Murapol Group – an attractive entity for investorsReal Estate Companies
Originally Published in March 2018
Murapol Group is one of Poland’s leading residential development companies. Since it was founded in 2001, it has completed about 100 investments, offering a total of more than 8,500 apartments, which are now inhabited by a total of 25,000 people. Murapol sold 3,600 apartments in 2017, second among Polish developers. The management board is focused on ensuring the company’s sustainable development. Sales in 2018 are expected to reach 4,000-4,500 apartments all while maintaining high quality of execution and high investment margins.
To maintain its current pace of development, Murapol has decided to enter the German and Scottish markets.
Murapol has one of the largest portfolios of “projects in preparation” in Poland – about 22,000 residential premises on land with a total value of more than PLN 700 million. The company offers residences in 14 cities across Poland and is already preparing investments in 3 more. To maintain its current pace of development, Murapol has decided to enter the German and Scottish markets. It has already begun sales in Berlin (120 apartments) and is nearing the start of construction on 230 apartments in Zossen, near Berlin. Murapol also has two investments under development in Scotland and will build 60 residential premises in the city of Edinburgh, on Ferry Road and London Road.
The company has a unique business model, keeping its consulting and executive segments within the holding company structure. It provides comprehensive support for various real estate projects, not only in the residential and industrial sectors, but also in the field of ecology and energy (thanks to the acquisition of Awbud). This structure allows the holding company to obtain high margins on ongoing investments, while maintaining full control over the investment implementation processes and quickly responding to changing market conditions.
“Murapol is, and will remain, an attractive entity not only for private investors looking for the best housing offer, but also for investors seeking attractive companies with high gross margins.” Murapol’s CEO Nikodem Iskra.
Murapol has an interesting financing model; along with investment funds, it issues financial instruments based on its real estate projects. These are attractive products for those looking to diversify their investment portfolios. In 2017, Murapol bought 32.99 percent of Skarbiec Holding, an owner of one of the leading investment fund companies in Poland – Skarbiec TFI.
Skarbiec TFI has managed real estate funds since 2004. With Murapol, it created a fund that allows its clients to reap profits from the real estate development market. At the same time, Murapol’s presence as a strategic investor stabilizes the rate of return in the event of unfavorable change in the market. The fund will begin operation in the first quarter of 2018.
Murapol is already a reliable issuer of bonds on the Warsaw-based Catalyst market and will soon decide whether to issue shares on the main market of the Warsaw Stock Exchange.
Murapol is a socially responsible company, supporting several initiatives in the field of sport and culture, among them two exhibitions by Rafał Olbiński, a famous Polish painter and illustrator. It is also the majority shareholder in Polish football club Widzew Łódź and supports the Polish rugby team. It also sponsors the “Football Academy 21” and “Murapol Cup.”