Bucharest City Mall To Be Put On Sale For EUR26.2M

04.27.2011 By Andrei Circhelan

Bankrupt shopping center City Mall, in Bucharest, will be put on sale for the third time on May 16, at EUR26.2 million, after two previous failed attempts, Wednesday said Radu Lotrean, partner with CITR, the mall’s liquidators.

Bankrupt shopping center City Mall, in Bucharest, will be put on sale for the third time on May 16, at EUR26.2 million, after two previous failed attempts, Wednesday said Radu Lotrean, partner with CITR, the mall's liquidators.

The new asking price is 20% lower than the initial EUR33 million, since there were no buyers interested in the previous two auction attempts.

City Mall was put on sale for the first time on March 31, at EUR33 million, and for the second time on April 20, for EUR29.5 million.

City Mall went bankrupt in November 2010, after owner Victoria Holding, a unit of Australia's investment fund APN European Retail Trust, was unable to repay the loans taken for its construction.

According to the preliminary chart of debts, the three banks that financed the project stand to collect a total 176 million lei (EUR43.26 milion).

City Mall has a total surface of 38,000 square meters and a lettable area of 19,000 square meters. The center includes 80 stores, cafe bar and restaurant areas, as well as a movie theater operated by City Cinema. (EUR1=RON4.0767)