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Hungary Set For Massive Rebound in 2011

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real estate  EUR  Hamish White  Hungary  Hungarian Property Market 

Hungary Set For Massive Rebound in 2011

By - Wednesday 02 February 2011

Interest from investors in property in Hungary is growing, the latest market report from Colliers International has found.

According to the property consultant, the total investment volume in the Hungarian real estate market over the course of 2010 was around EUR 185 million. Within this, interest from both domestic and foreign buyers has climbed, Colliers International said.

The predictable shortage of prime office space foreseen around 2012 is also an attractive draw for investors who anticipate rental growth, Property Magazine reported.

However, Hamish White, partner and Investment Services director at the organisation, said that the total figure was below their expectations set out at the start of the year. Mr White added that there had been continued weak confidence toward the country since the GDP contraction in 2009, now combined with the government's crisis measures and the state of the European sovereign debt.

Collier International forecast that overall investment volumes in 2011 will be much higher, potentially reaching EUR 500 million, driven in particular by a strong "pipeline of potential deals".

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