Italy and construction: exponential growth
The construction and real estate sectors are linked to a double weave. You know. In some cases, the improvement of the first, guarantees significant opportunities also for the second. The striking example of how this union is given by the current situation in Italy and the perspectives related to it. What are we talking about? For the '' Beautiful peninsula '', the market is clear. Investments in construction have grown considerably and will continue to grow even in 2021. In fact, there is talk of the winning two-year period 20-21, albeit with a rather slow improvement rate. But let's do a full immersion in the Italian real estate market to discover its potential that has allowed us to have a positive surge.
In the first quarter of last year, the Italian market underwent a retreat phase, with a slight recovery in the third. The driving sector? The residential, which allowed an increase in construction (in terms of investments). This initial situation was totally reversed at the beginning of the year, with a renewal of the Italian building and housing heritage. In fact, there were many needs related to territorial redevelopment, which stimulated both sectors. In percentage terms, we are talking about an increase of 15% more than in the same period of 2019.
By focusing instead our attention on the trend of gross investments, the nominal growth in the real estate sector was 7%, thanks also to numerous interventions promoted by the public sector. Local public administrations have ensured a positive trend. Already from the first nine months of last year, there has been a tendential increase of 5.2% with the opening of new published competition bands, aimed precisely at urban and residential regeneration. All this generated a positive flow of investments in the sector, equal to 25% more than in 2019.
Although we are talking about an expansive profile, which allows the 2020-2021 prospects to be more than positive, the pace compared to 2019 is slower. The braking, thus defined and verified, will affect all the sectors of the main activities related to the real estate sector. But the growth will nonetheless be lasting. As a further guarantee of this, we also recognize the public resources made available in the period from 2016 to 2019 (the so-called funds allocated to the various Italian public administrations for the budget law).
The main issues that spill over into real estate in terms of financing, and which will guarantee an exponential growth in the sector, relate to sustainability, the safety of maintenance interventions and the redevelopment in general of the oldest areas in areas that are definitely more suitable for a demand more and more pressing.
How will the Italian real estate continue? Will the trend remain positive or can a turnaround be expected? In order to answer this question, we simply invite you to stay updated on our portal!
In the first quarter of last year, the Italian market underwent a retreat phase, with a slight recovery in the third. The driving sector? The residential, which allowed an increase in construction (in terms of investments). This initial situation was totally reversed at the beginning of the year, with a renewal of the Italian building and housing heritage. In fact, there were many needs related to territorial redevelopment, which stimulated both sectors. In percentage terms, we are talking about an increase of 15% more than in the same period of 2019.
By focusing instead our attention on the trend of gross investments, the nominal growth in the real estate sector was 7%, thanks also to numerous interventions promoted by the public sector. Local public administrations have ensured a positive trend. Already from the first nine months of last year, there has been a tendential increase of 5.2% with the opening of new published competition bands, aimed precisely at urban and residential regeneration. All this generated a positive flow of investments in the sector, equal to 25% more than in 2019.
Although we are talking about an expansive profile, which allows the 2020-2021 prospects to be more than positive, the pace compared to 2019 is slower. The braking, thus defined and verified, will affect all the sectors of the main activities related to the real estate sector. But the growth will nonetheless be lasting. As a further guarantee of this, we also recognize the public resources made available in the period from 2016 to 2019 (the so-called funds allocated to the various Italian public administrations for the budget law).
The main issues that spill over into real estate in terms of financing, and which will guarantee an exponential growth in the sector, relate to sustainability, the safety of maintenance interventions and the redevelopment in general of the oldest areas in areas that are definitely more suitable for a demand more and more pressing.
How will the Italian real estate continue? Will the trend remain positive or can a turnaround be expected? In order to answer this question, we simply invite you to stay updated on our portal!
