Identifier
Created
Classification
Origin
07PODGORICA214
2007-06-15 13:11:00
UNCLASSIFIED
Embassy Podgorica
Cable title:
FOREIGN PURCHASE OF REAL ESTATE IN MONTENEGRO (C-RE7-00522)
how-toVZCZCXRO6566 RR RUEHAG RUEHAST RUEHDA RUEHDBU RUEHDF RUEHFL RUEHIK RUEHKW RUEHLA RUEHLN RUEHLZ RUEHROV RUEHSR RUEHVK RUEHYG DE RUEHPOD #0214 1661311 ZNR UUUUU ZZH R 151311Z JUN 07 FM AMEMBASSY PODGORICA TO RUEHC/SECSTATE WASHDC 0289 INFO RUEHZL/EUROPEAN POLITICAL COLLECTIVE RUFOADA/JAC MOLESWORTH RAF MOLESWORTH UK RUEHPOD/AMEMBASSY PODGORICA 0309
UNCLAS PODGORICA 000214
SIPDIS
SIPDIS
E.O. 12958: N/A
TAGS: ECON EINV MW
SUBJECT: FOREIGN PURCHASE OF REAL ESTATE IN MONTENEGRO (C-RE7-00522)
UNCLAS PODGORICA 000214
SIPDIS
SIPDIS
E.O. 12958: N/A
TAGS: ECON EINV MW
SUBJECT: FOREIGN PURCHASE OF REAL ESTATE IN MONTENEGRO (C-RE7-00522)
1. (U) Summary: Foreigners, mainly Serbs, own 1.39% of all land,
and 8.5% of all condominiums, in Montenegro. Among foreigners,
Russians are second in condo ownership, but fourth in land
ownership. Current law in Montenegro allows foreigners to buy
realty with few restrictions. End summary.
2. (U) The Directorate for Real Estate within the Ministry of
Finance has reported on the amount of land and number of
condominiums owned by foreigners in Montenegro. Foreigners own
a total of 19,210 hectares of land in Montenegro, or 1.393% of
the total. They own condominiums aggregating in total 1,529,000
square meters, or 8.499% of the total in Montenegro. Over 90% of
the property is owned by "natural" as opposed to "legal"
persons, i.e., by humans, not companies.
3. (U) Top five countries by ownership are:
Land
. % of foreign land % of Montenegro
Serbia 15,936 ha 85.02% 1.156%
Bosnia 1,721 ha 9.58% 0.125%
Croatia 533 ha 2.96% 0.039%
Russia 292 ha 1.52% 0.021%
Slovenia 259 ha 1.21% 0.019%
Condominiums
. % of foreign % of Montenegro
Serbia 1,100,746 m2 73.99% 6.12%
Russia 131,621 m2 9.11% 0.73%
Bosnia 98,907 m2 7.00% 0.55%
UK 52,328 m2 2.58% 0.29%
Slovenia 48,969 m2 1.56% 0.27%
The number of actual owners is unavailable. Montenegrin
dwellings advertised to foreign buyers tend to be larger than
average, around 120 to 200 m2 (and up). Additionally, property
acquired by foreigners through privatization of state-owned
firms (e.g., KAP) is not included in the Directorate's current
report. The Directorate told post June 14 that they are
revising and expanding their data collection, and will finish an
update later this summer.
4. (U) Comment: Generally, foreigners can acquire real estate on
reciprocal terms; i.e., on the same legal basis for Montenegrins
seeking to acquire realty in a given foreign state. Some
Montenegrins have advocated restricting the ability of
foreigners to buy real estate in Montenegro, often in response
to the latest media story of "Foreigners (often "Russians")
buying up all of Montenegro." The data does not indicate who is
currently buying land. Presumably, many of the Serbs and other
regional owners have had their Montenegrin properties for some
time.
BARNES
SIPDIS
SIPDIS
E.O. 12958: N/A
TAGS: ECON EINV MW
SUBJECT: FOREIGN PURCHASE OF REAL ESTATE IN MONTENEGRO (C-RE7-00522)
1. (U) Summary: Foreigners, mainly Serbs, own 1.39% of all land,
and 8.5% of all condominiums, in Montenegro. Among foreigners,
Russians are second in condo ownership, but fourth in land
ownership. Current law in Montenegro allows foreigners to buy
realty with few restrictions. End summary.
2. (U) The Directorate for Real Estate within the Ministry of
Finance has reported on the amount of land and number of
condominiums owned by foreigners in Montenegro. Foreigners own
a total of 19,210 hectares of land in Montenegro, or 1.393% of
the total. They own condominiums aggregating in total 1,529,000
square meters, or 8.499% of the total in Montenegro. Over 90% of
the property is owned by "natural" as opposed to "legal"
persons, i.e., by humans, not companies.
3. (U) Top five countries by ownership are:
Land
. % of foreign land % of Montenegro
Serbia 15,936 ha 85.02% 1.156%
Bosnia 1,721 ha 9.58% 0.125%
Croatia 533 ha 2.96% 0.039%
Russia 292 ha 1.52% 0.021%
Slovenia 259 ha 1.21% 0.019%
Condominiums
. % of foreign % of Montenegro
Serbia 1,100,746 m2 73.99% 6.12%
Russia 131,621 m2 9.11% 0.73%
Bosnia 98,907 m2 7.00% 0.55%
UK 52,328 m2 2.58% 0.29%
Slovenia 48,969 m2 1.56% 0.27%
The number of actual owners is unavailable. Montenegrin
dwellings advertised to foreign buyers tend to be larger than
average, around 120 to 200 m2 (and up). Additionally, property
acquired by foreigners through privatization of state-owned
firms (e.g., KAP) is not included in the Directorate's current
report. The Directorate told post June 14 that they are
revising and expanding their data collection, and will finish an
update later this summer.
4. (U) Comment: Generally, foreigners can acquire real estate on
reciprocal terms; i.e., on the same legal basis for Montenegrins
seeking to acquire realty in a given foreign state. Some
Montenegrins have advocated restricting the ability of
foreigners to buy real estate in Montenegro, often in response
to the latest media story of "Foreigners (often "Russians")
buying up all of Montenegro." The data does not indicate who is
currently buying land. Presumably, many of the Serbs and other
regional owners have had their Montenegrin properties for some
time.
BARNES