- EBRD supports urban regeneration project in Romania’s second city, Cluj-Napoca
- EBRD loan of €180.3 million is part of overall financing package of up to €400.6 million
- Financing for Rivus Investments SRL to create an entertainment, office, retail space
The European Bank for Reconstruction and Development (EBRD) is lending €180.3 million for a major urban regeneration project to revitalise Romania’s second city, Cluj-Napoca, transforming an industrial site into a major entertainment, retail, cultural and office mixed-use project while improving the surrounding infrastructure.
Of the total loan to Rivus Investments SRL, a company incorporated in Romania, €132.8 million will be provided by the EBRD and €57.5 million by commercial lenders.
The EBRD loan is part of a larger financing package of up to €400.6 million, including Erste Bank, BCR Romania and BRD Groupe Société Générale S.A.
The funds pave the way for the development of the largest mixed-use urban regeneration project in Cluj-Napoca. It features the development of 132,500 square metres of Gross Lettable Area (GLA) commercial and entertainment space, through the consolidation and conversion of two historical buildings into a performing arts centre, office space and interactive family entertainment centres.
The investment also entails substantial infrastructure improvements to benefit the entire area, including the development of road, bike, and green infrastructure. Two pedestrian bridges and a four-lane vehicle bridge will be built over the Somes Mic River. The plan also features two new roundabouts, a road, an advanced smart traffic light system and the rehabilitation of a public square, car and bike parking spaces with electric vehicle charging stations, a park and urban garden (52,000 sqm green spaces). Part of the infrastructure development will be donated to the Municipality of Cluj upon completion for use by the community.
“We are pleased to partner with an experienced local developer on this landmark urban-regeneration project in Cluj-Napoca. By transforming a long-neglected site into a vibrant public space, the initiative will both enhance the city’s landscape and advance the goals of the EBRD Real Estate Sector Strategy 2025-2029, where urban regeneration is a core pillar. It also marks the Real Estate team’s largest urban regeneration project signed so far this year, a milestone we are extremely proud of” said Vlaho Kojakovic, Director of Real Estate for the EBRD.
He added: “The strategy prioritises investment in the green transition by supporting net-zero objectives, promoting sustainable buildings, while advancing urban regeneration and fostering accessibility and inclusion for all. This investment aligns with our commitment to fostering sustainable development and improving the quality of life in the communities we serve”.
“The project intends to transform an industrial site into a state-of-the-art mixed-use destination, anchored by retail, cultural and green facilities, fostering further revitalisation of the city while integrating industrial heritage elements that are symbolic of the local identity. The development will serve as a regional attraction, with a wide selection of stores, business opportunities, entertainment and cultural options and leisure amenities,” said Iulian Dascălu, President of IULIUS Company.
Rivus is 50 per cent owned by Iulius Group Romania and 50 per cent by Atterbury Europe.
Iulius is a long-standing local developer in the Romanian market, specialised in large-scale mixed-use urban development projects. With a portfolio of more than 310,000 square metres of retail space and 242,000 square metres of office space, Iulius has successfully completed landmark mixed-use projects such as the Palas complex in Iași and Iulius Town in Timișoara.
Atterbury is a holding, investment, and financing company with operations in Europe, including Romania, Cyprus and Serbia. In Romania, Atterbury Europe has been involved in several joint ventures with Iulius, contributing to the development of mixed-use urban regeneration projects across the country.
The EBRD is a multilateral bank that promotes the development of the private sector and entrepreneurial initiative in 36 economies across three continents. The Bank is owned by 75 countries as well as the EU and the EIB. EBRD investments are aimed at making the economies in its regions competitive, well governed, green, inclusive, resilient and integrated.
To date, the EBRD has invested more than €11.5 billion in 560 projects in Romania.