Real estate investments in Romania in the first half of 2012 reached the lowest level since the first part of 2005. Only two transactions were closed, totaling EUR 55 million, according to a report by CBRE Consulting.

The two big transactions were the Nokia factory in Cluj being bought by the electronics manufacturer De’Longhi, and the complex City Business Centre in Timisoara, acquired by South African investment fund NEPI.

Romania remains an attractive market, but lack of funding and problems in the euro area have increased the investment risk. In Central and Eastern Europe the highest investment volume was registered in Russia and Poland, according to the report.

Prime yields have stabilized in Romania on three markets - retail (shopping centers and street spaces), office and industrial. On the office segment, the prime yield stood at 8 percent, while  retail and industrial sectors remained at 8.75 percent (shopping centers), and 10.25 percent (warehouses), according to CBRE.

In the first semester of the year, in Central and East Europe, Russia recorded the largest investment volume of over EUR 900 million, followed by Poland, with over EUR 800 million, and the Czech Republic, about EUR 180 million.

Ioana Toader, ioana.toader@romania-insider.com