BSR Europe Co-Investment Facility



Project number:


Business sector:

Property and tourism

Notice type:


Environmental category:


Approval date:

11 Jul 2006



PSD disclosed:

31 May 2006

Project Description

The proposed project is a direct investment into BSR Europe BV (“BSR”) and a Joint Venture Programme (“the Joint Venture Programme” or the “Joint Venture”) alongside BSR through the provision of equity financing up to a maximum of EUR 35 million to be used to develop retail, office, residential, mix-use or industrial projects in Romania, Bulgaria, Russia, Serbia, Ukraine, Croatia, Montenegro, Georgia and Moldova (the “Region”).

Transition Impact

The strategic input of the Bank is essential in various aspects:

  • Within the Region in general but particularly in the small, less advanced countries such as Georgia and Moldova, there is a lack of properties of international standard in all real estate asset types. The Joint Venture Programme will target to increase the standards of quality for the property investment market through development of Class A retail, office, industrial, and residential properties. In doing so, the transfer of skills and know how to the local economy during construction, implementation, and management of the sub-projects through backward linkages in the local construction sectors will also be accomplished.
  • EBRD’s catalyst role will support the development of the secondary markets and will provide a hands-on support for the restructuring and/or development of the corporate governance of investee companies. This will provide much needed liquidity and encourage equity investors to expand their participation in the real estate sector in the Region.

The Client

BSR is a fully owned subsidiary of BSR Europe Ltd. (“BSRE”), a holding company quoted on the Tel-Aviv Stock Exchange. BSRE is part of the BSR Group (the “Group”) which has over four decades of experience in international real estate development and project management. The Group promotes and develops large-scale high quality residential complexes, office and high-tech buildings, as well as commercial centres. BSR operates in Czech Republic, Slovakia, Poland, Hungary, Latvia, Romania, Bulgaria, and Cyprus.

Each project will be implemented by a special purpose vehicle (an "SPC") established to carry out that project and in which the Bank and BSR will each be shareholders. The SPCs will be locally incorporated.

EBRD Finance

Equity investment of up to EUR 35 million.

Project Cost

To be confirmed.

Environmental Impact

Screened C1.

A corporate environmental audit will be carried out to assess the Sponsor’s environmental risk management capacities as well as environmental risks associated with the proposed sub-projects. If any significant issues related to the Sponsor’s environmental risk management practices are identified during the initial due diligence, a site visit may be proposed. The Sponsor will be required to adopt and implement the Bank's Environmental Procedures for Multi-Property Development which will require the Facility to comply, among other things, at a minimum, with the health, safety, labour and environmental regulations and standards applicable in the country where the investment is situated as well as good international practices. No other issues to raise at this stage.

Technical Cooperation


Company Contact

Janet Woo, Principal Banker

Tel: +44 207 338 6000


Business opportunities

For business opportunities or procurement, contact the client company.

For state-sector projects, visit EBRD Procurement: Tel: +44 20 7338 6794

General enquiries

EBRD project enquiries not related to procurement:
Tel: +44 20 7338 7168

Public Information Policy (PIP)

The PIP sets out how the EBRD discloses information and consults with its stakeholders so as to promote better awareness and understanding of its strategies, policies and operations. Please visit the Public Information Policy page below to find out how to request a Public Sector Board Report.
Text of the PIP

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