BaREc participants discuss changes in the taxation of infrastructure related to real estate projects

The Association of Commercial Building Owners in Bulgaria proposed changes in the existing taxation system for investors, who build infrastructure to their real estate projects. Additionally, the members of the Association would like a timely coordination of the changes in the city development plans, which will allow them to work in a predictable environment and make informed decisions for investments. Mrs. Olga Stoichkova, deputy-chairman of the Association, presented these points during the real estate and investment conference BalREc, which took place on November 25, 2013 in Sofia. The Association was officially registered in the Bulgarian court in October this year.

Olga Stoichkova, who is also Tishman International`s Commercial Manager at SAC, participated in the panel on “The Office Market – is there a real shortage of office space in Sofia?”. The discussion highlighted several topical issues: current market situation and market trends; lack of office space in Sofia; characteristics of the existing premises and expectations about new projects in the following year. “The demand for high-quality office space is already equal to the existing supply. There are no new projects offering prime offices. This leads to lower vacancy rates of the existing properties, which achieve double-digit rent rates. This segment of the market remains stable and the expectations for the foreseeable future are for a demand exceeding the supply,” noted Olga Stoichkova.

Upon completion, SAC will consist of 180,000 square meters of Class A office space and 30,000 square meters of logistics and warehouse space, which feature state-of-the-art security and safety systems. Future plans call for a high-quality, 175-room hotel with recreational, dining and conference facilities, as well as additional logistics space. In addition to the prime office and logistics space that is being offered at Sofia Airport Center, all its tenants are enjoying approximately 5,000 square meters of park environment. The green areas with walking trails and a central lake are providing an open recreational space.