Property for sale in all regions of Bulgaria
Property for
sale in Bulgaria News
10 March 2006
Focus on Bansko
Nestled between the Pirin, Rila and Rhodope mountain ranges, Bansko
is located at the foot of the Pirin National Park, listed in the World Register
of Natural Heritage. It is a climatic mountain resort with a short hot summer
and long mild winter. Snow falls are abundant, providing a constant winter
snow cover up to 2 m thick. The region is famous for its cuisine and colorful
folklore and offers various entertainment opportunities. The access to Bansko
is convenient even in winter conditions. The distance to the nearest airport
– the Sofia Airport - is 160 km, and is covered in just 2 hours by
car.
Bansko is the youngest and the best developed ski
resort in Bulgaria. The skiing conditions are excellent. The slopes
offer runs and tracks for all types of skiers, from starters to experts,
and the ski runs are maintained in excellent condition. The resort is equipped
with machines for artificial snow. The two major ski regions of Bansko -
the lower called Chalin Valog (1,100 - 1,600 m) and the higher Shiligarnika
(1,700 - 2,500 m) - are situated above the town, on the northern slopes
of the Pirin Mountains. Slalom and giant slalom runs are available in the
Shiligarnika region. The total track length is 75 km with plans to expand
this to 95 km by 2006. A gondola lift provides convenient access from the
town to the ski slopes, a further lift is planned for 2006/07 season. Bansko
is applying for the 2014 Winter Olympics.
Bansko is a great place to visit during the warmer months from May through
October. The Pirin National Park combines breath-taking views with excellent
opportunities for hiking and sightseeing, including plethora of lakes, waterfalls,
caves and historical sights. The town and the nearby villages are known
for their healing mineral water springs, providing opportunities for rest
and relaxation.
The town of Bansko attracts visitors with its 120 cultural monuments. It
is famous for its fortified and artistically decorated houses, museums and
the Bansko School of Art. A very interesting site is the Holy Trinity Church,
with its 30 m high bell-tower and clock, splendid murals and woodcarvings.
Every August Bansko hosts the National Jazz Fest. Museum houses and collections,
souvenir shops and romantic holiday residences, hotels and taverns complement
the unique atmosphere of this splendid Bulgarian resort.
Bansko has attracted exceptional tourist and investor interest in the last
three years. Among the most notable developments are the expansion and modernizing
of the ski runs and equipment, as well as the construction of new hotels
and residential developments. Regardless of the increased capacity, Bansko
is generally fully booked during the winter months with Bulgarian, Macedonian,
Greek and British tourists making up the bulk of the visitors. With its
year-round activities, rich history and traditions, and mineral water springs,
Bansko represents not only an attractive tourist destination, but also a
great opportunity for the seeing investor.
Funds rush into Bulgarian property placing
Top fund managers have piled into Bulgarian
Property Developments (BPD) in a share placing to raise £75 million
to develop several property sites in Bulgaria.
New Star’s Paul Craig is one manager who has taken advantage of the
share issue, taking a new 3.76% stake in his New Star Global Strategic Capital
fund (New Star Global Strategic Capital). He has also taken a 2.51% position
in his New Star UK Strategic Capital Growth fund (New Star UK Strategic
Capital).
Craig’s colleague, AAA-rated Guy de Blonay, is also a fan of BPD (BPD)
taking a fresh stake in the firm worth 1.38% for his New Star Global Financials
fund (New Star Global Financial Ret).
New Star controls 10% of the £43 million company in total. Another
retail fund with a new stake is Aurora investment trust (ARR), run by James
Barstow, which holds 0.28%.
Hedge fund managers GLG Partners and Millennium Partners, also took hefty
positions of 25.1% and 6% respectively following the share issue. Other
investors include Moore Capital and QVT Fund.
Craig, who targets a range of capital growth products that invest in alternative
asset classes such as specialist property funds and private equity, told
Citywire the Bulgarian property market has been favourably compared with
the Spain of 20 years ago.
He said economic growth in Bulgaria has averaged 4% over the last seven
years and with the country set to join the European Union (EU) in January
2007 it will be eligible for major EU grants following accession.
He also highlighted that property prices are low relative to the rest of
Europe and that multinational companies are starting to invest in Bulgaria.
Craig believes the BPD management team, which includes London property developer
Ivo Hesmondhalgh and London banker Philip Pashov, who is also director of
the Bulgarian stock exchange, are the best people to take advantage of the
exciting climate in Bulgaria.
‘They have strong connections in the Bulgarian market with regard
to land acquisition, commercial development and residential development
– primarily ski resorts and property for middle classes,’ he
said.
Source: Citywire
Strong year for EU housing markets
Yet again, 2005 was a strong year for the majority of the EU housing markets
as house price inflation remained impressive in all but a handful of countries.
The latest assessment from the Royal Institution of Chartered Surveyors
(Rics) has said that while some of the smaller countries saw the most astonishing
growth, "the great European house price boom continues on its way".
Experts from Rics suggest that growth in 2006 may be slightly slower than
in past years, but it is an evaluation that is checked by the reassuring
news that there is no evidence at all of a property crash in any of the
European housing markets.
Property investment in Europe is as popular as ever with UK residents, largely
because of the amount of choice available as a result of new flight routes
and the expansion of the EU. As Rics has observed, it is a situation that
inevitably leads to dramatic house price inflation in some of the emerging
markets where house prices are seriously lagging behind, which can provide
considerable returns to investors over a short period of time.
On the other hand, the most sensible options in terms of sustained demand
for property continue to be the likes of Spain and France, both of which
have led the way in the European property market for several years.
Despite the expected slowdown of property price increases this year, European
investors remain spoilt for choice in the context of the worldwide real
estate industry. Rics has commented that house prices have been "amongst
the highest in the world during the latest upturn" providing investors
with remarkable returns throughout the EU.
As countries such as Bulgaria and Romania prepare themselves for European
accession, the situation is set to improve further. Increasingly, property
investment is an industry that is unconstrained by geographical barriers,
as individuals purchase properties in a variety of countries to maximise
their long-term gains.
Spain in particular looks set to retain its status as one of the leading
lights in the European property market after the housing boom continued
in earnest last year. On an annualised basis, growth was slightly lower
than it was in 2004, but at 14 per cent it still indicates that the country
is ripe for investment projects.
Since 1998, national house prices in real terms have increased by around
120 per cent, while recent reports on house building rates and mortgage
markets suggest the trend is unrelenting. At the same time, increased building
rates mean supply may finally begin to catch up with demand, which is why
the market may be a little slower this year. Then again, investors will
be pleased to hear that "a soft landing to the housing market boom
is the general prognosis in the absence of any severe economic or financial
shocks".
Moreover, investors are increasingly seeking expert advice on the best places
to purchase property, exploiting regionalised house price inflation. In
Spain, property investors are expecting good returns in Murcia and Alicante,
for instance, while investing around golf courses in one of the world's
most fanatical golfing nations is almost always a good bet.
Clearly, the success of property markets beyond the usual favourites has
been great for investors looking for a change of scenery, but it has also
meant that the decision-making process is all the more complicated. It would
seem that it is now more important than ever to conduct comprehensive research
before committing to a property project, to ensure returns are as high as
possible in often unfamiliar markets.
Low property prices and inexpensive ski passes
-make Bulgaria one of the top destinations for flourishing ski properties,
writes The Times in its latest edition.
Described as ideal for a budget ski
property, Bulgaria is recommended for its season from mid-December to
late April and the challenge that its slopes offer for the occasional skier
and for those with little experience.
"During the summer this sparsely populated, largely rural country offers
a wealth of activities such as hiking, fishing and mountain biking, as well
as the fabulous beaches of the Black Sea coast. The numerous historic towns,
unspoilt villages, castles and churches are also waiting to be explored."
According to research by the property investment expert Assetz, Bulgarian
ski resorts offer rental returns of up to 12 per cent - because of their
year-round attraction the returns are double those of their coastal counterparts.
Assetz lauds the rapidly expanding resort of Bansko,
which combines a UNESACO World Heritage village with some impressive new
lifts and longer established. A one-bedroom apartment costs from USD 40,000.
Thirty-six per cent more UK holidaymakers visited Bulgaria in 2005, leading
to an influx of travel companies many of which are offering guaranteed rental
schemes similar to those in France. However, they are not yet well established
and Assetz advises property investors to research the history and reputation
of the companies involved.
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