By: Staff Writer
Colombo (LNW): The talk of the town in the most recent Sri Lankan real estate sector is the prevailing up and coming real estate Investment opportunities mainly in apartments and hotels in Sri Lanka.
It has been identified that there is a massive gain potential for investors keen on investing in the Sri Lankan Real estate market and therefore the government should focus on promoting this sector.
The Research Intelligence Units suburban apartment price index for February reveals that the apartment prices are continuing to decline in dollar terms making it an opportune time for foreign investors.
However, this is not the case when the prices are calculated in rupee terms, RIUNIT says. According to the latest RIUNIT data, suburban average apartment price in rupee terms increased to Rs. 27,154 per sq.ft. in February from Rs. 26,902 per sq.ft in January while the prices in dollar terms rose toUS $ 75 per sq.ft from $ 74 per sq.ft.
However, industry sources said these investments do come with a risk as it will all depend on the place of investment and purpose thus, it is crucial to understand the market dynamics and the external factors.
There is a range of properties in Colombo suburbs for investment to build traditional Apartment, Hotel Residency or Mixed development consisting of commercial and residency mix for higher long-term return, several heads of leading construction companies said.
There is an evident opportunity in property investments currently in Sri Lanka and it is high time for foreign investors as the country’s tourist industry begins to boom.
Among 13 selected Colombo suburbs the highest price is recorded in the Mount Lavinia area with $ 143 per sq. ft. which is also the highest gain of 39% compared to February 2022, Research Intelligence Units report revealed.
The lowest drop is recorded in the Wattala area with $ 58 per sq.ft which is a 35% drop compared to the previous year, RIUNIT added.
The Research Intelligence Unit (RIUNIT) was originally established on the basis of addressing a need to overcome strategic weaknesses and vision constraints that have cowed growth in developing countries, local Governments and other institutions around the globe.
Maintaining a strong focus from the onset, the organisation has been on a steady growth path, building resources and extending networks to cover the private and governmental sectors in both developed and developing economies.
The Research Intelligence Unit (RIUNIT) is a British company with its Asia head office based in Colombo since 2003.
Macroeconomic policy is one of the RIUNIT’s areas of specialisation. In addition to Sri Lanka, the company has a presence in London, Dhaka, Maldives and several other developing and emerging economies.
