Purchasing property in Budapest: property company "Capital Eyes International"?

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Im not saying Karolyi Gardens will be the best development around, but what people have to realise, is that TIME is the most valuable commodity. Money sitting in a savings account in the UK is a total waste, since inflation is far higher than REAL interest rates.

At that time, - when I had time, - the only real contenders were the first phase of Corvin or Karolyi, or buy a classical redevelopment project (which i did not have time for). I chose the big open space - room with a view. The development with a 2 year build time - a hedge against inflation. In the mean time i bought GOLD - done very nicely from it too :)

Also I reserved on the first day of the release - September 2006 - pre release prices, the land had only just been cleared, so I got the best apartment in block 2.

As I mentioned in another thread ..... im tempted to buy in the US - fire auction - buy a cheap place while the exchange rates are so good. Refinance in 6 months or so to complete my Karolyi purchase.
 
I really don't like this location. The Danube side of District XIII is already swamped with new build projects. I can't see potential tenants wanting to travel even further out of the city centre to District IV (Újpest). At this rate, it's only a matter of time before some developer will try to market 'K[SIZE=-1]ő[/SIZE]bánya Kispest' as the new city centre!
 
budapest said:
I really don't like this location. The Danube side of District XIII is already swamped with new build projects. I can't see potential tenants wanting to travel even further out of the city centre to District IV (Újpest). At this rate, it's only a matter of time before some developer will try to market 'K[SIZE=-1]?[/SIZE]bánya Kispest' as the new city centre!
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I biked there this WE and it all looks quite depressing. I've heard from different people that Marinapart and Prestige are doing good from a rental perspective, but the whole neighbourhood misses soul. The marina is cool for a few hundred meter, but changes quickly in an industry zone.

I think if I had to choose I would prefer to live on the other side, on Romai part. It's a bit touristic, but the atmosphere is great.
It must have been a depressing place 10 yrs ago (lot of empty buildings), but with all the new builds, bars & restaurants, promenade, ... it's a cool place for families & sport lovers.

One project I think that will also be very cool is Öböl. My knowledge of Hungarian does not permit me to understand what is told on the site, but I had a peek at the place, and once it's finished this will be an amazing development. (just not too sure about the Baywatch-anno-2525 police station :) )

[broken link removed]
 
I'd also choose Romai Part over the Pest side across the river. At least it has some sense of culture. I seriously thought about investing here about 4/5 years ago, but in the end, I didn't commit.

There doesn't seem to be much information available yet about Az Öböl (The Bay). Even their website just gives quite basic information about its location and that it will have nice views of Buda, the Danube and Csepel.
 
Nobody seems to know when Oböl will open, but phase I (the public park part) is finished since a while (and it looks quite cool). There's no other park in Budapest that has such an important police station, so I guess they expect quite some people :)

http://www.skyscrapercity.com/showthread.php?t=454663

Latest thing I heard is that the project is now in the hands of an international investment group (same people who developed Parque das Nações for the '98 World Expo in Portugal) - what sounds quite promising.
 
Hi thanks for all the replies - still considering options. If givena choice which development would be best to go for Park Residence (district 8) or pearl gardens (district 13). has anyone purchased in either of these and what do they thing of them
Thanks
 
sue_flaherty said:
If given a choice which development would be best to go for: Park Residence (district 8) or pearl gardens (district 13).
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Tough choice:
-A Residence without a Park
or
-No Pearl in the Gardens

Just keep in mind:
Less is more (more or less...)
:rolleyes:
 
i have spoken to 2 agencies about Park Residences and have received 2 different stories about them. Capital Eyes said that there would be no park opposite the development, but another Budapest agency, Ottom, stated that there would be a park opposite.
I personally think that PR is too far east of district 8. the develpment of the district is likely to be street by street from the centre outwards.
i am going for Corvin Phase 1 which also has its own risks but i see more potential here than near Park Residence (although a university is very close to here).
Pearl Gdns seems ok but i think there are more attractive developments in District 8. Capital Eyes have just proposed another development in District 13 to me. Atrium project. maybe you have not seen this yet?
also if you go for anything by Capital Eyes, squeeze them so they reduce their 3% fee or reduce the price of the property.
 
An important point in relation to CE International is that they have virtually no connection with the local market. They only sell to Irish, English and Spanish clients.

There is a large park already right next to Park Residences called 'Orczy Kert'. However, don't get any ideas of nice ponds, swings and fountains! The area is not popular among locals. I would also have major issues with this company's generalised statements such as 'Investing in District VIII is the best option for every single investor'. and 'Huge rental demand from local and foreign students'. Finally, 20M for a 47sqm two room flat in this location is ridiculous.

The location of Pearl Gardens is better but nothing special and prices are also too high for this development. Secondly, their exaggerated claims of future capital appreciation are highly unlikely. If you're seriously interested in buying a new build in District XIII, where possible, you should try to skip these international agents totally and go straight to the developer.
 
50% of Karolyi Gardens development has been sold to local People. 50% is foreign owned, - English, Irish are a fairly high %

Interview with the guy behind the development [broken link removed].

Sounds like the development has been hugely successful so far - it seems that alot of people do see the vision / potential.
 
:rolleyes:
This is an interview by CEU Reality, interviewing the CEO of CEU, for an article on the site of CEU...

[broken link removed]

I'm a bit confused by the following paragraphs:

... We will have to start a new phase
at the beginning of next year. So the market
is good, the product is successful and we will
have to continue work. It is strange, by all
means on the current residential market to
be on a waiting list to purchase a flat...

The price of the flats started at HUF 310
thousand per square meter and now we are
at approximately HUF 370-400 thousand.
Apartments on the upper floors go for an
average cost of HUF 370-390 thousand per
square meter. In the beginning, there were
many prospectors who have now sold their
property for a considerable profit. We can
see that secondary sales are flourishing. At
the same time, we suggest to our Hungar-
ian and non-Hungarian investors to plan
3-5 years ahead as, that way, they can reach
the maximum potential of the growth profit
rate. Up until the end of the development,
a greater value increase is expected, as the
center -which will finally be realized- will
create a very special living environment.
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BTW, I've heard that the 'Karolyi Gardens' project has a new informative website:
[broken link removed]

;)
 
It is not oversupply if the demand is there - which it is.
 
MaxIII said:
It is not oversupply if the demand is there - which it is.
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It is not oversupply if the development is still under construction...
Maybe there are enough UK and Irish 'insiders' who buy now, but it will become less funny if you'll need to rent out your appartment!

The Budapest residential market is still characterized by oversupply and the expectations of representatives of real estate companies regarding the 2007 situation have hardly changed, compared to that of last year.

In Budapest 21% of real estate company managers reported strong oversupply, 75% of them reported oversupply and only 4% of them perceived a balanced residential market. In Buda the picture is somewhat more favorable than on the Pest side.
Market Report: GKI
Click to expand...

Let's speak again after key hand-over ;)

PS: Don't worry - I really believe that you'll do fine...
(but it will take some time!)
 
Map170 - Capital eyes have also tried selling me the Atrium project. The location is good - right next to the new government sector. The apartment sizes are decent also.

Im actually considering this one.
 
MaxIII - I'm very sceptical about so many new builds now in Budapest. If one purchases a new build property it must really stand out from the crowd,. And it is one big crowd. there are so many new builds going up, and from what i can tell from other posts on this forum, the build quality is not the best on some, or they are just not attractive enough.
The apartment i am 90% going for is not without its risks. I am 90% certain i am going for Corvin project on the inner edge of VIII. It is a huge project (5000 apts - selling risk, although i'm going for phase 1). also i have had my own problems with this development. i was originally dealing with Dream Homes but their price was 19% above local Hungarian price. I tried to go direct with the developer using a Hungarian intermediate, but the developer didnt like this, and he blacklisted me from purchasing any apts here. Now i have the opportunity to purchase from a seller without dealing directly with the developer.
Anyway,
 
MaxIII - I'm very sceptical about so many new builds now in Budapest. If one purchases a new build property it must really stand out from the crowd,. And it is one big crowd. there are so many new builds going up, and from what i can tell from other posts on this forum, the build quality is not the best on some, or they are just not attractive enough.
The apartment i am 90% going for is not without its risks. I am 90% certain i am going for Corvin project on the inner edge of VIII. It is a huge project (5000 apts - selling risk, although i'm going for phase 1). also it is in D VIII which is not the most desirable, but im antici[ating an upturn, another risk. also i have had my own problems with this development. i was originally dealing with Dream Homes but their price was 19% above local Hungarian price. Capital Eyes tried to get my business also, but i wont deal with them. I tried to go direct with the developer using a Hungarian intermediate, but the developer didnt like this, and he blacklisted me from purchasing any apts here as he wanted to charge me the extra 19%. Now i have the opportunity to purchase from a seller without dealing directly with the developer.
Anyway, my origioanl point was that there must be some stand oout qualities of a development to make it stand out from the crowd. otherwise it could just be another loss maker.
 
map170 said:
I tried to go direct with the developer using a Hungarian intermediate, but the developer didnt like this, and he blacklisted me from purchasing any apts here as he wanted to charge me the extra 19%. Now i have the opportunity to purchase from a seller without dealing directly with the developer.
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I don't think the developer can refuse to sell you an apartment (unless he has good reasons). Corvin has a "shop" on the ringroad, & it's open to anyone. It's not legal to adopt different prices for locals and for foreigners.
(PS> are you sure it's the developer who overcharges, and not the agent?)
 
map170 said:
Anyway, my origioanl point was that there must be some stand oout qualities of a development to make it stand out from the crowd. otherwise it could just be another loss maker.
Click to expand...

Some of the projects they are building today, will be the commieblocks of tomorrow.
You see it already now: some buildings in BP VIII & IX are only 10 yo, but when you look around they seem to do 5x their age.

PS> does anyone knows what will happen to the West Balkan when the Corvin project progresses?
 
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