In a statement that was released on Wednesday, Mortgage Stanley Real Estate announced that it would be investing in developer Adama Holding Public, LTD, which is a property development company that specialises in Eastern European countries. While the amount was not known in terms of how much would be invested, it is significant. Two other shareholders, Lehman Brothers and Immoeast, also invested, giving the company some 100 million in Euros of equity.
Much of these funds would be going to the core markets in which Adama's growth is. This includes the countries of the Ukraine and Turkey with special focus on Romania.
As reported by Reuters, Co Head of Morgan Stanley's property investment business, John Carrafiell said, "We believe that Romania's strong demand for quality real estate provides an attractive opportunity to expand our investment platform in central and eastern Europe."
Several areas of the Eastern portion of Europe are seeing good growth. Another example of this is Turkey. In reports issued on Tuesday, Istanbul, in Turkey, was able to surpass the value of Paris and London in terms of investment benefits and returns. Economic growth here, as well as a surge in the property markets, has made this area an attractive and fundamentally strong location or foreign investors, which is one of the reasons Adama has invested so heavily here.
