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Baltic economies expect recovery in late 2010

The economies and property markets in the Baltic region of Central Eastern Europe (CEE), although currently vulnerable, are expected to start their recovery by the end of 2010 according to think-tank, Re&Solution Group.

The advisors believe there are plenty of secure investment opportunities for commercial property in the Baltic region.

Rièardas èepas, CEO of Re&Solution, said: “We do not expect this year to be less challengeable. Nonetheless we strongly believe it will be a ‘restarting’ year, bringing back occupier confidence and investor interest.”
Rent levels have decreased in the region by around -20-30% and yield levels have increased by up to +2.5-4% during recent years and commercial property values have declined by -30% although in some cases up to -40%-50% in prime property values.

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