“Prices have increased significantly in 2021 as compared with the previous years. (…) Lately, many real estate developers– both in the residential and retail sectors – started to look for land plots for new projects. They focus on central areas where some transactions reached even EUR4,000 – EUR5,000 (in Victory Square) or EUR5,000 – EUR6,000 (in Aviatorilor area) for one square meter of land”, said Cristian Nicola, CEO of Investpoint.
Market values of lands in Bucharest depend on each city area and on the development potential of each plot of land. The pressure on the prices of lands intended for the development of residential compounds (at least 1,000 sqm- 2,000 sqm) or retail (at least EUR7,000 – EUR8,000) comes from previous transactions– which secured the most lands with development potential – and from the high demand due to the alert sales pace in 2021.
Land prices are directly impacted by apartment sales and by approvals for developments in various areas in Bucharest and the surrounding Ilfov County.