Some 70,000 square meters of new office real estate will be offered in Kyiv in 2018-2019, Head of the Consulting Department of UTG Rostyslav Symonov has said. “We are planning to commission 70,000 square meters in 2018-2019. These will be the third line of Astarta Business Center, which has shown a very good pace of renting out, Europassage Business Center, Forum Amursky Business Center, office buildings on Volodymyrska and Sahaidachnoho streets, and Unit City,” he said during a press conference on the results of the real estate market in H1, 2018 hosted by the Interfax-Ukraine News Agency on July 11.
The expert said that IT companies, which account for 44% of tenants, will form the principal demand for rent of offices in the capital. He added that this makes office real estate more resistant to currency fluctuations that might occur in 2018-2019 due to the payment of Ukraine’s foreign liabilities.
According to UTG, 128 business centers operate in Kyiv. Class A offices account for 30.7%, class B – 63.9%. Class B offices are in high demand, while demand for class A offices is formed mainly by movement of the existing tenants.
Symonov also said that Kyiv office real estate market will grow significantly as soon as Ukrainian IT companies start making their own products. He added that a trend for investment in purchase of offices should be expected in Kyiv.
Kyiv-based UTG was founded in 2001. Its core business is overall support for development projects. More than 100 real estate objects were opened with the participation of UTG, including Lavina Mall, New Way, Ocean Plaza, Gulliver, Pyramida, and Komod (all based in Kyiv), Megamall (Vinnytsia), Most City Center (Dnipro), French Boulevard (Kharkiv), and Global.UA (Zhytomyr). UTG also operates in Russia, Belarus, Georgia, and Moldova.