What led you to shift from an IT background to real estate, and what has kept you dedicated to this field?

After a 20-year career in IT, I realized my passion for interacting with people. Transitioning to real estate in 2008 stemmed from this inclination. During my tenure at ING in the ‘90s, I found joy in securing a headquarters (Opera Center). In 2008, I joined Portland Trust, attracted by the right partnership and timing.

Portland Trust focuses solely on Romania and the Czech Republic. What’s the rationale behind this specific market choice?

Despite our substantial investments, we operate as a small, entrepreneurial team, closely collaborating with the US-based fund manager ARES. Our commitment to detail demands concentration, leading us to focus solely on the capital cities of Romania and the Czech Republic, where we have deep familiarity and belief.

How do Bucharest and Prague compare in terms of project demand and challenges?

Both cities offer growth potential and attractive yields. While Romanian bureaucracy is seen as challenging, compared to the Czech Republic, it’s relatively streamlined. Bucharest, with a fast-growing economy and proactive population, is promising, whereas Prague benefits from international attention as a more mature market.

What are the main challenges in the Romanian market for Portland Trust?

The primary challenge lies in identifying trustworthy investments where stakeholders align. Despite a proactive approach, collaboration with local authorities faces hurdles. Traffic management issues encountered during Oregon Park’s construction, unresolved even after seven years, highlight challenges in collaborating with public institutions.

What criteria guide your investment choices?

We prioritize premium assets with sustainable infrastructure, public transport access, safety, long leases, and profitable exits within 3-5 years, aligning with our premium sector focus.

Did the pandemic impact Portland Trust’s office-centric portfolio strategy?

While our portfolio includes offices, we’ve recently diversified into renewable energy with a photovoltaic project. We remain steadfast in the office segment, focusing on “risk-averse” investments. EXPO Business Park and J8 Office Park exhibit solid lease collections despite the pandemic’s effects. The pandemic emphasized the necessity of modern office facilities, with our buildings offering advanced features like medical-grade standards and AI support for hybrid work environments.

Looking ahead, what are Portland Trust’s priorities for the next few years?

Completing ongoing projects, pursuing new office market opportunities, expanding our photovoltaic sector, and exploring niche industrial sectors are our short-term ambitions.

What message do you have for potential investors eyeing the local market?

The Romanian real estate market holds immense value. Portland Trust has prospered here for over 20 years, showcasing the market’s potential for tier one investors willing to embrace it without preconceptions.