Țuca Zbârcea & Asociații bags second deal for DEGI on the Romanian real estate market

Țuca Zbârcea & Asociații has advised the investment fund Deutsche Gesellschaft fur Immobilienfonds (DEGI), part of Aberdeen Property Investors Group from Scotland, on the closure of a hundred million Euros deal for the takeover of the Iris Shopping Center in Bucharest which also includes an Auchan hypermarket. Ziarul Financiar, Romania's leading financial and business newspaper reported today that the transaction value amounts to EUR 147 million. The deal is DEGI's second on the local real estate market, after the acquisition of three office buildings in 2007.

Țuca Zbârcea & Asociații fielded a team of 7 lawyers led by real estate partner Dan Borbely.

According to Dan Borbely, the firm was working on the deal for the past 5 months. “We were delighted to advise DEGI on one of the largest deals in the Romanian market in Q1, especially at a time when some would have expected a slow down in real estate activity and a yield softening”, added Dan Borbely.

Commenting on the real estate market, Dan Borbely said: “The first quarter of this year has been really challenging. This transaction proves there are some worthwhile real estate investments to be made. The potential of the property market and the growth in consumption expenditure are all signs of market maturity. As such, we expect a pick-up in activity in Q2 of 2008.”

Țuca Zbârcea & Asociații has one of the largest real estate practice groups in the country, with over 20 lawyers and 4 real estate partners. The firm has a strong presence on big-ticket real estate transactions and was recognized as the most active transactional law firm in the market.