Grand Hotel Traian, a landmark hotel in the center of Iasi - the biggest city in Eastern Romania, has been put up for sale at an auction for the starting price of EUR 5.55 million without VAT.

The hotel, which is classified as a historic monument, was built between 1879 and 1882 based on plans by famous French engineer Gustave Eiffel. The building was initially supposed to be a theater but as the investor who started it went bankrupt due to the high construction costs, it was taken over by one of his creditors who decided that it would be better suited to host a hotel.

The hotel has a rich history. In 1918, when Romania was still at war and Bucharest was occupied by the German army, the Traian Hotel hosted the Romanian Government’s meetings. Legend says that even famous actress Greta Garbo stayed in one of the hotel’s luxury suites under a false name, in 1934.

The hotel was nationalized in 1950. In 2001, local investor Danut Prisecariu took over the company Turism Moldova, which owned the Traian Hotel and Astoria Hotel in Iasi. He then invested some EUR 4 million in the hotel’s renovation, according to the local media. The company went into insolvency in 2015.

Grand Hotel Traian has 68 rooms and suites and three event rooms. It also has a restaurant and a and English-style pub.

The foreclosure auction, which is organized by judicial administrator BDO Business Restructuring takes place in Bucharest on August 8.

Gustave Eiffel, who became famous for the Eiffel Tower in Paris and for his contribution to the Statue of Liberty in New York, also designed the Eiffel Bridge at Ungheni, a steel bridge over the river Prut, which connects Romania and the Republic of Moldova. In 1973, he also built the biggest market in Iasi, Hala Centrala, which was demolished in 1960.

editor@romania-insider.com

(Photo source: Wikipedia / Cezar Suceveanu)