Real estate in Slovenia

02/10/12

Real Estate in Slovenia

National treatment

 

Foreign legal entities established in Slovenia benefit from a national treatment regime with regard to the acquisition and ownership of real estate. Businesses incorporated or founded in Slovenia have the same purchase rights and rights to the use of land and natural resources as those enjoyed by Slovenian enterprises, regardless of the amount of foreign-owned share capital.

 

Businesses not incorporated or founded in Slovenia have the same rights if they have subsidiaries/enterprises based in the EU and all transactions are justified by the primary activity of the business.

 

 

Real Estate market

 

Activities in the Slovene real estate market have been on the rise since the mid 90’s. The process of denationalization brought substantial increase in supply of various kinds of commercial and non-commercial real estate, which was met by the every day growing demand. By the date Slovenia is flooded with nearly 1800 real estate agents and is fully opened to foreign capital.

 

Three categories of real estate most interesting to foreign investors would be industrial land (business zones), commercial property and tourist oriented real estate.

 

 

Industrial land

 

In Slovenia there are around 350 business zones ranging from 1 up to 108 ha in size. Smaller zones (less than 20 ha) are mainly of local importance, though opened to larger projects. Industrial land (20 to 50 ha) located near main transport routes is already considered as being a pinpoint for regional development.  All industrial land is available to foreign investors.

 

 

Key business locations

 

Slovenia has recently developed a number of sites of interest to industry where foreign companies can start up operations as a green-field investment. The main actors in the development of land for industry in Slovenia are local authorities and regional development agencies. A number of private initiatives have also entered the frame recently.

 

Most of the newly developed industrial zones in Slovenia are located close to rail lines and with direct access to main roads or the highway cross. Infrastructure is mostly well developed and access to service connections is also available.

 

In some cases, prices for fully serviced industrial land in industrial zones in Slovenia are relatively low, especially for strategic investors; this is due to the fact that infrastructure and land costs are frequently subsidised by municipalities and the state. Local authorities' main goal regarding industrial land development is not profit but the creation of jobs. The price per square metre of land in underdeveloped areas in Slovenia can be very competitive (in the town of Črnomelj is EUR 2), while the prices in the vicinity of Ljubljana or major industrial areas vary from EUR 100-250 per square metre.

 

Potential investors can also count on a full range of free services provided by local development agencies on the way to start-up. This can also include advice in the process of obtaining all the necessary permits and, in some cases, even the organisation and financing of the construction process in line with the investor’s requirements.

 

More about locations in Slovenia

 

Commercial property

 

Slovenia property investment is growing in popularity and  was recently voted one of the top ten property investment locations in the world by UK TV program A Place in The Sun.

Before crisis hit, Slovenia had been facing a great demand for (low cost, standard and luxury) residence space, mostly apartments in the urban regions, which resulted in numerous projects in residential investments. At the moment prices and transaction levels of residential properties are stable.

Another interesting field is quality office space. Numerous projects for business premises are underway. Ljubljana, being the capital of Slovenia, and Koper, a port city, are mostly affected.

 

 

Projects in tourism

 

Slovenia has a lot to offer in the sense of tourism. Apart from constant expansion of accommodation capacities (hotels, thermal and sea side resorts, ski centres), Slovenia is turning in the direction of restoration and revitalization of castles and mansions with surrounding parks that can be used for luxury hotels or recreational areas.

 

Investment opportunities in tourism

 

 

Ownership of real estate

 

Most land in Slovenia is privately owned and can freely be sold and purchased.

 

 

Purchase right

 

Citizens of European Union member states may purchase real estate on the territory of Slovenia with no restrictions.

 

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