Euro Styl and Torus Group seek UOKiK approval for joint venture in Gdańsk

Euro Styl, a subsidiary of the Dom Development Group, and Torus Group have submitted an application to Poland’s Office of Competition and Consumer Protection (UOKiK) seeking approval to establish a joint venture. The application, filed on 26 July 2024, marks a significant step towards the creation of a new entity focused on the residential real estate sector in Gdańsk.

According to the UOKiK communiqué, “The notification of the intention of concentration concerns the intention to create a joint venture by Euro Styl, based in Gdańsk, and Torus Group, also based in Gdańsk. The joint venture will operate in the residential real estate sector, consisting of one development project in Gdańsk.” The case is currently under review.

Euro Styl, an integral part of the Dom Development Group, is renowned for its extensive experience in residential development. Dom Development, listed on the Warsaw Stock Exchange since 2006, is a prominent player in Poland’s residential market and is included in the mWIG40 index.

On the other hand, Torus Group, controlled by Małgorzata Dobrowolska, is a well-established entity in the office and service real estate sector. The group is actively involved in investments related to the rental and management of office and service properties. This venture marks Torus Group’s first significant foray into the residential real estate market, leveraging its expertise in commercial real estate.

The strategic alliance between Euro Styl and Torus Group aims to capitalize on the growing demand for residential properties in Gdańsk, a city witnessing robust economic growth and increasing real estate activity. The joint venture is poised to bring together the strengths of both companies, combining Euro Styl’s residential development proficiency with Torus Group’s extensive real estate investment experience.

“We are excited about this collaboration with Torus Group,” said a spokesperson for Euro Styl. “Our combined expertise and resources will enable us to deliver high-quality residential projects that meet the evolving needs of Gdańsk’s residents. This joint venture represents a significant milestone in our growth strategy and reinforces our commitment to expanding our footprint in the Polish real estate market.”

Torus Group expressed similar optimism about the joint venture. “Partnering with Euro Styl aligns with our strategic goals of diversifying our portfolio and entering the residential sector. We believe this collaboration will create significant value for our stakeholders and contribute to the dynamic real estate landscape in Gdańsk,” said a representative from Torus Group.

The UOKiK’s decision on the application will be closely watched by industry observers, as it will determine the feasibility of this ambitious project. If approved, the joint venture is expected to commence operations soon, with plans for the first residential development project already in the pipeline.

This potential partnership underscores the ongoing consolidation and collaboration trends within the Polish real estate market, as companies seek to leverage synergies and address the growing demand for high-quality residential and commercial properties.