Average profit margin of developers of new apartments in Krakow is minim 600.00%

I have friends who are developers and the average profit margin for developers of new apartments in Krakow is 400-600.00%

That means they build a block for an average of 600 pln/sq.m. and the price of land is also
about 400 pln/sq.m. (4000 pln/sq.m. divided by the number of floors high of the building)
leading to a total cost of about 1000 pln/sq.m.

The rest up to 6000-12000 pln/sq.m. is pure profit, that is even 600-1100.00% pure profit

I am new on this forum and do not know exactly how to use it.

I wanted to write 600-1100.00% profit margin.

These are cold hard facts, that developers dont want you to know.

Of course you will see that they are roaming this forum,
and posting with people who work for them (they are called forum posters)
that will attack anyone who is saying the truth about them.

Such forum posters wrote

"
It seems that Polish property prices are rising by the minute, one observer has stated that in a few years time Poland Real Estate will be the most expensive in the world

and it is a fact.
"

Claritaslux
Today, 12:09

I am new on this forum and do not know exactly how to use it.

I wanted to write 600-1100.00% profit margin.

If you had a brain you would be dangerous.

Clarita seems to have a brain, however maybe she exagerated a little bit, developers
profit margin in Poland is around 200-500% not really 600% and over. But it depends from case to case, and it's still huge profits, surpassing many times the initial credit money they use from the banks

What a load of rubbish! Whilst I am not a developer, I do have an idea of how much construction costs are in Poland and the profit margins which developers are making. For a normal new build in the suburbs of Krakow, I would think the build cost (including the cost of land, sales and marketing costs, construction) would be something like 4000 PLN per m2 and the sales prices achieved around 6000 PLN per m2.

And how do you have idea about all these?

Marketing and advertising costs are wasted money, and they do not reflect in ANY WAY in the quality of the buildings! Marketing and advertising costs do not make the owners or the buyers more comfortable nor do bring any quality to the actual apartments.

So if you have a complete rubbish quality apartment, built with 400 pln/sqm, and you put 4600 pln/sqm in advertising and marketing, than it is allright to say that you have a cost of 5000 pln/sqm and therefore sell it with 10000 pln/sqm? Right?

Thats just awful

I live in Krakow and developers want 20 to 30 thousand pln per square meter in the new constructions on the river. I am not joking either. Also 25 thousand pln for new buildings near the park. And they have claimed, at least to me, they are filling those flats. I do not believe it. I walk by the new remonts (remodeling) and real estate developments and all I see are empty apartments. Further it has been this way for at least 2 years.

On my street they are asking 10,000 pln per meter. I could buy a place in the USA for a 1/4 that price. A nice place. So I think it would be a little foolish to buy at those prices.

So this is all from the same person (from the U.S.A) and a waste of everyone's time.

I am mbiernat on here. I posted the thread originally. Somehow someone took the name of claritaslux relating to my website and started to post as a guest. This is a different person. It is not me. Also Tadeusz2007: is not me either. Maybe an admin or something but I can tell you I am only mbiernat. SeanBM you are not Sherlock. I do not know what you are with over 4000 posts in a year, man do you have a job?

And you are wasting people's time if you do not stay on the theme or have something to contribute on the subject of the housing market.

I think it is you who are wasting everyone's time with your bogus accusations.


That is rubbish, have you any idea how it works?
What is your job?
Several people in the real estate business here in Poland have posted and you still have nothing to show for your false accusations.


So although you started this thread as claritaslux, someone between last Thursday and today managed to take your name? That's BS.


But you post such ludicrous statements and then claim people took your user name.
You have been spamming this site for the last week, pushing your website and lies.
Are you still in America? you can tell me the truth, I won't tell anyone, honest.

Your a language teacher or something and have a uninformed link about realestate in Poland to boost your website?

Is this stupid thread also yours? 15 reasons why the Polish real estate market will crash soon
or did someone take that name too?
For goodness sake, you could have at least given 15 reasons but no, you want people to go to your site and boost it.
Sure you are just an American troll.

Here's an interesting one from 2007.
Racist attack against Poles via Polish language
Or was that not you either?

Hahahaha, seems I am not the only one who caught you hahahaha


You shouldn't have tried to annoy me, then I wouldn't have bothered to check and it wouldn't be revealed that you are the fake I initially thought you were.

I do not want to get sucked into a forum internet match of wits.

1. No that was not me! It was not me. Again. Not me. I have only use this screen name. The post you referred to was in 2007 and I joined here in 2008. You have nothing better to do than point fingers "Thou shall not bear false witness"

I am sure you are a nice person and all but remember "life is too short to spend online".

About the real estate I live here in Krakow. I am Polish citizen as well as US. I saw flat prices go from 2000 pln per square meter in 2004 to 10000 pln. That increase in price did not come from increase in cost. Price is a supply and demand thing not a cost thing. This has no relation to reality of the average wage rate in the city. Its pure speculation.

I know only rich developers. None I know are poor. I talk to my friends who are accountants and they say developers make the most profit of all their clients.

If you have the courage of your convictions buy some Krakow property at 15000pln a square meter and prove it.
Me I will wait as prices continue to fall.

I also live in Poland and I am in the process of moving back to Krakow.


Well a bit less of a jump but okay, the prices have gone up very much.


This you know from your developer friends?
You are now saying that building costs, material, land prices, labour costs have not risen.
Simply not true.


This is probably the only honest point you have to make.


So your jealous of other people's success, okay, your a language teacher and you should have got in to the building business when it was good.


The avergae price is well below 15000 and you should know it but you don't proving your fictisious claims.


Hahahaha, best libe yet.
So you were here when you could have bought something for 2000 and now you are sick because you didn't.

I still think you are a liar and are just spamming this site but this should be a bit of fun as you show yourself so clearly.

The lesson for today is children.....if you are a faker and a waster , don,t come on the Polish forums , because there are people here smart enough to suss you out.....

People here attack other people because it makes them feel good. As stated before I only use this screen name and I only have about 100 posts in a year. That is not a spammer. I did not use those other screen names. "Thou shall not bear false witness"

Ok buy the real estate and tell me what you are going to pay. You can live in some 35 meter flat in some block at the end of Krakow and pay 7000 a meter. But that is not what I want. I can live in CA or NV or FL for a fraction of that price and have a nice house in the sun.

I will wait for the speculation to come back to reality.

If they were making even 1/3 of that, half of the world would storm that market. Think moron. Even If you want to boost your website or whatever... at least try to make some sense.

Greg, and everyone reading this. I am not going by the name claritaslux. Someone signed in as guest using the name of my website. I run a large website and I get 1000s of visits a day and all kind of people on it. Many people link to it all over the web.

The person who is using the screen name claritaslux is not me. Not me. I have only use the name mbiernat. It is the only screen name I have ever used here. I use my real name because I have nothing to hide.

For example,,I could have a screen name called CNN and link to CNN but that does not mean I have anything to do with the website CNN.

The person using that name has a right to his or her opinion. It is an interesting post. But I am not posting under that name or any other name but this one. Unless I was drunk and can not remember. But I do not drink. I am only using this screen name. Only this. My friend will set up a screen name called CNN and link to cnn and you guys will say he owns cnn?

About the profit margin. It seems high but on the other hand, there is very high barrier to entry. Economics 101. I mean what do you guys do for work? To start a development firm it takes ''know how'' and capital. No one here including myself can do it that easy.

Quick check for the OP and it's Claritaslux. Oct 29, 09, 12:05!


But you said you posted the thread originally???

Claritaslux Oct 28, 09, 13:22 starts a new thread 15 reasons why the Polish real estate market will crash soon. And WOW is that your website again???

So this mystery man who took your screen name just happens to hold your views and have the same name as your website in your profile (there is your pitch :)


The reason I called you out as Tadeusz2007 is because of your opening sentence.
You're probably a language teacher and don't know the details of the real estate business and here we have a guy saying you have brains, a dead giveaway to so blatantly agree with yourself but I admit it was more guess work.

Until


Here we have a different thread, a different poster saying the exact same thing as I am, coincidence no less?

Something I do not understand about all this, is why bother?
You could have stuck to your area of expertize, I believe it is teaching?, and just posted as normal and really and truly contributed to this forum AND had your pitch without all the bull.

You still have that option of course.


I will wait for you to come back to reality.

You have been here since 2004, you are angry that you didn't buy?, didn't get in to real estate? and generally compare things to the almost catastrophic real estate crash in C.A.

You can dream on, I think you are not just pitching your website, I do believe you are truly annoyed at the rise in prices, fair enough.

Should I get all snotty about how much money language teachers were earning in 2004? Naw.

I suggest that you buy something out of the city center, if I were you I'd look to houses, stop moaning and generally lying and get on with it.

SeanBM - As stated someone can login with a name CNN and link to CNN but that does not mean they own CNN. Mbiernat is the only name I use. Stop it.

About real estate, tell me honestly - that you do not live with mommy and daddy. I do not think you have ever owned real estate in your life right?

Wow, you are not good under pressure.
Take a wild and wonderful guess at what I do, go on try.

So you have nothing, your friends who are developers and tell you they make 600% profit, their accountants, nothing.
Okay, see ya round.

edit. the link u provided is no longer there.

SeanBM you act childish.

Instead discussing the ARGUMENTS, you just launch personal useless attacks that
prove nothing.

Or you can buy here inside European Union also for a fraction of that inflated price.

Bubble will crash, and all these posters (Avalon, SeanBM) who ignore reality now,
will take their hard lesson of broken illusions