By Eleni Botas
After a 10-year dispute, Alpha Astika Akinita managed to acquire from the Sofia Academy of Sciences “BAS” a property in Sofia, Bulgaria for a total amount of 21.3 million euros.
This development results in an increase in the accounting balance of its real estate by 51%.
Thus, the book value of all the Group’s properties amounts at the end of 2021 to 55.50 million euros from 36.74 million euros in 2020.
The fair value was determined at 65.80 million euros from 46.12 million euros.
Of the above amount for the real estate fillet in Sofia, Bulgaria, 1.75 million euros was paid in cash and the remaining amount of 19.55 million was offset by an equal claim held by Chardash against the Bulgarian Academy of Sciences.
The Bulgarian Academy of Sciences had filed a lawsuit against its Alpha Urban Real Estate subsidiary, “Chardash Trading”, on 20.12.2011, in which it requested that its ownership be recognized and that the prefecture and possession of the “Chardash Trading” plot be returned to it. , on which he has erected a high-rise office building.
Following the examination of the case before the Sofia Court of Appeal, the lawsuit was accepted by the Bulgarian Academy of Sciences, however, recognizing the right of “Chardash Trading” to refuse the return of the property until the Bulgarian Academy of Sciences pays the construction costs.
Appeals were lodged against this decision before the Bulgarian Court of Cassation, which ordered an expert examination of the amount of the costs incurred on the property and the retrial of the case in the Sofia Court of Appeal.
The latter’s decision on 13.12.2017 recognized the right of “Chardash Trading” to refuse the return of the property until the payment to it by the Bulgarian Academy of Sciences of the expenses incurred, which it specified in the amount of 19.5 million euros, amount which does not differ substantially from the expenses incurred by “Chardash Trading” on the property.
The transfer of the portfolio is in progress
As announced and it appears from the balance sheet, Alpha Bank intends to start the process for the transformation of Alpha Urban
Real estate in a company with the sole purpose of providing services for the management and exploitation of real estate.
The “Transformation” includes the sale and transfer of the Company’s real estate portfolio to a company of the Group of “Alpha Services and Holdings SA”, which acquired company will be the body for the Skyline Transaction consortium. as well as the integration in Alpha Real Estate of the activity of providing real estate management services of “Alpha Real Estate and Investment SA”, a company of the Alpha Holdings Group.
Finally, Alpha Urban Real Estate, following the completion of its Transformation, is expected to enter into a long-term contract with the Skyline Transaction joint venture, as well as with companies of the Alpha Holdings Group, for the management of their real estate portfolio.
The real estate of the company will be transferred to the levels of their fair value on 31.12.2021, ie around the amount of 46 million euros and consequently will be reduced by 36.9 million euros.
Source: Capital
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