Jan BORUVKA: As the real estate market is becoming increasingly international, CEPI considers each market as significant and important for its members from a variety of standpoints. To name some; new/younger markets offer great learning opportunities but at the same time teaching and expertise sharing opportunities for members who can help Georgia to deal with challenges they have also witnessed in their domestic markets. Often markets such as Georgia which as far as dimension might be modest are characterized by a very active and inventive real estate family which can be an interesting and fertile testing ground to see how some new ideas - for example, on the digitalization of the profession - might work.
ER: Is there anything in the CEPI agenda that you wish to emphasize? Are there any trends or priorities you wish to touch upon – on global, regional, or European level?
JB: In the last year, CEPI’s continuous dialogue with the European Institutions has focused on regulation, digitalization, education, energy & sustainability in buildings, and anti-money laundering. Topics on which we are happy to see many panel discussions happening during this REW.
With regards to regulation, CEPI argues for a better understanding of the sector and the role of real estate professionals with recognition of the need for clear and consistent national regulation. The dialogue with the European Commission on regulation has been kept alive and fruitful throughout the year. Moreover, CEPI annually issues a Regulatory Report for our members and stakeholders, and this year’s edition, which will be available towards the end of the year, will also feature interesting new editorial content! Furthermore, the Report has proven to be an excellent tool to assist members in the process of introducing and/or revising regulation and their discussions with local government and decision makers. The CEPI Regulation Support Group offers in fact the best platform for knowledge and best practice exchange within countries, members of CEPI. Since the relevance of this topic also for your association, we hope to see Georgia joining this group soon!
CEPI has also taken major steps in the field of energy and sustainability of buildings and anti-money laundering. On the one side, CEPI demonstrates a strong interest in the energy efficiency of buildings, the revision of the European Energy Performance of Buildings Directive, now coming to its final stage of the European decision-making process, and any other initiatives in the field of energy and sustainability which might have an impact on future developments of our professions, and where solutions need to be found that will not be damaging to the real estate market, owners or occupants. On the other side, the EU’s initiatives to fight money laundering and terrorism financing concern directly the real estate sector and its professionals. For this reason, last year, our association has co-led with the Governments of the US and Canada, a project which resulted in the update of the international “Risk-based Approach Guidance for Real Estate Agents” issued by the Financial Action Task Force in Paris, the global anti-money laundering watchdog, while it also keeps close connections with the European Institutions currently debating on the new AML Legislative package as adopted in 2021.
ER: You work in real estate since 1991, so you are a professional with over 30 years’ career. What’s your view on the real estate market in Georgia and the challenges this industry might face?
JB: The real estate market in Georgia has experienced steady growth in recent years, with rising property values and increased investment opportunities. Georgia's favorable tax policies, low cost of living, and vibrant economy have attracted many investors and homebuyers.
One of the main challenges facing the real estate industry in Georgia is the ongoing shortage of affordable housing. While home prices have been rising steadily, wages have not kept pace, making it difficult for many Georgians to afford to purchase a home. Additionally, there is a shortage of rental properties available, which has led to rising rents and increased competition for available units.
Overall, while there are challenges facing the real estate industry in Georgia, the market has remained relatively stable and is expected to continue to grow in the coming years.
ER: You are coming from the Czech Republic, where you previously chaired the national Association of Real Estate Agencies. Perhaps you may share some lessons learned from your personal experience, which might be relevant for our region?
JB: For the successful development of the real estate market in the region, it is necessary to ensure quality real estate service. In developing markets, in my opinion, this is only possible if real estate agents are subject to stricter conditions for doing business. Licensing of this activity is absolutely necessary. For this, it is necessary to amend the relevant legislation, which is not easy, and it took us in the Czech Republic thirty long years of convincing the responsible institutions, deputies, ministers, etc. All this can only be achieved by a well-functioning real estate association, which, of course, our Georgian colleagues already have. CEPI, the European association of real estate professionals, of which GNARE has become a member, is a great support for all members. This brings experience from 24 European countries, which already means something! It can significantly speed up the expected long processes.
ER: Going back to CEPI, how would you summarize its role for a particular country, such as Czech Republic, or Georgia?
JB: The CEPI family offers a real European network to members who can learn from each other, assist each other with legislative and policy challenges that our professions face and provides a great source of information and expertise. CEPI also represents all of us towards decision-makers who often lack the detailed knowledge on our profession and are grateful for the existence of this leading real estate association to help them find legal and policy solutions which are realistic and a reflection of the real situation our members face. Belonging to CEPI, a reputed and respected association, also reflects well on its national members organisations who can be trusted to be in line with the key requirements our professions need to live by.
ER: Have you been to Tbilisi before, and what’s your impression from the Georgia’s REW events? We hope you have enjoyed your time here both professionally and personally. If you would like to add anything for our readers, the floor is yours…
JB: I had nothing but positive experiences in Georgia and Tbilisi. It was my first time in this beautiful place. Georgia is a wonderful country with a rich culture and history and Tbilisi is a vibrant and welcoming city with a lot to offer.
The people of Georgia are known for their hospitality, and it is no surprise that I found them to be nice and friendly on the spot. Georgian cuisine is also famous for its delicious flavors, which I can confirm now personally because I really liked their food and wine. But, the culture and history, which surrounded me everywhere, appealed the most.
I took home a great experience and am already planning to return. There is so much more to see and do in Georgia and I am sure I will have another wonderful stay. I highly recommend everyone to visit this exciting place!
I hope that readers of this interview will become interested in finding out what CEPI is doing for the real estate professional community, professionally, but also socially. Let's also not forget the B2B meetings we organize or participate in, such as the one in Georgia. I would encourage readers to check out the organization's website, webinars and podcasts... They provide valuable insights and information on things like renewable energy and sustainability, but also much more. All of this can certainly benefit individuals, organizations and communities around the world.
ER: Thank you very much for the interview, and see you again soon!
