Bucharest land prices dropped by as much as 60% in some cases

Tradus de Cosmin Ghidoveanu
Ziarul BURSA #English Section / 25 iunie 2009

A.T.

The land market saw the biggest drops due to the crisis. According to a study made by evaluators of "Darian", compared to last year, prices for plots of land put up for sale in Bucharest experienced drops ranging from 22% to as much as 61%, based on their location, intended use and building permits secured.

According to the aforementioned study, the steepest price drops (61%) occurred in the case of plots of land which only received permits for medium height constructions and are located in the outskirts, in areas with potential for development. The average price is EUR 350/sqm. The lowest price drops (22%) were seen for plots of land with an ultracentral location, which received construction permits for tall buildings. The average price reached EUR 3,500/sqm.

During the first part of this year, prices for plots of land located in the urban built areas, of Timişoara, Cluj-Napoca, Iaşi and Constanţa dropped 10-65%. Representatives of the company "Darian" expect prices to drop further by as much as 10-15% in the near future. The highest prices per square meter seen recently range from EUR 1,500 sqm in Constanţa, EUR 1,200 sqm in Cluj Napoca, EUR 1,000 /sqm in Iaşi and EUR 900/sqm in Timişoara.

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