Bucharest is the capital of Romania, with over 2 million official populations and a fantastic appeal for investments. Recent history of the city was quite confusing, after the communist regime which changed major part of the old, historical Bucharest, in present most of people living in old apartments buildings.

At the moment, road infrastructure is in poor condition, but over 2,000 roads are in course of modernization, as authorities had announced. The most part of the infrastructure work is set to be done by 2008, with other big projects to be ready in 2012-2015. Today the capital is looking more like a construction yard and less like a European capital, but this is good news for investors.

Public transport is served by busses, electric busses, tram and metro. Important investments were made. Old busses were replaced in recent years by modern comfortable ones. A vast program of trams lines modernization started in 2007 and the metro is expanding its infrastructure. New lines and stations are being built to serve the Colentina and Marasesti Hospital, new line is being built to serve the Drumul Taberei road and another one is planned to serve both Baneasa and Otopeni Airports.

Bucharest historic center, Lipscani area, is undergoing significant restoration. Big commercial centers have been built indifferent city districts and supermarket can be found in every part of the capital. Since 2,000 the city has seen fantastic urban renewal, commercial and residential developments are on the way almost everywhere in the city.

Important locations in Bucharest:

- North Area (Băneasa, Domenii, Aviatorilor, Herăstrău, Primăverii, Dorobanţi And Floreasca). This is where the upper level market can be found, with both new and old luxurious properties. Streets like Primaverii are targeted by the economic and political elite. On Primarii you can even find Ceausescu’s former residence, in a restrictive area until ‘89 revolution.

Prices in the area are starting from €3,000 per sq m for houses and €2,000-5,000 per sq m for lands.

High prices in upper market have convinced investors and buyers to look for upcoming areas to invest. Middle income buyers and tenants are attracted by lower prices areas such as Vitan, Drumul Taberei, Militari, Colentina and Titan (in west, east and south of the city).

Another north development is placed in Corbeanca, 16 Km from Bucharest, known as Green Paradise. 30 Km north there is the Snagov Lake, a recreational and holiday area that is changing into a permanent residential area. County have been transformed from an uninteresting small village into a booming residential area. The trend being set in north was not long until investors have started to invest in other areas surrounding the city, taking advantage of their lower cost.

- Suburb. Before 90’s the regions close to city were used exclusively for agriculture. Until recently there were no suburb houses. Reality is totally different now; many suburbs are built in the regions close to Bucharest (Ilfov). The process was first started in the north part of the city, Pipera County being transformed from an uninteresting small village into a booming residential area.

Market Supply
Some 3,000 apartments will be delivered on the market until end-2008 in 22 residential projects, according to Colliers International realtor. This compares to the nearly 800,000 old housing units in Bucharest and means a marginal increase on the supply side. Out of these, only 10% are luxury apartments. However, the projects in the low-end segment are in their early stages and the growing prices may force developer rise prices eventually.