real estate market monitoring

March
2014
REAL ESTATE MARKET
MONITORING
REAL ESTATE MARKET MONITORING
RESIDENTIAL REAL ESTATE
March 2014
Moscow. Elite new buildings. Supply volume and structure
Dynamics of supply volume in the primary market of elite flats and apartments
flats/
apartments
Flats
Apartments
Flats+Apartments
2 500
2 000
1 500
1 000
500
Mar-14
Jan-14
Feb-14
Dec-13
Oct-13
Nov-13
Sep-13
Aug-13
Jul-13
Jun-13
May-13
Apr-13
Mar-13
Jan-13
Feb-13
Dec-12
Oct-12
Nov-12
Sep-12
Jul-12
Aug-12
Jun-12
Apr-12
May-12
Mar-12
Jan-12
Feb-12
Dec-11
0
Source: Blackwood Company data
In March a new premium class project, Rezidentsiya Mone apartment complex (Panavto was the developer),
entered the elite residential market of Moscow in 13, 2nd Zvenigorodskaya street (Presnensky district). Supply
prices: from $6, 050 per sq.m.
Based on the results of March 2014, the supply volume in the elite primary segment amounted to 1, 966 flats
and apartments (including premium class) with the summary area of 320.4 thous. sq.m. The share of
apartments in the supply volume constituted 41%.
Consulting, Research and Analytics Department
Consulting, Research and Analytics Department
[email protected]
tel +7(495) 730 2000
[email protected]
tel +7(495) 730 2000
REAL ESTATE MARKET MONITORING
RESIDENTIAL REAL ESTATE
March 2014
Moscow. Elite new buildings. Prices
Dynamics of prices in the market of elite flats and apartments
$ per sq. m
26 000
24 000
22 000
20 000
18 000
16 000
14 000
12 000
10 000
23 590
17 760
primary market
secondary market
Mar.14
Jan.14
Feb.14
Dec.13
Oct.13
Nov.13
Sep.13
Jul.13
Aug.13
Jun.13
Apr.13
May.13
Mar.13
Jan.13
Feb.13
Dec.12
Oct.12
Nov.12
Sep.12
Jul.12
Aug.12
Jun.12
Apr.12
May.12
Mar.12
Jan.12
Feb.12
Dec.11
15 760
primary market, apartments
Source: Blackwood Company data
According to the results of March 2014 the average prices in the primary market of elite flats and apartments
constituted $17, 760 (+0.3% versus February 2014) and $15, 760 (-6.7%) per sq.m respectively.
Based on the results of March 2014 the average supply budget in the primary elite market amounted to: $3
mln - in new residential elite buildings, $2.45 mln - in apartment complexes.
The average price in the secondary elite market reached $23,590 per sq.m (-0.3% versus February 2014),
the average supply budget constituted $4.81 mln based on the results of February.
Consulting, Research and Analytics Department
[email protected]
Consulting, Research and Analytics Department
tel +7(495) 730 2000
[email protected]
3
tel +7(495) 730 2000
REAL ESTATE MARKET MONITORING
OFFICE REAL ESTATE
March 2014
Moscow. CAD. Supply volume and structure
Source: Blackwood Company data
In March 2014 the office property market of Moscow was characterized by moderate activity of tenants and
buyers of high-quality office premises. The aggregate volume of office rent transactions exceeded 10 thous. sq.m
in March (see the Spreadsheet below).
Pro Consulting Global Limited company, working for Swiss fund of direct investments S.D. Strategy
announced the construction of B class business center with the otal area of 19 thous. sq.m and a parking for 200
car lots in the North Administrative District of Moscow (Butirskaya, bld.1A). The commissioning of the property
was scheduled for 2017. The approximate volume of investents is estimated at the level of $45 mln.
O1 Properties intended to invest more than $50 mln in the first phase of the construction of a cultural and
business center in the territory of a former confectionery plant Bolshevik. It was planned to completer the work n
the first stage of the project by the end of 2014. The areas of 200-15,000 sq.m would be available for tenants.
Consulting, Research
and Analytics
Department
[email protected]
tel +7(495) 730
CONSULTING,
RESEARCH
AND ANALYTICS
DEARTMENT / www.blackwood.ru
/ E-mail: [email protected]
tel 2000
+7(495) 730 6833
4
REAL ESTATE MARKET MONITORING
OFFICE REAL ESTATE
March 2014
*
Moscow. Rental rates . Commissioned properties. Announced projects
Source: Blackwood Company data
A number of new office properties were announced within the framework of International investment exhibition
MIPIM-2014 in Cannes. Hals-Development company announced the construction of Istra Park international
multifunctional complex in Leningrdasky prosp., the office component of which would constitute more than RUB
20.5 bln. The property will be commissioned in 2016.
Rose Group development company announced its plans to construct Kvazar business center measuring more
than 100 thous. sq.m in Pyatnitskoe highway. The cluster will include mini offices and co-workings. The area of
the 1st stage will constitute 15 thous.sq.m of investments, approximately RUB 1 bln. The beginning of the
business cluster construction is scheduled for 2016, the commissioning is anticipated in 2018.
Some lease and sale transactions, March 2014
Tenant
Name of property
Leased/ sold area
Address
Colliers International
Elite Group
Naberezhnaya Tower
BC Grand Setun Plaza
1,000 sq.m
250 sq.m
10 Presnenskaya emb.
2, Gorbunova str., bld.204
* - hereinafter rental rates are indicated exclusive of VAT and OPEX
Consulting, Research
and Analytics
Department
[email protected]
tel +7(495) 730
CONSULTING,
RESEARCH
AND ANALYTICS
DEARTMENT / www.blackwood.ru
/ E-mail: [email protected]
tel 2000
+7(495) 730 6833
5
REAL ESTATE MARKET MONITORING
RETAIL REAL ESTATE
March 2014
Moscow and Russian cities. New projects of professional shopping centers
Source: Blackwood Company data and open sources.
In March IKEA announced is plans on the construction of shopping and entertainment mall MEGA in
Volgograd, the company was looking for a land plot at that moment. It is necessary to note that the city is
characterized by average provisioning by retail areas (shopping centers of regional scale, such as Park House,
CosmoMALL, Akvarel and some smaller ones, operate in the city). The success of the new project will depend on
the location of a site and the attracted tenants.
Consulting, Research
and Analytics
Department
[email protected]
tel +7(495) 730tel2000
CONSULTING,
RESEARCH
AND ANALYTICS
DEARTMENT / www.blackwood.ru
/ E-mail: [email protected]
+7(495) 730 6833
6
REAL ESTATE MARKET MONITORING
RETAIL REAL ESTATE
March 2014
Moscow. The range of rental rates for shopping premises
Source: Blackwood Company data and open sources.
In March the street retail segment did not experience any considerable dynamics of rental rates, while the
level of vacant premises grew up to 1-5% depending on a retail corridor. It was conditioned both by the decline of
ruble rate and the overall political and economical instability: some tenants recorded the decline of retail turnover
and had to reconsider the rental policy. However, these changes were not of mass character in the market.
In March it was reported about the planned delivery of affordable price brand of clothes Lefties (a part of
Inditex Group) to the Moscow market. The first stores of the chain were to be opened in the summer of the
current year. The return of American pizza restaurants Pizza Hut to the Russian market was also announced. The
chain plans to develop both in the format of ordinary restaurants and in the format of delivery service.
Consulting, Research
and Analytics
Department
[email protected]
tel +7(495) 730tel2000
CONSULTING,
RESEARCH
AND ANALYTICS
DEARTMENT / www.blackwood.ru
/ E-mail: [email protected]
+7(495) 730 6833
7
REAL ESTATE MARKET MONITORING
HOTEL REAL ESTATE
March 2014
Moscow. Structure of hotel room stock
Source: Blackwood Company data and open sources.
The main news of the hotel market in the Moscow Region in March was the opening of the Hilton Garden Inn
Moscow New Riga hotel. The hotel with the occupancy rate of 164 rooms is located in Kostrovo village of Istra
Region. The hotel is positioned as a hotel center for family rest, the distance of the hotel from Moscow is about
60 km.
It was also announced in March about three new projects under international operators' management in
Moscow. Thus, Hilton group will manage two hotels with the summary occupancy of 430 rooms near Spartak
stadium, which is under construction. And the Holiday Inn Express hotel for 192 rooms will be built near
Sheremetievo airport.
Consulting, Research
and Analytics
Department
[email protected]
tel +7(495) 730tel2000
CONSULTING,
RESEARCH
AND ANALYTICS
DEARTMENT / www.blackwood.ru
/ E-mail: [email protected]
+7(495) 730 6833
8
REAL ESTATE MARKET MONITORING
HOTEL REAL ESTATE
March 2014
Moscow and Russian cities. Entry of hotels under international operators' management to the market
Source: Blackwood Company data and open sources.
In March the portfolio of international hotel brands presented in Russia increased by the Indigo hotel in StPetersburg. The hotel for 119 rooms is positioned in the premium segment of the market in the niche of boutique
hotels. The hotel is managed by VEGA company under franchise agreement.
As far as new projects under international operators' management in other cities were concerned, the hotel
under Hilton Group management in the structure of Aero Park international complex was announced in Bryansk
(160 rooms, the opening was scheduled for 2017). Currently, there are no international brand hotels in the city.
Consulting, Research
and Analytics
Department
[email protected]
tel +7(495) 730tel2000
CONSULTING,
RESEARCH
AND ANALYTICS
DEARTMENT / www.blackwood.ru
/ E-mail: [email protected]
+7(495) 730 6833
9
REAL ESTATE MARKET MONITORING
COUNTRYSIDE REAL ESTATE
March 2014
Moscow Region. Countryside projects delivered to the market
Source: Blackwood Company data
The countryside property market was rather buoyant in the Moscow Region in March 2014: sales were
announced in eight new projects and additional introduction of lots was reported in another two projects. All
new settlements refer to the economy class and the majority of them was located far from MKAD. The main sale
items were land plots without building contracts.
Countryside projects delivered to the market in March 2014.
Name of property
Developer
Segment
Prices, rub.*
Zapovedny park-2
GC Losiny Ostrov
Land plot without building contract, 213 units
300-470 thous./sotka
Land plot without building contract, 103 units
40-120 thous./sotka
Lukomorie
Development group Luchshee
Mesto (Best Place)
Sergeevo
Stolny
INCOM-Nedvizhimiost
announced
Ushakovskie dachi
(2-nd stage)
Ozerny Kray Lischevo new
settlements
Vektor Invstment
Troitsky Park
Nikolskoe-town
Razdolie
(2-nd stage)
INCOM-Nedvizhimiost
announced
OOO MegaStroy
Ekodolie Sholokhovo
MC Ekodolie
Land plot without building contract, 172 units
25-40 thous./sotka
Land plot without building contract, 204 units,
cottage, 10 units
306-504 thous./sotka
cottages from 11.2 mln
Land plot without building contract, 22 units
130-145 thous./sotka
Land plot without building contract, 22 units
210-250 thous./sotka
Kvadrohauzi, 96 sections
Duplexes, 196 sections
from 4.9 mln per section
Townhouses, 57 sections
from 6.3 to 9.2 mln per section
Land plot without building contract, 153 units
30-70 thous./sotka
Townhouses and cottages
from 7.6 to 12.5 mln per cottage, from 3.4 to
6.9 per townhouse
* hereinafter the price for sotka of a land plot without building contract is presented including the price of utilities (exclusive of Lukomorie and Sergeevo
settlements), where utilities are paid additionally and the price constitutes RUB 350, 000.
Consulting, Research and Analytics Department
[email protected]
10
tel +7(495) 730 2000
REAL ESTATE MARKET MONITORING
COUNTRYSIDE REAL ESTATE
March 2014
Moscow Region. Organized countryside settlements. Prices
Source: Blackwood Company data
As far as the price dynamics was concerned in the elite countryside property market, the average price of a
sq.m in the primary market equaled to $4, 428 (cottages) and $3, 251 (blocked dwellings), which was 0.1% and
6% respectively lower than the prices in February 2014. The average price of a lot also declined and constituted
2.3$ and $1.2 mln (-1% and -8% respectively as opposed to the previous month). The average price of land
decreased by 4% and constituted $42, 568 per sotka, $1.47 mln per land plot (-9% versus February 2014).
Consulting, Research and Analytics Department
[email protected]
11
tel +7(495) 730 2000
Blackwood Real Estate
Blackwood Real Estate formed in 1991 is one of the leading companies in the Moscow Residential and
Commercial real estate markets.
Provides the wide range of transaction advisory services in both selling and renting of residential
and commercial premises.
Recognized for high quality analytical and consulting research in all segments of Russian Real
Estate market.
Offers the wide range of management services in the development and realization of the investment projects in real estate market.
Has established itself as a reliable partner both of domestic and international leading companies
and affiliations.
The first Russian company to become a member of the Association of Leading Real Estate Companies in the World. Due to this membership, the company is continuing to gain access to the
world real estate directory with over 2 million in assets.
Research and Consulting Department
The Research and Consulting Department of Blackwood Real Estate is a team of professionals, consisted of experts in real estate segments, economy, investment and financial fields.
Provides the full complex package of consulting and analytical services: residential and commercial real estate strategic consulting, concept development, financial analysis, architectural concept
developing, monitoring of the major real estate market segments, periodical reviews, special research tailored to the client’s Specific Requirements.
Full and well-structured databases of the basic real estate segments, economic and financial
fields represent a reliable foundation for carrying out research and quality consulting and analytical
services.
We work with such companies as: Vnesheconombank , Vneshtorgbank, Sberbank of Russia,
Gazprombank, Bank of Moscow, Alfa Bank, Globex Bank, Trigranit Development, Basic Element,
OPIN, United Industrial Corporation (OPK), ADM Group, TPS, Belaya Dacha, Promsvyaz'nedvizhimost', Guta Group, Sistema Hals, Mosinzhstroi, SOGAZ, M-INDUSTRY, Rusresorts, Veles
Capital, Legion Development, RDI, Coalco, Ministry of УEconomic Development of Russian Federation, Air France, Coca-Cola, Alcatel, Sun Interbrew, DHL Worldwide, ABN Amro, LG Electronics, Commerzbank, Brunswick UBS Warburg, Novartis, Ernst & Young, IKEA, Volvo, Samsung,
Peugeot, Renault, Canon, British Airways, Dresdner Bank, Phillip Morris, Nestle, Sumitomo и др.
CONTACT INFORMATION
Blackwood Real Estate
123317, Moscow,
Testovskaya st., 10
tel.:
fax:
+7 495 730-2000,
+7 495 697-6060
e-mail: [email protected]
www.blackwood.ru
Research and Consulting Department
Elena Rzhavskaya
Head of Research and Consulting
[email protected]
Elena Smirnova
Coordinator of projects
[email protected]
Yuliya Vazhova
Consultant
[email protected]
Maksim Golubkov
Financial Analyst
[email protected]
Nina Demchenko
Senior Consultant
[email protected]
Vladlena Mashkovskaya
Consultant
[email protected]
Petr Mordanov
Appraisal
[email protected]
Anton Severyanov
Senior Consultant
[email protected]
Natalia Sitnikova
Consultant
[email protected]
Aleksander Shibaev
Projects manager
[email protected]
Viktoria Prokofeva
Senior Consultant
[email protected]
Ekaterina Nikolaeva
Senior Consultant
[email protected]
General Director
Konstantin Kovalev
[email protected]