The report covers developments in Bulgaria’s construction and real estate sectors over the period May 2014 – June 2015. It includes selected financial indicators for local REITs with total assets above BGN10mn (€5.1mn) as of end-2014. Construction output recorded negative annual growth in the first four months of 2015 after mainly positive overall performance in 2014. FDI in the sector tripled in 2014. The Q1 2015 data on building permits are somewhat ambiguous, with a decline in the number of buildings, but an increase in gross building area. The data about buildings, the construction of which started in Q1 2015, are ambiguous as well, with a drop in the number, but strong growth of the total gross building area. FDI in the real estate sector turned positive in 2014. Despite a decrease, the sector stock index BG REIT has performed significantly better than the Bulgarian Stock Exchange’s blue chip index SOFIX over the past 14 months. Over the period covered by the report, two new shopping centres opened to visitors in Sofia. The statistics office’s newly introduced house price index showed consistent recovery, both in quarterly and annual terms, throughout 2014. Also on the positive side, the average price of agricultural land registered double-digit growth in 2014. Key Points: • Construction output recorded negative annual growth in the first four months of 2015 • The sector stock index BG REIT has performed significantly better than the Bulgarian Stock Exchange’s blue chip index SOFIX over the past 14 months • Over the period covered by the report, two new shopping centres opened to visitors in Sofia • The report includes selected financial indicators for local REITs with total assets above BGN10mn (€5.1mn) as of end-2014