Distance from the property to major attractions
- Airport Sofia (SOF): 170 km
This investment project offers you the possibility to be part of the construction of a relatively small holiday development of 20 apartments (total built-up area of 1,397 sq.m.). The building is to be situated on a quiet street in one of the best and most urbanized quarters of the ski resort of Bansko.
The plot is within the regulation of the town - it is located on the corner of two asphalt streets and its area is 415 sq.m. The area around the plot has been built-up for some time now and has excellent infrastructure. Tanne Hotel and the elite hotels Perun and Lion are only a 3-minute walk away and the base station of the gondola lift is about a 7-minute walk away. The plot is the last undeveloped piece of land in the area. It allows the construction of a semi detached building to the existing adjacent building.
The owner of the plot has drafted a conceptual project and visualization for the construction of a 4-storey residential building with a total built-up area of 1,397 sq.m. consisting of the following separate units:
• 6 studios (on two levels)
• 13 apartments
• 11 cellar storage rooms
• Reception and lobby area
• Ski room
The project is quite optimized and simplified, without unnecessary extras and commercial areas. This means easier sale of all the units and return on the investment.
If the buyer/investor wishes the project can be easily changed to build a hotel or a family mountain villa with a garden.
Business plan for realization of the project
• Price of the land, the conceptual project and visualization: 150,000 EUR
• Architectural projects and installations: 14,000 EUR
• Building permit: 10,000 EUR
• Vertical planning: 10,000 EUR
• External connections: 10,000 EUR
• Cost price of the construction and finishing works in the building as per Bulgarian State Standard: 322,000 EUR (at 230 EUR/sq.m.)
• Other costs during the construction of the project: 8,000 EUR
• Remuneration for the mediator selling the separate units: 14,700 EUR
• Total costs for the construction of the project: 538,700 EUR
• Maximum period for building the development: about 9 months
• Maximum period for realization and sale of the separate units in the development: about 24 months
• Financing on the part of the investor: about 300,000 EUR
• Total income from the realization of the project: 698,500 EUR (at average sale price of the apartments and the common areas of 450 EUR/sq.m.)
• Net income from the realization of the project: 159,800 EUR
• Profitability for the investor (%):
- for the whole period: 53 %
- annually (on average): 26.5 %
• Investor’s equity: 100 %
The business plan was drafted in a pessimistic variant reflecting the present difficult conditions on the market. There are variants to increase the profit from the investment under certain conditions. For example, if the investor can build the building only with their own resources or with a bank loan and then furnish it and rent the apartments out waiting for better times to sell them. The time is suitable for the construction of buildings at very lucrative conditions; however, the units could be sold at higher prices in a couple of years.
Note: all cited figures and periods are for reference only as they are valid and as accurate as possible as of the date of the drafting of this business plan (11.12.2011).
The figures and periods can vary during the actual realization of the project, in accordance with the present business conditions and the situation on the market.
This presentation and business plan should be used for information purposes only.
The exclusive consultant for the project, the overall marketing and the sales, the establishing of the enterprise and the overall project management is our company BULGARIAN PROPERTIES. Strategic planning has also been done and potential investors in the project will be acquainted with the possibilities to participate in the project and with the financial indicators.
This is the approximate location of the property. Please get in contact with us to learn its exact location.