Nine Months Through The Year, Impact Posts 66 Mio RON Sales

Impact Developer & Contractor - Bucharest (BSE:IMP), a real estate developer controlled by Dan Ioan Popp, has so far through the year concluded over 150 transactions worth a total of 66 million RON, up by 4 per cent from the corresponding period of 2009, the company reported.

In the first three quarters of 2008, the company sold 144 housing units worth 68 million RON to Romanian buyers and 23 housing units worth 9.7 million RON to foreign buyers.

The delta of 7 per cent in the average value of the transactions is given by the differences in the nature of the respective housing units, as houses had a higher weight in the total value of the sales made in 2008, considering that over 90 per cent of the housing units sold so far through this year are apartments.

"As loans were less affordable in the first months of the year, prospective buyers were very much interested in the financing options offered by the developer (i.e. call-buy, supplier credit etc). However, the last few months have brought a notable increase in the number of customers taking mortgage loans from commercial banks," Impact Executive Financial Director Carmen Sandulescu told BURSA.

Impact has implemented numerous promotional campaigns to attract customers, who are eligible for the incentives offered under the State-driven housing programme First Home. One such initiative is the Zero Risk Programme, under which prospective buyers can make a three-month reservation for a housing unit put up for sale by Impact and use this time and the developer"s support to obtain the best financing conditions. If the prospective buyer fails to obtain a loan, the down payment is returned without any fees.

"The habi-test was received by the customers as proof of total transparency and widely appreciated in the broader context of the Zero Risk package of benefits," Sandulescu added.

The company is currently executing several real estate projects, including Greenfield I in Bucharest, Boreal in Constanta, Roua in Ploiesti, Lotus and Europa in Oradea. Last year"s deliveries included the Rubin, the Topaz and the Onix within the Greenfield I and the Europa in Oradea.

Impact Developer & Contractor is listed on the Bucharest Stock Exchange (BSE) and is currently traded for 0.605 RON/share, pointing to a market capitalization of approximately 124 million RON.

Impact has projected a gross profit of 4.1 million RON in 2009, down by 60 per cent from 2008, and a turnover of 102.7 million RON.