In contradiction to high expectations, the market has been significantly affected by the recent crisis. 2009 was expected to bring significantly bigger inflow of direct foreign investment into Serbia. Considering that many plans have been postponed, and many companies have been faced with tough financial circumstances – the office market suffers loss of more than 25% of price (now on average EUR 14 - 15 per sq m for Class A; average EUR 10 per sqm Class B). Vacancy rises to 15%, while yields reached 10.5%. In 2009, several large supplies are recorded or expected; some of them are Blue Center (30,000 sq m), Savograd (35,000 sq m), Airport City Tower (12,000 sq m) and Belgrade Office Park (16,000 sq m), with 190,000 sq m in pipeline.
Milutina Milankovica Str. 9z/I, 11070 New Belgrade
Tel.: +381 0 11 2600 603
Fax: +381 0 11 2601 571
Within the commercial property market of Nicosia the demand is still high only in the central of Nicosia, which is balanced by the available supply. Therefore, vacancy rate is very low, estimated at 5% to 8%. Supply is expected to be steady throughout this year. Investment yields are in the range of 5.5% - 6.5% (Gross), while average rental prices have decreased by 15% since 2000. Current rental levels are considered sustainable.
35, I. Hatziosif Av. 2027 Strovolos
Tel.: +357 – 22 31 70 31
Fax: +357 – 22 31 70 11