Virgil Lixandru, Euro Vial Residence: “Investors have begun to understand the value that a green building brings”
“The real estate market in Romania must align with the needs of a select public, which emphasizes sustainability, quality and performance and for which comfort at the highest standards prevails,” Virgil Lixandru, Managing Partner, Euro Vial Residence told The Diplomat-Bucharest.
“Our clients from Sea On Mamaia are successful businesspeople or employees in top and middle management positions and are around 40 years old. Most are attracted by the uniqueness of our beachfront resort.”
How would you describe your company’s office portfolio in Romania in relevant figures? (investments of current projects, locations)?
We founded Euro Vial Residence out of passion for quality, elegance and refinement, and the results seen in our projects led us to the top of the Constanta’s developers. We are very attentive to the details that make the difference.
The greatest satisfaction is when we see the client happy in the end, when he talks to you as he talks to a friend, he calls you for the holidays, he asks you how you are doing. You absolutely forget about all the problems you had during the project when you see that people are happy. In our business, if you make a mistake or do something wrong, then you can’t go on. The first question of a client is who the developer is, he wants to see what you did, what else you built.
We have three projects in Euro Vial Residence portfolio. Besides Sea On Mamaia, where we built 400 apartments and nine commercial spaces for the people who love the Sea, we also built the exclusive ensemble Lake On, also in Mamaia, close to Constanta, where we have 179 apartments, sought after by many people in Constanta. But also Forest On, with 36 apartments, a real estate complex that we built in Baneasa Forest, near Bucharest, in a quiet area, in the middle of nature.
Which are the main facilities offered by the recently launched Sea On project and how it differentiates on the specific market?
We developed this project, starting from the needs of a select public, which emphasizes sustainability, quality, and performance and for which comfort at the highest standards is more important than capping the cost of acquisition at a certain level.
Therefore, we were not surprised by the speed with which the residential spaces were sold – we concluded over 60% of the pre-contracts still in the construction stage, and at the moment we have already sold 85% of the total apartments.
The pandemic hasn’t reduced demand, but, on the contrary, we notice that more and more families and couples are looking for residences like SEA ON and Lake On too, where they can spend quality time together and enjoy a relaxing social life.
The future belongs to communities with common preferences, consolidated around a point of attraction, which provides them with everything they need. We, as developers in the premium area, pursue this goal through all our projects.
The exclusive SEA ON project is unique in Mamaia, being 95% completed, the first of its kind, among the EURO VIAL RESIDENCE projects. It is differentiated by a top positioning, being located right on the beach, close to clubs and the most popular attractions.
The complex has 400 apartments with premium finishes, ventilated facade, underfloor heating, advanced Smart Home system, 6 commercial spaces and a nearby area of over 10.000 sqm, intended for various activities of relaxation and leisure, including restaurants, terraces, private beach, children’s playground and a fitness area with a swimming pool.
How much did you invest in your projects and how did you finance it?
The financing came through the own contribution of the associates and bank credit, the total value of the investments within 4 years reaching approx. 38.5 million Euro.
In our business plan, we do not rely on the financial values coming from sales in a large proportion, but somewhere between 25-30%. For the safety of our clients, Euro Vial Residence brings both its own contribution and, most importantly, financing through bank loans. On the residential market, developers go a long way on big advances and, they end up building on the client’s money.
We really recommend customers who invest in the project level to buy from developers who work with the bank because the bank is the best guarantor in terms of project viability.
Which are the business expectations from your projects in 2021-2022?
We are glad that our projects were very attractive, and the clients who invested in a project were eager to invest in new projects as well. At Sea On we sold 85%, while at Lake On we already sold 75% of the apartments. We intend to sell all the apartments in the Sea On luxury complex by the end of the first quarter of 2022, while at Lake On we intend to sell in full by the end of the second quarter of 2022.
We don’t stop here. We will continue on the same line, with other premium projects, with all the facilities inside the residential complex, here emphasizing the comfort of the clients created by the existence of green spaces and parking lots. We never lower the bar, our goal being customer satisfaction.
In 2022, we will launch the Live On Residence & SPA and Lake On 2, specific projects, both on the shores of Siutghiol Lake, which will complete the facilities we have so far in the already existing projects.
What is the profile of your customers? What is the targeted customer-type?
Our clients from Sea On Mamaia are successful businesspeople or employees in top and middle management positions and are around 40 years old. Most are attracted by the uniqueness of our beachfront resort.
We also have such clients at Lake On, on the shores of Lake Siutghiol. In general, they are looking for elegant, luxurious homes, to feel every day the comfort of a home in the famous Mamaia – for those who live in Constanta, or to come on weekends.
Forest On customers enjoy a special location, in the heart of nature, Baneasa Forest, away from the hustle of the city. Many clients want to make an investment, and others rent out their homes, looking for long-term financial gains.
How do you see the development and potential of the Romanian market in terms of new developments and attracting new investments?
The real estate market in Romania must align with the needs of a select public, which emphasizes sustainability, quality, and performance and for which comfort at the highest standards prevails.
The new investment projects target that public eager to try local experiences, attractions in the area, interesting ways to spend free time, adventure, gastronomy, walks, trips, etc. It is an audience aligned with the new trends in technology, for which online is a daily necessity.
What do you think about the sustainable construction projects in Romania and which are the main sustainable aspects to be considered?
In Romania, in recent years, investors have begun to understand the value that a green building brings, such as increased productivity, innovation and low operating costs, and are increasingly opting for such construction. They are increasingly motivated by the benefits of creating sustainable buildings that intelligently use natural resources and improve the quality of life of their occupants.
Romania is currently exceeding the threshold of 250 green buildings. For their construction, materials of local origin are used, which are not polluting or toxic. Consumption for the maintenance of such buildings is low, both in terms of energy and water, with preferable own production of renewable energy and water recirculation.