Developing Durrës: New European property hotspot emerges
- 500% increase in number of new building permits issued in Durrës in Q3 2014 (INSTAT Quarterly Statistical Bulletin)
- 265% increase in value of building permits issued in Albania in Q3 2014 (INSTAT Quarterly Statistical Bulletin)
- Almost 60% of investors looking to ‘risk’ markets when growing portfolio (Colliers International ‘Global Investor Sentiment Report 2015’)
Albania’s second largest city, home to the Balkan country’s main port and thriving commercial centre, and just 150km across the water from the Italian coast, is Durrës, a city that is currently undergoing a renaissance thanks in part to a financial boost from EU funds. With the government focussing wholeheartedly on cleaning up the city and surrounding areas through demolishing illegal developments, planting more trees and rejuvenating the coastline, the wide-ranging regeneration of Durrës is well and truly underway.
The figures speak for themselves. As of the tail end of last year, INUK was reporting the tearing down of 230 illegal buildings in the city, with the coastline being rejuvenated and redeveloped in a positive standout move by the Albanian authorities.
As part of this move, there has been a large increase in the number of new building permits granted in the Durrës prefecture, according to the Quarterly Statistical Bulletin of the Albanian National Statistics Office, , recording a massive 500% increase in figures in Q3 2014, compared to the previous quarter.
Peter Walshe, Marketing Director for Albania’s first high-end resort Lalzit Bay Resort and Spa, situated in the Durrës region, explains why this is an exciting time for the area,
“Durrës, and the surrounding areas which includes Lalzit Bay to the north, is a wonderful region of Albania. It’s fantastic to see that the government is giving it the dues it deserves by cleaning up not only its coastline but its public image in turn. You wouldn’t necessarily visit central Durrës for the beaches as there are stunning beaches and resorts to the north and south, but a greener Durrës will mean a more appealing location for those looking to holiday and buy property in the area. These positive figures coming out of the region are a testament to the hard work being done by the new government, as well as the potential for investors. This is a very positive development for investors in Albania.”
This spotlight on Albania’s second city is within the context of a positive period for the country as a whole, as it continues to move towards EU status. The latest INSTAT Quarterly Statistical Bulletin has also revealed a huge increase in the value of building permits issued in Albania as a whole, from 6,404,601 lekë in the second quarter of 2014 to 23,370,865 lekë in the third quarter, a massive 265% increase in just three months, whilst the size of permits granted for new buildings grew by 182% year on year, to 584.814 m² in Q3 2014.
This growth in the country’s construction industry comes at a time when visitor numbers are reaching new highs, ensuring the property and tourism increases are working hand-in-hand to result in an exciting period for Albania. The number of foreign citizens arriving on Albanian shores totalled 1,779,569 in Q3 2014, up 118% on the previous quarter’s figures of 815,196. Of these, some 1,617,264 were of European descent, with this faction growing by an outstanding 109% within a three month period.
Yet it is not just these impressive statistics that are ensuring that Albanian shores are appearing increasingly attractive to those looking to buy property outside of their own country. The Colliers International ‘Global Investor Sentiment Report 2015’ has revealed that EMEA (Europe, Middle East and Africa) investors are more and more looking to ‘risk’, or emerging, markets such as Albania when growing their portfolios, with almost 60% stating that this is now the focus for their capital.
And with Durrës such a hotbed for growth, this is one area which they are sure to focus upon. An example of the ideal investment opportunity in this region is Lalzit Bay Resort & Spa, a five-star, beachfront resort boasting luxurious facilities and standout views of the beautiful sandy beaches and Dajti mountain range. Just 30 minutes from Durrës and boasting a beach club, range of top restaurants and bars, tennis courts and boutique shops, Lalzit Bay Resort offers a range of properties built at low density and to the highest of standards.
1 or 2 bedroom apartments and 3 or 4 bedroom villas with private pools are inspired by California’s elegant and modern beachfront properties and are priced from €35,000 to €360,000.
For more information contact Lalzit Bay Resort and Spa on +44 845 125 8600 or visit www.lalzitbay.com