The volume of land transactions reached EUR 400 million in 2023

by   CIJ News iDesk V
2024-01-18   10:38

Land transaction volume for commercial real estate projects (excluding traditional industrial and warehouse) is down less than 10 percent from the 2022 level of EUR 450 million, but still considerably above pre-pandemic levels, according to Colliers estimates. The beginning of the year and the last months of 2023 contributed significantly to the positive result, as activity slowed in quarters two and three.

"It is gratifying to see investor enthusiasm about Romania's long-term potential. Currently, the country and the real estate sector are facing many challenges. From much higher construction costs than a few years ago, to uncertainties about the economy or the global geopolitical situation, to high interest rates and the uncertainties that usually accompany an election year. Even in this context, last year land for commercial real estate projects was sold for just over EUR 400 million, a satisfactory level if we think that before the pandemic we were talking about EUR 300-400 million per year," explained Sînziana Oprea, Director Land Agency at Colliers Romania.