Prices of apartments grew at a two-digit pace in Slovakia in 2018. The average price of an apartment increased from €1,479 per square metre to €1,655 per square metre during the first 11 months of 2018. This means an increase of €176 per square metre or 11.9 percent, Vladimír Kubrický, analyst with the Real Estate Union, told the TASR newswire.
The increase in residential real estate prices in 2018 resulted from positive economic development and competition between banks to provide mortgages. Interest rates decreased to a record level when they reached levels of 1 percent p.a.
Prices grew the most in the spring when demand of real estate increased dramatically. This growth was triggered by the announcement of the National Bank of Slovakia, the country’s central bank, that conditions for taking housing loans were tightening as of July 1, 2018. Many of those wanting to obtain their own housing began to look for real estate and started proceedings to get a bank loan. As a consequence, prices increased by as much a 9.1 percent during the first half of 2018. Compared with this increase, the 3-percent growth during the second half of 2018 was negligible, said Kubrický.
While prices in individual regional capitals grew evenly, the price difference between the Slovak capital and other cities remains significant. While the average price of an old three-room apartment in Bratislava is €2,200 per square metre, in Žilina, Trnava and Košice it is €1,500 per square metre. Nitra follows with €1,400 per square metre. Prices in Banská Bystrica, Trenčín and Prešov are lower - €1,200 per square metre.
Company owners are searching for more effective solutions for managing their companies. One of such solution is shared office space; as much as 80 percent of companies using this solution put cost reduction as the reason. This way they save especially on costs needed for acquisition of offices and rentals, as well as repair and maintenance costs, a survey conducted by International Workspace has confirmed.
Extensive reconstruction of Mlynské Nivy Street in Bratislava and construction of a brand new central bus station, including an adjacent high rise office building, are progressing. Currently almost 450 workers of various professions and 18 cranes are working on it, the biggest construction site in central Europe at 4.4 hectares large. The developer HB Reavis still promises to launch the new bus station in late 2020.
In the former industrial zone on Račianska Street in Bratislava, next to the Lidl retail store, stands an old brick smokestack and concrete beams. These are the remnants of a long defunct parquet factory. Developer Corwin plans to replace the remnants with Guthaus, a residential complex with a new vision for housing quality.
Good office spaces keep employees happy at work, while having a modern, healthy and attractive office is also an efficient tool for recruiting new talent. Companies in Slovakia are aware what influence the working environment has on their employees and design their offices accordingly, show results of an annual competition organised by the real estate consultancy CBRE.
European commercial real estate investment volumes reached a record high of €312 billion in 2018. This represents a 0.3 percent increase on 2017, which was previously a record, when total investment volumes reached €311 billion, according to the latest data from leading global real estate advisor, CBRE.
Germany is the sixth European country in which the Slovak developer HB Reavis is active. In mid-February it announced two major acquisitions in Berlin and Dresden totalling 3.5 hectares. The announcement followed only a few days after media reported on the sale of some HB Reavis projects in the Czech Republic.
The oldest shopping mall in Bratislava, Polus City Center in Bratislava’s Nové Mesto borough, is undergoing major reconstruction. With an investment of €4 million euros, the interior and exterior of the shopping mall will undergo radical change.