Spanish developer to launch new residential complex
02 September 2008
Spanish developer Hercesca International has announced a major new development near Sofia despite the current analysis that the property market in Bulgaria is near saturation, reports Property Wire.
The company said it will invest EUR 500 million in the building of a gated residential complex with 2000 apartments between Sofia and Pernik.
The complex will also include a railway station which will allow residents to commute to either Sofia or Pernik with trains stopping every 15 minutes. The first phase of the project is due for completion by the end of 2012 with the whole project completed by 2016.
Nikolina Nikolova, chief executive of the Bulgarian arm of Hercesca said she believed the Bulgarian residential property market still has potential to grow. “'We have 33 years of experience on the international property market, and what makes us different from the rest is the quality of our products,” she said.
“The most important feature for us is securing an adequate infrastructure, together with a sense of security for our clients. We are not a typical Spanish investor and developer. Our board of directors includes representatives of five major Spanish banks and that means financial stability,” she added.
But the announcement comes as real estate agents in Bulgaria confirm what the analysts have been saying for some time - the Bulgarian property market is suffering from an oversupply of properties with falling demand and low client confidence.