Tourism is what drives Montenegro’s economy. “Montenegro property offers an excellent investment opportunity,” says Glenda Lazare of overseas investment specialist company, Key Universal. “The country has a burgeoning tourist industry, bolstered by the government’s Tourism Masterplan 2007-2020, which aims to develop high-end hotels, golf courses and other luxury facilities in order to attract affluent tourists.”
From 2011 to 2015, the tourism sector grew by an average of 6.4% annually, and in 2015, total tourist arrivals rose by 12.9% y-o-y to about 1.71 million people, according to the Statistical Office of Montenegro. Then during the first seven months of 2016, tourist arrivals increased 3.8% to 864,090 people from the same period last year.
The coastal areas of Budva and Becici have seen significant developments during the past five years with numerous apartment buildings and several large-scale projects, according to CBRE Montenegro. They are very attractive to tourists because of their beautiful sandy beaches and nightlife, particularly the islet of Sveti Stefan and the coastal town of Budva, now key resorts for the Russian new rich to show off their money.
Its a scene of glitz and glam, not subtle, but in your face.
Budva is a charming coastal resort and Venetian port-city, with sandy beaches and a diverse nightlife, and is the centre of tourism, accepting well over half a million visitors annually. The larger Budva area had the most expensive housing in Montenegro, at an average price of €1,505 per sq. m. in Q2 2016, according to the Statistical Office of Montenegro.
The marvellously beautiful adjoining village of Stefi Stefan was a famous resort between the 1960s and 1980s, visited by celebrities like Orson Welles, Elizabeth Taylor, Sophia Loren, Princess Margaret, Carlo Ponti, Ingemar Stenmark and Kirk Douglas. Now after the war it is back, with an Aman resort.
Foreign property demand is expected to rise during coming years with the launch of several new flights from across Europe (such as from Brussels, Milan, Barcelona, London, Oslo and Stockholm) to Montenegro.