Development in Timisoara
As Romania’s economy grew fast in the years 2000, there was a growing need for retail space development on the outskirts of cities. Located in the Western part of the country, close to the Hungarian border, Timisoara is one of the most dynamic cities in the country. In 2006-2007 Centerra identified a site on one of the main roads entering the city that had significant retail and logistics development potential. Using a newly created company - Jomrita Ltd - Centerra aggregated land from 25 different individual owners and claimants and cleared utility networks to create a clean-title, developable 24 ha (60 acres) site for a Carrefour development, which was under contract.
Centerra navigated the complexities and uncertainties of the Romanian land registry and legal system to acquire and aggregate this land. This required a thorough methodology and discipline in approaching prospective sellers, as to maintain a low average price per square meter. Following a long vetting and acquisition process, Centerra aggregated the numerous land parcels, zoned the site and prepared the aggregated site for development. The financial crisis of 2008 caused the development of the site to be delayed and Centerra exited the investment through a recapitalisation of the company.