The market of commercial premises as part of residential complexes is actively developing, the highest demand is for small objects with an area of up to 150 square meters, said Ukrainian developers in a survey “Interfax-Ukraine”.
“The highest demand is observed for small areas (50-100 square meters) under cafes, pharmacies, beauty bars, and medium commercial areas (100-150 square meters) under clinics and grocery stores. Small and medium-sized areas are popular because they are easier to adapt to the needs of different businesses. Large areas (from 200 square meters) are in less demand, they are mostly occupied by supermarkets or restaurants,” the press service of KAN Development informed the agency.
The high demand for small commercial premises may indicate the high activity of small and medium-sized businesses looking for locations for coffee shops, salons, stores and offices, says Yuri Motuz, Director of Zezman Holding.
According to his data, about 58% of sales of commercial premises in the LCD in Odessa fall on objects with the area of 21-40 square meters. m. However, there is also a tendency for investors to purchase two small premises to combine into a large space (up to 200 square meters) for supermarkets, pharmacies, chain stores with warehouses.
The popularity of smaller premises is also due to their lower cost, said Anna Laevskaya, commercial director of Intergal-Bud.
“Investors are interested in commercial premises at different stages – both at the excavation stage and when the object is already ready. Everything depends on location and payment conditions. Smaller premises are sold faster because their cost is lower. Operators are actively expanding, entering new premises, and in general this segment is developing even better than the apartment market”, – she told in her commentary to ‘Interfax-Ukraine’.
According to the marketing director of DIM group of companies Daria Bedya, in general, investors’ requests to the developer to buy and rent commercial real estate as part of the LCD for the last three months have increased by 24% and 23% respectively.
“First of all, these data testify to the adaptation of Ukrainians and businesses to life in war conditions,” the expert emphasizes.
In addition to traditional cafes and restaurants, mix-format establishments are becoming increasingly popular in the LCD: a combination of cafes with flower stores or bookstores, said Irina Mikhaleva, CMO Alliance Novobud. Pet stores and grooming salons for animals are also gaining popularity.
“Owners of space make their own decision on what exactly to do. As a rule, they study the existing business infrastructure, weigh their options, studying supply and demand,” the expert explained.
At the same time, there is a tendency in the market to plan commercial space at the stage of concept creation and design of a residential complex, said Avalon’s operating director Yaroslav Vozniak.
“The builder or developer aims to form an ideal ecosystem of necessary infrastructure for apartment residents. Commercial space ‘advocates’ appeared at the level of project concept creation and subsequent design. Thus, the concept of “city in the city” and complexes with developed infrastructure appeared Long before the start of construction companies already understand what functions and business should be provided in certain places of the residential complex. Everything is for the sake of comfortable life or stay in the residential complex, for the sake of the resident,” he said.
This principle in the design of residential complexes is also adhered to in the company City One Development.
“We take into account the needs of the commercial segment at the design stage, offering a wide range of premises with different functional purpose. The most liquid commercial areas are premises with the size from 80 to 100 square meters, which are in the greatest demand among investors”, – reported in the press-service of the developer.
Alliance Novobud, Avalon, CITY ONE DEVELOPMENT, Daria Bedia, DIM, INTERGAL-BUD, Irina Mikhaleva, KAN Development. Zezman Holding, Yaroslav Vozniak, Yuri Motuz, Анна Лаевская.
DIM has launched its own official real estate agency, DIM+, for owners of already commissioned projects and investors in those currently being implemented by the company.
According to the company’s press service, the daily flow of visitors to sales departments looking for apartments in DIM’s complexes, along with a large base of existing and potential customers, ensures that investors’ real estate will be sold or find tenants as soon as possible.
DIM+ offers not only buying, selling and leasing services, but also full property management. Among the services is the development of a personalized project for residential and commercial real estate without renovation. At the same time, the company takes control over the condition of the property, timely payment of utility bills, settlement of any issues, and full reporting.
DIM Group and Maxim Krippa, owner of the Parus business center and Ukraina Hotel, have finalized a partnership and cooperation agreement, the developer’s press service told Interfax-Ukraine.
It is noted that Ukrainian businessman Krippa continues to expand his real estate investment portfolio, which this time will be replenished with residential properties. Following the acquisition of Kyiv’s largest business center Parus in 2023 and the privatization of the historic Ukraina Hotel in 2024, Crippa announced an investment in the DIM Group, a leader in residential development in the capital region.
“I decided to invest in DIM’s projects not only because of their significant investment potential, but also because of our common attitude to doing business during the war: they are not afraid to build, I am not afraid to invest,” said Crippa.
Krippa’s participation will ensure the completion of the construction of the developer’s current facilities and the start of work on new large-scale projects.
“The participation of Maxim Krippa’s development group of companies will allow us to be independent of sales volumes, keep the pace of construction and ensure our investors that the construction of the facilities is completed on time. In addition, we will be able to start working on new projects with confidence,” said Oleksandr Nasikovsky, founder and managing partner of DIM Group, as quoted in the press release.
The portfolio of the DIM development company consists of real estate in Kyiv and the region with a total area of more than 900 thousand square meters. The company has commissioned 3,670 apartments and built more than 356 thousand square meters of residential and commercial space. There are 6 projects under construction with a total area of over 346 thousand square meters.
DIM has completed monolithic works in the capital’s Olegiv Boutique Residence, and the project is scheduled to be fully completed in the second quarter of 2026, its press service told Interfax-Ukraine.
The release says that a flower has symbolically opened its petals on the roof of the building, which is how builders traditionally inform that the main structure is ready, and therefore the project is moving on to the next stage – facade, interior, and finishing work.
OLEGIV Boutique Residence (36 Olehivska St.) is the first premium-class building in Ukraine in the Art Boutique Residence format, and the developer aims to combine the concept of European boutique hotels with the artistic background of the capital’s Podil. The complex consists of one building with a height of 5-8 floors, with 208 apartments. The project envisages the arrangement of a closed courtyard free of cars and a spacious underground parking lot for 102 parking spaces with electric car chargers.
The building is equipped with an independent power supply system that ensures constant operation of elevators and lighting in the corridors, as well as an access control system. Heating will be provided by an in-house gas boiler house.
Founded in 2014, DIM Group specializes in a full cycle of development, including design, construction, and real estate management. During this time, the company has commissioned 15 buildings in eight residential complexes, a total of 3,640 apartments, and built more than 332.7 thousand square meters of residential and commercial space. In 2024, DIM commissioned 1191 apartments in three residential complexes: “New Autograph, Lucky Land and Park Lake City. Six comfort+ and business class residential complexes are under construction: “Metropolis, Park Lake City, Lucky Land, A136 Highlight Tower, Olegiv Podil, The One.
DIM commissioned 80.5 thousand square meters in 2024, and plans to commission more than 100 thousand square meters in 2025, the company’s managing partner Oleksandr Nasikovsky told Interfax-Ukraine.
“According to the latest LUN data, 10.7 thousand new apartments were commissioned in Kyiv in 12 months (the first to third quarters of 2024 plus the fourth quarter of 2023). Almost 10% of this figure is DIM’s facilities. In 2024, we commissioned 1191 apartments with a total area of 80,467 sq. m. in three complexes: “New Autograph, Lucky Land and Park Lake City,” he said.
Mr. Nasykovsky also noted that this year the company started construction of a new premium segment complex The One in Kyiv at 7b Mechnikova Street. The 140-apartment complex, according to the concept, will offer the service of a 5-star hotel, 360-degree panoramic views, a closed area with round-the-clock security, underground parking with elevators, a public space of 1400 square meters, two conceptual terraces Front Yard, Secret Garden, and an outdoor pool.
“This is the first residential project in Ukraine with nano water purification and hepa air filtration. We plan to complete the construction of the complex in the second quarter of 2028,” said DIM’s managing partner.
In 2024, DIM successfully attracted targeted financing from domestic strategic investment partners for the development of existing and prospective facilities.
“According to the signed agreement, we are not yet disclosing the amount of investment and the names of Ukrainian investors, but we can say that this shows high confidence in us and confidence in the future of Ukraine. We believe in Ukraine and continue to build six of our complexes: “Metropolis, Park Lake City, Lucky Land, A136 Highlight Tower, Olegiv Boutique Residence and The One,” Nasikovsky emphasized.
Regarding plans for 2025, the managing partner announced the launch of a new premium suburban project (location and brand have not yet been announced), as well as plans to commission a significant amount of housing.
“In 2025, we plan to commission more than 100 thousand square meters: the A136 Highlight Tower complex, building No. 3 of the Metropolis complex, building No. 4 of the Lucky Land eco-complex, and buildings 1.5, 2.1, 2.2, 2.3, 2.4 of the VITA district and buildings 1.1 and 1.3 of the AQUA district in the Park Lake City business class suburban complex,” the expert listed.
Nasikovsky noted that among the trends of the real estate market in 2024, the main one is that consumers have gradually adapted to the challenges of wartime.
“If in 2023, after the rocket attacks on Ukrainian cities, market activity stopped for almost a week, this year we see that the current military operations, although they have a significant impact on the activity of buyers in the market. People have started living here and now and are making plans for the future,” he said.
The expert also noted the significant impact on the real estate market of the government programs “eHouse” and “eRestoration”. According to him, since DIM joined the eHouse program in the spring of this year, about 30% of inquiries to DIM sales offices have been related to this program, of which about 10% have been converted into real transactions. At the beginning of September 2024, the first agreement under the eRestoration state program was concluded in the Lucky Land eco-city.
“Government programs continue to support activity in the residential real estate market today and will continue to do so in 2025. However, the main change in the real estate market in 2024 is the tax changes (increase in the military tax to 5%) introduced at the end of 2024, which will have several important consequences for the residential real estate market,” he said.
Nasikovsky stated that the increase in the military duty will increase the costs of building materials producers, logistics, contractors and other market participants and, as a result, will push up the price per square meter in new buildings. In addition, it will affect the choice of buyers who are now considering housing as an investment tool, they may start looking for alternative options for investing their money.
“However, despite these challenges, we remain optimistic and see that the real estate market continues to gradually adapt and find new opportunities for development,” he summarized.
As for the behavior of those buyers who choose housing for themselves, Nasikovsky observes that in 2024 some of them began to reorient from the secondary market to the new construction market.
“This is facilitated not only by the government programs eHouse and eRecovery, but also by developers’ own financial programs. For example, DIM develops internal lending programs, offers flexible purchase terms and extends installment terms as an alternative to government programs,” he said.
DIM has an installment program of up to 5 years with a down payment of 20%; a program with flexible payment terms, when the buyer pays a down payment of 30% before the completion of construction, and the rest of the amount is paid within two years after the object is ready.
“Also, for the first time in the real estate market, DIM has introduced a financial guarantee program – in the contractual terms between the investor and the company, we have included penalties of 0.03% in favor of the client for each day overdue according to the schedule of the object’s readiness. The program is already in place in A136 Highlight Tower, Olegiv Boutique Residence and Park Lake City. We are working on implementing the guarantee in our other projects,” Nasikovsky said.
As for the requirements of buyers to the facilities, security and energy independence remain in the first place.
“The availability of an access control system, video surveillance, security, and especially underground parking lots or shelters are the main requests of every second buyer. Increasingly, people are paying attention to the energy independence of buildings, the availability of solar panels, generators, uninterruptible power supply systems, heat and water, which ensure the autonomy of buildings,” the expert noted.
At the same time, he emphasized that, just like before the war, future residents pay great attention to the infrastructure inside and around residential complexes, the availability of green areas, modern playgrounds and sports grounds, schools and kindergartens, as well as convenient transportation. People are now more often looking for housing for themselves, so they choose projects with the concept of a “15-minute city.”
“If the active phase of the war continues in 2025, the housing market will not change significantly. However, it is already clear that the cost of new buildings will increase by an average of 15-20%. The reasons for this include changes in taxation, inflation, and rising costs of construction materials. We hope that demand will gradually increase, and government programs will stimulate it,” Nasikovsky summarized.
The first agreement under the state program “eHouse” for the purchase of an apartment in the house under construction in the eco-city Lucky Land by DIM was signed on Tuesday, December 17, the DIM press service reported.
“Signing an agreement to buy an apartment in the modern eco-city Lucky Land with the help of the state program eOselya is an important step towards providing affordable housing for many of our clients and confirming the reliability and transparency of DIM, because during accreditation, banks check the developer very carefully,” Olga Arbuzova, head of sales at Lucky Land, commented on the event, according to the report.
The state program of affordable mortgage lending “eOselya” has been launched in Ukraine since October 2022. Contract servicemen of the Armed Forces of Ukraine, employees of the security and defense sector, medical workers, teachers, and researchers can apply for a preferential mortgage at 3% per annum for up to 20 years with a down payment of 20% of the cost of housing.
Starting from August 1, 2023, war veterans, combatants, internally displaced persons (IDPs) and citizens who do not have their own housing over the standard area can apply for the program at 7%.
Lucky Land (6 Berkovetska St.) is a comfort-class residential complex designed as a multifunctional area with developed infrastructure. It includes 23 buildings with a height of 13-14 floors, a total of 5183 apartments, with a guest parking lot for 2.5 thousand and an underground parking lot for 356 cars.
DIM Group was founded in 2014 and specializes in a full cycle of development, including design, construction, and property management. During this time, the company has commissioned 15 buildings in eight residential complexes, a total of 3,640 apartments, and built more than 332.7 thousand square meters of residential and commercial space. Six residential complexes of the comfort+ and business class categories are under construction: “Metropolis, Park Lake City, Lucky Land, A136 Highlight Tower, Olegiv Podil, and The One.
It joined the state program of affordable housing lending “eOselya” in the spring of this year. SKY Bank, a partner bank of the state program for affordable lending, has accredited DIM’s residential complexes, which are at the final stage of construction, for participation in the eHouse program: houses No. 4 and No. 6 in Lucky Land and house No. 3 in Metropolis in Kyiv.
https://interfax.com.ua/news/economic/1034879.html
