Albania prices strengthen as resorts see overseas surge
Albanian property prices are increasing strongly and local resort developers are seeing overseas demand is on the up. The 5-star Lalzit Bay project has decided the time is right to start construction.
According to the latest Albania's House Price Index, residential values rose 10.3% year-on-year in the third quarter of 2011, way ahead of Rental Price Index which rose by 1.1% YoY in Q3 2011.
Ravin Maharajah, partner of Lalzit Bay Resort & Spa, a five star luxury residential development located on Albania's Adriatic coastline, told OPP this week that "with growth in the Balkan region predicted to be around four times higher than the 0.5% growth the EU is expected to post next year, demand for property in Albania this year has been on the up and - in light of 2012 predictions - will no doubt continue as property hunters search for alternative options.”
"The international market is starting to wake up to Albania's potential as a beach holiday destination and so we are pleased to announce the construction of the resort, which will commence on the 4th January 2012 with delivery scheduled for 2013.”
Prices at Lalzit Bay start from ?38,000 for a beachfront apartment and the resort is planning a beach club, tennis courts, restaurants and water-sport activities.
And the country as a whole is faring well. According to the budget bill passed by the Albanian parliament recently, Albania is predicted to see its budget deficit drop to 3% of GDP next year with economic growth reaching highs of around 4.3% despite the debt crisis currently affecting many countries. The International Monetary Fund (IMF) is predicting strong economic growth of 3.5% in Albania for 2012.
Travel guide Frommer’s has declared the Albanian Riviera as its “Top Value Destination for 2012” and the first 38-kilometre-long stretch of motorway linking Albania’s border directly to Kosovo’s capital Pristina is now open.