In a young real estate market like RussiaТs, reputation is key. Following a turbulent year of asset seizures and poor financial results for some companies, it is likely to pay for investors to know just whose experience stands behind the major local development firms.
In Europe, debt is going to be strictly rationed, as commentators proffer equity as real estateТs main source of capital. Though for RussiaТs real estate market, capital will not likely be equity-sourced this year.
2010 has begun, but in many respects promises only to be a stopgap or holding bay for the real estate market. With owners holding on to assets and market inertia seemingly continuing, this year is likely to require patience in the real estate sector. However, the market has already witnessed projects unfrozen and pledges from two state banks to resume lending for developments, though who exactly will get this money remains to be seen.