PROPERTY BULGARIA INFO

Thursday, March 8th, 2007

Are Britons’ dream homes in Bulgaria facing the bulldozer?

With low house prices and pleasant climate, Bulgaria is one of the fastest-growing destinations for Britons looking for their place in the sun. But they have been warned to think twice, amid fears that they may be pouring their money into homes which could end up being demolished. Environmentalists have clashed with the developers of a five-star resort called the Golden Pearl, which was built in a Bulgarian nature park called Strandzha.

A number of Britons invested in the 120-home complex, which boasts swimming pools, spas, restaurants and an exclusive beach. But the Worldwide Fund for Nature has persuaded officials to revoke planning permission because they claim it breaches European Union environmental rules to build the resort in the park.

The WWF has written to the European Commission asking it to step in and order the development to be flattened. Yesterday it warned that the Golden Pearl is not the only complex attracting the interest of foreign investors which could be facing the bulldozers. Question marks have also been raised about other newly-built developments on the Black Sea coastline and the popular local ski resort of Bankso.

“Bargain” properties in Bulgaria sell for a fraction of Britain’s average house price of £200,000. The typical price is about £40,000 to £50,000, with buyers usually required to put down a 30 per cent deposit to secure a property. Tina and Lee Smith, from Southend, bought a £50,000 flat at the Golden Pearl as an investment.

Mrs Smith, 44, said: “We thought after EU membership it would go up in value, but is seems EU rules have put the whole thing at risk.” Another investor, Caroline O’Connor, said: “I am definitely nervous. It is a lot of money and I don’t want to lose it.” E&D Agency, based in Kilburn, North West London, is one of three agents which has been marketing the Golden Pearl properties to British investors.

Manager Anatoli Ivanov said the firm had helped 20 to 30 British investors to buy homes in the block, which was close to completion when the row erupted. In all, 67 Britons have invested in the site. He insisted the investors should not worry about their money and is hopeful construction will be completed. He said: “I don’t think our clients have anything to worry about. The contract allows them to ask for their money back, if they want.”

Becky Barlow
Daily Mail