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Special report

The Next Big Property Boom 2007

The Next Big
Property Boom 2007

The property market boom in Romania has previously been seen most clearly in Bucharest where the price of an average 100 sm2 apartment increased from $25,000USD in 2002 to a staggering 110,000 € in 2007.

The wave of boom in the market has mirrored in Timisoara and continued on to Brasov which saw an incredible average property value increase of 212% in 2005. Opportunities in these areas remain plentiful.
However, they are clearly past their prime. The question has become, where is the next area in Romania to see the dramatic kind of growth (212% in one year) that Brasov has recently seen? We at Romania Report have been tracking the wave of the property value boom in Romania since 2000, correctly predicting past booms, and have identified the next location to be "hit" by this colossal force affecting the local property market.

 

 

Pitesti

Documentary certified even from 1338, in a bequest paper wrote by the ruler Mircea cel Batran, Pitesti developed as a commercial, craft and farming cente

Pitesti is a city in southern Romania, situated on the bank of the Arges river. It has about 300.000 people. It's 100 km from Bucharest, the capital of Romania. Its name comes from a verb that in romanian means "to hide", because it's "hidden" between hills.

It is also called "Tulip's town" because there are all kinds of tulips planted and they all blossom in spring. The city's municipality organizes every year "The Tulip's Simphony" , an event were the beauty of flowers is completed by music. People all over the country come here to admire them. A good oportunity for 3 days of party.

Strongly industrialized in the last 30 years, the municipal town has now a diversified range of industrial network, from the light industry to the chemical industry or that of machine constructions. The last one registers now a full ascending, being the key element in developing the warehouse and production constructions. In spite of all these things, in Pitesti it has not emerged yet modern industrial developments, of big dimensions, except of renovated spaces owned by various producers and who use them for their activities. The areas where the industrial spaces are concentrated are situated at the exit toward Slatina (with a huge yet unexploited potential for the time being) and Ramnicu-Valcea, on highway Bucharest - Pitesti and Depozitelor Street.

Pitesti town has a good infrastructure, being located at only 120 km away from Bucharest, and it also represents a transit space toward the tourist areas nearby. In the same time, it will directly benefit of the growing significance got by the Pan-European Corridor IV Constanta - Bucharest - Pitesti - Arad - Nadlac.



Real Estate Investment Opportunities in Pitesti - Overview

The most dynamic segment of the real estate market in Pitesti is represented by the lands for investments, especially those meant for retail and ware-house spaces development, situated at the exit of the town in the above mentioned areas.

Euromall pushes Pitesti in line with other big cities

An evidence of the attraction Pitesti draws on those eager to build a profitable business can be seen in the substantial investments which the French group Flash Consulting makes on the retail segment of the real estate market. The company will invest more than 30 millions of euro in a mall of big dimensions. The commercial center will be called Euromall.The mall is situated near the future highway Bucuresti - Pitesti - Sibiu - Arad, at two minutes away of the town center and it will have a total area of 32,000 sqm, built on 3 levels (approximately 35 m height), 20,000 sqm representing the letable space.

The residential segment is rising

People started to demand villas and modern residential spaces, with luxury finishings, that also have yard, garage or pools. This request represents in fact the base for new developments on the residential spaces market in Pitesti.The most wanted areas are the exit towards Dragasani, Trivale (situated on Westside), as well as Bascov (the northern-west part of the town), due to its easy access to town. Another desired element is the positioning near Bogdaneasa Forest, in a green and quiet environment.

The office spaces get upsurged

Being very active from economic point of view, Pitesti has drawn in the last years many local and international companies who wished to open affiliates in the town in Trivale. Though the demand rises every year, the offer is still below the demand`s level. We are witnessing a big transformation on the offices segment, too. In Pitesti there is no Class A office building. The spaces used for this purpose are usually arranged inside block apartments or in renovated buildings, mainly situated on the most important avenues of the town.



Pitesti , Arges County Virtual Tour
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