Sun, Nov 22 2009
Photo: Clive Leviev-Sawyer
Average prices of Black Sea properties have decreased by 40 per cent in the first eight months of 2009, according to the International Real Estate Federation of Bulgaria.
The number of vacant offices in Sofia is increasing, reports say, the latest in a series of indications that Bulgaria’s real estate market is slumping.
Colliers Intenational expects that prices Bulgaria will stabilise in late 2009 or by the latest, the first quarter of 2010, in large part because construction levels have dropped significantly in Bulgaria.
Even though low prices are taking down the total amount needed to strike a deal, borrowers still feel intimidated by high interest rates.
A total of 3897 new flats in 547 new buildings were developed in Q1 of 2009, mostly in the seaside cities of Varna and Bourgas, followed by Plovdiv and Sofia.
The Black Sea town of Pomorie has approved a proposal for the construction of a spacious and modern marina, with a capacity of over 600 yachts and small passenger ships.
Over the course of a year, from one of the leaders in Europe in new construction, Bulgaria became one of the countries currently quagmired at the bottom of the table and was now amongst the three worst hit countries, along with Romania and Slovenia.
The park is posed to act as an economic stimulant in the region, creating a modern infrastructural base for companies. It is set for completion by Q3 of 2010.
Both retailers target at least 50 outlets in Bulgaria by the end of 2010.
When will Bulgaria’s real estate and construction sector recover?