Originally Posted by ironfever

Hi,

Bucherest is proving to be a real hotspot for property at the moment. First of all I emphasize Bucherest retains 55% of FDI in Romania.

Over the last nine months the market in certain sectors of the capital have witnessed 30% growth, and, it would seem that the world bank´s projections are correct so far (to be the biggest Return on Investment in the European Property Market over the next decade).

To cut a long story short, the capital itself is divided into 6 sectors, 2 to 6 setting the scene for high rising block and characterising your expected communist traits. Sector 1 is much greener with its parks, forests and lakes. Yes you guessed it, this areas was preserved for those who were slightly more equal than others during the communism era.

forwarding to today,,, and the reason why I, the world bank, PWC, and any other serious investors reccommend Sector one as an investment (in Brief):

A shortage of 40000 high quality housing
A growing Middle Class
A high volume are expats due bluechip co´s setting up HQs in secotr one (tax benefits)

TRANSPORT (A must for a thriving economy)
metro (underground) line expansion, modernisation
inclusion of new line 5
20 new trains acquired

Surface transport
11 tram lines, 16 trolley buses (to be extended 2007 to 2010), 40 bus lines

ECONOMY
the captial generates around 21% of the country´s GDP
1/4 of its industrial production

nearly all of your romanian firms have their HQ in the captial, the city currently serves 186,000 HQs (national and International)

other important industries, include furniture, software and technoliogy.


All in all youre looking at high rental yields (11% - 13% net), target the long term rental market, corporate letting is the way to go, sort out 2 to 3 year contracts, and this is the general expat contract for senior positions. look towards a 2 to 3 bed apartment, townhouse or duplex. Yes, it will cost you more, but those FDs, MDs, CEOs, Engineers, Programmers etc are bringing there families with them.

there is much more to this thriving economy, I recommend you look at this market with mith you head.