The construction costs in 100 cities around the world were compared by economists from the Arcadis consulting firm. The costs for the construction of 20 different types of buildings, including residential, commercial and administrative, were analyzed. Calculations are in USD with Amsterdam as the starting point.
Top 3 includes cities outside the EU member states. London is in first place, followed by two Swiss cities - Geneva and Zurich. In fourth and fifth position are Munich and New York, respectively, followed by two more American cities - San Francisco and Philadelphia. The last three cities from the TOP 10 are Copenhagen, Hong Kong and again an English city completes the ranking - Bristol.
Why is London so expensive? First of all, the increased burden of administrative barriers and stricter regulations in recent years must be taken into account, which have significantly increased costs. Secondly, higher requirements were introduced for building safety, sustainability and customer expectations.
Thirdly, there is rising inflation. Although moderate, combined with high interest rates it creates additional pressure on costs.
The fourth factor for price growth is 10% year-on-year construction volumes and a 20% decline in residential construction.
At the other end of the ranking are the most accessible cities in the world for construction. These are: Buenos Aires (Argentina), Lagos (Nigeria) and Kuala Lumpur (Malaysia).
- London, UK
- Geneva, Switzerland
- Zurich, Switzerland
- Munich, Germany
- New York, USA
- San Francisco, USA
- Philadelphia, USA
- Copenhagen, Denmark
- Hong Kong, China
- Bristol, UK
You can see detailed statistics on average property prices in Bulgaria by cities and neighborhoods HERE