EUR 130M Invested in Bulgaria’s Commercial Property in 2014 – Experts
Doubling of investments in Bulgaria’s commercial real estate is expected in 2014, according to the advisory company Forton.
In 2013, Bulgaria saw acquisitions worth EUR 54M which is 26% more than in 2012. Due to the low levels in 2012-2013, Forton experts predict that in 2014 the volume could be doubled and reach between EUR 100-130M, Bulgarian Standart news reports.
The high real estate demand worldwide will serve as an incentive for Bulgaria’s market. Global demand for commercial real estate will increase by 13% to EUR 968B, according Cushman&Wakefield (C&W) commercial real estate services company.
"Over the past two years, investments were considerably lower than expected, given the available assets and the historical interest of foreign and local investors. I think that this year the market will begin to compensate for the lagging behind," Mihaela Lasova of Forton comments.
According to her, the return of foreign investors will lead to more major transactions that will generate stable rental income. These are Class A office buildings with high occupancy, major shopping centers and hotels. More real estate offers by creditors advantageous to local investors are expected in 2014.