Real estate: after years of paralysis, the construction of 4-room apartments is reborn

In recent years the real estate market has stood out for the boom in small constructions. One- and two-bedroom units are the ones that have become most established in the City of Buenos Aires. But there is an unmet demand: those families looking for estate large, spacious, 4 rooms or more.

The trend is reversing. New developments, with a larger number of meters, are beginning to appear on the market.

“On the one hand, there is a certain saturation of small units and on the other hand, many projects with large units have not been carried out for years, so the current offer, in most cases, does not satisfy the new demands,” he said. Damián Tabakman, president of the Business Chamber of Urban Developers (CEDU).

This new demand to which you refer was conditioned by the changes of recent years: the insertion of the home office, where many seek to have an office at home, the need for green spaces, whether a patio, terrace or large balcony. and above all the search for comfort.

The building construction Oriented to a segment that seeks this reconfiguration of spaces, it is concentrating especially in certain areas of the City of Buenos Aires. “This phenomenon is seen in all the neighborhoods of the northern corridorTabakman added.

Inquiries grow by departments in well

Until now, those who demanded estate with 4 rooms or more they had to search mainly in the used market, but new ventures are beginning to change the paradigm. “The supply of units with 4 or more residential rooms maintains the historical level in terms of the used market, however, in terms of developments, both in development and completed, it has grown to a greater or lesser extent depending on the neighborhood.

In Palermo, Belgrano, Villa Devoto and Nuñez, the number of real estate developments that offer this typology increased considerably.. Also, they increased in areas such as Colegiales and Coghlan,” explained Ignacio Mel, director of the Mel real estate agency.

“The existing stock continued to age and lagged behind the offer of smaller and newer units that complement their proposal with more modern amenities and distributions. The change in the Construction Code allowed greater exploitation of small land and improved, in some cases, the height to be developed, making it possible for lots that were very well located, but that were not economically viable, to be used for real estate developments. That resulted in projects that target the public looking for units with 4 rooms or more,” Mel added.

The buyer of 4 rooms, in general, is a consumer, he is not an investor, therefore, when purchasing a property Another look comes into play, where measurements, distribution, comfort and quality details matter.

“Developers are advising to start making slightly larger apartments, because we see a relegated demand. Today it is a good product and there are many more inquiries about well projects than completed ones. We are looking for a price and the possibility of putting together the most customized apartment. Buyers, not finding new finished 4-room apartments, They are looking for buildings under construction”explained Hernán Siwacki, CEO of Capital Brokers.

What prices are there in the market for the 4 rooms?

In areas such as Palermo, Núñez and Belgrano there are units whose value ranges between US$3,500 and US$5,000 per m2, depending on location and features. If the units are smaller, offers can be found between US$3,500 and US$4,500 per m2.

“The demand for estate It is increasing and higher tickets are sought. In any case, options with 4 or more rooms are much more difficult to place because it is a higher average ticket. We are just emerging from an infernal lethargy and developers have more faith with lower average tickets,” said Susana Valle Fonrouge, Director of GPS Propiedades, who maintained that the trend towards the purchase of large properties is occurring little by little.

For those who make a bigger bet, there are options in certain projects where two apartments are unified and end up creating properties with 5 rooms or more.