Overseas investors will be very interested in last week’s announcement by the European Commission that Bulgaria, along with Romania, is set to join the EU family on 1 January 2007. This is the news that the Bulgarian property community has been waiting for, having as it does a deep significance regarding a range of issues, from monetary policy to the future of the housing market.
Bulgarian prime minister Sergei Stanishev called the move ‘the genuine and final fall of the Berlin Wall for Bulgaria’, while those in the business of selling the country as a holiday and investment destination were also elated.
Bulgarian property has been popular with UK overseas buyers for several years, due to the opening up of low-cost air routes, inexpensive property prices and natural assets of the country such as mountains and coastline. This popularity is set to grow with EU accession, says
Pelle Langli, chief executive officer of Emerging Real Estate Ltd. The EU announcement, he says, is ‘great news. It's been a widely accepted prediction for sometime and one that we as a company had believed would definitely happen.’
Langli points to the vast improvements in infrastructure over the last few years, and calls the upcoming accession ‘a real testament to all of these efforts and the recognition it fully deserves. One key achievement is the economy which has never been as strong, thanks to an all-time low unemployment rate and a stable inflation. All of this, coupled with a general increase in wealth, means Bulgaria is now an even better opportunity for investors. Of course there is still room for improvement but I fully believe the Bulgarian people and authorities will get there.’
Sonny Gowans, CEO of Global Spaces, a London-based international selling agent for The Black Sea Property Fund, which is investing in a number of new build residential developments in the region, says, ‘This week’s announcement by the commission was a truly historic moment for Bulgaria. [It] is set to open the floodgates for yet more external property investment as investor confidence grows, with the UK being a major contributor.’
It is estimated that Bulgaria will receive over €12 billion from European funds between 2007 and 2014. Much of this investment by the EU will go towards further infrastructure improvements in the country.
Gowans believes that those who want to see what EU membership will do for Bulgaria’s property market should look to the example of other countries who have joined. ‘In Ireland, for example, property prices have more than doubled over the past four years. Part of the reason for this is not just the economic prosperity caused by allocation of EU funds, but consumer confidence generated as a result.’
Global Spaces is currently marketing four schemes in Bulgaria. Magnolia is a luxury residential ski and spa development of 420 apartments in the ski resort of Pamporovo, while Oasis, Nikea Park and South Beach are located along the Black Sea Coast.
For more information on the above schemes call Global Spaces on 0845 450 4750 or see globalspaces.com.
Bansko, one of the most dynamic and fastest growing ski resorts in the world, has just seen the launch of St George Ski and Spa, an ultra-modern and exclusive development situated in the pretty old town. Located opposite the ancient roman baths and the source of natural thermal water springs, the development is due for completion in December 2008 and is being offered for sale through Emerging Real Estate.
The apartments in this five-star development, which range from studios to three-bedroom properties, will boast first class fixtures and fittings including luxury flooring options, solid wooden doors and fireplaces. These properties are set within professionally landscaped gardens, and the development will boast an amazing spa covering an area of some 1,000 sq m – it will be one of the biggest and most indulgent relaxation centres in Bansko. Residents and guests will be able to enjoy-year round swimming in the state-of-the-art pool with its retractable glass roof, and there will also be a gym and games hall. In the summer, the gardens will be the ideal sunbathing spot in which to enjoy the panoramic views over the three mountains of Rila, Pirin and Rhodopi.
Other on-site facilities include ski equipment and wardrobe hire, a ski school and shuttle bus as well as a two-level lobby bar, a licensed restaurant, a choice of shops and childcare services.
St George Ski and Spa is perfectly placed to access the 65 kilometres of marked ski runs which have a guaranteed season from mid December to May, due to the resort’s numerous snow cannons. It has also been announced that the runs will be extended to 200 kilometers over the next few years.
In the summer, there is an abundance of outdoor activities with hiking, mountain biking, horse riding and white water rafting all close to the beautiful Pirin National Park. There’s also an Ian Woosnam golf course under construction 3km away.
The Mayor of Bansko has recently announced plans for a new airport which will make the resort event more accessible to holidaymakers. The town is situated just 160km from the main airport in the capital city Sofia, which offers direct flights to the UK.
With this year-round appeal, all apartments in the development have the option of management contracts with a franchise of a chain of internationally renowned boutique hotels. With properties starting at just £32,000, strong interest from potential buyers is expected. As most buyers will purchase off plan, a simple payment schedule is available which spreads the cost from initial reservation to the completion date - purchasing this way can also maximise yields.
For further information on St George Ski and Spa contact Emerging Real Estate on 0845 601 7293 or visit emergingrealestate.com.