UPDATE: S. African NEPI To Get EUR11.4M From Developer For Investments In Romanian Mall

South-African real estate investment fund New Europe Property Investments (NEP.RO) will receive EUR11.4 million from BelRom for the completion of the Cinema City premises in Promenada Mall Braila (Romania).

NEPI has, through two of its subsidiaries, concluded a settlement agreement with BelRom, the vendors of Promenada Mall Braila. Under the terms of the agreement, the group will receive from BelRom an early settlement amount of some EUR11.5 million payable in cash, the investment fund said in a statement sent to the Bucharest bourse Tuesday.

“The settlement amount represents amounts owed to the group by the vendors in relation to the completion of the Cinema City premises being delayed beyond the agreed timetable and exceeding the agreed budget and amounts owed or expected to be owed to the group by the vendors as a result of net operating income warranties, made by the vendors, being breached. The settlement amount will be recognized in the financial statements of the group for the six-month period ending 30 June 2012,” reads the statement.