Fiona Bosticky’s Fresh Property Albania Blog - Albania Properties, Albania Real Estate Market, Albania Estate, Albania Travel, Albania Tourism

First off the mark was Praktiker, opening a few months earlier.  But now another DIY superstore has opened, on the Tirana-Durres Highway at the turnoff to the International Airport.

Greek-owned “Megatek” has launched their first Albanian store, due to the huge demand from local Albanians, who are starting to embrace home DIY and renovation.

This will be a major boost for Albanian homeowners, who currently have strong limitations to access mortgage financing in the country, due to the impact of the global economic crisis.  Easier access to stores like these and the products they offer, means they can improve their existing residence, rather than upgrade to a new one.

Please see the current images of the new superstore:

For more images please visit us on Flickr

Due to the request of a client, who was looking for excellent offplan/ new build buy-to-let apartments in Tirana, the capital of Albania, my research has led me to some amazing conclusions - the main one being - PRICES ARE RISING!

In the centre, near the train station, prices are surprisingly around EUR1,200/sqm to EUR1,300/sqm.  Last year apartments were selling around EUR900/sqm.  That’s a 30% increase.

Also, other apartments along the River Lana, which were EUR700/sqm last year, are now EUR900 - EUREUR950/sqm this year.  That’s a 28% increase.

Eventually I found some great apartments in Rruga Don Bosko, which is also a booming part near the centre.  Just 12 - 24 months ago, prices were EUR600 - EUR700/sqm, and now prices are only EUR800/sqm, and still rising!  There are actually only 3 x one bed apartments remaining:

• 56sqm x 800 = EUR44,800
• 56sqm x 800 = EUR44,800
• 63sqm x 800 = EUR50,400

In a short time, these prices will be EUR900/sqm and then EUR1,000/sqm, as prices continue to rise.  If you would like to buy one, please contact us immediately for the payment terms.

The development will be constructed in 4 residential/commercial blocks, with the final block, currently being the only block available, as the other blocks have sold out.  Completion is expected for end 2010.

Rental Yields in and near central Tirana currently range from 5% to 8% for long term rental, and up to 15% for holiday rental.

The recommended hold period for investors in Albania is medium term (5 to 10 years) for maximum gain.

Prices in Tirana will continue to rise, as they are still the cheapest capital city real estate prices in Europe.  With central properties around EUR900 - EUR1,200, this would make Tirana rank around 73rd place for most expensive cities in the world, just after Sofia (Bulgaria) and Budapest (Hungary) - using the Global Property Guide Rankings.

NOW is definitely the time to buy… and invest!  Please contact us for more info.

To view the images on Flickr, please click here.

Well, the new largest shopping centre in Albania has finally opened.  After originally scheduled for opening in September 2009, construction delays pushed the opening until December, just in time for Christmas.

Clearly the Marketing Director should be fired for coming up with “The Diamond of Albania”, but Albania is still in the learning phase when it comes to marketing.

Here are the stats:

• 237,600sqm in total size
• more than 180 shops
• 550sqm indoor ice-skating rink
• Cartoon Land (for children) - 10,000sqm
• Slovenian Retailer Mercator is largest store on site (5,000sqm)
• Euronics will be second largest retailer (3,000sqm)

The location of the shopping centre is excellent, only 12km to Tirana centre, 8km to Kamez Crossing, and 5km to the Airport.  The shopping city was constructed by the local company AM Group. The total cost of the investment is estimated at EUR80 million.

Current shopping centres like QTU and Casa Italia will now have to push harder to attract the shoppers and keep the retailers.  Still, shopping will never be the same again in Albania - especially make sure you take your ice-skates with you

For more info visit http://cityparkalbania.com.  Strangely, the Colliers website www.citypark-al.com is down at time of publishing this.

More photos:

More visuals:

I am not really a complainer, but on this occasion, I cannot help myself, as I cannot believe in this day and age airlines can still treat customers SO badly.  Firstly the flight was ok.  I’m a little upset over the horrendous excess luggage charge, but I am enormously upset at their response.  I was treated badly at check-in, and now their “Customer Affairs” person - Desmond Mall.

Here is my initial complaint:

To:        ekuk@emirates.com
Date:        5 December 2009 22:40
Subject:    Excess Luggage Rip Off Complaint - £175 for 5 kilos!!??

RE: Flight 1 December 2009. LGW – DXB – BNE

I checked in ONLINE on November 30, and received a confirmation, at 18.22 that day to my email, including a PDF copy of my e-boarding pass.

Once “dropping off” my luggage at the drop-off desk, I learned I was 5kgs over the 30kg limit, which I expected I was a couple of kilos over. I was then SHOCKED to learn the excess luggage charge was £35 (thirty-five pounds) per kilo. £35 x 5 = £175 (one hundred and seventy-five pounds).

It is the most excessive and rip-off excess baggage fee I have EVER encountered on my travels in my life!

And I was marched like a criminal to the payment desk, and even worse, the staff kept acting “happy” about it and smiling, like they were receiving a tip. When I told them it was ridiculous, they told me “I had to get treated like everyone else”. Wow – amazing customer service (sarcasm intended).

However my main complaint is this:

Why wasn’t I informed of such a rip off and excessive excess luggage fee when I checked-in online? Online they didn’t even ask how many bags I had. If they had told me, I would’ve weighed my bags and not gone the 5kgs over.

My secondary complaint is this:

£35 per kilo is a rip off….

After this horrible and very expensive experience, I will now go out of my way, to never fly with Emirates again.

Sincerely,

Fiona Bosticky

And here is there TERRIBLE response:

Our Ref: LON/X/DM/071209/6677915 (please quote in all correspondence)
23 December 2009
Ms Fiona Bosticky

Dear Ms Bosticky

Thank you for your recent email.

Naturally, I was sorry to learn of your disappointment on your recent Emirates trip and the problems you experienced with respect to the check-in of your excess baggage.

As you are aware, the free baggage allowance as indicated on your ticket was 30 kilograms.  Our records show that upon check-in for flight EK12 on 01 December, you presented yourself with two pieces of luggage weighing a total of 35 kilograms.  As Emirates has recently increased the standard baggage allowance for its Economy Class passengers from 20 to 30 kilograms, we are unable to exercise discretion in this area and I must clarify that our staff were acting within our guidelines when they requested you to make payment for your additional weight.

Whilst I can appreciate your dissatisfaction concerning the application of excess baggage rates on international flights, I must clarify that the applicable rate is based on a percentage of the published fare for the route in question and this is the formula applied by most international airlines.  I would also like to add that our website contains a section on baggage allowances and excess baggage rates and for your reference, I have included the relevant information below.

Nevertheless, I was concerned to learn of your dissatisfaction with the way in which the above was communicated to you.  Please rest assured that we take a serious view of any incident affecting our service delivery and as a matter of routine, your comments in this respect have been conveyed to the appropriate management team for an internal review.  Customer feedback is also invaluable in helping us identify areas of our operation where we need to improve and I would like to thank you for taking the time to share your comments with us.

Ms Bosticky, although I realise my response may not meet with your total satisfaction, I do hope that upon reflection, you can appreciate our position in this matter.  I further hope that despite any disappointment felt, we may have another opportunity to welcome you on board again, as we would be delighted for the chance to regain your confidence and support.

Yours sincerely

Desmond Mall
Customer Affairs UK & Ireland

IN SUMMARY:

Not only does this person - Desmond Mall - get to insult people travelling from the UK, they get the bonus of insulting people from Ireland as well.

Here is my response I sent today:

That is a disgusting response.  Never in my 17 years working in Customer Service, have I ever seen or heard of such a response…  I am more insulted by this response than by your excessive excess baggage charges.

I feel compelled now to tell as many people as I can never to fly Emirates.  And I have flown more than 20 airlines..

Your attitude matches the “attitude” I received at check-in.  Seems this “attitude” is part of Emirates Human Resources hiring policy.

How can you insult me, then say you’ll make it up to me?  But what can I expect from a department called “Customer Affairs” rather than “Customer Service”.

Sincerely
Fiona Bosticky

If Emirates care SO MUCH about weight on flights, then the guy sitting in front of me should have paid double, as he was double the size and double the weight of me

To my dear blog fans, please feel free to SHARE this, and spread the word about Emirates, so that nobody else gets caught out.

As I mentioned in one of my previous posts, there will be a new enormous shopping centre constructed on the  south side of Tirana in Komuna Farke.  The project will cost around EUR48 million with part-funding coming from the EBRD.

Residents in Tirana have been aware of the construction boom happening across the city for the past few years, with construction hotspots being:

• At the foot of the Dajti Mountain
• Next to the Artificial Lake
• West - from the edge of Tirana to Kashar and Kamzes and along to Durres

With a new ring road - still not yet under construction - joining the West, past the lake, to the South, the next construction boom could be about to happen on the southside, down Elbasan Road, to Komuna Farke.  This Komuna looks to shortly merge with Tirana, being only approx 4km from the centre.

Certainly, the largest shopping centre in Albania, due to be completed in 2011, may have some effect on this:

Here it is under construction in November 2009:

I recently had the opportunity to cross the northern Albanian border, into the more popular and more reputable “Montenegro” - Balkan treasure and holiday spot of the stars (this summer saw Pamela Anderson visit).  I must admit, my expectations may have been a tad high, considering everything I’ve heard about this small Balkan nation with Europe’s most southern Fjord.

Of course, I know the facts and figures, especially that Montenegro is the most corrupt country in the Balkans, even more corrupt than Albania.  So I wasnt surprised when the Immigration Control tried to solicit a bribe from me, saying my UK driving licence was not valid in Montenegro - yeah right - very funny, like I was falling for that one.

Also I know the biggest driver for the economy is tourism and real estate, which boomed with masses of foreigners buying land and apartments from 2006 to 2008.

Once inside the country, the road from the border to Bar, was similar to Albanian  road - narrow and in “ok” condition, and mostly empty.  After reaching Bar, the road improved and I encountered more traffic on the road.  Immediately I noticed that Montenegrin drivers were a lot different to Albanian drivers: they didnt drive like maniacs, they were more considerate and less “suicidal” - no-one overtook me on a corner even once.  Overall, I could feel there was a lot less traffic in general on the road, than in Albania.

But it is the scenery, mountains and seaviews that make the coast of Montenegro so memorable.  In a lot of ways it is very similar to the Albanian Riviera - just breathtaking.  It was only when entering Kotor in the Fjord, and driving around the edge to Hercig Novi, that was really unique and outstanding.  I couldnt control my “ooohs” and “aaaahs”.

Overall, here are the main differences I noticed between Montenegro and Albania:

Construction

The construction design was 100 times better in Montenegro.  Clearly Montenegrins care about their small section of the planet.  Some designs were amazing, especially historical looking buildings, apartments and villas.  Also most were not building to 100% of their land footprint like in Albania.  So I must give credit to the architects and constructors here.

Real Estate and Property

Following on from the construction design, it was understandable why there was a real estate boom here.  With limited land space, and sea views, and quality, it makes sense that foreigners would like their own small slice of property paradise.  Prices in some locations had breached EUR4,000 per sqm in the height of the boom.  Clearly prices were coming down in 2009, and there were advertisements for property reduced to EUR2,000 per sqm and even EUR1,700 per sqm.  Of course the lower prices had no sea view, but most apartments offered a swimming pool.  This is something constructors in Albania havent really caught onto yet - that foreigners like their swimming pools.  It makes a nice alternative to a salty sea.

But with comparable real estate in Saranda for EUR900 per sqm, and similar rents, Albania is looking like a better investment at this point.

Only Holiday Season

Being October, it was clearly outside the “holiday season”, and the whole place felt a little dead.  A lot of bars, restaurants and facilities were closed and locked.  For real estate investors, it seems like there is little potential to rent your investment property outside of summer.  Budva was especially dead, and it felt almost abandoned.  Kotor was a little more bustling, especially with a bus load of Japanese tourists being shown around.

The Albanian main resort towns of Durres, Vlora and Saranda, are quite busy all year round, and the possibilities to earn rental income all year are better in Albania.

Unfriendly Locals

Maybe I was in the country on the wrong day, but I did not find the locals friendly at all - from supermarkets to bars and restaurants.  Maybe they were upset summer was over.  Although I should mention, they were a lot friendlier in Ulqini than anywhere else.

History

Montenegro does know how to look after and preserve its history.  Most beachside towns have a historical “Old Town”, which is well-maintained and in very good condition.  Unfortunately Albanians do not appreciate or maintain their historical buildings in Albania.  This is very sad.  In Durres, new construction has been built on top of the oldest part of town.  And when a developer was not given permission to destroy the 2nd century Roman Amphitheatre, they poured concrete all over the remaining structure.  In Vlora, a coastal town established since the 6th century AD, has no substantial historical sites.  And in Saranda, the most southern coastal town in Albania, a developer built a “20 storey monster” on the ruins and remains of Saranda castle.  Such a shame for Albanian heritage….

Beaches

One thing is for sure, the beaches in Albania are a lot better.  I heard the beach south of Ulqini is excellent, but every beach I saw north of Ulqini pales in comparison to the beaches in Albania - eg. Lalzi Bay, Spille, Ksamil, etc…

Sveti Stefan Montenegro

Overall

I enjoyed the few days I spent in Montenegro, and I can see why the coast captures so many hearts.  They are certainly leagues ahead in attracting foreign tourism and tourism investment, especially spas, resorts and luxury hotels.  But clearly tourism is their only real income earner, leaving the country empty for most of the year.

I hope Albania can embrace the same passion for tourism like Montenegro, yet keeping their friendly and helpful manner.

The area and village of Dhermi in Albania is breath-taking: amazing lush mountains, falling away to white beaches, and crystal clear water.  Situated along the Albanian Riviera, and now accessible by a tarmac highway both from Vlora and from Saranda, the potential for Dhermi is really beginning.  And tough new construction laws for “touristic zones” in Albania, should ensure Dhermi’s future is beautiful and bright, and in direct competition with similar hotspots in Montenegro.

Fresh Property Albania are excited to launch the first ever luxury resort and apartments near Dhermi/ Drymades.  Located in Kallam, this luxury development will comprise a first class hotel and only 46 residential apartments.  All buildings in the resort will be only 2 stories high (ground, first, second), in line with the touristic zone regulations.

Prices from EUR1,050 to EUR1,450/sqm. Apartments Available Include:

5 x 2 storey villas (98.73sqm to 171.81sqm):

• ground floor 2 bedroom apartments
• first and second floor duplex apartments

2 x 2 storey residential apartment buildings (56.78sqm - 81.5sqm):

• ground floor 2 bedroom apartments
• first floor 1 bedroom and 2 bedroom apartments
• second floor studio and 2 bedroom apartments

A swimming pool will be at the centre of this resort and space for free onsite parking for residents will be available. This resort is 700 meters in a straight line from the Drymades beach, or 1.3km via the road to the beach.  Currently the old road from the highway to Drymades beach is under construction with funding from the World Bank, and is due to be completed by summer 2010.

Features:

• 5 Star Hotel
• Bar/Restaurant
• Fitness Centre
• Outdoor/Indoor Swimming Pool
• 24 hour Security services
• Shuttle Bus to beach

Apartment Services:

• Cable TV
• Internet
• Cleaning services,
• Garden services
• Maintenance including pool services

Construction has already commenced on site, with the first villa-apartments expected to be ready for summer 2010, and the whole site and resort to be open by summer 2011.

This is a rare opportunity for property investors to get into the magical Albanian Riviera property market in a luxurious project.

To view the site photos taken in November 2009, please click here.

To view the site video taken in November 2009, please click here.

For more information and availability please feel free to contact Fresh Property Albania.

Today Albanians celebrate the 97th year of Independence.  Independence was declared by Ismail Qemali, in Vlora (the capital city of Albania at the time) and signalled the end of 500 years of Ottoman rule.

Remembering the Past:

The Illyrians are believed to have evolved directly from the Stone Age. They occupied the western Balkans from modern Slovenia to approximately half of the way through modern Greece. Shkodra, the largest city in northern Albania, was the capital. The Illyrians were sociable and hospitable people, like Albanians today. They were also brave fighters and known for their courage in war. Around 8-6th Century B.C., the neighbouring Greeks began to create colonies along the Albanian borders. Likened to the more advanced Greeks, the Illyrians were greatly influenced and started to evolve politically and economically.

Albania was continually attacked by more foreign armies - Bulgarians, Normans, Serbs and Venetians all wreaked havoc on the Albanians until the conquest by the Ottoman Turks in 1388. In 1443, an Albanian military mastermind, Gjergj Kastrioti (The Great Skanderbeg), united the Albanians and drove out the Turks. After Kastrioti’s death the Turks finally returned in 1468, however the desire for independence was still strong within the Albanians.

Throughout the 19th Century, resisting the Turks, the leaders led their country with the rallying cry, “The religion of Albanians is Albanianism!” The leaders formed the Albanian League in 1878 to unite the country and develop the native language, literature, education and to adopt a new alphabet. In 1908, the Albanians fought again and in 1912 they achieved their full independence in Vlore.

The new Albania Business Guide is available, and due to my business experience in Albania I was invited to write an article on Networking in Albania.

Followers of my blog, can read my contribution below:

How Networking is developing in Albania

Over the next two years networking will play an important role in the future of Albania’s businesses and economy. The global economic crisis which started in 2008, will force business professionals to work closer together and support each other to survive and succeed.

In one respect, Albanians are natural networkers and their culture is based on social gatherings. Whether it is coffee with friends, family lunchtime on Sunday or the early evening “stroll, meet and greet”. But does this translate into effective business networking?

What is Networking?

Firstly it is important to understand exactly what networking is. Entrepreneur.com defines networking as:

“Developing and using contacts made in business for purposes beyond the reason for initial contact”.

Yourdictionary.com defines it as:

“The developing of contacts or exchanging information with others in an informal network, as to further a career”.

So networking isn’t just running around and meeting new people. I’ve heard it said that effective and good networking is an art form, which means, something that can be learned and perfected. I wonder why that is. Is networking really a skill?

The main point about networking is the “developing” aspect. You not only need to meet new people, you need to develop a relationship and share information. And this is what you need to make time for. This means you need to meet the same people again and again in an open and positive environment where you can discuss ideas and develop your relationships. Networking is an important part of building long-term sustainable and profitable business relationships.

In Albania, where social networks are the foundation of society, why do I hear that people have trouble business networking? Let’s look at the recent history of networking in Albania to try to understand.

History of Albanian Networking

The history of networking in Albania falls under the categories of Politics, Business, Religion, Education and Sports. Firstly, let’s look at politics.

Politics

From 1945 to 1991, when the Communist Party ruled Albania, all networking groups were created and controlled by the government. And of course, to join the networking groups you had to be an official member of the Communist Party.

The groups included the Network of Intellectuals which was made up of doctors, lawyers, and other high level professionals. Another group was the “Pioner” Youth Group whose members comprised boys and girls aged up to 18 years. Every weekend the Youth Group would conduct excursions where the members would go into the mountains for various activities from tree planting to hiking.

Members of the Youth Group often migrated into the Military Group once they reached 18 years of age. In this new group they learned more intensive military skills and survival training.

It was clear that during communism, networking groups existed for control and education, and there was no freedom to share information and ideas that were outside of the prescribed communist dogma.

At the end of 1990, at the fall of communism, the first post-communist group emerged – Rinia e Punes se Shqiperise – which was the result of student protests in Tirana. From this group immediately formed the Democratic Party, with Sali Berisha as the chair.

After the Democrats, formed the Republicans and the Socialists soon after. Other groups emerged as well including one that protected the rights of Greek minorities in Albania.

Business

The Chambers of Commerce have played an important role in the development of business networking in Albania. The first chambers were Albanian Chambers started and operated by local businessmen. They were started as early as 1926, and after surviving the communist period, are still operating today.

The Chambers function has an important link between businesses and the politicians and government. They provide vital assistance and education on the ground in Albania.

More recently have emerged Chambers of Commerce in association with Albania, with direct links to America, Britain and Greece. And due to popular demand a new chamber linked to Italy will also be established.

Religion

After the fall of communism, religious groups returned to Albania. The main religious groups comprised Catholics, Orthodox, Islam and other smaller groups including Mormons and Jehovah Witnesses. Once again, they formed churches, groups and mosques.

Even though according to the US International Religious Freedom Report of 2006, 60% - 70% of Albanians are atheists or agnostics, religious groups today form an important part of the social structure in Albania.

Other Groups

Outside of politics, business and religion, other networking groups in Albania are mainly concentrated around Students/ Education or Sporting Clubs.

In the past, Albanians joined networking groups for a variety of reasons. During communism, they joined because they had to. After communism, they joined Political Parties for career prospects, Chambers for business prospects, Religious groups for their beliefs and economical support, Sporting groups to express their support or improve their athletic careers, and Student groups to gain support and friendship through their studies.

The Future of Networking

Networking is evolving and becoming increasing important to professionals and businesses. Not just networking through regular local meetings, but networking online or “online social networking” is growing in popularity.

Business of the future is changing. It is becoming more popular and important to have a social online profile. Businesses can interact with their customers in a way they never have before. Company representatives post blogs/ news as it happens, or Twitter through online “Tweets”.

Now some of you may be thinking – woah, wait, what is a blog? What is Twitter? What is a Tweet?

Thanks to Wikipedia:

A Blog (or weblog) is a type of website, usually maintained by an individual with regular entries of commentary, descriptions of events, or other material such as graphics or video. Entries are commonly displayed in reverse-chronological order. “Blog” can also be used as a verb, meaning to maintain or add content to a blog.

Twitter is a social networking and micro-blogging service that enables its users to send and read other users’ updates known as tweets. Tweets are text-based posts of up to 140 characters in length.

Through both of these online tools businesses can keep in close contact with their clients, interact and build relationships. It also has the possibility to remove the mystery that surround some businesses and improve customer loyalty.

Clients can interact more with businesses, with feedback, recommendations and customer support requests through these online communication channels. For example, once a company has posted a blog, it is possible to comment on the blog, directly underneath.

Not only businesses, but individual professionals can use these tools as well. Professionals can boost their careers by displaying their expertise and experience. They can also contribute to forums and discussions and build their online personas with articles, blogs, photos, and links to friends and business groups.

Online social networking will be the future of global and business networking, and Albanian businesses and professionals cannot afford to miss out on this opportunity. However this form of networking should be an additional avenue, and not the only one. Online networking will not completely remove the importance of face-to- face networking.

So when it comes to business networking in Albania, how can you maximise your potential?

Top Networking Tips

1. Be Real – just be yourself as people can tell when you are trying to be something you’re not
2. What are your Goals? – you should know exactly the type of people you need to network with
3. Ask open-ended questions – these are questions that do not require a yes or no answer, and then you should listen carefully to the response
4. Know what makes you special – you need to be clear about what you do and why
5. Become a powerful resource – if you help as many people as you can and boost your profile, others will think of you first
6. Have integrity – if you promise a person you will call them, it is important you do that
7. Have a business card – it is important for people to read who you are as well as see
8. Smile and keep an open mind – people want to network with positive and open people
9. Follow Up – once you meet somebody you should follow up and keep in touch
10. Ask for advice – it will make the other person feel important

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Post-Article Follow Up

Since I wrote this article, I wanted to share some follow up thoughts about Networking in Albania.

While Albanians are great social networkers, they seem to have trouble with business networking.  Albanians seem to be paranoid about sharing business ideas and best practices, and helping each other out in business in general.  Whether it is the stigma of the closed communism that consumed the nation for decades, or something else, I am left wondering.

Small business in Albania is completely unsupported by the government.  They start up, run a while, then close, leaving a “Jepet me Qera” sign in its place.

Hopefully it won’t be too long, before the government turns from big business, big industry, oil and energy, and realise that it is SMALL BUSINESS that is and will be the future driver for the Albanian economy.

In September 2008, the winning architects for the new Tirana Lakeside renovation project was announced.  The architects - MVRDV - working out of the Netherlands, created an innovative and ecological plan to cover the 20ha site.

The masterplan consists of:

• 225.000m2 residential housing
• 60.000m2 offices
• 20.000m2 public buildings
• 60.000m2 retail
• hotel of 15.000m2
• 20.000m2 sport and recreational facilities
• a car park

Start of construction is planned for 2010, and the total estimated investment is 600 million Euro. The client is a group of Albanian private developers; the project is managed by Ambito Project Management, from Madrid, Spain.

It will be interested to see if construction does start next year, as originally announced.