Ulaanbaatar

At the beginning of the 21st century, unprecedented economic development turned Ulaanbaatar from a fairly sleepy trading town into a thriving modern metropolis. Due to the very low population density in the rest of the country, Ulaanbaatar is the centre of the country’s economic and industrial growth. To illustrate, 50% of Mongolia’s gross domestic product (GDP) of $1.5 billion and 30% of the country’s industrial output is attributed to economic activities in Ulaanbaatar.

The strong growth in Mongolia has not gone unnoticed by sophisticated property investors, who have recently started investing in Ulaanbaatar property developments. During the past few years, apartment prices per square meter have grown by approximately 18-27%. The growth looks set to continue over the next decade as the resource boom, led by gold discoveries continues to develop. Low taxes, high asset appreciation, and high rental yields create opportunities for significantly higher return on investment than those available in more developed markets.