Identifier
Created
Classification
Origin
09BUCHAREST441
2009-06-29 08:38:00
UNCLASSIFIED//FOR OFFICIAL USE ONLY
Embassy Bucharest
Cable title:
ROMANIA: PROPERTY RESTITUTION FOR HOLOCAUST SURVIVORS AND
how-toVZCZCXRO1187 PP RUEHAG RUEHAST RUEHDA RUEHDBU RUEHDF RUEHFL RUEHIK RUEHKW RUEHLA RUEHLN RUEHLZ RUEHNP RUEHPOD RUEHROV RUEHSK RUEHSL RUEHSR RUEHVK RUEHYG DE RUEHBM #0441 1800838 ZNR UUUUU ZZH P 290838Z JUN 09 FM AMEMBASSY BUCHAREST TO RUEHC/SECSTATE WASHDC PRIORITY 9666 INFO RUEHZL/EUROPEAN POLITICAL COLLECTIVE PRIORITY
UNCLAS BUCHAREST 000441
SENSITIVE
DEPT FOR EUR/CE ASCHIEBE, L/CID SDRAEMEL, EUR/OHI JBECKER
SIPDIS
E.O. 12958: N/A
TAGS: ECON ODIP PREL RO
SUBJECT: ROMANIA: PROPERTY RESTITUTION FOR HOLOCAUST SURVIVORS AND
HEIRS
REF: STATE 062772
Sensitive but Unclassified, Not for Internet Distribution.
UNCLAS BUCHAREST 000441
SENSITIVE
DEPT FOR EUR/CE ASCHIEBE, L/CID SDRAEMEL, EUR/OHI JBECKER
SIPDIS
E.O. 12958: N/A
TAGS: ECON ODIP PREL RO
SUBJECT: ROMANIA: PROPERTY RESTITUTION FOR HOLOCAUST SURVIVORS AND
HEIRS
REF: STATE 062772
Sensitive but Unclassified, Not for Internet Distribution.
1. (U) This is in response to the questions raised in reftel
regarding the effect of unresolved Holocaust-era property claims on
the broader real estate market.
2. (SBU) Many real estate transactions in Romania are, at least to a
certain extent, complicated by communist era property
expropriations. The majority of these complications are unconnected
to the separate, but related, issues stemming from the Holocaust and
World War II. World War II- era title issues involve only a small
subset of transactions in formerly expropriated properties.
3. (SBU) According to the Executive Director of Caritatea
Foundation (an organization which assists in filing claims to
formerly Jewish-owned properties),Samuel Izsak, outstanding claims
from both the World War II and communist eras have inhibited sales
and other transfers of rights of property. According to Izsak,
"Investors do due diligence," he said. "No one will touch a
property if he knows someone will want it, until the case is
resolved." Widespread uncertainty connected with property titles
has led to systematic underinvestment in maintenance and
restoration, a major necessity in earthquake-prone Bucharest.
Large-scale urban projects are also difficult to plan when certain
parcels of land (or surrounding buildings) are subject to ongoing
restitution claims. "None of this pertains to logical real estate
management," the director mused. Caritatea alone has filed 1,980
claims for restitution, of which only 300 have been resolved, a not
atypical success rate.
GUTHRIE-CORN
SENSITIVE
DEPT FOR EUR/CE ASCHIEBE, L/CID SDRAEMEL, EUR/OHI JBECKER
SIPDIS
E.O. 12958: N/A
TAGS: ECON ODIP PREL RO
SUBJECT: ROMANIA: PROPERTY RESTITUTION FOR HOLOCAUST SURVIVORS AND
HEIRS
REF: STATE 062772
Sensitive but Unclassified, Not for Internet Distribution.
1. (U) This is in response to the questions raised in reftel
regarding the effect of unresolved Holocaust-era property claims on
the broader real estate market.
2. (SBU) Many real estate transactions in Romania are, at least to a
certain extent, complicated by communist era property
expropriations. The majority of these complications are unconnected
to the separate, but related, issues stemming from the Holocaust and
World War II. World War II- era title issues involve only a small
subset of transactions in formerly expropriated properties.
3. (SBU) According to the Executive Director of Caritatea
Foundation (an organization which assists in filing claims to
formerly Jewish-owned properties),Samuel Izsak, outstanding claims
from both the World War II and communist eras have inhibited sales
and other transfers of rights of property. According to Izsak,
"Investors do due diligence," he said. "No one will touch a
property if he knows someone will want it, until the case is
resolved." Widespread uncertainty connected with property titles
has led to systematic underinvestment in maintenance and
restoration, a major necessity in earthquake-prone Bucharest.
Large-scale urban projects are also difficult to plan when certain
parcels of land (or surrounding buildings) are subject to ongoing
restitution claims. "None of this pertains to logical real estate
management," the director mused. Caritatea alone has filed 1,980
claims for restitution, of which only 300 have been resolved, a not
atypical success rate.
GUTHRIE-CORN