(Interview with Radu Grigorescu, Chief Commercial Officer Cloud9, Investment Associate Alfa Group)
“We do not see the premises of a crisis in the true sense, but rather a readjustment of the market” • “I believe that developers will reposition themselves more and more towards quality, the integration of facilities and the creation of functional communities and less towards large sales volumes”
The impact of the first fiscal package to reduce the budget deficit is felt differently in the real estate market, depending on the market segment, says Radu Grigorescu, Chief Commercial Officer Cloud9, Investment Associate Alfa Group. He explained to us, in an interview: “For the mass-market area, where the price of housing did not exceed 600,000 lei, the increase of VAT to 21% translates into a direct and significant price increase for buyers, which may slow down demand and the pace of transactions in a context already weakened by the high level of interest rates. Instead, in the premium segment, where Cloud9 operates, the effects are much smaller. Our apartments are intended for the premium segment and exceed the threshold of 120,000 euros. Consequently, this fiscal change does not directly affect Cloud9 Evolution.”
In his opinion, in the current fiscal context, financial responsibility begins with a solid financing structure, based on own funds and bank loans, and continues with the protection of clients through escrow accounts for advances.
According to Radu Grigorescu, premium buyers want homes that fit into the concept of a “15-minute city”: to have within a few steps a school, kindergarten, supermarket, green spaces, sports fields and relaxation areas.
Reporter: The first fiscal package decided by the Government to reduce the budget deficit includes, among other things, the increase to 21% of VAT for new homes. What effects does this measure have on the real estate market, which was already strained due to the high level of interest rates?
Radu Grigorescu: The impact of this measure is felt differently depending on the market segment. For the mass-market area, where the price of housing did not exceed 600,000 lei, the increase of VAT to 21% translates into a direct and significant price increase for buyers, which may slow down demand and the pace of transactions in a context already weakened by the high level of interest rates.
Instead, in the premium segment, where Cloud9 operates, the effects are much smaller.
Our apartments are intended for the premium segment and exceed the threshold of 120,000 euros. Consequently, this fiscal change does not directly affect Cloud9 Evolution. Clients make the purchase decision considering the quality of construction, strategic location, integrated facilities and the long-term investment value.
In fact, positioning in the premium segment remains an advantage in this context: we are talking about buyers less sensitive to punctual fiscal changes and more attentive to the total value that a real estate investment brings: security, investment return and quality of life.
Reporter: What was the dynamic of real estate sales in July, in the above-mentioned context?
Radu Grigorescu: Sales remained stable, even in the last period we noticed an increasing interest from clients. This is due to the advanced stage of the works, and people can visit the showrooms, where they can see exactly the shape of the apartments, the layout and the quality of the finishes. This gives confidence in the developer and in the quality of the project, helping them to make the purchase decision easily.
Reporter: Does the real estate market risk a crisis in the near future?
Radu Grigorescu: We do not see the premises of a crisis in the true sense, but rather a readjustment of the market. Projects with fragile financing are the most exposed, while solid, well-positioned developments with a responsible financial strategy remain attractive. The premium segment, in which Cloud9 operates, continues to be stable due to the profile of the clients and the security of the investment. CBRE analyses confirm that, in periods of instability, interest consolidates for quality projects, and Alfa Group’s experience of over 30 years in the real estate field offers clients the certainty of delivery at the promised standards.
Reporter: Given the new fiscal landscape, what responsible financial models do you recommend? How can these offer security to both clients and investors?
Radu Grigorescu: In the current fiscal context, I believe that financial responsibility begins with a solid financing structure, based on own funds and bank loans, and continues with the protection of clients through escrow accounts for advances. At Cloud9 we apply this model, and the fact that the development does not depend on the money collected in advance gives buyers the certainty that the project will be completed regardless of the pace of sales.
Reporter: How are real estate developers repositioning themselves in the new economic context and how do you see a safe investment in the real estate market?
Radu Grigorescu: I believe that developers will reposition themselves more and more towards quality, the integration of facilities and the creation of functional communities and less towards large sales volumes. Nowadays, a safe investment no longer means just a spacious apartment, but a project with solid financing, a confirmed reputation and which fits into the principles of the 15-minute city. Buyers want to be in proximity to schools, parks or even the workplace, to spend less time in traffic and more with family, hobbies or personal development.
Reporter: Have you noticed a change in demand for the Cloud9 Evolution project after the announcement of the fiscal measures? What offer do you currently have for clients?
Radu Grigorescu: Demand for Cloud9 Evolution has been constant. Our offer includes various apartments, from compact units to spacious family homes, but also the innovative concept of 2.5 rooms, which adds flexibility for professionals or for those who need a space dedicated to the office or hobbies.
Premium buyers look at details that make the difference: flexible layouts, which allow them to close or not the kitchen, well-designed storage spaces, ventilated ceramic facades, premium finishes, but also community elements: green spaces, multifunctional sports field and relaxation areas. For them, all these advantages weigh when making the purchase, as it is predominantly an investment in a modern and balanced lifestyle.
Reporter: What does investment in Cloud9 mean for the developer? But for a client of this project?
Radu Grigorescu: For Alfa Group, Cloud9 Evolution is a strategic investment of 90 million euros and a landmark project for the premium segment in Bucharest. It represents the consolidation of more than 30 years of experience in the real estate market and a portfolio of over 15,000 apartments delivered to high standards.
For the client, the investment exceeds the simple purchase of a home: it means choosing a modern urban framework, where the comfort of the apartment is complemented by educational facilities – including a school within the complex: relaxation areas, green spaces, multifunctional sports field and commercial services. It is a development model that reflects the principles of the 15-minute city and responds to the need for security, community and quality of life.
Reporter: What was the dynamic of the premium real estate market in 2025, compared to 2024, and how do you see the evolution until the end of the year?
Radu Grigorescu: In 2025, the premium residential market had a stable evolution, with constant demand for well-positioned housing adapted to today’s needs. We started construction in 2024 and we notice an increasingly clear interest in apartments with flexible layouts and generous surfaces, solutions suitable for both families and professionals working from home.
The north of the Capital remains the pole of attraction, due to business hubs and proximity to the main shopping centres and urban facilities. In projects such as Cloud9 Evolution or Akcent City we see how clients are looking not only for an apartment, but for a complex with complete infrastructure, green spaces, educational units and high quality standards.
Reporter: What is the profile of investors in premium projects, respectively of the home buyer in this segment?
Radu Grigorescu: The profile of investors in premium projects is defined by the orientation towards security and long-term yield. They are looking for apartments located in strategic areas, close to business hubs, shopping centres and city infrastructure, where value is maintained and grows over time. For investors, the essential criterion is stability: projects with solid financing and developers with confirmed experience and reputation. For this reason, complexes such as Cloud9, located in the north of the Capital, are perceived as safe investments.
The final buyer, on the other hand, looks at the day-to-day lifestyle. Location, intelligent layout and integrated facilities are decisive. Premium buyers want homes that fit into the concept of the 15-minute city: to have within a few steps a school, kindergarten, supermarket, green spaces, sports fields and relaxation areas.
Reporter: How has buyer behaviour evolved in recent years? What is the place of the premium segment in their attention, at present?
Radu Grigorescu: Buyer behaviour has visibly changed: from the strict orientation towards price and surface, to the choice of a complex that brings value through quality of life. More and more are making the transition from old, energy-inefficient apartments to new, well-designed homes that offer comfort, low maintenance costs and long-term security.
Premium buyers today are looking for projects that offer them not just an apartment, but a lifestyle: community, connectivity and quick access to essential facilities. The premium segment is gaining ground precisely because it meets these expectations and offers security both as a financial investment and as an extension of the active lifestyle.
Reporter: Thank you!
