Armenia: From Visiting to Living

Armenia is increasingly becoming a destination not only for travel but also for living and investment. Alongside this shift, the residential real estate market has been evolving, with New City Projects emerging as one of its leading players since 2019. The company develops projects in Yerevan and Tsaghkadzor, a ski resort renowned since the Soviet era. Vahe Davtyan, CEO of New City Projects, speaks about the changing market and the company's approach to creating living environments.

How is the perception of real estate in Armenia changing today?

Over the past few years, tourist arrivals to the country have increased significantly. Around 40% of visitors come from Russia. While Armenia was once viewed primarily as a travel destination, it is now increasingly seen as a place to live. For many, it offers an opportunity to spend part of the year in a warm climate, own a second home, reconnect with their roots, or acquire a reliable investment asset.

In particular, interest in New City Projects’ developments comes from both local and international buyers. Our clientele spans more than ten countries. In addition to Armenian buyers, Russian buyers make up a notable share of our clientele.

Can foreigners purchase property in Armenia?

Yes, absolutely. The process is straightforward and legally clear. Foreign nationals are free to purchase real estate in Armenia, including remotely via a power of attorney.

How would you assess the current market situation?

Armenia's real estate market has reached a stage where it is already established but has not yet matured. This creates a clear entry point for buyers and offers potential for future capital appreciation, driven in part by economic growth in the country. As a result, demand comes from both end users and investors.

More than 70% of our clients recommend us to their friends and family, while over 80% of apartments and townhouses sold in recent years were purchased before the projects were completed. For us, this is not merely a marketing metric but a testament to the trust our clients place in us.

Tell us about the projects you are currently developing.

We are currently developing several premium projects of different types: two in Yerevan and one in Tsaghkadzor.

Lotus is a residential complex under construction in Nork-Marash, one of Yerevan's most prestigious and tranquil districts. Situated on elevated ground, the area enjoys clean air and panoramic views of the city and Mount Ararat. The complex offers spacious apartments, parking, a landscaped courtyard spanning 3,860 square metres, a fitness centre, a café, a children's playground, and 24/7 security. It is designed for those seeking a peaceful urban lifestyle less than ten minutes from the city centre.

Novem is a private townhouse community where exclusivity and personal space take centre stage. Each home features its own small landscaped courtyard, terrace, basement level, and a usable rooftop. The façades are finished in black tuff, travertine, and porcelain stoneware. The project also offers round-the-clock security, gated landscaped grounds, a swimming pool, and underground parking.

What can you tell us about the project in Tsaghkadzor?

Pallada is more than just a residential development; it is a mixed-use destination with extensive infrastructure located in the heart of this resort town. Just an hour's drive from Yerevan, residents and visitors can enjoy hiking, skiing, snowboarding, and cable car rides. The steady flow of tourists and year-round demand for resort properties further strengthen the project's investment appeal. Following completion, the complex will be operated by the international hotel chain Best Western Hotels. Among Pallada's amenities and services are a swimming pool, spa, fitness centre, 24/7 concierge service and security, bars and restaurants, a supermarket, padel courts, children's play areas, and even a helipad.

What principles guide you when creating residential developments?

Today, the company's portfolio comprises seven projects with a total area exceeding 255,000 square metres. At the heart of every development lies not an abstract concept, but the real needs and lifestyles of the people who will live there: how they will experience the place on a daily basis, how comfortable it will be, and how well it will retain its value over the long term. This philosophy informs our attention to layouts, materials, infrastructure, and locations. We strive to create complete living environments where everything residents need is within one kilometre. It is not simply about convenience in the moment; it is about enhancing quality of life for years to come.

Interview with Vahe Davtyan, CEO of New City Projects, in AEROFLOT magazine (June 2026)