Real Estate


Q3 2007

Editors' View

  • January 01, 1970
July 5 2007. Maybe not everyone will be able to remember where he was and what he was doing on the day when it was announced that Sochi had been selected to host the 2014 Winter Olympics, but the repercussions are going to be felt by an awful lot of people for years to come.

Historic Stary Arbat Chosen as Site for Second Starbucks

  • January 01, 1970
Starbucks will open its second store in Russia on Moscow's historic Stary Arbat before the end of the year, the company's president for Europe, the Middle East and Africa, Cliff Burrows, said in an interview in early September.

The Rocky Road to a $1,000-Per-Night Ritz

  • January 01, 1970
After numerous missed deadlines, the Ritz-Carlton Hotel on Tverskaya opened its doors July 1.

Question Mark Over Hotel Sovietsky Deal

  • January 01, 1970
A $63 million deal to buy the Hotel Sovietsky was put in doubt after it emerged that the company running the hotel has a court order preventing the Moscow City Government from selling the property.

Deripaska Eyes Moskva-City Control

  • January 01, 1970
Oleg Deripaska is looking to gain control over the company operating Moskva-City, a spokesman for Deripaska's Basic Element holding group said in early August.

Russia Attracting Investors

  • January 01, 1970
Russia was the leader among East European countries in attracting foreign direct investment into real estate in the first half of 2007, according to research by Knight Frank.

Luzhkov Gets 5th Term

  • January 01, 1970
Yury Luzhkov was sworn in as Moscow mayor for another four years. Following a question-and-answer session, City Duma deputies had earlier approved the mayor for another term June 27.

TsUM to Expand Into Regions

  • January 01, 1970
Moscow's TsUM department store intends to open a chain of five to seven new stores in major regional cities, Kommersant reported in July.

What's Up

  • January 01, 1970

First the Celebrations - Now the Challenge

  • January 01, 1970
Every two years, millions of people around the world wait breathlessly when the time comes for the venue of the next Olympic Games to be named. The announcement naturally triggers excitement and jubilation, not only for the inhabitants but also for the surrounding regions and countries which indirectly reap the benefits. While the celebration and euphoria over the success is natural and well deserved, the efforts made by the sponsors and supporters to get this far are simply a fraction of what lies ahead; the real work is just beginning.

Finding an Office in a Tenant-Hostile Market

  • January 01, 1970
It won't come as a revelation to anyone to learn that Moscow's real estate market is in a far from tenant-friendly stage at the moment. Developers have been trying to catch up with growing demand from tenants for several years now - so far, unsuccessfully. Analysts have even stopped making the predictions that they have been putting out for the last two years that the market will soon reach saturation any time soon, and are now talking cautiously about it reaching equilibrium some time in 2009 or 2010.

Decentralized Offices

  • January 01, 1970
Two years ago it was unheard of for a business center to be located on the outskirts of Moscow but today it is a hard fact with which everyone - developers, tenants, and realty consultants alike - has to reckon. The time when Class A offices were located solely within the Garden Ring has gone for good. For about a year now the Moscow Government has been making regular announcements that it intends to limit the amount of office development in central regions of the city. This and other factors have stopped development projects in the center of Moscow in the last year and a half to two years from being as attractive and profitable as they used to be.

Sochi's Olympic Program

  • January 01, 1970
Wherever they are hosted, the Olympic Games are more than just a sporting event and this is especially the case in Russia. Just like anything else to do with participation in international sports, it falls under the category of strategic national interests and is a prestige project. Moreover, hosting the Olympic Games has a global significance, just right for the growing ambitions of the Russian elite. After all, Sochi doesn't represent the first time Russia has displayed Olympic ambitions in recent years - Moscow made an unsuccessful bid to host the 2012 games back in 2005.

Chain Affiliation

  • January 01, 1970
Having gone its own way for most of the last century, Russia is now rapidly converging with the tried and tested path of development of other major world powers and is faced with the necessity of regaining ground lost during the decades of the Soviet national experiment. The result is that Russia's markets are having to cover a distance that took much longer to travel in other countries. This touches all spheres of Russian life and makes the local atmosphere dynamic, vibrant, and attractive to anyone with entrepreneurial spirit.

Realty Cadastre

  • January 01, 1970
Federal Law No. 221 "Concerning the state realty cadastre" (hereafter the Realty Cadastre Law) was passed on July 24. The major part of the provisions in the law will come into force on March 1, 2008. The legislators' aim in passing this law was to create a common denominator for the state register of real estate.

The Man Behind The Federation Tower

  • January 01, 1970
In seven years once relatively unknown businessman Sergei Polonsky has managed to become one of the most successful players in Moscow real estate. Forbes magazine values him at $880 million. He has been in the public eye for ambitious construction projects, such as the Federation Tower, which will be the tallest building in Europe on completion, but not only - when it comes to shocking the public, he is more than a match for his friend Yevgeny Chichvarkin, the flamboyant owner of mobile phone retailer Yevroset. Five years ago he almost became the first space tourist but was stopped by his height - 194 centimeters. At the MIPIM real estate fair held in Cannes in spring, Polonsky put on a grandiose promotion for his company, with students walking down La Croisette wearing monitors displaying Mirax's logo on their heads

Real Estate IPOs

  • January 01, 1970
The wave of Russian developers' initial public offerings (IPOs) has been one of the biggest real estate stories of the last year, a true milestone in the history of the country's property market. Russia's real estate is becoming increasingly global. Highlighted by the less-than-stellar stock market performance in recent months, this can be both a blessing and a curse.

Work Begins on New Holland Project

  • January 01, 1970
An all-evening extravaganza featuring music and theatrical performances held June 10 marked both the beginning of work on the reconstruction of New Holland Island and the end of the St. Petersburg International Economic Forum, on a scale the city hasn't seen since it celebrated its 300th anniversary in 2003.

End in Sight for Khrushchev-era Housing

  • January 01, 1970
Hundreds of St. Petersburg's infamous Khrushchev-era residential buildings are to be demolished in a plan that may be put into action by the end of this year, City Hall announced in late August.

Optics Firm Grants Loan for RE Project

  • January 01, 1970
LOMO has joined the ranks of commercial real estate financers by issuing a loan of 500 million rubles ($19.63 million) to RGS Nedvizhimost construction company. The loan will be used to finance the construction of the Clover Plaza center at Ushakovskaya embankment, Interfax reported in mid-August.