Hungarian group Indotek accepts purchase of Belgrade office portfolio

The GTC FortyOne II building, part of the Belgrade office portfolio acquired by the Hungarian-American group Indotek.

Regional developer and investor GTC has reached an agreement to sell its Belgrade office portfolio to Hungarian investor Indotek Group. The proposed acquisition price is € 267.6 million.

The agreement will cover the sale of 11 buildings within five business parks located in the business district of New Belgrade and totaling 122,000 m²: Green Heart, FortyOne, Belgrade Business Center, 19 Avenue and GTC House.

Once finalized in the third quarter of 2021, the sale will become one of the most significant real estate transactions of the last five years in the EEC market, according to GTC.

“The sale of 11 high-end office buildings in Belgrade is a bold move that will allow us to complete our development cycle in Serbia and open a fundamentally different chapter in this market,” comments Yovav Carmi, CEO of GTC .

“The sale of the Serbian portfolio could not be more timely as we are currently redefining the market strategy and advancing our operations to be more sustainable and sustainable. This is a benchmark transaction in Belgrade demonstrating post-COVID liquidity, ”he continues.

“We will sell some of our assets and relocate the free cash flow for the development of brand new and ambitious projects in Serbia and other markets in Central and Eastern Europe,” adds Carmi.


GTC was a pioneering developer entering Belgrade, which is now considered a major emerging development market for the EEC.

“GTC will become one of the first companies to complete the circle of development in Serbia, from the acquisition and construction of land, through years of enjoying high rent levels and free cash flow, up to the exit on respectable conditions “, notes the company.

“This opportunity will help rebalance the company’s portfolio to higher-rated countries including Poland and Hungary, while the buyer, a Hungarian investor, Indotek Group, is happy to enter the Serbian market with a portfolio also solid, ”adds GTC.

Indotek Group sees the acquisition transaction as a means of diversifying its portfolio, strongly oriented towards the Hungarian market.

“The Indotek Group has been present in its domestic market for nearly 25 years. In the last decade, the company has also started to expand outside of Hungary, which has enabled the Indotek group to be active in 10 countries today ”, said Dániel Jellinek, founder and CEO of the group. Indotek.

“We have been looking for the opportunity to enter the Serbian market for a long time and with the ongoing transaction we are able to significantly strengthen our position in the region. I am particularly proud that our first transaction in Serbia makes us one of the most dominant participants in the office market in Belgrade, ”he adds.

GTC recently invested 160 million euros in the acquisition of the Ericsson headquarters and the Siemens Evosoft headquarters in Budapest. In addition, the developer is planning GTC X and Blaze in Belgrade. GTC claims to have a development pipeline of 325,000 m² of office and retail buildings in the capitals of Central and Eastern Europe.

Like other Hungarian developer-investors, the Hungarian-American group Indotek is also increasingly active in the region, with a portfolio of 300 properties, comprising office buildings, shopping centers, hotels, industrial properties / logistics and residential. The group is looking for new investment opportunities in the Central, Eastern and Southern European markets.

This article first appeared in the print issue of the Budapest Business Journal on June 18, 2021.

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