Sri Lanka records increase in land value in the Colombo District
The Central Bank of Sri Lanka has reportedly stated that the Land Valuation Indicator (LVI) in the Colombo District had increased to 155.1 during the first half of 2021.
The Central Bank statistics have revealed that the annual increase of 9.5 and the semi-annual increase of 6.8 of the LVI had converted the declining trend of the LVI over the last two years into a positive one.
According to the Bank, all sub-indicators of the LVI, namely Residential LVI, Commercial LVI and Industrial LVI had contributed to the overall increase.
The Industrial LVI had recorded the highest annual increase of 10.1%, followed by Residential LVI and Commercial LVI, according to local media reports.
When compiling the LVI, per perch bare land prices are obtained from the Government Valuation Department on a semi-annual basis.
Three sub-indicators for residential, commercial and industrial lands are computed separately for each Divisional Secretariat considering the diverse nature of land use and the necessity of maintaining homogeneity division using the average per perch bare land price in the area.
Given the economic expansion recorded by Sri Lanka and the island fast becoming a business hub in the South Asian region, the land value in Sri Lanka’s main commercial hub, Colombo, continues to increase. Despite the Covid 19 pandemic, Sri Lanka’s house and property market has shown a positive growth and increase in land value. With Sri Lanka showing further signs of growth, supported by it’s ongoing development programme, foreign businesses/investors could confidently look at business/investment opportunities in Sri Lanka’s real estate market, especially in the house and property sectors.
|Article Code :||VBS/AT/13082021/Z_3|