Condominium industry looking up due to peace

Anuradha KODAGODA

As many industries, the condominium industry is also adversely affected due to the world economic recession and the instability occurred in some financial companies in the country but the industry expects high demand in the market with the dawn of peace said General Manager of Condominium Management Authority (CMA), G.U. Upawansa.

“Due to the world economic recession, the demand for overseas employment has also fallen down and that has affected the demand for condominium industry in the country directly,” he said.

A condominium in Sri Lanka

“However, this trend is changing and with the defeat of terrorism in the country there is a huge tendency the migrants who were out of the country for years will be coming back to the country and this will also affect the condominium industry positively,” he said. “However, the Condominium Management Authority (CMA) is certifying the constructed buildings once we inspect the common features and facilities. During the first five months of this year CMA has approved 49 completed condominium projects, he said.

“Real Estate industry faced a downturn in the last few months due to both local and global reasons. The economic downturn and globally, the economic slowdown contributed much to this situation.

Those who were willing to purchase locally during this time were looking at bargains not justifiable with the real value of property at times.

“These factors contributed to commercial and residential properties being in the market for long periods of time,” said Manager Marketing, Overseas Reality (Ceylon) PLC, Arunika Wickramasinghe. “This trend however appears to be changing. With the recent developments, we are optimistic that the demand will rise for properties as this is one asset which will appreciate in value over time.

With the turn of events in the financial sector both here and in other mature markets, people would look at investing in real assets such as real estate” she said.

“There was a significant drawback in the condominium industry past few months especially because of the global economic recession. However, with the dawn of peace this trend is changing in a positive manner,” said Managing Director, Nawaloka Construction Company, Givantha Darmadasa.

“There are more lucrative business opportunities being created in the Northern and the Eastern provinces and also a lot of expatriates will return to the country,” he said.