CB Richard Ellis advised BMW in the sale of the development site located rue du Magistrat to a group of investors led by Urbinvest.
The development potential of the rue du Magistrat, located on two different districts (Ixelles and Brussels City), lies between 8.600 m² and 10.000 m² of residential surfaces.
BMW will relocate their sales services as from Spring 2007 to their new prestigious showroom located on the Boulevard de Waterloo where a project is being developed by a private property developer and where they let 5.000 m² (including parking facilities) . The workshop facilities will be relocated in Evere (Brussels City).
CB Richard Ellis is still appointed for the sale of their other high class building (former BMW E.U. representative offices) located on the avenue de Tervueren 81 which is foreseen to be sold before the end of this year.
According to Nicolas Orts, Managing Director of CB Richard Ellis, The development of residential space has always been one of the top priorities of the Brussels government, in terms of urban planning. Nevertheless, residential developments have been neglected in certain periods to the advantage of commercial real estate (mainly offices). Recently, the importance of a healthy residential market has been reconfirmed. The Brussels government therefore supports many initiatives to increase the amount of residential space. The new Brussels planning regime (PRAS) will in fact favor residential developments, and encourage reconversion initiatives as to obtain more mixed-purpose areas.
The Brussels Apartment sector has performed well over the last decade. With the return of young and active employees to the city, apartments have become popular. Apartments with 3 or more rooms in particular enjoy an increased interest, as these are still priced at a significant discount as when compared to the single family homes. Apartments currently trade at a standard price of 142.000 euro on average, but prices are increasing rapidly, at a 10% average growth rate per annum over the last decade. For new apartments, prices range generally from 1.900 euro/² to 2.500 euro/m². Higher price categories for new apartments are now successfully being tested in some of the more prestigious locations in Brussels. 4.000 euro/m² on the Place Sablon and 3.000 euro/m² in the Leopold district.
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