Abu Dhabi Financial Group (ADFG) is planning to develop a vast site on the Black Sea in Bulgaria as part of a major push into eastern Europe.
It comes as the alternative investment group gears up to invest as much as €500 million (Dh2.07 billion) in the region over the next five years.
The group, which made headlines in London’s property market last year after revealing plans to redevelop New Scotland Yard and No 1 Palace Street, is involved in several projects across Bulgaria, Serbia and Montenegro, where it sees huge potential for growth. It also has franchise rights to develop Hard Rock Cafes in the countries.
ADFG will invest up to €200m over the next two years in the region, which could rise to as much as €500m by the end of the decade.
“In eastern Europe we have a land bank that we are developing right now,” said Jassim Alseddiqi, the chief executive of Abu Dhabi Financial Group. “We have a big plot of land on the Black Sea that we are looking to develop over phases. It’s a prime location and covers a couple of million square feet – residential, hospitality and retail.”
The group said in May that it expected penthouses at its No 1 Palace Street in London’s Victoria to fetch as much as £60m (Dh332m) when they eventually go on sale.
Northacre, which the Abu Dhabi group bought in 2013, is converting the office building located close to Buckingham Palace into 76 apartments.
“Victoria is going through a lot of changes, and what I think will be a major change will be the emergence of the first super-luxury development, which is No 1 Palace Street,” said Mr Alseddiqi. “We like this area very much and we expect to see a convergence in prices between Victoria and areas such as Knightsbridge and Mayfair.”
ADFG in December also acquired New Scotland Yard, home to the London Metropolitan Police since the 1960s, for £370m from the Mayor’s Office for Policing and Crime.
The 600,000 sq ft site will be redeveloped into a mixed-use project and marketed as Ten Broadway. The Abu Dhabi group beat ten other unnamed bidders to acquire the site.
scronin@thenational.ae
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