GTC Croatia (97% owned by GTC) said that in a partnership, GTC Croatia holding 75%, it will develop a luxurious residential complex including a five-star hotel and a golf course over the next three years at CAPEX of EUR80m. The project should be located in the northern part of Croatia on the coast. In terms of residential project, there will be 100 sqm apartments and 550 sqm villas on the 23k sqm of land.
Our view: Based our latest trip to Croatia we see the project as highly attractive given the absolute lack of any quality accommodation in Croatia and increasing number of tourist from western countries coming there for holiday. We reiterate our Buy recommendation.