ARTICLES LABELLED WITH TAG Hungary

There were 14,569 residential property deals made in Hungary in February 2021, according to the latest monthly transaction estimate by real estate group Duna House. This marks the highest transaction number of the past ten years. This many homes have not changed owners in a month since early 2011.

Hungarian integrated architecture and building services provider DVM group started the construction works of Drechsler Palace in January 2021 at 25 Andrássy Avenue, Budapest. The monument building, previously home to the Pension Fund of the Hungarian State Railways and the Hungarian State Ballet Institute, is owned by QPR Properties who is transforming the building into the first W Hotel in Hungary, W Budapest.

The Q4 2020 results of the RICS Global Commercial Property Monitor continue to point to a challenging backdrop across Europe. Both the office and retail sectors remain under significant pressure, with demand still falling sharply amid the difficult economic climate induced by the pandemic. On a brighter note, supported by structural tailwinds, the industrial sector continues to defy this downbeat overall assessment, prompting respondents to upgrade expectations for rental and capital value growth.

In 2020, 28,208 new dwellings were built in Hungary, 34% more than a year earlier, the Central Statistical Office (KSH) said. The annual figure is an 11-year high. Meanwhile, based on issued dwelling construction permits and simple declarations, the number of homes to be built decreased by 36% compared to 2019 to 22,556.

pbb Deutsche Pfandbriefbank has provided an investment loan facility totalling €66.5 million for an office portfolio managed by GalCap Europe on behalf of an institutional client. The fund will utilise the proceeds for the refinancing of a mixed-use portfolio with assets in Budapest and Warsaw. pbb acted as arranger and sole lender under the facility.

Budapest’s office market hasn’t collapsed but it has undergone a significant transformation over the past 12 months, and now the new normal has to be redefined, Valter Kalaus, Managing Director of consulting firm VLK Cresa explains.

Atenor has signed an agreement relating to the acquisition of new plots in District XI of Budapest for a total area of 82,861 sqm. This new project, named Lake City has the capacity to build a total of 92,183 sqm residential area and will propose 1,326 apartments developed in eight phases. The first phase has a valid building permit in place, while for the rest of the project the building permits are yet to be obtained.

Due to the pandemic, the construction industry in Hungary last year registered a significant fall and the last quarter couldn’t save the year either. The latest EBI Construction Activity Report has found that Q4 2020, similarly to the low-value Q4 2019, saw the start of construction works at a value of HUF 442 billion. Owing to the massive drop in mid-2020, 15% less construction work started than in 2019 and 30% less than in 2018. In 2020 the Activity Start Indicator of the EBI Construction Activity Report accounted for less than HUF 2000 billion and the decline affected all major subsectors.

Skanska has announced changes in the leadership team of its commercial development business unit in the Czech Republic and Hungary. Alexandra Tomášková stepped down from the role of EVP Operations for Hungary and the Czech Republic and is currently on a 2-month sabbatical. She is considering another role in the organization.

Attila Kovács, who founded DVM Group in 1995 and Horizon Development in 2006, passed away in February 2021, the two companies announced.