Reasons to Invest in Commercial Property in Croatia

The new government in Croatia has said that it is determined to lead the nation towards EU entry by 2010 and NATO entry later this year; furthermore it has declared that it wants to ensure the nation continues to develop a strong economy with emphasis to be placed on expanding the country’s tourism market in particular.

As Croatia meets the objectives laid out for it by the European Union and continues to do everything it can to meet the NATO membership deadline in 2008, so investors are becoming increasingly attracted to one specific area of the country’s real estate industry in particular, namely commercial real estate.  In this article we look at reasons to invest in commercial property in Croatia…

Prime Minister Ivo Sanader’s new cabinet, which passed into government in Croatia earlier this month, is committed to continuing efforts already made towards fiscal and structural reform and it is highly likely that the EU accession process will advance these reforms as greater inward investment flows into the nation.  In support of this theory is Colliers International which has opened a third office in Croatia specifically to assist those who want to enter the Croatian property market both locally and from overseas.

Commenting on the company’s decision to open a third office in Split, Tomislav Perovic who’s the Managing Director of Colliers International in Croatia stated that it was largely as a result of the decentralisation of commercial interests in Croatia that opportunity was opening up across the nation specifically in the commercial property market, and that positive profit potential was built on EU entry.

Decentralisation, greater international confidence in Croatia’s commitment to NATO and EU entry, a further term for Prime Minister Sanader and therefore perceived political stability in Croatia as well as the government’s commitment to advancing the economy are all additional indicators for a property investor that market conditions are favourable for considering an entry into commercial property in Croatia right now.

According to Colliers International, the main areas of specific commercial interest at the moment are retail and office.  This is because businesses are expanding within Croatia and considering both decentralisation for fiscal reasons and also opening secondary hubs as business expands.  Additionally, with EU entry pending, additional businesses from outside Croatia are coming to the nation seeking premises.  These factors are creating employment which in part has resulted in greater consumer affluence which pushes over into demand in the retail sector.

With the news out today that the commercial property market in the UK is not looking so hot, could it be time to pull your money out of Britain and put it into Croatia? 

Special Reports: Property News for Croatia

Croatia Investment Property Buying Process
Property investors interested in Croatia will be pleased to learn that the property purchase process is relatively straightforward

Croatia Property Buyer’s Guide
Why Croatia's emerging investment property market is growing in attraction for international real estate buyers.

Croatia Property Investment Overview
Croatia is re-emerging as a tourism hotspot and represents an excellent property investment opportunity for overseas real estate investors.