BUSINESS

Athens rental rates tumble

Reflecting the overall shrunken state of the Greek economy, rents for small, aging Athenian apartments of up to 60 square meters have fallen by a total of 50 percent since the recession started in 2008, according to research conducted by real estate consultancy group Remax Newdeal.

Rental rates for such properties have dropped by an estimated 5 to 7 percent over the past year alone, the same study revealed. The drastic slide in rental rates for small, old flats in Athens, which wipes out the considerable gains made by property owners in the runup to the economic crisis, has been attributed to the reduced number of Greek students relocating to the capital for studies, as well as lower demand from the immigrant market.

Another study, conducted by Alpha Bank, showed that rent levels increased by nearly 43 percent between 2000 and 2011. The same study also revealed that property values soared by 91 percent between 2000 and 2008.

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