Business news from Ukraine

SHORTAGE OF RETAIL SPACE SEEN IN IVANO-FRANKIVSK – EXPERT

Average vacancy in shopping centers of Ivano-Frankivsk in Q2 2019 is 3.9%, developers retain low construction activity: the terms of commissioning of three shopping and entertainment centers were postponed indefinitely, UTG consulting company (Kyiv) has reported. “The interest of retailers in the Ivano-Frankivsk market is very high. In the shopping centers of the city, there is a demand for fashion, entertainment and catering brands. The availability of professional retail space corresponds to 334.9 square meters per 1,000 inhabitants – below the average for Ukraine. The shortage of retail premises is 27,500 square meters, whereas for 2019-2020 only a building on the territory of the Holovny market with a lettable area of 4,800 square meters was declared for opening, UTG analyst Oksana Havrylevych told Interfax-Ukraine.
According to her, in the city, most of the existing and leading shopping centers were opened in 2004-2014. By now they are morally and physically obsolete.
According to her, in the most high-quality facilities rentals for the premises of the fashion gallery area of 50-100 square meters ranges $15-20 excluding VAT. The total market offer of Ivano-Frankivsk over the past five years has been replenished with only a few small facilities with an area of 1,000-2,000 square meters.
Thus, at the beginning of 2019, three district, eight micro district, 11 specialized, two entertainment centers and four detached hypermarkets were operating in Ivano-Frankivsk.
According to the ICSC classification, excluding small shops and premises of the street-retail format, city markets and detached super-and hypermarkets, the total area of the city’s retail facilities is 87,300 square meters, which corresponds to an indicator of 1,043 square meters per 1 square kilometer of the total area of the city.

, ,

AGRARIAN, INDUSTRIAL ASSOCIATIONS ASKING GOVERNMENT TO SOLVE PROBLEM OF SHORTAGE OF GONDOLA CARS

Representatives of large associations of industrial and agroindusitral enterprises of Ukraine have asked the Ukrainian prime minister to solve the problem in the sphere of transportation by rail, in particular, the shortage of gondola cars and rolling stock. The request is outlined in an address posted on the website of the Ukrcement association
“Rail transport provides for about 60% of the total volume of cargo transportation in Ukraine. To ensure efficient operation of enterprises of the leading sectors of the economy of our state, it is the freight transportation by rail that is critical. We are only approaching the period of the peak transportation, and the enterprises are already experiencing an acute shortage of gondola cars. These all restrains development of metallurgical, chemical, cement and agrarian sectors, “the associations said.
The authors of the document said that industrialists and agrarians do not receive the ordered cars in due time and do not have access to those for which they have already paid the rent. The cars are staying idle at cross rail stations, and enterprises continue incurring losses and disrupting the implementation of contracts.
In addition, the associations asked the prime minister to invite representatives of the associations of industrial enterprises and the agroindustrial complex to the government meeting, where the report of the board chairman of PJSC Ukrzaliznytsia will be heard.
The letter was signed by the Federation of Metallurgists of Ukraine, the association of enterprises Ukrmetallurgprom, the Ukrainian Grain Association, the Ukrainian Chemists Union, the Ukrainian Association of Ferroalloys Producers and the Association of Cement Manufacturers Ukrcement.

, , , ,