2018. As part of Res4RENT, the apartments rent around 18 thousand. people.
After selling over 5,000 Res4RENT residential premises will manage 1.7 thousand. completed premises, 2.2 thousand under construction and over 600 planned.
