Central and Eastern European propery development specialist European Future Group, has launched a new fund, the European Future Fund, based ...

Central and Eastern European propery development specialist European Future Group, has launched a new fund, the European Future Fund, based on property development projects in Romania. More than €13 million ($16.2 million) has already been committed to the fund, which has been established to enable institutional and high net worth investors access to the booming Romanian property market. The fund will invest either as principal or in joint venture schemes with other investors. The EFF is a 5-year closed ended investment fund based in Jersey, that is subject to a rolling close, and has a €100,000 minimum investment and a planned overall target return of 25 per cent, although the promoters believe that the fund could achieve returns of up to 60 per cent per annum if the fund performs as well as other investments they have been involved with in Romania. Romania is one of the largest Eastern European states with a population of around 23 million and is due to accede to the European Union in 2007. The nation is currently capitalising on newly available personal credit facilities, which is creating a boom in demand for consumer goods. Jeff Kirby chief executive of the European Future Group, said in a statement: “Multinational corporations and property investors have expressed an interest in being in Romania to capitalise on this new market, but, at present the property infrastructure required does not exist. The country needs a sizable influx of Class A and B office space, and significant retail and leisure development to meet the pent up demand created by 50 years of communist economic policy.”