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Why Bulgaria is a high-potential market for proptech

In recent years, Bulgaria has emerged as a promising market for PropTech startups, particularly those focused on office development. Several key factors make Bulgaria an attractive destination for PropTech innovation, ranging from its economic environment and technological infrastructure to its strategic location and real estate market. 

We’ve recently joined Proptech Bulgaria, the association supporting the growth of proptech startups not only in Bulgaria, but also the region. This is a strategic move for us, as we are looking with interest at the innovation and partnership opportunities offered by the neighbouring country.

1. Growing Economy and Business Environment

Bulgaria has a growing economy, with the World Economic Situation and Prospects 2024 showing small differences between changes in minimum wage versus changes in consumer price, and placing it in the “Developed economies” list. In 2023, GDP growth ranked seventh in the EU with 1.8% year-over-year in the third quarter.

Also, the World Bank emphasises the country’s evolution: “Bulgaria has undergone a significant transformation over the past three decades. It has moved from a highly centralized, planned economy to an open, market-based, upper-middle-income economy securely anchored in the European Union (EU).“

Economics are crucial for PropTech startups like us seeking a reliable market for growth and expansion.

2. Real Estate Market on the Rise

Like any other countries, Bulgaria also saw adjustments in terms of office space leasing and usage. Reports from last year show a stable vacancy rate between 15.5-16.5%. In the second quarter of last year, there were 2.510 million sqm of class A and B offices in Sofia alone, with an increased interest in A class spaces. 

A MBL survey conducted during the first quarter of 2023 among 100 office occupiers, showed that: “65% of the respondents are planning to increase their headcount shortly, while only 23% forecast an increase in their office space.”

Of course adjustments are made in the design of the space and the work styles, but it’s a good sign for PropTech solutions that enhance the efficiency, design, and management of office properties, like we do with our resource booking app.

3. Tech-Savvy Workforce and Innovation Hub

Bulgaria boasts a highly skilled and tech-savvy workforce, with a strong emphasis on STEM education. The country is becoming a hub for tech innovation, with numerous tech startups and IT companies establishing their presence, and with interesting programs helping startups grow even to the USA. 

This shows an appetite for innovation and technology and a desire both to work on these types of solutions, but also to integrate it in people’s daily work. If Bulgarians are interested and open to technology, they will be open to testing new apps that optimise their workflows or daily activities. 

6. Supportive Startup Ecosystem

Bulgaria’s startup ecosystem is thriving, with numerous accelerators, incubators, and venture capital firms supporting innovative ventures. Initiatives such as the Bulgarian Proptech Association, that provides resources, support and networking opportunities essential for startup growth. 

This supportive ecosystem can help PropTech startups navigate challenges and accelerate their growth and we are deeply aware of the importance of partnerships in entering a new market. 

7. Increasing Adoption of Smart Technologies

Bulgaria ranks 6th in Europe in Proptech solutions, according to Proptech Bulgaria’s European Proptech Report from 2023. With over 240 solutions available, the ecosystem is both competitive, but also a strong sign of growing interest towards this type of technology in real estate. We’re talking about an European leader when it comes to smart cities/buildings/homes, which makes it an excellent environment for a developing proptech startup. 


Bulgaria presents a compelling opportunity for us for many reasons and we are looking forward to partnering up with companies from this country. As the country continues to modernise and develop, the demand for advanced PropTech solutions is set to rise, making it an opportune time for startups to enter and establish themselves in this promising market.

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