Perfect Group plans to expand its rental real estate business in Kyiv and transfer some of the apartments in its complexes to professional management by hotel operators.
As the company’s CEO, Oleksiy Koval, stated in an interview with Interfax-Ukraine on September 1, 2026, the first such project is being developed in the LA MANCHE residential complex at 46 Shchekavitska Street in Podil. Forty apartments have been allocated for this income-generating real estate project.
The operator will focus primarily on long-term rentals.
Another project is being developed as part of the Stanford residential complex at 35 Predslavinskaya Street. Here, a separate section is planned for short-term rentals, and Perfect Group is in negotiations with a major professional operator.
The developer also plans to extend some hotel services to the other residents of the residential complexes. These include concierge services, babysitting, children’s playrooms, dog-walking, and other additional services.
According to Koval, after a period of competition among developers based on price, architectural concept, and infrastructure, the next key factor in market competition will be service quality.
For comfort-class housing, the company intends to develop a similar approach through digitalization. Perfect Group is developing an app to facilitate communication between residents and the management company, process requests, and vote on additional services. Its launch is planned for before the end of 2026.
In addition to income-generating real estate projects in Kyiv, Perfect Group is building the VELMY aparthotel in Polyanytsia near Bukovel.
One of the well-known hotels on the Montenegrin coast — Plaza in Herceg Novi — will be put up for public auction on September 14. The property together with the land plot has been valued at €30.742 million, the Serbian business portal Parametar.rs reports.
At the first auction, the hotel cannot be sold for less than 80% of its appraised value, so the minimum price will amount to about €24.6 million. To participate, potential buyers were required to pay a deposit of €3.074 million.
The sale is connected with a years-long dispute surrounding the company Vektra Boka, which managed the property. The proceeds from the sale of the assets are to be used to settle the claims of former employees and other creditors. Among them are the municipality of Herceg Novi and the local Water Supply and Sewerage company. CKB banka also has separate claims against Vektra Boka.
If no buyer is found at the first auction, at the second one the minimum price may fall to 50% of the valuation — approximately €15.37 million.
The package being sold includes land worth €7.01 million and buildings worth €23.73 million. The area of the main hotel property is about 5.44 thousand sq. m.
Source — Parametar.rs
The Perfect Group plans to launch its own apartment renovation program for homebuyers in October 2026 and intends to import some of the finishing materials for the program directly from China.
The “7 KVARTAL” residential complex will serve as the pilot project, Perfect Group CEO Oleksiy Koval said in an interview with Interfax-Ukraine. The company is also discussing with banks the possibility of offering loans for apartment renovations.
One of the reasons for launching the program was the sharp rise in the cost of construction work and a shortage of renovation crews. According to the developer’s estimates, labor costs today can account for half the cost of renovations or even exceed the cost of materials.
To reduce costs, Perfect Group has reviewed offers from building materials manufacturers in China and is already arranging its first shipments.
In particular, the company intends to use HPL-like panels, which eliminate the need for some traditional processes such as plastering, wall preparation, painting, or wallpapering. According to the developer’s calculations, this solution should reduce renovation time and costs.
The company is also considering importing other construction products from China, including certain types of rebar and facade solutions. At the same time, Perfect Group believes it is more appropriate to source tiles, laminate flooring, and interior doors from Ukrainian manufacturers.
The group’s in-house production is currently focused primarily on aluminum and metal-plastic windows. Looking ahead, the company also does not rule out launching the production of cabinetry.
Perfect Group has been operating in the Ukrainian real estate market since 1991.
The cost of construction work and materials in Ukraine has risen by approximately 30% since the beginning of 2026, with the labor shortage remaining the main factor driving up prices, according to Oleksiy Koval, CEO of Perfect Group.
According to him, labor costs are rising the fastest, followed by construction materials in terms of the rate of increase. However, this estimate of approximately 30% growth does not account for the additional impact of currency fluctuations and indexation.
The cost structure for apartment renovations has also changed. Before the full-scale war, materials accounted for about 70% of renovation costs, while labor accounted for 30%. Now the ratio is closer to 50/50, and in some cases, the cost of labor already exceeds the cost of the materials themselves.
The labor shortage affects more than just finishing work. Developers are having difficulty finding concrete workers, crane operators, and other skilled professionals.
Another factor driving up costs during the fall and winter months may be the expenses associated with providing autonomous power supply to construction sites. During power outages, interior construction work requires the use of diesel generators; accordingly, costs depend on the price of fuel.
Perfect Group already includes generators and uninterruptible power supply systems in the budgets for new projects. Looking ahead, the company is also considering the use of solar panels and gas generators.
According to Koval’s assessment, there are no signs of a slowdown in the growth of construction costs yet.
Perfect Group has been involved in residential and commercial real estate in Ukraine since 1991.
CONSTRUCTION, cost of construction, LABOR, REAL ESTATE, UKRAINE
Ukrainian developers need access to project financing, and securing bank or international loans covering 20–30% of a project’s cost may be sufficient to begin construction, according to Alexei Koval, CEO of the Perfect Group.
As Koval stated in an interview with the Interfax-Ukraine news agency published on September 1, 2026, the financing model for residential construction in Ukraine has changed significantly since the start of the full-scale war. Whereas before 2022 a developer could invest about 10% of its own funds, receiving up to 90% of the resources from buyers, now self-financing at the initial stage can reach 60%.
According to him, Perfect Group is conducting negotiations through its representatives with the European Bank for Reconstruction and Development. European financial institutions are prepared to consider lending to the Ukrainian private sector at interest rates ranging from 6–8% in euros; however, for affordable housing projects, a rate of 3–4% would be more acceptable.
The company believes that loan financing amounting to 20–30% of the project estimate could make it possible to begin construction, after which mortgage programs, including “єОселя,” could be brought in to finance the project.
Koval also noted that the introduction of escrow accounts for homebuyers without the simultaneous creation of a project financing system for developers could lead to a shortage of resources for launching new projects.
According to his estimates, the profitability of development projects in Ukraine under normal conditions is comparable to that in Europe and stands at about 18–20%.
Perfect Group was founded in 1991. According to the company, over the course of its operations, the group has commissioned more than 110 buildings comprising over 20,000 apartments with a total area of more than 1.5 million square meters.
The Ministry of Communities, Territories, and Internally Displaced Persons of Ukraine (MinRegion) proposes introducing a quality guarantee of at least 10 years for new real estate properties immediately after they are put into operation; the government has already supported this initiative, according to the ministry’s press service.
MinRegion clarified that, to implement these changes, it is proposed to amend the Civil Code of Ukraine and the laws “On the Regulation of Urban Development” and “On the Protection of Consumer Rights.”
“A person who purchases a new property should be protected not only at the time of purchase. We propose introducing a quality guarantee for the property lasting at least 10 years. If, during this period, the owner discovers defects that affect the property’s serviceability, they will be able to require the developer to remedy them. If the owner corrects the defects on their own, the developer must reimburse those costs,” said Deputy Minister Natalia Kozlovska, whose remarks are quoted in the press release.
The construction client or its successor in title will be responsible for the quality of the property during the warranty period.
The new rules will apply to completed properties that have been accepted for use, with the exception of properties built on the basis of a construction passport and certain properties with minor SS1 consequences, where the work was performed in-house.
The ministry’s press service reported that, following the adoption of the amendments, if defects are discovered during the 10-year warranty period, the owner must notify the construction client of them. Defects that affect the normal use of the property must be confirmed by a report from a certified specialist based on the results of an inspection. The construction client must, within 30 days, propose how and by when to remedy the defects, or provide a reasoned refusal. The owner must, within seven days, either agree to the proposed solution or reject it. Once agreed upon, the client must remedy the defects within the specified time frame. The owner may also remedy them independently or engage other specialists. In such a case, the construction contractor must fully reimburse the repair costs.
A similar initiative was included in government bill No. 13607 dated August 7, 2025, but following the resignation of Yulia Svyrydenko’s government, it was withdrawn on July 16, 2026. At that time, experts proposed extending the mandatory warranty to include SS1 buildings (most often private homes) and increasing the warranty period for monolithic-frame buildings to 30 years.
