Arco Invest EOOD, a subsidiary of Arco Vara AS, has entered into a preliminary contract for the sale of the commercial building Madrid BLVD in the capital of Bulgaria. The transaction costs 9.1 million euros and the final sales document will be signed within 6 months.
Madrid BLVD, a commercial and residential building developed by Arco Vara, was completed in 2010. The building, with two floors underground and nine floors above ground, includes parking, apartments, a shopping center and offices. All the apartments in the building are sold, but Arco Vara was still involved in the rental of commercial and office premises, amounting to almost 7,500 m2 in total.
Arco Vara CEO Miko Niinemäe comments: “We cannot rule anything out in the distant future, but Arco Vara does not intend to get involved in commercial real estate before 2026. As in Estonia, we we will also focus only on building houses in Bulgaria. Profits from transactions are to be invested in new plots for residential development.
Three companies were founded to finalize the sale: Office Cherkovna EOOD, Oborishte Premium Apartments EOOD and Trade Center Cherkovna EOOD. The new companies will remain 100% owned by the Arco Vara group until the sale is finalized.
Arco Vara AS
Tel: +372 614 4630