Victoria Dom sells 224 flats in Q3 2024, down 70 pct y/y

Listed real estate developer Victoria Dom sold 224 flats in the third quarter of 2024, down 70 percent year on year, the company said in a press release.

In the first three quarters of this year, Victoria Dom sold 862 flats, down 47 percent from the prior year period, when the real estate developer sold 1,619 flats.

"Our last year's record sales were driven by the state-subsidised mortgage programme and without this support for buyers, sales of flats in the affordable segment will be limited," the company's deputy CEO Waldemar Wasiluk said.

"This is influenced by the very high cost of financing real estate, which is a result of the still-high interest rates maintained by Poland's central bank NBP," he added.

In the deputy CEO's view, the housing needs of Poles are very high, but their financial possibilities are limited.

"Therefore, we are counting on the series of interest rate cuts announced in the near future, which should mobilise people who are looking for affordable housing," Wasiluk said.

"The market remains balanced, despite challenges with construction costs and inflationary pressures. Overall, the property development industry in Poland remains in good shape after the third quarter of 2024, with the prospect of further growth in the final months of the year," he added.

Victoria Dom is currently developing projects in Poland in Warsaw, Krakow and is preparing to enter the Tricity with its residential offer. The company is also expanding its operations in Germany with investments in Berlin and Leipzig.

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