Experts: The Market of Logistics Properties in Bulgaria Still Lagging Behind

The market of logistics properties is the least developed segment in the real estate sector in H1, experts from Foros real estate agency told Bulgaria is lagging behind its neighboring countries in the area, they added.

Investment activity in the sector is still very low and availability is limited in terms of both quality and quantity. Most properties offered are old warehouses that do not meet any modern quality standards.

Newly built logistics space is very rarely offered, Foros agency said.

5 logistics centers are currently under construction in Bulgaria, which is not enough to meet demand.

The new centers are situated in the big cities – Sofia and Plovdiv. Most of them are being built by specific companies to meet their own needs and will not be rented out.

Another reason for the slow activity in the area is the fact that the office and commercial real estate sectors have attracted the attention of most investors at the moment, as those are currently bringing higher return.

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