Investors are looking towards Romania and Hungary

Capital flows from Central and Eastern Europe began to penetrate beyond the safety and stability of Poland and the Czech Republic, investors being prone to risk showing a higher interest for markets such as Romania and Hungary, that were neglected until now.

Globalworth fund, preparing a funding of €200 million for investments in Romania. The entry of investors in the Romanian market could end a period in which competition has been modest, according to the Financial Times.

"Today is a little less competition for businesses in which we are interested. Everybody looks at Poland, and this is not bad for us because we can target assets at attractive prices. However if you believe in cyclical markets and the global flow of capital, Warsaw and Prague yields will fall to a level so low that investors will refocus their markets," the general manager deputy of Globalworth, Dimitris Raptis, told the Financial Times.

Most Globalworth assets are concentrated in Bucharest. Globalworth owns the BOB BOC Tower Center International, City Offices office buildings, as well as Herăstrău One, Bucharest One projects and the Upground housing complex. The market value of these projects was estimated in December at €488 million.