Immoeast AG, Austria’s largest real estate developer, will dispose of assets in Romania and may sell a Moscow mall to reduce dependence on those markets, according to chief executive Eduard Zehetner.
'We are over-invested in certain countries like Romania or shopping centers in Moscow,' Zehetner said in an interview in Amsterdam last week. 'We are not forced sellers and we are going to sell to restructure our portfolio into what we want.'
The property market in Romania, Immoeast’s biggest in central and southeast Europe, has been hit harder by the global financial crisis than anywhere else in the region, the Vienna- based company said in its annual report. In Russia, it has become more difficult to finance new shopping centers and tenants have been hurt by the rouble’s decline against the dollar, it said.