Commercial property indices - 2015 H1
19/11/2015 - Press Releases
1. Office Indices
Office price index
According to provisional data, in the first half of 2015, nominal prime office prices for the country as a whole declined by 0.2% compared with the second half of 2014. The rate of decline was lower compared with previous half-years (2014 H1: -1.4%, 2014 H2: -0.5%). More specifically in the first half of 2015, nominal prime office prices declined by 1.0% in the greater Athens area and by 4.9% in Thessaloniki, whereas in the rest of Greece the prices increased by 1.6%, compared with the second half of 2014.
In 2014 as a whole, compared with 2013, the average rate of decrease in nominal prime office prices is estimated at 3.4% for the entire country, whereas the respective average drop was 3.1% for Athens, 5.0% for Thessaloniki and 3.4% for the rest of Greece (revised data).
Office rent index
In the first half of 2015, office rents for the country as a whole increased by 0.5% (provisional data) compared with the second half of 2014, against a decrease of 5.9% in the first half of 2014 and 1.7% in the second half of 2014.
2. Retail indices
Retail price index
According to provisional data, in the first half of 2015, prime retail prices, for the country as a whole, decreased by 4.4% in nominal terms compared with the second half of 2014. A minor decline in prices was also recorded in the second half of 2014 (-0.3%), contrary to the first half of 2014 when prices had increased by 1.8%. More specifically, in the first half of 2015, compared with the previous half, nominal prime retail prices decreased by 4.0% in Athens, 2.9% in Thessaloniki and by 5.3% in the rest of Greece.
Finally, in 2014 as a whole, compared with 2013, the average rate of decrease in nominal prime retail prices is estimated at 1.8% for the entire country, whereas the respective average drop was 2.8% for Athens, 1.2% for Thessaloniki and 0.3% for the rest of Greece (revised data).
Retail rent index
In the first half of 2015, retail rents for the country as a whole declined by 1.8% (provisional data) compared with the second half of 2014, a rate of decline significantly lower than the respective rates in the previous half-years (2014 H1:-5.1%, 2014 H2: -8.4%).
Detailed tables on retail and office prices and rents by geographical area are published in the “Bulletin of Conjunctural Indicators” (Tables ΙΙ.9, ΙΙ.10, ΙΙ.11 and ΙΙ.12, first published in Issue 162) and are also available on the Bank of Greece website.
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INDICES OF COMMERCIAL PROPERTY PRICES AND RENTS
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(within parentheses, percentage change over the previous period)
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2012
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2013
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2014*
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2013
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2014 *
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2015 *
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Η1
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Η2
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Η1
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Η2*
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Η1*
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Ι. OFFICE PRICE INDEX (2010=100)
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Total
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Index
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81.8
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73.7
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71.2
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75.0
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72.4
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71.4
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71.0
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70.9
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(% change)
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(-11.9)
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(-9.9)
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(-3.4)
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(-4.8)
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(-3.4)
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(-1.4)
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(-0.5)
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(-0.2)
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a. Athens
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Index
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85.1
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75.8
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73.4
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77.5
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74.0
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73.6
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73.3
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72.6
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(% change)
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(-10.0)
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(-10.9)
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(-3.1)
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(-6.4)
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(-4.5)
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(-0.6)
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(-0.4)
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(-1.0)
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b. Thessaloniki
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Index
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81.4
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73.3
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69.6
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75.7
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70.8
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70.3
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68.9
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65.5
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(% change)
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(-12.2)
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(-9.9)
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(-5.0)
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(-2.7)
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(-6.4)
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(-0.8)
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(-2.0)
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(-4.9)
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c. Rest of Greece
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Index
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78.3
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71.5
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69.1
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72.0
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70.9
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69.2
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69.0
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70.1
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(% change)
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(-14.0)
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(-8.7)
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(-3.4)
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(-3.2)
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(-1.5)
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(-2.5)
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(-0.3)
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(1.6)
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ΙΙ. OFFICE RENT INDEX (2010=100)
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Total
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Index
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86.4
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80.0
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72.3
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82.5
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77.5
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72.9
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71.7
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72.1
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(% change)
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(-9.7)
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(-7.5)
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(-9.6)
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(-2.5)
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(-6.1)
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(-5.9)
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(-1.7)
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(0.5)
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a. Athens
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Index
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86.5
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80.2
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74.7
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81.8
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78.6
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75.6
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73.7
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73.8
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(% change)
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(-8.5)
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(-7.3)
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(-6.9)
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(-3.3)
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(-4.0)
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(-3.7)
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(-2.5)
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(0.1)
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b. Thessaloniki
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Index
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91.3
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84.5
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77.8
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85.4
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83.7
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78.7
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76.9
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77.0
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(% change)
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(-4.2)
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(-7.4)
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(-8.0)
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(-5.1)
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(-2.0)
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(-6.0)
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(-2.3)
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(0.2)
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c. Rest of Greece
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Index
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85.4
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78.8
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68.6
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82.6
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75.0
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68.7
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68.4
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69.1
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(% change)
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(-12.1)
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(-7.7)
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(-13.0)
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(-1.1)
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(-9.2)
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(-8.4)
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(-0.5)
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(1.1)
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ΙΙΙ. RETAIL PRICE INDEX (2010=100)
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Total
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Index
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82.6
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75.4
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74.1
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77.9
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72.9
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74.2
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74.0
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70.7
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(% change)
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(-11.1)
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(-8.8)
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(-1.8)
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(-4.8)
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(-6.4)
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(1.8)
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(-0.3)
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(-4.4)
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a. Athens
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Index
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80.2
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73.6
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71.6
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76.7
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70.6
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71.4
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71.7
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68.9
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(% change)
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(-13.1)
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(-8.2)
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(-2.8)
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(-3.5)
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(-7.9)
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(1.1)
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(0.5)
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(-4.0)
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b. Thessaloniki
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Index
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79.3
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73.1
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72.3
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74.3
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71.9
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72.1
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72.4
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70.3
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(% change)
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(-13.2)
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(-7.8)
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(-1.2)
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(-4.5)
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(-3.3)
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(0.4)
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(0.4)
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(-2.9)
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c. Rest of Greece
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Index
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87.5
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78.9
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78.6
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80.9
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76.8
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79.2
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78.0
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73.8
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(% change)
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(-7.3)
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(-9.8)
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(-0.3)
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(-6.8)
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(-5.0)
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(3.0)
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(-1.5)
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(-5.3)
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ΙV. RETAIL RENT INDEX (2010=100)
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Total
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Index
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84.6
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76.2
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68.7
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76.9
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75.6
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71.7
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65.7
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64.5
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(% change)
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(-8.7)
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(-9.9)
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(-9.8)
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(-8.2)
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(-1.7)
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(-5.1)
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(-8.4)
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(-1.8)
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a. Athens
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Index
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84.3
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73.6
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66.8
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74.2
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73.1
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69.8
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63.8
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62.7
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(% change)
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(-7.1)
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(-12.6)
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(-9.3)
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(-11.1)
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(-1.4)
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(-4.5)
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(-8.6)
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(-1.7)
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b. Thessaloniki
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Index
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85.2
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80.6
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75.0
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82.1
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79.0
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76.2
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73.8
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73.6
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(% change)
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(-10.3)
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(-5.5)
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(-6.9)
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(-1.9)
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(-3.7)
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(-3.6)
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(-3.1)
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(-0.2)
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c. Rest of Greece
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Index
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85.1
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79.2
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70.1
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79.7
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78.6
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73.7
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66.5
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64.9
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(% change)
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(-10.9)
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(-6.9)
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(-11.4)
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(-5.3)
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(-1.4)
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(-6.2)
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(-9.7)
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(-2.4)
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Source: Bank of Greece.
*Provisional data.
Notes:
1. For the purposes of monitoring and analysing the commercial property market, the Real Estate Market Analysis Section of the Bank of Greece compiles office and retail property indices, using data from credit institutions (Bank of Greece Executive Committee Act 23/26.07.2013) and Real Estate Investment Companies – REICs (Bank of Greece Executive Committee Act 9/10.01.2013) operating in Greece, as well as data from other sources, e.g. private real estate consultants, portfolio managers, real estate developers, real estate brokers and public sector entities. The data are collected on a biannual basis and include valuations, rents, transactions, investments and yields of commercial property and commercial property asset portfolios.
2. Indices are published on a biannual basis (base year: 2010). They concern office and retail uses and refer to price and rent levels of mainly prime investment property. It should be noted that price indices are valuation-based and are therefore expected to show some lag, especially in cases of negative changes. Furthermore, especially in periods of limited transactions, the values tend to reflect sentiment and market expectations at the moment of the valuation.