A study said the demand for real estate in Lebanon showed some improvement in 2016 compared to 2015 but this growth was still lower the annual averages for 2010-2015.
“The demand for real estate improved in 2016 relative to 2015, remained lower than its annual average for 2010-15, but was higher than its recorded level in 2010. The amount of real estate sales grew by 4.9 percent from 2015 to reach $8.4 billion at the end of 2016,” the Center for Economic Studies at Fransabank Group said in its report.
“The study indicates that this sector has maintained its position as a major pillar of Lebanon’s economy and a significant contributor to economic growth and prosperity. It also pointed that over the past years, especially since 2010, the real estate market experienced a relative stability, with low or moderate ups and downs during certain periods,” Fransabank said.
The study noted that construction permits increased by 14.5 percent to reach 17,295 permits at the end of 2016.
“But the construction permits areas declined slightly by 0.9 percent to 12.2 million square meters during the same period. Also, cement deliveries, an indicator of current construction activity, went up by 4.1 percent to 5.25 million tons during the same period,” the study showed.
It added that bank loans for real estate increased from $10.8 billion in 2015 to $12 billion in 2016.
It said the Lebanese government has made some efforts to improve the investment climate and attract Arab investors to the real estate sector.
