BELGRADE LANDMARKS REIMAGINED AND REDESIGNED: MARERA'S PROPERTIES RECEIVE A FACELIFT

Belgrade, 30. december 2021.

In January 2022, Belgrade Palace will open its doors to tenants, while the BIGZ Building will be ready to do so at the beginning of 2023. These monumental edifices are projects of Marera Properties, a company engaged in real estate investment and development, and leasing of office, industrial, and retail properties at prestigious and strategically chosen locations. Regarding current accomplishments, as well as upcoming projects, we spoke to Bojan Ljubičić, Office Asset Class Director at Marera Properties.

The company Marera Properties attracted a great deal of interest and attention through its acquisitions of older buildings and some of Belgrade's landmarks. What made you choose this kind of approach?

In our company's development so far and the office asset class I represent, we placed a special emphasis on the reconstruction of older buildings and the preservation of the cultural and historic heritage in downtown Belgrade. That is our local niche market and something we are especially proud of, since we are witness to the revival of Belgrade's landmarks, some of which have remained derelict in a bad need of repair for several years. As one of the examples, I would like to pinpoint the reconstruction of Kalemegdan Business Center - a former "Beko" factory, which remained roofless and windowless for a decade at the central downtown location in Lower Dorćol. Today, this building is a multifunctional business center with more than two thousand employees, whose daily needs are met by an array of surrounding service facilities and shops, thus further contributing to the development of the entire immediate area.

You acquired Belgrade Palace last November. A year or so after the acquisition, you announced its imminent opening. What has been done as part of Palace's reconstruction?

Belgrade Palace opening, the overhaul of which was performed over a 12-month period, represents a significant step forward for our company. It is the pinnacle of our team's dedication and efforts from all segments and asset classes. The 20 thousand square meters of Palace's interior have been completely refurbished to meet the A class office property standards and the needs of modern business activities and practices. The outside of Belgrade Palace was freshened up, whilst paying special attention to the preservation thereof, since the building bears the cultural and historic heritage status protected by the Belgrade City Institute for the Protection of Cultural Monuments. Eight million euros was invested in the renovation, which is the largest investment into this edifice ever since its construction.

What does the interior of the building look like now, which was, as you stated, fully refurbished?

Latest generation elevators were installed. Moreover, all electrical, plumbing, and other installations have been replaced and the natural ventilation system introduced. Furthermore, the smart building management system, which will improve the building's energy efficiency, was also put in place. At the time of its construction, Belgrade Palace was considered an architectural miracle, with more than 20 construction and installation methods used and applied for the very first time in the Balkans. Following in the same footsteps, we also wanted to show how this smart building from the time of its construction can again be a beacon for breaking boundaries in architecture and technology. I would especially like to mention the construction of real "green oases" within spacious 5th and 6th floor terraces. These terraces feature natural greenery to resemble actual parks, but with fully equipped work zones allowing for open-air meetings and other events to be organized and held.

What has been the interest of potential tenants like for Belgrade Palace thus far? Do you know what are the predominant industries potential tenants moving into Belgrade Palace are from?

The very first tenants will start moving in from 01 January 2022 and the interest for this reimagined building has been great. At this moment in time, 95% of the building has already been leased out, which is beyond our expectations. Following market trends, most tenants come from the IT industry, as well as the energy, transportation, and logistics sectors. The tenants are larger companies, many of which have decided to lease more than one floor to meet their needs. At the moment, the average square meterage of leased space is 1,000.

The BIGZ Building represents one of the greatest achievements of Yugoslav modern architecture. What will this building look like after its reconstruction and what will be its main purpose?

The reconstruction of the largest printing house in the Balkans - BIGZ, which we acquired together with our partner "Aleksandar gradnja", began by clearing the surrounding terrain. This 40-thousand-square-meter cult building by the architect Dragiša Brašovan will be adopted to meet the standards and needs of a multifunctional A class business center, featuring industrial design, monumental 4.6-meter ceilings, modern details, and contemporary solutions. What is a rarity is the fact that some of the individual floors span across 3.500 square meters, providing for offices of different sizes and interior design solutions to meet the needs and wants of any tenant. Large, panoramic windows adorning the building should also be mentioned, as they will make the interior bright and pleasurable to work in.

What is the value of the BIGZ Building renovation project and when will it be opened?

First and foremost, I would like to use the opportunity to remind the public that the BIGZ Building was erected in the late 1930s. Taken into consideration its size and complexity, the reconstruction thereof is the largest endeavor of its kind to ever be performed on a building protected by the Belgrade City Institute for the Protection of Cultural Monuments. The planned total value of the investment in reconstruction is 20 million euros, with a one-year reconstruction period, which means that the first tenants would start moving in from January 2023.

Last, but not least, please do tell us something more about the company and its future development direction?

Marera Properties is a company with a portfolio of more than 200 thousand square meters of office, retail, and industrial properties throughout the country. Furthermore, the company is in the top 4 office asset class real estate investors in Serbia, while its current office property offer in downtown Belgrade makes it a leader therein. In terms of future development and direction, we plan to continue our growth and maintain our stronghold as the market pioneer, based on clearly defined and strategically developed short- and long-term business goals.