New mall projects increase the competition between the malls themselves along with smaller retail centers in Sofia districts. After the completion of the first shopping malls there are at least eight other projects, which are to start or in the state of clarifying their concepts.

The new projects are located in the four parts of the city – Bulgaria Mall on Bulgaria blvd. in the South-West, Olympia – in the north western part, the project of the French retailer Carrefour on Tsarigradsko Shose blvd. and the one in the south eastern Sofia, as a part of the Sofia Park development. Multifunctional complexes as Sofia Acropolis in Krasna Polyana district and Riofisa’s project will also include malls. The Austrian Fund Meinl European Land

Plans to invest 185 mln euro in a largescale shopping center in Sofia, which will be completed by 2009 and, probably as a purchase of an axisting project.

The expansion of the retail space and the increase of the competition will lead to decrease of the asking rents for the smaller shops by 5 % to 15, according to brokers.

The selling prices on Bulgaria blvd. reach 3,534 euro per sq m. The prices on Vasil Levski blvd. are lower – the highest prices stand at 2,800 euro per sq m. The highest values of the retail areas in Sofia are on the Vitosha blvd. and Patriarh Evtimii blvd. A 65-sqm-outlet located on Vitosha blvd. costs 23,000 euro per sq m and a 700-sqm-retail space can be purchased for 7,000 euro per sq m. Theprices of the shops on Hristo Botev blvd. range between 1,000 euro per sq m and 3,000 euro per sq m. A 30 sq m shop with a store costs 240 euro per sq m.

The prevalent high-end asking rent levels vary between 28 – 30 euro per sq m. The highest asking rents in the districts sq m. The highest asking rents in the districts Mladost, Geo Milev and Borovo range between 30 and 55 euro per sq m. The lowest asking rents for the outlets in Sofia vary between 2 euro per sq m and 4 euro per sq m. The top offer for this month is for 55-sq m-retail unit area on Vitosha blvd. for 155 euro pesq m.


Source: THE BULGARIAN PROPERTY INDEX MAGAZINE