“I believe that the retail projects will continue to be relevant on the Romanian market if they are able to constantly adapt to the socio-demographic characteristics of the communities they serve and to adopt technological innovations. In my view, these two realities represent opportunities to explore new areas of development for the retail sector. We, at the Goldbach Group, have various retail projects across the country, custom-made for the communities, bigger or smaller ones, responding in this way to local demand,” Florentin Avădanei, Founder & Co-CEO Goldbach Group told The Diplomat-Bucharest.
“In the medium term, I foresee a continuous expansion of retail parks in small and medium-sized towns, where modern retail is underdeveloped. Spaces that bring added value to the community, not just sales, and that offer a combination of entertainment, services, and food will be increasingly appreciated. Proximity services, human interaction, and functional flexibility within retail spaces will matter more.”
How would you describe the current state of the retail real estate market in Romania in 2025?
The retail real estate market in Romania is currently undergoing a period of reassessment and adaptation of business strategies in the context of the recent fiscal measures adopted by the Government. On one hand, the increase in VAT and other taxes will have an impact on the entire value chain in the economy. On the other hand, Romania holds significant potential for the expansion of modern retail spaces, meaning that investors need to find solutions to continue to develop their businesses under the current legislative framework.
The Romania Retail Snapshot 2025 study, recently published by Cushman & Wakefield Echinox, shows that in 2024 and the first half of 2025, Romania’s retail space grew by 340,000 square meters, including both new projects and extensions of existing ones. Additionally, 700,000 square meters of retail spaces are currently under development, with deliveries expected by 2030.
This clearly shows that there is demand for new retail spaces, and I remain optimistic and confident in the high level of resilience of this sector, which helps us face all kinds of challenges. We must think on the long term, not only until the end of this year. Of course, the measures announced recently by the authorities will have an impact on the real estate market, everyone expects that the construction costs will increase. But in the long term, I am optimistic in the resilience of both market and active real estate players.
What is your long-term vision for retail development in Romania, considering the shift in consumer habits and digital transformation?
I believe that the retail projects will continue to be relevant on the Romanian market if they are able to constantly adapt to the socio-demographic characteristics of the communities they serve and to adopt technological innovations. In my view, these two realities represent opportunities to explore new areas of development for the retail sector. We, at the Goldbach Group, have various retail projects across the country, custom-made for the communities, bigger or smaller ones, responding in this way to local demand.
In this constantly evolving landscape, research into consumer behavior and expectations becomes extremely important in order to understand new market trends and build effective development strategies. Moreover, digital transformation cannot be ignored. To remain competitive, any retail project must embrace digitalization, which is a solution both for increasing productivity and providing a faster and more seamless customer experience.
We have been operating in this market for more than a decade, and we saw how the retail market changed and how demand evolved. Therefore, we strongly believe that the retail future consists in these key words: proximity, community and adaptability.
What key factors are retailers looking for when choosing a location in today’s market?
The most important factor is the existence of a real need within the community, one that the retailer can address through its project. At K2 Retail Properties, the company part of Goldbach Group focused on developing retail parks, we concentrate especially on small and medium-sized towns in Romania, where people have limited access to modern retail spaces.
When speaking about needs, I also refer to one of the findings of the PwC Voice of the Consumer 2025 study, which shows that 3 out of 10 consumers are looking for better value for money and choose a specific product brand primarily based on financial benefits. Therefore, if they can find a wider variety of brands in the nearby retail gallery, customers can more easily choose the option that best suits their needs.
Through our projects, we not only provide residents in these areas with access to a diverse range of products and services, but we also contribute to the development of the community by creating jobs and generating revenue for local budgets. The 10 operational retail parks in the K2 Retail Properties portfolio have created so far 110 new jobs and have generated so far 120,000 euros in local taxes in the areas where they were developed.
How are consumer expectations influencing the design and layout of new retail spaces?
The main characteristic of retail spaces, in terms of design and layout, is accessibility. In fact, retail parks have gained ground in recent years precisely because they offer customers easy access to each individual store directly from the street. Moreover, retail parks are no longer just places where people do their shopping, they have also become social spaces that bring community members together.
How is the rise of e-commerce and omnichannel retail shaping your development or repositioning strategies?
The rise of e-commerce and omnichannel models forces us to look at each retail project as part of a hybrid infrastructure, rather than just physical space. Retail parks thus become nodes in omnichannel networks, places where consumers can pick up online orders or return products. Another way to respond to this accelerated evolution is by developing a tenant mix anchored in services, food, and entertainment, components that are more resilient to the shift towards online shopping. Our goal is for each retail park to serve as a platform for both sales and local logistics, because the sustainability of retail projects today depends on their ability to support digital channels, not to compete with them.
What emerging trends do you foresee shaping retail real estate in Romania over the next 3–5 years?
In the medium term, I foresee a continuous expansion of retail parks in small and medium-sized towns, where modern retail is underdeveloped. Spaces that bring added value to the community, not just sales, and that offer a combination of entertainment, services, and food will be increasingly appreciated. Proximity services, human interaction, and functional flexibility within retail spaces will matter more.
I also believe that this sector will continue to be significantly shaped by digital transformation and the development of artificial intelligence-based solutions. The digitalization of physical spaces, integration with mobile applications, and functional integration with e-commerce will all become natural features of new projects.
Moreover, sustainability will become an increasingly important criterion in the design and layout of retail projects. ESG certifications and green buildings will become standard requirements for investors, tenants, and local authorities.
What are the biggest risks and opportunities for developers in the retail sector today?
The biggest risks are associated with the lack of predictability in the economic environment. Changes in national fiscal legislation, as well as geopolitical shifts, create uncertainty among investors and put pressure on companies’ profit margins. Despite this context, the retail sector continues to hold promising opportunities. Romania’s modern retail space stock is among the lowest in Europe, which means there are significant prospects for growth. Sharp thinking, well-designed business strategies, and the courage to innovate are solutions that can help developers seize this growth opportunity regardless of economic challenges.
Goldbach Group includes eight companies, active in the development and implementation of complex projects across several sectors, including: retail park development – through K2 Retail Properties, property management – through K2 Assets, civil and industrial construction – through Goldbach Construct, real estate development – through Goldbach Development, architecture and urban planning – through Goldbach Design & Build, interior design – through K2 Design Lab, renewable energy – through Goldbach Energy, and consultancy for EU-funded projects – through Goldbach Consulting.
With a portfolio of 24 retail parks, 14 of which are under development, for which an investment budget of over 36 million euros has been allocated, K2 Retail Properties aims to consolidate its presence in urban areas with limited access to modern retail.
