Price of luxury apartments in Bucharest exceeds pre-crisis peak

The average price for ultra-premium (luxury) residential properties in Bucharest has reached EUR 4,170 per square meter (sqm), well above the luxury housing prices seen before the 2008-2009 crisis, according to a study by real estate agency Imoteca.

Some 47% of these ultra-premium homes cost now more than EUR 4,000 per sqm, and, in some cases, they exceed EUR 7,000 per sqm.

The market for luxury properties boomed between 2012 and 2016 due to a steady increase in the demand for this type of housing. Their decisive feature is the location, most of them in the northern part of the capital, such as Herastrau - Soseaua Nordului, Pipera, Baneasa, Primaverii, Aviatorilor, Floreasca, Kiseleff, and Dorobanti.

Some 35% of the luxury properties have prices per square meter between EUR 4,000 and EUR 4,400 per sqm, while other 11.5% cost between EUR 5,300 - 5,600 per sqm. The lowest prices for such housing do not fall below EUR 3,000 per sqm. A two-room apartment in the ultra-premium segment, with a surface of 52 sqm, thus sells for an average of EUR 182,000. Three-room apartments, which come with a surface of about 98 sqm, sell for EUR 450,000, while four-room units of 140 sqm reach EUR 614,000. The average price for penthouses in this segment is over EUR 1.2 million, for an area of 239 sqm.

An important must-have for these properties are the large terraces. Some18% of the projects have terraces ranging from 94 sqm to 200 sqm, while 35% of them have terraces between 23 sqm and 32 sqm.

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