The real estate market of agricultural land and green energy in Romania
The real estate market of agricultural land in Romania witnessed a continued upward trend, experiencing an increasingly higher level of interest from various categories of investors, both foreign and local. This market segment constitutes a great potential, both for the significant difference in the price of land in Romania compared to other European countries, and the quality of soil and the pluviometric regime present in Romania, which highlights the profitability of the agricultural sector and the investments in real estate.
According to a market study by NAI Romania, a well-known network of commercial real estate brokerage firms, agricultural subsidy and the increased profitability of crops represents the main reasons behind the investors’ increasing level of interest in acquiring agricultural land in Romania.
Moreover, the liberalization of the acquisition of agricultural land in Romania by foreigners and foreign companies since 1 January 2014 has significantly encouraged the level of foreign investments in this area.
Considering the fact that the agricultural land market, as well as the necessary mechanisms, are in constant development, foreign investments present a high level of potential and high impact on the Romanian market on the background of the high demand for the production of cereals and various types of vegetable crops.
Along with the ever developing agricultural land market, renewable energy is another area constantly rising in Romania, an area which presents a valuable potential. Thus, the various geographic forms that Romania has allows the development of the production of an important number of renewable energy sources, while at this moment there are numerous renewable energy projects underway and encouraged. According to studies conducted Romania, biomass represents 65% of the potential of the production of renewable energy. Romania is being divided into 8 zones with renewable energy potential.
In 2013, Romania had a 41% share of electricity produced from renewable energy, while the Constanta county produces the highest level renewable energy in the country through wind turbines and photovoltaic panels. At the same time, other counties such as Tulcea, Giurgiu, Prahova, Galati and many others are rapidly constantly evolving in terms of renewable energy.
At the governmental level, the production of renewable energy in Romania is encouraged through our green certificates system found particularly in Romania. Green certificates represent titles that certify the production of electricity from sources of renewable energy and they are awarded to producers for the energy they generate.
Romania represents an advantageous and profitable market, both for investments in agricultural land and for the development and implementation of projects for renewable energy. Romania’s legal system is aligned with the European level, encouraging both the acquisition of agricultural land by foreigners or foreign companies and the development of renewable energy projects.
Our team of lawyers is in the know of the latest legal developments in these areas, providing comprehensive legal advice that is recommended by extensive experience in the most varied fields of law, understanding the importance of specialized legal aid during the complex process of land acquisition in Romania, or with the selection of the suitable projects for the investment in renewable energy, while equally advocating the constant development of this area in our country by offering for sale various projects of wind farms solar photovoltaic parks and hydropower projects. We take pride in our values and accumulated experience over the year, always making it a priority to guarantee the highest quality legal advice and satisfying our customers’ needs.