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BUCHAREST, Romania, June 25, 2024 /PRNewswire/ -- Real estate investor-developer HAGAG Development Europe (TASE: HGGE) and leading real estate consulting agency CBRE Romania have recently signed an exclusive agreement destined to place Romania on the map of luxury shopping destinations.
Romania's luxury goods market is estimated to generate revenues of EUR 535.82 million in 2024, with a significant contribution from online sales (13.8%). The demand for luxury goods is on the rise, fuelled by an increasingly wealthier[1] population.
In this context, HAGAG Development Europe is delighted to announce the exclusive involvement of CBRE Romania in the leasing strategy of H Știrbei Palace - a class A, iconic, historical monument located in the heart of Bucharest on the emblematic Calea Victoriei, with extraordinary visibility and exposure, and one of the most anticipated retail projects in Romania's capital city.
"We are delighted to join forces with CBRE, whose outstanding reputation and track record in the real estate realm speaks for itself. This partnership reiterates our commitment to place Romania on the map of luxury shopping destinations and validates the enormous potential of H Știrbei Palace, while marking an important step in our strategy to attract exclusive brands and offer customers a unique shopping experience.", said Ana-Maria Nemțanu, Leasing Director at Hagag Development Europe.
With an impressive history of about 200 years and a unique architectural presence, the former protocol royal residence of Prince Barbu Știrbei is currently undergoing comprehensive restoration, consolidation, renovation works, and will be facing the world again by mid-2025. Once completed, H Știrbei Palace aims to become a flagship shopping gallery for luxury brands in the Southeast European region.
"H Știrbei Palace is the ideal project for luxury brands seeking a strategic presence in Europe, in a premium location. Romania's retail market has proven its resilience and potential in Central and Eastern Europe, with remarkable results. Our goal is to transform Știrbei Palace into the city's luxury shopping destination, bringing Calea Victoriei back to the world's most important commercial arteries. We believe this project will significantly contribute to the development of the luxury retail market in Romania and strengthen Bucharest's position as a top shopping destination," said Carmen Ravon, Head of Retail Occupiers CEE at CBRE Romania.
In this mandate, CBRE Romania is focused on attracting premium and luxury retailers, responding to significant demand from this segment. The increased interest shown in recent discussions confirms the robust potential of the Romanian market.