The round table UREC developers have summed up the development of residential real estate market

09.12.2010 16:00
Articles about real estate | The round table UREC developers have summed up the development of residential real estate market The National Reserve "Sophia of Kyiv" 2 December, the final official event of the Ukrainian Real Estate Club in 2010 on the theme: "The market for residential real estate, stock and forecasts."

Roundtable was attended by representatives of executive power, domestic and international developers, investors, construction companies, the leading consulting and law firms.

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During a round table moderated events, Natalia Pronin, head of the Department of Housing Knight Frank, said that during 2011 the market of Kiev came out 11 new residential properties. According to her, 5 of them belong to economy class, 6 - to business class.

Better dynamics, according to Pronin, shows a business class. "There is less frozen projects, more and more new buildings completed during the active construction", - she said, adding that in business class are actively being built about 2 / 3 objects, while in economy class - only half.

For 2010 the cost of objects in business class, according to experts, up 15%, while the year before she fell to 44%. Dynamics of prices for economy class is now stable - the price for the last year remained virtually unchanged (falling during the crisis amounted to 40%). In the luxury segment of the fall during the crisis was quite substantial - about 23%.

In his report, Michael Golitsa, President of HC Kyivmiskbud, made a comprehensive analysis of the situation in the residential real estate market, demonstrating the key indicators of construction work over the past three years, and also gave information on the introduction of total living space for 9 months of 2010

Special attention is paid Golitsa M. coverage of this issue regulations as state action to improve the situation on the market. In particular was cited as an example the program "Affordable Housing" 30/70, which is now actively being implemented "Kievgorstroy in close collaboration with government agencies. As for the plans of the country's largest construction holding company for the future, "Kievgorstroy" in 2011, is ready to reduce the cost of apartments for the waiting list for the program "Affordable Housing" to 7970 USD / sq.m. Answering journalists' questions, M. Golitsa explained that the lower price will be due to the fact that there is public support, and the house can be completed in a short period of time. "Our market price - UAH 8750. But construction of the facility takes a long time, if there is government support and funding for 30% of the homes is solved for several months, we agree to go for it" - said the expert.

Summing up his report, along with other experts, MA Golitsa said: "The crisis is not over yet, in 2010 the construction industry has significantly slowed the fall, but fall in the industry is not stopped."

According to Valery Kirilko, director of development company HERZ, now on a single potential buyer has 20 to 30 apartments for sale. At the same time, he said, property values in the secondary market is often times lower than in the primary. The cheapest apartments, according to V. Kirilko, located in Kharkov and Zaporozhye. In particular, Zaporozhye prices returned to the level in 2002 and is now flat on the primary and secondary markets of the city sold for $ 650-1000 per square meter In Kharkov, as in most other regions, now is not more than 50-60 trades per month.

In Dnipropetrovsk, apartment prices in the primary market is U.S. $ 880-1800 per sq ft in the secondary - $ 700-1400 per square meter Flats in the secondary market of Odessa is available for $ 980-1400 per sq ft in the primary - for $ 980-1600 per square meter In Simferopol, Crimea and other cities located not near the sea, apartment prices up to $ 1000 per sq ft in the secondary market and up to $ 1100 per sq ft in the primary.

In this case, as reported by B. Kirilko, buyers wishing to buy property in the primary market, do not even consider the objects with the degree of preparedness is less than 75%, and by taking a preliminary decision, 1,5-2 months tracking the progress of construction on the selected object.
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