Banks´ appetite to finance new real estate projects growing

Czech Republic, along with Austria and Poland, is among CEE countries where banks trust financing real estate projects most. It emerged from research by consultancy firm KPMG, which showed that appetite of banks to finance real estate projects is growing in Poland, Austria and the Czech Republic most, followed by Slovakia and Romania with a larger gap. The banks prefer completed projects generating stable cash income. 50 major banks and financial institutions in CEE participated in the KPMG survey titled CEE Property Lending Barometer 2011. Apart from the Czech Republic, Austria, Bulgaria, the Baltic countries, Hungary, Poland, Romania, Serbia, Slovakia and Slovenia were also involved. In terms of project-type, the approach is different in various countries. In the Czech Republic, the most preferred construction is office and retail space, construction of new hotels the least (you can find full text of the study on our website next week).