The creation of a value portfolio estimated to approach €1 billion by the end of the decade, from €571 million, is planned Noval Property AEEAPof its subsidiary Viohalco. For this purpose, the company has designed an investment program of 340 million euros, which foresees the development of its own properties as well as the acquisition of third-party properties. Speaking to “K” Mr. Panagiotis Kapetanakos (pictured), managing director of Noval Property, notes that the process of listing the company’s shares in Athens Stock Exchange is in the final stretch and is expected to be completed within the second quarter of the year.
As he explains, “from the capital increase that will take place, we aim to raise an amount of 100 million euros, of which 89.5 million euros will concern the public listing and, in the context of a related agreement, 10.5 million .euro to the EBRD. The EBRD has already invested this amount in the company and will convert it into shares of Noval Property when the company is listed on the Athens Stock Exchange. According to Mr. Kapetanakos, currently the management of the company is proceeding with a series of meetings and presentations with potential investors, of all sizes and profiles, from family offices to institutional investors, from Greece and abroad. “The response we have received is positive. This is also due to the presence of our main shareholder, Viohalco, which is also one of the elements that differentiates us. In fact, I would like to remind you that Viohalco has committed to maintain control over Noval Property at least until the end of 2028, when the seven-year green bond we issued in 2021 expires,” he emphasizes.
From the proceeds of the capital increase, part of the investment program currently implemented by Noval Property, totaling 340 million euros, will be financed. “Of this amount, 61.2 million euros, or 18% of the total, are going to be used for purchases real estate of third parties, while the remaining 82%, or 278.8 million euros, will concern investments for the development of properties that we already have in our portfolio. Essentially, that is, most of the investment program is tangible, concrete and realistic and not something hypothetical, as it is based on “unlocking” capital gains and returns on properties we already own. Currently, five individual investment projects have been put on track for implementation, of which four are already under construction and the fifth, which is the most important, is in the licensing maturation stage.
The investment program of 340 million euros focuses on the development of privately owned properties and the purchase of new ones.
“Certainly the work of renovating the old one Halkor (Viohalco’s first facilities) is the largest of our investment portfolio, as it will represent an investment of 170 million euros and a total development of 106,000 sq.m. Although it is located very close to the center of Athens, on Piraeus, the surrounding area is degraded, but with a very important perspective, as the Foundation of Greater Hellenism, the Tsausoglou building, which hosts the Hellenic Festival, and of course the University are very close Fine Arts. The plan, edited by Foster & Partners, includes office, hospitality (hotel), residential, museum and trade and catering uses”. As the head of Noval Property explains, “we want to create a large and vibrant neighborhood of art and culture, which will introduce a new way of life.”
A dominant element of development are also residences that will be hosted at the property. These will be apartments of an affordable nature that will be aimed mainly at new households, perhaps even students. “Our goal is for there to be constant life and movement in our development and this will be ensured by housing accommodation”, emphasizes Mr. Kapetanakos. Regarding their utilization, Noval Property will lease these residential properties with urban lease agreements.
One of the company’s important projects, as it also reflects its approach to the market, concerns the reconstruction of an existing office building in 199 Kifisias St, at the height of Amarousiou, which will be converted into a low carbon footprint property. “We see that such buildings are in great demand among our customers and in this context we are proceeding with this investment to transform this particular property into one of the most environmentally friendly. The works will be completed within the first quarter of 2025.”
2024-04-08 20:43:00