Trading in prime assets is expected to dominate the Bulgarian real estate market in 2017, according to a spokesperson from Forton – a property management company.
Retail and office space investment are expected to be super strong this year and the next, which will mean a whole lot of transactions will take place among investors. Bulgaria’s good macroeconomic indicators and the availability of first-class investment products in the segments of office space and commercial space support these prospects.
The Bulgarian real estate markets will attract the attention of hungry investors as they offer high levels of profits and growth as well as in the Romanian and Hungarian real estate markets.
Investment real estate market, which includes both acquisitions of commercial real estate – office, industrial, retail, and purchases of land for such construction projects, rose to 290 million euro ($313.2 million) last year, a rise of 16% over 2015.
The demand for office space for rental purposes keeps up the momentum from the year before. The expected growth in supply is 160,000 square metres of office in Sofia, which is planned for completion. Their standards are high and this is certainly helping to keep the real estate market in Bulgaria at a peak point.
This year the interest in locations outside of Sofia is predicted to increase, as found by Forton. It is also expected that large deals will occur in the office space department in Burgas and Varna.
In all, prices of retail space are expected to partially increase this year so investing now before the prices rise even more may be a wise decision, especially if you are looking to invest in the Bulgarian real estate market.
Written by Gemma Smith