SERBIA GTC sells Belgrade portfolio to Indotek

The transaction, which concerns eleven buildings in five business parks with a combined area of 122,175 sqm, is due to close in Q3 2021. The properties include Green Heart, FortyOne, Belgrade Business Center, 19 Avenue and GTC House, each of which are located in the New Belgrade district. According to GTC, once completed the transaction will be one of the biggest on the CEE market in the last five years. The acquisition price is EUR 2 mln above the book value of the properties at the end of last year.

The sale of eleven premium class office buildings in Belgrade is a bold move that will allow us to complete our development cycle in Serbia and start a fundamentally different chapter on this market. The sale of the Serbian portfolio couldn’t have been more timely, as we are currently in process of redefining our market strategy and advancing our operations to be more sustainable and future-proof. This is benchmark transaction in Belgrade, demonstrating liquidity post-Covid. Selling some of our assets and relocating the free cash flow for the development of brand-new, ambitious projects in Serbia and other CEE markets is truly an exit on a strong note, which will drive us forward.
Yovav Carmi, the president of the management board of GTC

GTC is being represented by Dentons and ZSP Legal for this transaction, while Indotek is represented by law firms BDK Advokati and Lakatos Köves and Partners.

Indotek Group has been present in its domestic market for almost 25 years. In the last decade the company also started to expand outside of Hungary, resulting in Indotek Group being active in ten countries today. We have been looking for the opportunity to enter the Serbian market for a long time, and with the current transaction we are able to significantly strengthen our position in the region. I am particularly proud that our first transaction in Serbia makes us one of the most dominant players in the Belgrade office market.
Dániel Jellinek, the founder and CEO of Indotek Group

GTC has recently invested EUR 160 mln in the acquisition of two office properties in Budapest: the local headquarters of Ericsson and Siemens Evosoft. Its pipeline office projects in the country include GTC X and Project Blaze.