Financial crisis reduces demand for rentals, Lara

The financial crisis makes the Moldovan people use less rented property. According to experts of the realty agency Lara, the number of rentals during May-June was by about 40-50% lower compared with the corresponding period last year, Info-Prim Neo reports. “The demand for rental commercial spaces fell by 15-20%. The economic entities that earlier rented large offices, now try to occupy less space in order to save money, while the unused space is again rented out,” said Ghenadie Gurdis, head of the nonresidential realty department of Lara. According to the expert, the commercial space in central Chisinau is rented out for 13-14 euros per square meter, while in the other regions of Chisinau – for 7.5-10 euros per square meter. “The prices will not go up. On the contrary, they will drop until this yearned and the start of 2010. Thus, at the beginning of 2010 we could see a rise in the demand for real estate for rental and an improvement of the situation,” said Ghenadie Gurdis. According to the expert, the people do not want to invest in realty and to rent realty because they don’t have money and because they expect lower prices.