Tatarasi Arena, which was founded by Red Management Capital to develop a residential project in Iasi, has been declared insolvent, with debts reaching RON 80m (€18m). Its major creditors include Volksbank, North East Property Holdings and Instalatii Group.
Tatarasi Arena had just finished the third of seven residential blocks in the city of Iasi. The project was going up near Iulius Mall on land purchased in 2006. The company did not manage to sell any apartments. This is not Red Capital’s first failure on the local market.
It had to shut down Armonia Mall in the city of Braila after just nine months because of poor results.
