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Real Estate Boom on Pelješac: Apartment Prices Reach €4,000 per Square Meter

An investor from Tuzla is building apartment blocks and villas in Sreser and Drače, while the mayor of Janjina Municipality, Vlatko Mratović, warns they don't want to turn into Vir or Makarska and announces restrictions in the Spatial Plan.

Foto: Wikipedia (Pelješac)
Summary
  • Pelješac is experiencing a real estate boom with intensive construction of apartment blocks and villas, especially in Sreser and Drače.
  • Investor Inproz Group d.o.o. from Tuzla has completed an 8-apartment building in Sreser and announced new projects in Drače and Dingač.
  • Janjina Municipality Mayor Vlatko Mratović announces stricter conditions in the Spatial Plan and a possible ban on residential building construction.
  • Apartment prices in Drače and Sreser are reaching €4,000 per square meter, while building land costs €250-300 per square meter.

On the Pelješac peninsula, particularly in the settlements of Sreser and Drače, there is a veritable explosion of new residential construction. Recently, a building with eight apartments was completed in Sreser, most of which have already been sold, by the Bosnian-Herzegovinian company Inproz Group d.o.o. from Tuzla, as reported by Stijena.info. According to data from Slobodna Dalmacija, the building's footprint is 206.60 square meters, it has a P+2 height (ground floor plus two stories), and the open parking lot provides eight parking spaces.

Investor from Tuzla Expands Operations on the Adriatic Coast

This Tuzla-based company's investment on Pelješac is not its only one. The company has already announced two new projects in extremely attractive locations, in Drače and Dingač. Both planned buildings will be in the first row by the sea, marking a significant step forward in the company's portfolio and continuing its expansion in residential and holiday apartment properties on the Adriatic coast. In addition to Pelješac, Inproz Group has also built the luxury apartment complex Terra Mare in Opatija, Croatia.

In Drače, a complex of 12 luxury villas was recently completed, located about fifty meters from the sea, with most purchased by citizens of Bosnia and Herzegovina. For them, Pelješac has been a primary summer destination since the Yugoslav era, and many still own houses and apartments on the peninsula.

Mayor Mratović: 'We Don't Want to Turn into Vir or Makarska'

Vlatko Mratović, the long-serving mayor of Janjina Municipality, which includes Drače and Sreser, spoke to Stijena.info about the intensity of construction. "In the last year or two, the pace of construction has been incredible. Buildings with 8 and 12 apartments are going up. A lot has been done, and many more are in the process of obtaining permits, including buildings with 20 and 25 apartments," Mratović revealed.

The mayor notes that most apartments are sold before construction even begins. "Buyers are both locals and foreigners. Many are from Herzegovina. Who knows why they're buying. Whether they'll live here tomorrow or rent out, who can say," Mratović said.

When asked if the boom has positively impacted the municipal budget, the mayor was clear: "As much as contributions are paid in, that's how much the Municipality spends on infrastructure, asphalt, public lighting, and maintenance. So it roughly evens out. The more expansion, the higher the costs for the Municipality."

Spatial Plan to Undergo Stricter Amendments

Mratović does not hide his concern about the direction construction is taking on Pelješac. "To be honest, we don't like this approach, and we don't want to turn into Vir or Makarska tomorrow, which could happen with this intensity. We are in the process of targeted amendments to the textual provisions of the Spatial Plan, where we will tighten the conditions for obtaining permits to the maximum. Those currently being processed are under the old Spatial Plan. The last amendments were in 2021. Under the new one, restrictions will be introduced to ensure that construction is controlled and adapted to our conditions and environment. I'm sure one of the measures will be a complete ban on the construction of residential buildings," the Pelješac mayor emphasized.

Regarding utility infrastructure, Mratović notes that documentation and a location permit for the Aglomeration project are being prepared, which was contracted three years ago.

Apartment Prices at €4,000 per Square Meter, Building Land at €250-300

Mayor Mratović also reveals concrete market prices. "We were aware that the Pelješac Bridge would bring increased interest in construction, but no one expected this level of interest and construction boom! In Drače and Sreser, apartment prices are now reaching €4,000 per square meter. No one expected that. Building land goes for €250 to €300 per square meter, depending on the location," concluded the Janjina Municipality mayor.

FAQ
How much does an apartment per square meter cost on Pelješac now? +
In Drače and Sreser, apartments are selling for up to €4,000 per square meter, according to Janjina Municipality Mayor Vlatko Mratović.
Who is the main investor in construction on Pelješac? +
The Bosnian-Herzegovinian company Inproz Group d.o.o. from Tuzla, which completed an eight-apartment building in Sreser and announced new projects in Drače and Dingač.
What restrictions is the Janjina Municipality Mayor announcing? +
Mayor Vlatko Mratović announces targeted amendments to the Spatial Plan with maximally tightened conditions for obtaining permits, including a possible complete ban on residential building construction.
How much does building land cost in the Janjina area? +
Building land ranges from €250 to €300 per square meter, depending on the location.

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