Business news from Ukraine

“Dobrobut” has opened multidisciplinary hospital on left bank of Kiev

Dobrobut” medical network has opened a clinic on the left bank of Kiev in the building where “Boris” clinic used to be located.
As Igor Mazepa, co-owner of Dobrobut, reported on his Facebook page, the area of the 8-storey clinic after the reconstruction amounted to 10 thousand square meters.
“We had been planning this opening for two years, but first covid-19, then the war, made adjustments to our ambitious plans. But in spite of everything, we opened a new multi-profile hospital “Dobrobut” on the left bank of Kiev,” Mazepa wrote.

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Prices for new buildings in Lviv rose by 82.7%, in Kiev by 36.1% – M4U

More than 70% of construction sites in Kiev, Lviv and Odessa continue to work, prices for the year increased in the capital by 36.1%, in Odessa by 48.4%, in Lviv by 82.7%, said the founder of M4U Vladimir Danilenko to the agency “Interfax-Ukraine”.
“During the year of war in Ukraine, real estate markets in most major cities continued to grow. The cost per square meter rose during the year in line with rising production costs, the devaluation of the hryvnia and the distance from the front line. In October 2022 the tendency has changed: the prices in Lviv continue to grow, in Kiev and Odessa have stabilized”, – said Danylenko.
According to M4U, the number of active construction in the capital today is 83.7% of the beginning of February 2022 – 185 of 221 housing estates.
At the beginning of February 2023 the average price per square meter in new buildings in Kiev was 61 thousand 234 UAH. This is 36.1% higher than it was before the Russian invasion of Ukraine, but 1.2% lower than in January. Prices were rising most actively in the summer, when most sales departments resumed their work and when the official dollar exchange rate went up. From June to September the average cost per square meter increased by 26.7%.
“Today the pace of construction work is much lower than before the war, so it does not make sense and possible for developers to often recalculate the cost of construction. Market factors for price increases are also absent,” Danilenko explains.
According to the study of M4U, the largest increase in the cost per square meter was noted in the segments of elite (+46.1%) and economy (+44.3%). The price increase in popular among buyers classes of comfort and business was 35.5% and 34.4%, respectively.
At the beginning of February 2023 the majority of real estate offers are concentrated in the price range from 34 to 54 thousand UAH/sq. m, comfort class objects prevail among them.
Traditionally the biggest number of actively built and sold new buildings, as well as apartment offers, is in Holosiivskyi district of Kiev. More than a half of them (16 out of 29 Residential Complexes) are the objects of comfort class. The second largest volume of construction is in Pechersk district, where 15 out of 26 housing estates are positioned in business class, the rest – the elite. In Shevchenkivskyi district of Kiev 24 residential complexes are under construction, most of which belong to business class. Fewer new homes are being built in Obolonskyi (11 LC) and Desnianskyi (10 LC) districts. At the same time the supply of new apartments in Desniansky district is twice as much as in Obolonsky, there is more housing in the economy class housing.
In the Kiev region at the beginning of February 2023, 204 out of 263 construction sites resumed their work a year ago (77.5%). A square meter in the suburbs of the capital on average has risen by 34.1%, to 31 844 UAH. As in the capital, the most active price increase occurred in summer, from October to February prices remained practically unchanged.
In contrast to the capital, the prices for new buildings of the comfort class rose more substantially – by 33%, to 29,992 UAH. Apartments in new buildings of economy and business classes rose in price by 30% and 30.1%, respectively. The price increase in objects, positioned in the elite class, was 28%.
Most proposals of the capital region belong to comfort and business classes, price range is 26-32 thousand UAH.
Most of the objects are built and sold in Irpen (41 LC), Sofievskaya Borschagivka (17 LC), Brovary, Gostomel (13 LC) and Bucha (12 LC). By volume of apartments for sale are leaders in Sofievskaya Borschagivka and Brovary, a few less proposals in Kryukivschyna, Irpen, Bucha.
In Lviv and the Lviv region the number of new buildings in active construction and sales is now the same as it was before the Russian invasion – 218, during the year this figure has changed slightly.
The average price per square meter for the year increased by 82.7%, to 45 706 UAH.
The majority of objects in Lviv are in the price range from 24 to 34 thousand UAH, in the structure of supply the comfort class dominates.
Thus, according to the study of M4U, the greatest price dynamics is observed in the business class, where the cost per square meter for the year increased more than twice, by 109%. In the economy segment, prices rose by 66.7%, comfort by 60.3%, and elite by 58.7%.
The largest amount of apartments in new buildings are in Shevchenkivskyi (35 LCD) and Sikhivskyi (32 LCD) areas.
In Odessa and the region a square meter in new buildings during the year of war increased by an average of 48.4%. Here are active 131 out of 180 construction sites before the war (72.8%).
Prices, like in other regions, were rising during the summer, in October the growth stopped, and in December there is even a decrease in prices, an average of 2.3% for two months.
Over the year a square meter more expensive in the segments of economy and elite – 59% and 57%, respectively. The average price increase in new buildings in the comfort class was 46.1%.
“The most interesting dynamics is in the business class: during the year the cost per square meter increased by an average of 39.5%, but it is in this class we observe the largest price decrease during September 2022 – February 2023, which was 5.1%,” – said Danylenko.
The majority of proposals in Odessa new buildings are in comfort and business segments in the price range of 24-38 thousand UAH.
The leader by the number of new buildings is Primorsky district, where now the apartments are sold in 30 residential complexes, of which 16 are positioned in the elite class. In Kievsky district 25 Residential Complexes are under active construction, 12 of which belong to comfort class.
Founded in February 2020, Ukrainian proptech company M4U specializes in the development and implementation of complex intelligent solutions in real estate development.

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“Arctic” logistics complex near Kiev sold for 200 mln UAH

OVL Properties LLC (Kyiv), created in January 2023, has bought the logistics complex Arktika in village Kryukivschyna (Kyiv region) for 200.5 million UAH at an auction in OpenMarket system (SE “Setam”).
According to the data in the OpenMarket system, a single property complex with a total area of 21.4 thousand square meters and a land plot of 4.9 hectares were under arrest and were put up for sale to recover debts from its owner.
According to the court materials, the owner of the complex BCT (Kiev) is debtor Dragon Capital Investments Limited (Cyprus), the amount of obligations is $7.2 million (UAH 190.1 million).
Dragon Capital Investments LLC and Inter Wei Capital LLC also took part in the auction on January 26.
According to Opendatabot, the founder of LLC “OVL Property” created a week before the auction is Elena Levshun.
As reported, in February 2019, Dragon Capital completed the acquisition of the Class A logistics complex “Arctic” owned by the state-owned Oschadbank with a total area of 21.5 thousand square meters near Kiev through its subsidiary “BCT”. Oschadbank sold “Arctic” in November 2018 on the electronic bidding platform OpenMarket state enterprise SETAM for 195 million UAH.
Later in 2021, Ukrainian businessman Yuri Kosyuk’s MHP agroholding rented a logistics center and opened its own Culinary Center there
Dragon Capital is one of the largest investment and financial services groups in Ukraine, providing a full range of investment banking and brokerage services, private equity, asset management for institutional, corporate and private clients. The company was founded in 2000 in Kiev. One of the key activities of Dragon Capital are investments in the real estate market.

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It’s going to get little colder this weekend in Kiev

In Ukraine on Saturday, March 4, predominantly without precipitation, only in the daytime in the northern part of the country in places a little rain and wet snow, reports Ukrhydrometecenter.
Wind is western, southwestern, 7-12 m/sec. During the day across Ukraine, except in the south, gusts of 15-20 m/sec.
The temperature at night is from 2°C to 3°C frost, in the Carpathians – 2-7°C; during the day – 3-8°C, in the south of the country – 6-11°C.
March 4, no precipitation in Kiev. Wind is westerly, 7-12 m/s, during the day gusts of 15-18 m/s. The temperature at night is near 0°C, while during the day it may be 4-6°C.
According to the Central Geophysical Observatory of Boris Sreznevsky in Kiev since the beginning of meteorological observations the highest temperature of March 4 was +16.1 ° C in 1995, the lowest at night -21.1 ° C in 1987.
Sunday, March 5, at night in the western and northern regions, in the afternoon in the south-east of Ukraine and the Carpathians, little wet snow and rain is expected, while the rest of the territory is precipitation-free.
The wind is westerly, 7-12 m/s. The temperature at night is 1-6°, in the Carpathians up to 8° frost, in the southern and eastern regions 0-3° heat; during the day in Ukraine 1-6° heat, in the south up to 10°.
March 5 in Kiev, there is light wet snow and rain at night, while during the day there is no precipitation. The wind is westerly, 7-12 m/s. The temperature at night is 2-4° frost, during the day 2-4° warm.

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Saudi Foreign Minister discussed in Kiev settlement of Ukrainian-Russian conflict

Saudi Foreign Minister Prince Faisal bin Farhan Al Saud said that during his visit to Kiev he “focused on the problems of the war and the ways of its peaceful settlement.”
“Saudi Arabia would like to do everything possible to reduce the severity of hostilities. Any war ends at the negotiating table, but it should be under the auspices of the UN and with respect for international law,” he said Sunday at a briefing in Kiev.
The minister said that “President Zelensky’s peace initiatives should be at the core of the peace settlement.”
According to him, the sides “discussed Saudi Arabia’s mediation for the release of prisoners of war.” “It was a victory for Saudi Arabia, we hope to continue these efforts,” he said of the fall 2022 exchange of prisoners of war between Ukraine and Russia mediated by Saudi Arabia.
According to the minister, during a meeting with Ukrainian President Volodymyr Zelensky, he gave him a greeting from the king of Saudi Arabia.

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Spanish Prime Minister arrives in Kiev

Spanish Prime Minister Pedro Sanchez will arrive in Ukraine by Thursday morning train, the Spanish publication OK diario reported.
“This will be Sanchez’s second trip to Ukraine. He has already been to the country last April. The travel plan, as confirmed by OK diario sources close to the prime minister, is very similar to the one he used then. The president and his team will fly from Madrid to the Polish city of Rzeszow on board an official plane… Once on Polish soil, the government delegation will travel by land to the Ukrainian border. Pedro Sanchez and his accompanying team are expected to board an overnight train early at night, which will take them to the capital, where they will arrive shortly before 8 a.m.,” the report said.
The publication notes that plans for the trip were denied until recently.
In Kiev, Sanchez is expected to meet with Ukrainian President Vladimir Zelensky. “It is not yet known whether he will make any statement during the president’s stay in Ukraine about Spain’s bilateral support for Zelensky, as he did several months ago and as they did on each of his visits by other international leaders who met with Zelensky at the Ukrainian president’s headquarters,” the report notes.
As reported, Spanish Defense Minister Margarita Robles confirmed that at least six German-made Leopard tanks will be sent to Ukraine from Spain in early April this year.

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