Real estate prices soar in Sochi

Real estate is selling like hot cakes in Sochi, where prices have been growing annually by 20%-30% in the last few years. Unlike local residents, who buy housing seldom and cheaply, rich Russians from Moscow, St. Petersburg and the country's oil-bearing provinces view real estate on the Black Sea coast as good investment. Before the IOC chose the venue among three candidates - Sochi (Russia), Salzburg (Austria) and PyeongChang (South Korea) - one hectare (2.5 acres) of land in Sochi cost approximately $10 million, and flats were sold at $3,000 per square meter in block houses and $7,000-$8,000 in elite housing.