The Company’s Investment Strategy is defined, in order to take advantage of changing real estate dynamics. The investment strategy maybe occasionally updated by the Investment Committee within the framework of the Company’s business plan and the relevant provisions of the REIC law outlining the permitted investments.
The Company aims to invest mainly in office space and retail shops. Regarding offices, the Company focuses on high quality buildings with modern infrastructure in key business areas. Concerning retail stores, these should be located in urban areas prime locations. Given the strong interest from hotel brands and operators to expand their existing Greek activities or to enter the Greek market, the Company will consider selective hotel investment opportunities. Finally, in compliance with the qualitative investment criteria the Company has defined, it may examine the acquisition of other property types (such as leased logistics properties).
The Company considers all structures/ways allowed by the legal framework governing REICs. Primarily the Company aims to expand its portfolio through acquisitions of individual properties or portfolios that meet the qualitative investment criteria set through direct real estate acquisitions, or acquisitions of stocks and shares of companies holding real estate or through forward purchases. The company will consider real estate development opportunities that demonstrate exceptional Return on Investment and Return on Equity.
The Company’s management team has – among other things – experience in acquiring real estate in conditions of macroeconomic instability, expertise in effective execution of transactions in an optimal way and an established network of sourcing opportunities in the Greek and Southeast Europe market. The Company primarily aims to acquire assets through off-market transactions.
For its portfolio expansion, the Company primarily targets assets located in major (population-wise) Greek and Cyprus cities (at least 80% of its portfolio), but also – on a case by case basis – assets located in Bulgaria, Croatia, Romania, and Serbia (up to 20% of the portfolio at a maximum). Hence, the Company’s geographic area is: Greece, Cyprus, Bulgaria, Croatia, Romania, and Serbia.
The Company aims to hold properties for a relatively long period, however short-term exits are not excluded. To date the Company has not sold any asset. In general, property acquired by a REIC may not be sold within 12 months from acquisition, with the exception of non-commercial property and property under construction.