Lewis Charles Romanian Property Fund, a property fund focused on investments in Romania, has completed its second acquisition in Romania since launching on AIM.
Lewis Charles Romanian Property Fund, a property fund focused on investments in Romania, has completed its second acquisition in Romania since launching on AIM.
The company has acquired 50 per cent of SC Gold, which owns a 55,700 sq m site at Mogosoaia, Romania, for €13 million (£9.1 million).
The Guernsey-based fund was set-up to invest in both commercial and residential property in Romania and listed on AIM in August this year. After this deal the fund has spent more than 80 per cent of the proceeds raised with its IPO.
Planning has been approved for a high-density residential project on the site.
The development will comprise more than a thousand apartments in 14 blocks, plus associated retail and leisure facilities. The project will take four years and is expected to commence in early 2008.
The developer responsible for the project is Alchemy Development Management, headed by Ali Chemais who was previously general manager of Mivan-Kier.
The leading partner of the tax and legal practice of professional services firm PricewaterhouseCoopers Romania, Peter de Ruiter, headed the acquisition team that provided finance advice to Lewis Charles.
Charles said: “A dedicated team of real estate tax experts led by the senior partner Peter de Ruiter worked around the clock to turn Lewis Charles’ audacious endeavour into an investor appealing business. We trust our joint efforts in bringing Lewis Charles Romania Property Fund on the map of worldwide investment opportunity seekers, could not have found a better resolution than the listing on AIM.
“Investing in emerging markets drives real estate investment funds to associate challenges and opportunities leading the venture capital raised on the AIM to capitalise on their investment policy, he added.
“PricewaterhouseCoopers is proud to be associated with Lewis Charles as leading tax advisor.”
Fund administrator and corporate secretary the Bachmann Fund Administration Limited (BFAL) assisted Lewis Charles in structuring and executing the deal. The team was led by managing director Paul Duquemin, he said:
“Through our very close working relationship with the teams at Lewis Charles, we were able to review the structure of the deal and provide the necessary support to approve and execute the transaction within the required timeframe.”
Loraine Pinel and Mark Anderson who manage the fund, said: “We are very excited at this acquisition.”
