175,000 Sq. m Shopping Mall Planned for Sofia, Bulgaria

27.09.2010

Property Xpress

Bulfeld company has begun construction of a large shopping mall in the Sofia's Lozenets district. The project called Paradise Center will be located on a 3.6 ha site, part of the former Mototehnika and Mechanization company, between Cherni Vrah Boulevard, Philip Kutev and Srebarna Streets. The project's total cost is estimated at EUR 100 mln. Varna-based Komfort company has been selected general contractor.

Paradise Center will have a built-up area of nearly 175,000 sq. m, and 75,000 sq. m of GLA. Furthermore, besides a cinema theater and bowling alleys, the scheme will have various attractions, including a small amphitheater, rest zones on the roof, etc. Underground parking for 1,850 vehicles is also projected.

"The idea is to attract tenants, operating in the medium price segment, and we are already negotiating with potential anchors," said Bulfeld GM David Mihajlovic.

At the beginning, construction of the mall will be financed with equity. The company is in an advanced stage of negotiations with Unicredit Bulbank to attract a bank loan for the project.

Paradise Center is scheduled to become operational in autumn 2012.

The company has also started construction of a similar project within the Ilianci bazaar, with a GLA of about 20,000 sq. m.

Greek-based Danaos Development is also planning to begin a Sofia shopping mall project later this year. It will be adjacent to IKEA's first store in the country, on the Sofia's ring road.

Bulfeld is controlled by Paata Gamgoneishvili and Roland Isaev in partnership with Joseph Blaoshvili, who are also major shareholders in Bulreal company, which in turn bought the Ilianci bazaar in 2005 for about EUR 16 mln.

Paata Gamgoneishvili, also Deputy Chairman of Russia's Slavyansky Credit Bank, and his partner Roland Isaev, have implemented several shopping center projects in Moscow, Capital Weekly reported.