YEREVAN. - Real estate market in Armenia is in poor condition, American businessman of Armenian origin Vahakn Hovnanian said to a press conference. 

Hovnanian said that he is purchasing land from the state on cadastral value but is forced to make a significant investment, because the place there used to be dump. 

Note that in Vahakni residential community, named in honor of the businessman, real estate prices have not changed - they are consistently estimated at AMD 82.5 million (about $ 220 thousand). Houses are built exclusively on private orders. Currently, the residential community has 200 houses, 500 more will be built soon.