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Radivoje Nijemcevic, "Spiegelfeld International"

Belgrade's real estate market, the citizens of our capital city in particular, lacks residential buildings with standardized rental fee. There are very few examples of investors who rent all the housing units in a building, and the existing facilities of that type are intended only for selected clients.

In addition to investments by private investors and favorable banking loans, construction of such facilities for broader community has to be supported by the public sector, that is, the city or the state - says Radivoje Nijemčević, the CEO of Serbian branch office of Austrian real estate company "Spiegelfeld", which is interested in implementation of such project in Serbia.

- "Spiegelfeld" has been thinking for a long time about finding the location and animating the interested parties to participate in construction where one square meter of housing space would have to cost between 600 and 800 EUR. Based on that calculation, later rental of an apartment of 50 square meters would not cost more than 250 EUR per month. The participants in implementation of that project would have to be investor, a bank and the state, as well as the future tenant who could invest minimum amount of money, let's say about 5,000 EUR, while the rest would be repaid over the period of 20 to 30 years. That is one of the variants that can be applied to Serbian market, and that is not a classical lease because these apartments become the possession of tenants some day - says Nijemčević and points out that such model is frequently in use in western countries when tenants are financially capable.

Mr. Nijemčević told "eKapija" that the construction of about 500 apartments of 60-80 square meters would be enough for the start, and such complex should comprise supermarket, kindergarten and all necessary contants for quality social life.

- Of course, it is also necessary to find the agency that would take care of maintenance in such buildings. These apartments are not social as far as quality of construction or housing conditions are concerned.

Source: eKapija