






{"id":27033,"date":"2022-02-10T16:32:25","date_gmt":"2022-02-10T09:32:25","guid":{"rendered":"https:\/\/www.asiapropertyawards.com\/?p=27033"},"modified":"2024-09-23T19:25:07","modified_gmt":"2024-09-23T12:25:07","slug":"green-shoots-of-recovery-in-sri-lankan-real-estate","status":"publish","type":"post","link":"https:\/\/www.asiapropertyawards.com\/en\/green-shoots-of-recovery-in-sri-lankan-real-estate\/","title":{"rendered":"Green shoots of recovery in Sri Lankan real estate"},"content":{"rendered":"<p><span class=\"NormalTextRun BCX0 SCXW129450689\">From being an investment hub to a wedding\/wellness destination, the island nation is gearing for a <\/span><span class=\"NormalTextRun BCX0 SCXW129450689\">full-on<\/span><span class=\"NormalTextRun BCX0 SCXW129450689\"> recovery<\/span><\/p>\n<figure id=\"attachment_27034\" aria-describedby=\"caption-attachment-27034\" style=\"width: 1000px\" class=\"wp-caption alignnone\"><img decoding=\"async\" class=\"wp-image-27034 size-full\" src=\"https:\/\/www.asiapropertyawards.com\/wp-content\/uploads\/2022\/02\/shutterstock_555198655.jpg\" alt=\"\" width=\"1000\" height=\"703\" srcset=\"https:\/\/www.asiapropertyawards.com\/wp-content\/uploads\/2022\/02\/shutterstock_555198655.jpg 1000w, https:\/\/www.asiapropertyawards.com\/wp-content\/uploads\/2022\/02\/shutterstock_555198655-400x281.jpg 400w, https:\/\/www.asiapropertyawards.com\/wp-content\/uploads\/2022\/02\/shutterstock_555198655-600x422.jpg 600w, https:\/\/www.asiapropertyawards.com\/wp-content\/uploads\/2022\/02\/shutterstock_555198655-768x540.jpg 768w\" sizes=\"(max-width: 1000px) 100vw, 1000px\" \/><figcaption id=\"caption-attachment-27034\" class=\"wp-caption-text\">Now, travellers are staying for about 10-14 days in the country due to wellness programmes. MelindaNagy\/Shutterstock<\/figcaption><\/figure>\n<p><span data-contrast=\"none\">As with any other country across the globe, the real estate landscape in Sri Lanka has shifted due to users\u2019 changing demands across the residential, commercial, and industrial sectors. Yet despite these shifts, leading industry players have met the challenge head on and swiftly adapted to their needs.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:1,&quot;335551620&quot;:1,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"none\">Through their strength and determination, as well as the overall\u00a0improving situation in the country, the real estate market has begun to show signs of recovery, signifying a promising future for Sri Lanka.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:1,&quot;335551620&quot;:1,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><b><span data-contrast=\"none\">Growing investment hub<\/span><\/b><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:1,&quot;335551620&quot;:1,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"none\">In a coverage by <\/span><a href=\"https:\/\/ceylontoday.lk\/2023\/11\/20\/unveiling-sri-lankas-urban-potential-investment-opportunities-with-uda\/\" target=\"_blank\" rel=\"noopener\"><span data-contrast=\"none\">Ceylon Today,<\/span><\/a><span data-contrast=\"none\"> Jerry Kingsley, head of Sri Lanka at Jones Lang LaSalle, said investors are increasingly looking towards Sri Lanka as its real estate market starts to recuperate. They have been aiming to diversify their portfolio with hotels, healthcare, multi-asset classes,\u00a0and industrial logistics.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:1,&quot;335551620&quot;:1,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"none\">The current climate is also deemed as the best time to invest, according to Managing Director of Iconic Developments Rohan Parikh.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:1,&quot;335551620&quot;:1,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"none\">&#8220;The main reason for this is because, in Sri Lanka and Colombo, the construction cost is higher than the land price, which is usually the opposite as opposed to countries like India and Malaysia.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:1,&quot;335551620&quot;:1,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"none\">Therefore, when we make investments in Sri Lanka, it is sure to be a safe investment because it will not be exposed to price fluctuation,&#8221; he added.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:1,&quot;335551620&quot;:1,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"none\">Developers have also been handing out discounted prices to buyers, which means choosing the right developer and project could lead to greater return on investment in the long run.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:1,&quot;335551620&quot;:1,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"none\">Among those who benefitted from the\u00a0increase in demand and improving market sentiment were major w<\/span><span data-contrast=\"none\">inners at the <\/span><a href=\"https:\/\/www.asiapropertyawards.com\/en\/4th-propertyguru-asia-property-awards-sri-lanka-return-with-the-island-nations-premier-developers-projects\/\" target=\"_blank\" rel=\"noopener\"><span data-contrast=\"none\">2021 PropertyGuru Asia Property Awards (Sri Lanka)<\/span><\/a><span data-contrast=\"none\">, namely, Home Lands Skyline (Pvt) Ltd\u2019s Canterbury Golf Resort Apartments (Best Condo Development &#8211; Sri Lanka) and Canterbury Golf Villas (Best Housing Development &#8211; Sri Lanka),\u00a0and Kelsey Developments PLC\u2019s Central Park Ja-Ela (Best Housing Architectural Design).<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:1,&quot;335551620&quot;:1,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"none\">Local demand for luxury spaces and condominiums have grown during the Covid era, with Sri Lankans making up for 70 to 80 percent of purchases, non-residential Sri Lankans accounting for 25 percent, and foreigners at five percent.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:1,&quot;335551620&quot;:1,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><b><span data-contrast=\"none\">Record-breaking prices<\/span><\/b><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:1,&quot;335551620&quot;:1,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"none\">In the 4<\/span><span data-contrast=\"none\">th<\/span><span data-contrast=\"none\"> quarter of 2021, <\/span><a href=\"https:\/\/www.lankapropertyweb.com\/property-news\/prices-of-houses-and-apartments-rise-to-an-all-time-high-lankapropertyweb\/#:~:text=%C2%A0-,Prices%20Of%20Houses%20And%20Apartments%20Rise%20To%20An%20All%2DTime%20High%3A%20LankaPropertyWeb,-0\" target=\"_blank\" rel=\"noopener\"><span data-contrast=\"none\">Lanka Property Web<\/span><\/a><span data-contrast=\"none\"> found that the total selling price of houses surged by 22.5 percent and apartments by 17.7 percent, both historic numbers for Sri Lanka. <\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:1,&quot;335551620&quot;:1,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"none\">Between the fourth quarter of 2021 and 2020, the sector saw a 17.7 percent rise in apartment values and a 24.1 percent hike in selling price for a 3-bedroom unit in Colombo. The surge in prices suggests a growing demand for vertical living in urban locations.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:1,&quot;335551620&quot;:1,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"none\">Land prices in the Northern\u00a0province rose by 45.1 percent, in the Central by 22.6 percent, and in the South by 19.4 percent compared to the last quarter of 2020. The Western province excluding Colombo dropped by 14.7 percent, but the capital grew by 3.5 percent.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:1,&quot;335551620&quot;:1,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><b><span data-contrast=\"auto\">Economic ties with India<\/span><\/b><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:1,&quot;335551620&quot;:1,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">In January, <\/span><a href=\"https:\/\/economictimes.indiatimes.com\/news\/india\/sri-lanka-seeks-to-integrate-economy-with-india-focuses-on-8-sectors\/articleshow\/89143001.cms?from=mdr#:~:text=Sri%20Lanka%20has%20initiated%20a%20country%20strategy%20for%20India%20with%20an%20eye%20on%20integrating%20its%20%27fragile%27%20economy%20with%20the%20Indian%20economy%20with%20focus%20on%20eight%20sectors%20to%20boost%20fortunes.\" target=\"_blank\" rel=\"noopener\"><span data-contrast=\"none\">The Economic Times<\/span><\/a><span data-contrast=\"auto\"> revealed that Sri Lanka plans to merge with India to further boost its economy. The integration will be focused on eight key sectors, including real estate, tourism, information and communications technology, electricity grid, energy, and refineries.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:1,&quot;335551620&quot;:1,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">&#8220;India is the biggest economy in the region and Lanka wants to benefit from the Indian growth story. Lanka can be a springboard for Indian investors in the region. Our idea is to integrate our economy into the Indian economy for a win-win situation,&#8221; commented Milinda Moragoda, Sri Lanka\u2019s envoy to India.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:1,&quot;335551620&quot;:1,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">In the aforementioned sectors, tourism will be the biggest contributor to the island nation\u2019s recovery post-Covid, with the expected number of tourists coming in from India.<\/span><\/p>\n<p><b><span data-contrast=\"auto\">Push for tourism<\/span><\/b><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:1,&quot;335551620&quot;:1,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">In the first two weeks of 2022, Sri Lanka Tourism Development Authority Director General Dhammika Wijayasinghe said 31,600 tourists from India, Russia, and Ukraine visited Sri Lanka, with the average length of stay increasing by twofold,\u00a0reported <\/span><a href=\"https:\/\/economynext.com\/sri-lanka-sees-tourist-stays-double-in-january-2022-89631\/\" target=\"_blank\" rel=\"noopener\"><span data-contrast=\"none\">EconomyNext<\/span><\/a><span data-contrast=\"auto\">.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:1,&quot;335551620&quot;:1,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">\u201cBefore, the average stay of the tourist in the country was about four to five days, but now travellers are staying for about 10-14 days in the country due to wellness programmes,\u201d explained the director general.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:1,&quot;335551620&quot;:1,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">Other than the wellness programme, the country is also looking to advertise as a <\/span><a href=\"https:\/\/economynext.com\/sri-lanka-seeks-to-shine-as-tourist-wedding-destination-90291\/\" target=\"_blank\" rel=\"noopener\"><span data-contrast=\"none\">wedding destination<\/span><\/a><span data-contrast=\"auto\">.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:1,&quot;335551620&quot;:1,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">\u201cWe have already made a name as a wedding destination in many markets such as European, Asian and even the middle east,\u201d said Kimarli Fernando, chairperson of Sri Lanka Tourism Development.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:1,&quot;335551620&quot;:1,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">\u201cWe, as an industry, need to work together to build relationships with our peers perhaps in India, Nepal, Maldives, and Pakistan, and promote weddings.\u201d<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:1,&quot;335551620&quot;:1,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">Before the Covid period, the island nation has been chosen time and time again by tourists as their\u00a0location for their destination wedding, with young Western couples throwing modest weddings and parents of Indian couples organising huge parties.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:1,&quot;335551620&quot;:1,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">\u201cWe will provide the event management companies, wedding planners, photographers and, so that anybody could look at it and reach out to the relevant businesses.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:1,&quot;335551620&quot;:1,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">Sri Lanka is everything that Asia has to offer,\u201d concluded Fernando.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:1,&quot;335551620&quot;:1,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<p><b><i><span data-contrast=\"none\">Know of outstanding residential, commercial, or industrial projects in Sri Lanka? Nominate them for the 4<\/span><\/i><\/b><b><i><span data-contrast=\"none\">th<\/span><\/i><\/b><b><i><span data-contrast=\"none\"> annual PropertyGuru Asia Property Awards (Sri Lanka) on or before 22 July 2022. To know more, visit <\/span><\/i><\/b><a href=\"https:\/\/www.asiapropertyawards.com\/en\/award\/srilanka\/\" target=\"_blank\" rel=\"noopener\"><b><i><span data-contrast=\"none\">asiapropertyawards.com\/award\/srilanka\/<\/span><\/i><\/b><\/a><b><i><span data-contrast=\"none\">.<\/span><\/i><\/b><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:276}\">\u00a0<\/span><\/p>\n<p><i><span data-contrast=\"none\">Gynen Kyra Toriano, Digital Content Manager at PropertyGuru, wrote this article. For more information, email: <\/span><\/i><a href=\"mailto:gynen@propertyguru.com\" target=\"_blank\" rel=\"noopener\"><i><span data-contrast=\"none\">gynen@propertyguru.com<\/span><\/i><\/a><i><span data-contrast=\"none\">.<\/span><\/i><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:276}\">\u00a0<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>From being an investment hub to a wedding\/wellness destination, the island nation is gearing for a full-on recovery<\/p>\n","protected":false},"author":9,"featured_media":27034,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[101,92],"tags":[464,668,512,120,322],"class_list":["post-27033","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-asia-property-awards","category-news","tag-economy","tag-investment","tag-residential","tag-sri-lanka","tag-tourism","news_country-sri-lanka","news_author-gynen-kyra-toriano"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.5 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Green shoots of recovery in Sri Lankan real estate | Asia Property Awards<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" 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