The opening of several new Metro stations has had a significant impact on the Sofia property market. Buyers in the Bulgarian capital are focusing their property buying in the area around the new metro stations.
Research from the Bulgarian property website imoti.net, has showed that demand for previously popular areas like the upmarket location of Ivan Vazov, Iztok and the City Center, has decreased recently.
Instead Sofia property buyers who were looking for real estate in the regions of Mladost, Darvenitsa and Krasno Selo. The Bulgaria real estate agents believe that the change in demand is being driven by the new metro stations and improved infrastructure in these areas.
It is evident from recent property buying patterns that buyers are increasingly considering the local services and metro station when deciding where to buy properties in the Bulgarian capital. this pattern is also affecting the price of properties in these areas.
The vacancy rate for office property in Sofia is likely to increase to around 23-28% by the end of this year as a result of several new office buildings opening in the next few months.
These new Sofia office buildings will bring the total amount of office properties in Sofia to around 1,250,000 sq m. The biggest amount of vacant office blocks is in the suburban parts of Sofia and in the Class A office category.
In 2010, the building of office properties continued despite the poor economic situation and several major projects that were started during the boom of 2006-2008 have just been finished recently. As a result of the increased supply the rental rates have dropped and now average around 10-12 euro per sqm for Class A office and 5-7 euro per sqm of Class B offices. As more supply comes online the rental rates for Sofia properties is expect to fall further. Read more…
Bulgaria and Romania that are about to join the European Union (EU) over the next year are promising real estates hotspots, an international report claims. The report of the international consultancy company for real estates DTZ, as cited by the German Die Welt newspaper claims that properties in Bulgaria and Romania are emerging as attractive real estate hotspots following in Poland, the Czech Republic and Hungary.
The new East European property markets have already attracted the attention of the international investors. “Investors who are risktakers and have a spirit of discoverers are already working in Poland, the Czech Republic and Hungary”, the DTZ report reads. Read more…