Business Watch
A blaze on two upper floors of a skyscraper under construction in Moscow has been put out, a law enforcement source told RIA Novosti on Tuesday. “The fire was extinguished around midnight,” the source said. “No casualties have been reported.”
The Russian Emergencies Ministry later confirmed that the blaze had been put out and there was no threat of the building collapse.
February 2012 was marked by the high activity in the elite residential rental market in Moscow accor4ding to leading estate agent IntermarkSavill’s. “After a traditionally calm January followed by long holidays the volume of demand increased by almost one third in February compared to the previous month’s performance. It was proved by our January forecast,” a report from the agency says.
Galina Tkach, Director of Leasing Department, IntermarkSavills, says "The market is feverish again. Against a background of currency fluctuations owners are strongly trying to introduce contract clauses providing for a currency corridor and adjustment of rental rate, making efforts to replace rouble rates with dollar ones and therefore artificially increasing cost of apartments by 15%. In reality this does not work, only protracts negotiations and results in the increase of rental terms.
80% of tenants are represented by corporate clients; their budgets are formed in roubles and revised no more than once per 2 years. Generally, such rental contracts do not provide for a change of rental rate, she added.
Leading Moscow estate agent, Intermark Savills, has reported that, as of the end of the 3rd quarter of 2011 the weighted average supply budget and specific rental rate in the high-budget segment amounted to USD 7,257 per month and USD 667 per sq.m per year and exceeded pre-crisis figures by 6% and the figures recorded in the end of 2010 – by 14% and 10% respectively.
Apartment sales at the Candy brothers' prestigious One Hyde Park complex are set to push through the £1 billion barrier, it was claimed as it emerged a record £136.4 million had been paid by a Ukrainian billionaire for an apartment. A further £125 million of deals "are about to exchange or complete", potentially raising the value of sales beyond the £1 billion taken on in bank loans to fund the construction of the Knightsbridge flats, according to London's Evening Standard newspaper.
February 2011 has been marked by high activity of potential tenants for Moscow residential property. Supply of apartments increased by 45% compared to January and the index is 60% higher than 2010. Supply remained almost stable at the level of January, however, it is 30% lower than in February 2010.