Number of building permits Q3-2020

Number of building permits Q3-2020

According to the latest official statistics, 738 new building permits were issued in August 2020, which is a 3,5% decline compared to the same month a year before.

In total, 5.717 new permits were issued from January till the end of August 2020, which represents a fall of 12,3% year on year basis.

Estimated value of the works is down by 29%, now accounting for 16,3 billion HRK.

While the 2020 had a kick start in number of new building permits issued despite pandemics, it looks like the investors have decided to cool down after the modest tourist season. As a proof, the lowest decline happened in the number of residential permits (-3%) and this category is still the best performing (78% of all permits refers to new apartment blocks).

Traditionally, a boost in number of permits is expected in Q4-2020 (due to construction ban in many coastal places during the high season).

In conclusion, large scale developers are dosing the number of apartments in most viable markets (Zagreb, Split), keeping the prices steady at this point.