Invest in Bulgaria - The Preferred Partner of Investors Seeking Opportunities in Bulgaria
Follow:
GUGUSHEV & PARTNERS is among the leaders on the Bulgarian legal market Comprehensive Organization of MBA and EMBA Study Trips in Bulgaria
NEWS BY TOPIC
FDI in Bulgaria (13)
Health (4)
Macroeconomic Data (49)
Business (361)
Investments (155)
Infrastructure (97)
Financial (126)
Economy (350)
Construction (14)
Politics (62)
Real Estate (27)
Interesting Facts (24)
Sports (10)
NEWS BY SECTOR
Software and Information Technology (28)
Real Estate (56)
Tourism (112)
Waste Management (9)
Automotive (23)
Electronics (3)
General (81)
Renewable Energy (66)
Agriculture (22)
Construction (90)
Food and Beverage (20)
Textile (2)

Rent Prices in Bulgarian Malls Down by 25% Y/Y
RENT PRICES IN BULGARIAN MALLS DOWN BY 25% Y/Y
Date: 27/10/2010
Source: novinite.com
Rent Prices in Bulgarian Malls Down by 25% Y/Y

Rent prices in malls in Bulgaria decreased by 25% for one year, the consultant company Forton International has revealed.

According to the data, the first signs for the recovery of the retail areas market appeared in the third quarter of 2010.

Analysts point out that the total volume of retail areas in Bulgaria is currently 506,860 sq.m. After the completion of three large projects by the end of the year, the volume would increase by 77,000 sq.m. more.

The malls that are to be open are Varna Towers (30,000 sq.m.), Mega Mall Ruse (20,000 sq.m.) and Mall Galeria Stara Zagora (27,000 sq.m.).

Data from the company has showed that 280,000 sq.m. of retail areas are currently in construction. About 170,000 sq.m. are expected to be completed by the end of 2011.

At present, Bulgaria has 66,7sq.m. of retail area per 1000 people. By the end, the number should increase to 77 sq.m.

According to the "Retail Areas" Manager at Forton, Dimitar Kiferov, renting of retail areas in Bulgaria still faces difficulties but there was a slight improvement in the last quarter, mostly in Sofia.

A sign for the positive tendencies on the market is the construction of "Paradise Center" in the Sofia district Lozenets. After being completed, it would add 75,000 sq.m. of retail ares to the Bulgarian market, making it the biggest mall in the capital.

Forton data showed that the demand for rent is focused mainly on the top sites, while the smaller-scale projects and the uncompleted ones still face difficulties finding tenants. These are the factors that led to an increase in the vacant areas in the sector and to additional economic instability of some projects.

The return rates remain unchanged from the previous quarter and are about 9,5% for malls and 9% for commercial streets.

"These formats are occupied by international tenants with a proven business model. The rents are relatively low. This is what makes these projects sustainable over time," said Sergey Koynov, executive director of Forton.

The analysts expect that the recovery will not be fast because of the low purchasing power of the population outside the Bulgarian capital.


Topic:



Featured District
PLEVEN DISTRICT AND CITY INFORMATIONPleven
Invest Bulgaria Charts
FDI to Current Account Deficit of Bulgaria
FDI to Current Account Deficit of Bulgaria

Gross Domestic Product of Bulgaria
Gross Domestic Product of Bulgaria

See all charts
Did You Know?
Cost of Labor in Bulgaria
Cost of Labor in Bulgaria
A Bulgarian software project leader makes about 1,200 Euros a month ... More

Tryavna is located in the northern folds of the picturesque Stara Planina Mountain, in Gabrovo district. A true carrier of Bulgarian national revival architecture, Tryavna is one of Bulgaria's most significant cultural, historic and national landmarks.

Intelligence Pathways - Outsource your Business, Competitive Intelligence or Back Office to Bulgaria

Bulgaria Translation - Full service Bulgarian Translation company

© Copyright 2004-2025 Invest Bulgaria Group Ltd, Sofia, Bulgaria. All rights reserved.

 
Please read Conditions of Use, Copyright Statement and Privacy Policy for this web page and web site.


Лимузини под наем Electric and Hybrid Modules Repair SEO оптимизация Bulgaria Translation Bulgarian Agriculture
Bulgarian Textile BestFlowers.bg Sofia Web Works Bulgarian Coins Intelligence Pathways Bulgarian Outsourcing

Crafted by Sofia Web Works,. Maintained by Website Maintenance, the kings of Website Migration. Supported by WorldStreet


Our Featured Members