THE FINANCING of central and eastern European real estate has shown signs of improvement during the last 12 months but the situation remains uncertain. There has been a significant increase in real estate investment transactions compared to 2010, but the performance of real estate has varied greatly across different countries and asset classes.
Banks are still cautious about a recovery in the market, with the possible exception of Austria, the Czech Republic and Poland, whose markets did not suffer to the same extent during the crisis as other countries, according to the CEE Property Lending Barometer 2011. The report is based on a survey which KPMG conducted among more than 50 leading banks in the region.
Michal Maxim, senior manager of KPMG in Slovakia, says that although banks in Slovakia are willing to finance very good real estate projects, in general they remain cautious.
