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Real Estate: Number of residential building permits down 0.5 pct over Jan – May
The number of residential building permits issued in Romania in the first five months of the year was 0.5 percent down from the year-ago period, shows data released on Friday by the National Institute of Statistics (INS).
As many as 14,050 residential building permits were released between January 1 - May 31, 2024, with lower numbers of such authorizations recorded in the following development regions: Center (-237 permits), North-West (-122) and South-East (-59).
Conversely, the following development regions saw an increase in the number of permits in the reporting period as follows: West (+108), Bucharest-Ilfov (+76), South-Muntenia (+64), South-West Oltenia (+5).
As many as 3,050 residential building permits were released in May 2024, by 528 (14.8 percent) fewer compared to April 2024, for a total usable floor area of 698,534 sqm (-19.2 pct). Of the total residential building permits, 68 percent were for the rural area.
The distribution by development regions of the decline in the number of permits released this May is as follows: South-Muntenia (-116), North-East (-106), West and Bucharest-Ilfov (-83 each), North-West and Center (-80, each), and South-East (-4). Conversely, the Southwest Oltenia development region saw an increase by 24 permits.
As many as 516 building permits were issued this May for non-residential buildings (-13.9 percent as against April 2024) for a total usable floor area of 260,154 sqm (-57.2 percent). Compared to the previous month, the usable floor area covered by the non-residential building permits issued in May was by 347,246 sqm smaller, with the decline distributed by development regions as follows: Bucharest-Ilfov (-279,645 sqm), North-East (-52,856 sqm), North-West (-39,980 sqm), South-West Oltenia (-15,868 sqm), and South-East (-3,650 sqm). Increases were registered in the West (+27,973 sqm), Center (+13,685 sqm) and South-Muntenia (+3,095 sqm) development regions.
A year-on-year comparison reveals an overall decrease in both the number of residential building permits issued this May (-11.6 percent), and in the total usable floor area (-7.3 percent), with the following distribution by development regions: North-West (-106 permits), North-East (-104), West (-44), South-East (-39), Center (-37), Bucharest-Ilfov (-33), South-West Oltenia (-24), and South-Muntenia (-12).
Compared to May 2023, in May 2024 there was a decrease in both the number of issued non-residential building permits (-20.1 percent), and the total usable floor area (-24.3 percent).
The breakdown of the year-over-year decline in the usable floor area covered by non-residential building permits (-83,444 sqm) is as follows: South-Muntenia (-53,998 sqm), West (-38,919 sqm), Bucharest-Ilfov (-8,466 sqm), North-East (-5,359 sqm) and South-West Oltenia (-1,944 sqm). The development regions to record a rise in the non-residential usable floor area were Center (+17,829 sqm), South-East (+5,983 sqm), and North-West (+1,430 sqm).