|
This is a first step for the revitalization of the population in Maarad Street and Martyrs Square. The evolution of the Solidere share prices also shows a real optimism from the investors’ side. In two weeks, the price increased from 24 to 35 dollars after reaching the limit of 40 dollars a few days ago.
However, it is still too soon to measure the concrete effects on the commercial and residential fields.
The reopening of Emir Bechir Street is a relief for the owners of restaurants in Maarad Street knowing that they remained active during the crisis. Yet, if the streets of Maarad, Ahdab, and Omari have regained a little bit of animation lately, the secondary streets should not be forgotten because they inspire grief with their closed boutiques and restaurants. The problem is not so recent and has nothing to do with the sit-in.
What is incontestable is that Down-Town Beirut has two commercial facets: the principal axes (Maarad, Allenby, Foch, Moutran, Malek, etc...) that attract the best brand names, and the other ones (Uruguay, Toubia Aoun, Parlement, Rami), which have been witnessing many closings since 5 to 6 years. Nowadays, professionals remain interested in the most frequented streets, where the highest rents are proposed: they vary from 800 to 1 200 dollars for one square meter in the ground flour.
Fortunately, the commercial field in Down-Town Beirut will be breathing once again in a few months, especially with the respective openings of the Beirut Souks and the shopping mall Le Gray, located in Martyrs Square. The solicitations of the traders for those two spaces will strengthen the attraction of Down-Town Beirut that will finally be capable of competing with the commercial centers that saw the light during the last four years.
The office market has not witnessed any modifications since many months. The old stock located in old buildings without parking lots costs around 175 to 200 dollars for one square meter per year. Modern offices cost almost double the price. The selling opportunities are rare, and the prices of some available offices are growing so fast (from 3 500 to 6000 dollars for one square meter) according to the location, the specificities and the interest of the owners.
As for the residential field, around fifteen new projects are seeing the light in Wadi Abou Jemil and Minet el Hosn sectors. Chances of success are contrasting. Despite the weak interest of Arab clients, some apartments are being sold. On the other hand, other projects that are already in advanced stages are encountering real obstacles in selling off their stock, which price is not too far from the upscale buildings in Achrafieh and Ras Beirut. The summer season will be a good test that analyses the interest of the expatriates and Golf citizens in apartments which opening price is around 4 300 to 5 000 dollars the square meter.
RAMCO Real Estate Advisers Tel : +961 (0) 1 349910 Fax : +961 (0) 1 753573 E-mail : mail@ramcolb.com.
|
