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In 2013, real estate developers in Vilnius sold about 2,350 new apartments, which is as much as 60% more than in the previous year.
In 2013, real estate developers in Vilnius sold about 2,350 new apartments, which is 60% more than in the previous year. According to preliminary data from the Center of Registers, sales in Vilnius increased by 33% last year, with about 8,000 apartment sales transactions concluded..
In 2013, the most popular projects in terms of sales were in Pilaitė and Pašilaičiai. 15% of Vilnius buyers purchased new construction apartments in Pilaitė and 11% in Pašilaičiai. Naujamiestis is in third place in terms of the number of apartments sold, followed by Žirmūnai and Antakalnis.
Last year, 59% of new apartment sales were economy-class apartments. The number of transactions in this class increased by as much as 82% over the year. Currently, the average price per square meter of an economy-class apartment is 4,240 litas, which is 4% more than in 2012. About 38% of new apartments sold in Vilnius were middle-class. In 2013, 55% more apartments of this class were sold than in previous years. Middle-class apartments, the average price of which is currently about 5,630 litas per square meter, increased in price by 7% in 2013. Only 70 prestigious-class apartments were sold during the year, which is only 3% of Vilnius sales. “Last year, luxury apartments were sold by as much as a third less than in 2012. The price of apartments in this class decreased by almost 2% over the year, to 8,060 LTL/sq m, but the figures do not reflect the real situation in this segment. The demand for prestigious housing exceeds the supply. Over the past couple of years, only a few luxury housing projects have been launched in Vilnius, which were implemented very quickly,” says Tomas Žiaugra, the head of development projects at Eika. According to data from Eika, the average price of new apartments in Vilnius increased by 5% in 2013 and currently stands at 4,960 LTL/sq m.
The completion of the project did not have a significant impact on the sale of new apartments. In 2013, the largest number of apartments was purchased in projects that were under construction, in other words, “on paper” – 37% of all new apartments sold. “35% of buyers chose apartments in already completed apartment buildings, and the remaining 28% of sales took place in projects where construction work is nearing completion,” said T.Žiaugra at the annual LNTPA conference.
According to the representative of “Eika”, real estate developers are currently offering about 2050 new apartments for sale in Vilnius, which is 13% less than at the beginning of 2013. Only 27% of new apartments currently being sold are in already completed buildings. “During 2013, the supply decreased the most in the economy class from 1470 to almost 1170 apartments. In other classes, the supply of new apartments changed less: in the average class it increased by 1%, in the prestigious class it decreased by as much as 16%”, – calculates the head of development projects of “Eika”. The largest supply of new apartments is currently in the most popular districts in terms of sales in 2013. Pašilaičiai has almost 19% of new apartments in Vilnius, in Žirmūnai – 13%, in Pilaitė – 11%.
2013 was distinguished by a record supply of apartments in new projects, which has not been seen since 2008. Buyers were offered as many as 2,700 new construction apartments, while in 2012 there were about 2,200, i.e. 18% less. “Calculating the transactions of plots sold in 2013 and the volume of detailed plan procedures, we predict that in 2014 we will have even more new projects in the primary market,” says the head of development projects at “Eika”. According to T. Žiaugra, since the third quarter of 2013 there has been an increase in the activity of real estate buyers, the main reasons for which are the upcoming introduction of the euro and record-low loan interest rates. “Judging by the mood of buyers and the volume of planned new projects, sales of new construction apartments should grow in 2014, about 220 apartments will be sold in the primary market per month,” predicts the representative of “Eika”.
About the Eika group of companies
Founded in 1992, the company “Eika” is one of the largest real estate development and construction groups in Lithuania. The group of companies consists of: UAB “Eika” – a leader in the real estate market, valued for its innovation, reliability and responsibility; UAB “Eikos statyba” – a construction company with extensive experience in the construction and renovation of administrative, public, commercial, industrial and residential buildings.
More information:
Tomas Žiaugra
Development Project Manager
Phone: +370 5 2045 810
Fax: +370 5 2514 256
Email: [email protected]