As a member of UniCredit, we are one of the leading providers of real estate financing in Austria and the Eastern European countries and are therefore the ideal partner for developers and investors who are active in this region.
Our market leadership is also backed up by the numbers: We currently serve roughly 4,000 real estate customers in Austria. And with a financing volume of over EUR 10 billion and a market share of 30 per cent, our Real Estate division is one of the leading full-service providers in the Austrian real estate financing segment.
As true generalists, we support our customers in all phases of their projects – from defining a strategy to the selection of the optimal development or portfolio financing method all the way to the search for investors.
Our market knowledge allows us to provide realistic price assessments. As a result, we can actively assist you even in the planning phase. We will put together an attractive package for your real estate project using innovative approaches such as residual value models, fixed annuities and favourable refinancing models.
As a competent point of contact for all your needs, we are not only well-informed about the latest market developments, but also develop innovative, flexible financing models.
We will support you with our expertise in commercial and residential construction and put all of our strength into play as one of the leading providers of real estate financing in Austria and the CEE countries.
We accompany professional construction companies, developers and private and institutional investors in all phases of complex commercial real estate projects and major investment projects – from defining a strategy to the selection of the optimal development or portfolio financing method all the way to the search for investors for large divestments. Our repertoire covers both conventional financing methods and the latest structured financing models.
UniCredit is the ideal platform for contacts between real estate companies, investors, potential tenants, chartered accountants, attorneys and public agencies. In addition, we are happy to structure and arrange financing, we offer outstanding solution expertise and we make our knowledge fully available to our partners.
Bulgaria and Romania – Not on the map for commercial property investors?
Economic conditions in both markets are excellent. Initial estimates suggest that real GDP growth was 3.7% in Romania and 3.0% in Bulgaria in 2015. Both countries are expected to record even faster growth this year and next, with private consumption one of the principal drivers of GDP expansion. This should boost retail turnover and in turn give shopping centres a lift. Bucharest’s office market is expanding rapidly and new space is also coming onto the market in Sofia. These new offices are generally classified as category A. Also new logistics properties offer in an environment of low vacancy rates and stable rents potential for investors.
The Hungarian real estate market was not a focus of attention of international investors and developers in the past few years. Recently, however, there have been signs of growing interest. In 2014, investment in commercial real estate rose by about 70% to almost EUR 500 million.
It is still difficult to assess the effect on market sentiment of the new economic-policy measures in the area of retail trade, including the ban on Sunday opening. Arguments in favour of Hungary’s real estate market include sound economic growth, attractive real estate yields and sustainable rent levels. This means that Hungary offers potential to anticyclical investors who are in search of yield. Developers may also find it worthwhile to realise projects.
In the low-interest-rate environment of the last years, real estate has become established as an important asset class. Investors looking for yield can no longer avoid considering property investments. Accordingly, the European real estate market is booming, and yields achievable on real estate have strongly declined. Also in Austria, yield compression is a fact. As of mid-2015, prime yields in the office sector reached 4.5%, those for Shopping Centers fell to slightly below 5%, and for retail parks slightly below 6%. Although with those yields the Austrian real estate market cannot quite keep up with the European premier league, this does guarantee it a place in one of the top leagues.
In our new Real Estate Country Facts Austria, we are not just looking at the investment market, but also provide you in the usual way with a review of economic activity, residential real estate and the office and retail markets.