Sales of farmland for construction purposes rise

Varna, Bourgas, Dobrich and Plovdiv have seen the largest number of such bargains.

Average land prices countrywide fell by 33 per cent year on year and currently stand at 2049 leva a hectare.Last year saw a considerable increase in the sale of agricultural land, intended to be rezoned for construction purposes, reported the Ministry of Agriculture and Food Supply.

Sales transactions in agricultural land in 2007 totalled  9 169.9 ha, which equals a 94 per cent annual mark-up as compared to 2006's levels, said agricultural deputy minister Byurhan Abazov. He noted that the fees for changing the land status of 4 442.2 ha of the sold stock had already been paid.

Varna, Bourgas, Dobrich and Plovdiv have seen the largest number of such bargains. Average land prices countrywide fell by 33 per cent year on year and currently stand at 2049 leva a hectare.

The agricultural ministry will raise state fees for changing the land purpose with a view to limiting the scope of this malpractice. They have not yet stipulated the exact amount of the increase. Construction projects, related to agriculture, will be an exception - they will most probably enjoy a decrease in fees for re-zoning.

Arable land prices, by contrast, gained 20 per cent in 2007, reaching 2350 leva a hectare. Farmland in the Sofia area is the most expensive - 4720 leva a hectare. Plovdiv comes second - with asking prices averaging 4120 leva a hectare. Dobrich is third on the list - 4060 leva a hectare. The cheapest land is in Shoumen, Haskovo and Pleven - 1900 leva a hectare. Central Danube Plain region has posted the highest arable land price growth in 2007 - 30 per cent - and is currently offered at 2080 leva a hectare.

Source: Property wise