Despite over 10,000 empty apartments in Belgrade, the prices of real estate continue to rise, and the capital city remains a sprawling construction site. However, expert Nikola Seneši believes this is just an illusion of growth, as the pace of new developments slows down, reports Danas.
According to the latest data from the Republic Institute for Statistics (RZS), a total of 35,652 apartments were completed in Serbia in 2023. Yet, experts anticipate a significant surge in construction activity over the next two years, driven by preparations for the specialized EXPO exhibition slated for 2027, which will involve numerous infrastructure projects, including residential developments.
However, when examining the results of the most recent census, the figures reveal a stark contrast: Serbia currently has 123,584 abandoned apartments, 10,021 of which are located in Belgrade.
The reasons behind these vacancies are varied. Some apartments remain unsold, others lack legal heirs, and some are owned by people living abroad. Still, according to architect Danijela Rabrenović, an estimated 500,000 square meters of property is currently vacant, which, if calculated in capital terms, represents a staggering 5 billion euros in “locked” wealth.
Despite this considerable dormant capital in Belgrade, developers seem unperturbed, and construction projects continue to rise. However, real estate appraiser Nikola Seneši suggests that there is more to the story. While it appears there are construction cranes around the city, a closer inspection reveals that building activity has significantly slowed down.
“The construction pace is drastically slower. There’s no cash flow, no transactions. Belgrade Waterfront, which once operated around the clock in three shifts, now works five days a week with one shift and a half,” Seneši points out. The cranes are still present, but they operate at a fraction of the intensity compared to previous years.
According to Seneši, the 10,000 empty apartments in Belgrade are a direct result of a market flooded with unsold properties. Many of these apartments haven’t been sold yet, and others, while sold, remain uninhabited.
“This is due to a misaligned market,” Seneši explains. “The investment lobby is actively trying to avoid lowering prices and is maintaining the illusion that the market is not in crisis. Apartments in the outskirts of Belgrade, such as in Mirijevo, Karaburma and Ledine, are struggling to sell, primarily because investors refuse to lower prices,” he concludes.
