Bi-weekly News Briefing

Published by PMR Publications

Russian Construction Review

A prime source of market intelligence for construction professionals

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Bi-weekly News Briefing

Issue No.

5 (144) Tuesday, 6 March 2012

Published by PMR Publications

Russian Construction Review

A prime source of market intelligence for construction professionals

www.constructionrussia.com

Industry news
Construction market
Russian real estate investment in 2012 to fall more than one-fifth Investment in Moscows infrastructure in 2012 expected to exceed RUB 280bn
Lookinsideformorenewsonthiscategoryu

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Non-residential
Two luxury hotel projects approved in Moscow Mariott to build 20 hotels in Russia till 2015
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Civil engineering
Israeli investors may build tunnel in Rostov-on-Don Foreign investors encouraged to develop Taman port
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Contractors and developers

Sberbank sells stake in large general contracting holding in Moscow Belarus terminates Iteras Minsk City construction contract
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In brief Ukraine
Ukrainian parliament to permit privatisation of ports and facilitate investment Sevastopol authorities encourage Russia to invest $1.7bn in city projects
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Building materials
Asphalt-concrete modification plant to be built in Krasnoyarsk Soyuzstroy buys mobile asphalt-concrete plants from SPECO
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Market overview & statistics

Basic economic and construction industry indicators Construction output Housing construction Federal subjects of Russia

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Real estate
Seven land plots to be sold in Moscow The Moscow National hotel may be re-sold for twice the price?
Lookinsideformorenewsonthiscategoryu

Planned investments
Residential and mixed-use
Hals to build upmarket housing on Moscow sparkling wine plant site RBI to build residential housing in St. Petersburgs Primorsky district
Lookinsideformorenewsonthiscategoryu

PMR Publications (www.pmrpublications.com) is a division of PMR, a British-American publishing, consulting and market research company. PMR Publications provides reliable market intelligence for business professionals interested in Central and Eastern European countries as well as other emerging markets. Publications by PMR analyse the business climate in the region, in particular in the construction, retail, IT, telecommunications and pharmaceutical sectors. PMR Publications offers both free and paid subscription newsletters, internet news portals and in-depth reports.

Tuesday, 6 March 2012

Russian Construction Review Issue No. 5 (144)

Companies in this issue:

A1 Accor Group AFI Development Alpha Group Apart-otel Barcosta Ventures Ltd. Basic Element Belcom Communication BEL Development BGI Logistics AG Bosch Chernomorgidrozhelezobeton Coalco DB Development Dochki & Synochki DVMP Ekolog-Spomasz Eller+Eller Firma Park Kultury FM Logistic Gorodskie Teplosistemy Gorupravdom
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GVA Sawyer GVSU Tsentr Hals Development IB-group IKEA InterContinental Group Itera JFC Kurskaya Ploshchad Lemminkainen M.Video Magnit Mariott Megalit MOITK Morgan Stanley Real Estate Fund Obyedinenie Stroiteley Sankt-Peterburga Okhta Group Pios Ekoklar Razvitie RBI

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Renova RIGroup RosEnergoMash Russian Corporation of Nano-technologies Shavrin and Godovalov Smart Finance Group Soyuzstroy SPECO Sportmaster Strabag Stroitelny Trest Stroyopttorg Studia TriTe SU-155 Talion Tand Technopolis Transgarant Unikom Verny Kapital

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Industry news

patient departments and two hospitals, are to be opened in 2012.

Construction market
Russian real estate investment in 2012 to fall more than one-fifth
The value of transactions in the Russian real estate market will make up $6.5bn (4.9bn) in 2012, according to Jones Lang LaSalle. This is almost 23% less than a year earlier, when the total investment into Russian economy reached $8.4bn (6.3bn) (which, in turn, was 73% higher than in 2010). In 2011, transactions on the Russian real estate market involving foreign capital made up 41% of the total compared to 14% in 2010. A major portion of the funds was for commercial and office spaces. However, the source claims that the current year will see Russian investors regain their distinct domination in this respect.

All construction to be banned from St. Petersburg historical centre

The St. Petersburg governor Georgy Poltavchenko has announced that the city authorities intend to introduce a moratorium on any construction projects in the historical centre of the city. Although, according to the governor, there may be exceptions in special cases. Unfortunately, the city mayor has not given any details about the date of appropriate document disclosure. The local development market players express the opinion that the moratorium is more likely to result in the loss of historical monuments rather than providing them with protection. They say that this is because the city simply does not have enough resources to restore and maintain all the citys historical buildings and attracting private investors is impossible without permitting them to adapt structures to modern usage.

Investment in Moscows infrastructure in 2012 expected to exceed RUB 280bn

Moscow authorities have announced that the city will invest more than RUB 280bn (7.13bn) in the development and gentrification of the capital in 2012. It is expected that RUB 70bn (1.78bn) will be spent on the construction of 8.5 km of new underground railroads and three new metro stations. Another RUB 162.3bn (4.13bn) will be spent on the construction of 48.8 km of roads, 17 bridges and overpasses, and 50 pedestrian crossings. Besides, it is expected that 529,000 m of residential spaces will be brought into operation this year. In addition, 13 schools for more than 10,000 pupils, as well as 76 kindergartens, two out-

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Tuesday, 6 March 2012

New residential housing permitted in St. Petersburgs Frunzensky district

The St. Petersburg authorities have approved new planning of the territory in the Frunzensky district of the city currently occupied by several industrial facilities. The new planning permits residential construction including social amenities on the sites of the Keramika, Stroyfarfor and AlyumoSistem-Monolitstroy plants. The site takes up 40 ha in total. The city says that redevelopment of the area will improve the districts ecological status.

Stroiteley Sankt-Peterburga (St. Petersburg Constructors Association), which already operates an SRO in the region, is believed to have made the application. It is expected that around 100 companies from St. Petersburg (and its vicinities) producing building materials will join the union by late 2012, with about 30 ready to do so today.

of 2011. The increase was 251% and 135% year on year respectively. Meanwhile, excavating machines and loaders showed the worst growth rate 7% and 3% year on year respectively for the period in question.

Novosibirsk Province Territory to spend RUB 400m on planning project

The Novosibirsk Province authorities are planning to announce a tender for the comprehensive planning of the provinces territory. The existing legislation stipulates that in the absence of such a document the local authorities will not be able to issue any construction permits after 1 January 2013. The province intends to invest RUB 400m (10m) in the project. n

Manufacture of road-building equipment up 41% in Russia in 2011

The production of road-building machinery in Russia increased by 41% year on year in volume terms in 2011, according to the Amiko consultancy. Last year, among the road-building machinery produced in Russia, the largest market share was taken by lorry-mounted cranes (35%), earth movers (16%) and excavating machines (10%). In addition, concrete mixer trucks and earth movers (bulldozers) demonstrated the highest growth rate in the first three quarters

St. Petersburg building materials producers to set up union

A building materials manufacturers union looks likely to be founded in St. Petersburg, according ASN-Info. The application for the creation of an SRO (self-regulatory organisation) has been filed with the Russian Ministry of Justice. The Obyedinenie

Contractors and developers

Sberbank sells stake in large general contracting holding in Moscow
The state-owned Sberbank is no longer in control of GVSU Tsentr, one of the largest Moscow contracting companies, according to Kommersant. 72% of the shares have been bought by the Razvitie management company, which is owned by Mikhail Cherkasov, a Russian businessman. The total cost of the company is expected to exceed RUB 6.9bn (177m). Interestingly, local sources had previously predicted a stake of 74.5% in GVSU Tsentr. GVSU Tsentr was founded in 1998. It controls a range of building material production facilities which once belonged to the Ministry of Defence and was heavily involved in the construction of social housing for the military. Sberbank obtained its stake in GVSU Tsentr two years ago in lieu of debt repayment from the developer Coalco. At present, the company has orders for the construction of around 1 million m, with 70% of this commissioned by Moscow Council and Russias federal agencies.

of $1.7bn (1.3bn). However, Iteras calculations suggest that a reduction in demand for rental space in Minsk will lead to losses of $300m (223m). The project was started in 2007 and involves the construction of 3.5 million m of residential, office, sales, and hotel property.

SU-155 continues getting rid of non-core assets

The developer SU-155 has sold its non-core asset, the company Gorupravdom, which manages 63 residential houses and two boiler plants in Odintsovo and Balashikha (Moscow Province) to the Gorodskie Teplosistemy, which constructs and manages heating systems. The deal is in line with the recently adopted SU-155 strategy of selling off noncore assets. According to informed sources, cited by Vedomosti, the deal may have reached as much as RUB 3bn (75m), although the parties have not confirmed this information. According to SU-155s data, in 2011 the turnover of the SU-155 group of compa-

Belarus terminates Iteras Minsk City construction contract

Itera, a Russian development company, has lost a contract within one of the largest construction projects in Belarus Minsk City after the local authorities ended the cooperation between the parties, according to a report in Kommersant. The contract was cancelled after Iteras management approached the Belarusian authorities with doubts about Minsk Citys profitability. The construction of the Minsk City residential and business neighbourhood was initially expected to make a profit

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Russian Construction Review Issue No. 5 (144)

nies amounted to RUB 78.7bn (1.9bn), excluding VAT. Simultaneously, the company invested RUB 44.7bn (1.1bn) in building 1.3 million m of residential and commercial property, mainly in Moscow Province.

A1 seeks to get Dva Kapitana business centre project

The A1 investment company a subsidiary of the Alpha Group is trying to get into the Dva Kapitana business centre construction project in Moscow Province. The company has signed agreements with DB Development and Strabag the Russian subsidiary of the Austrian construction company to team up for implementing the project. As Russian Construction Review reported on a previous occasion, Strabag claims ownership for the asset, since it is trying to get the centre as a repayment for the works done for the project. Additionally, the province also claims the centre. In turn, A1 intends to arrange the settlement with Moscow Province. Dva Kapitana was initially developed by now bankrupt RIGroup and later went to MOITK, owned by Moscow Province, which also ran into bankruptcy later. The Dva Kapitana project is located in Myakininskaya Poyma district under Krasnogorsk town and in the neighbourhood of the future Moscow Province government office complex. The project is envisioned to be 96,000 m2 in total and is being developed on a 2.4 ha plot.

the centre of the city had been delayed. The company owns 99% of the 60,400 m2 project, with the remainder belonging to the city. The project was supposed to be finalised in 2010 but the city extended the implementation period until 2013. Kurskaya Ploshchad disagreed with the delay and filed a lawsuit. Later, the total claim had been increased several times. Eventually, the developer tried to get the city authorities to pay RUB 5.7bn (143m) as lost profit, but eventually the court ruled that Kurskaya Ploshchad will get only RUB 906m (23m).

of Severnoye Butovo for the construction of the new Lesoparkovaya underground station on the Butovskaya metro line. According to rooffag.ru, the site was rented by the company Tand, which intended to use it for the construction of a wholesale-retail centre, for the sale of alcoholic products, and a HGV car park. Tand will be reimbursed for the lost asset. The new station is expected to open in 2013.

AFI borrowed from VTB to pay for Afimall City car park
AFI Development has secured a RUB 4bn (100m) loan from the VneshTorgBank (VTB) to purchase the underground car park at the Afimall City shopping centre in the Moscow City business centre from the Moscow Council. The buyout will be over three years with money to be paid to the city in approximately equal instalments. As a result of the transaction AFIs total debt increased to 585m with loans from VneshTorgBank accounting for 427m. Afimall City was opened one year ago and so far it has been generating negative cash inflow which experts believe to be normal for the first year of a shopping centres operation. The asset has almost 180,000 m2 in total, with about 115,000 m2 of leasable area.

Kievskaya hotel project deadline moved

Belcom Communication has secured an extension of the deadline for the construction of a new hotel complex on the site of the former Kievskaya hotel in Moscow, according to arendator.ru. The deadline has been moved until the end of 2014, and the developer has not been fined for the delay. The complex will consist of a hotel and office areas, which will take up 32,000 m2 between them. n

Kurskaya Ploshchad to get 23m for delayed project in Moscow

The company Kurskaya Ploshchad has won a lawsuit against the Moscow authorities after the hotel project it was going to build in

Moscow authorities expropriate site for construction of underground station

The Moscow authorities have expropriated a 3.5 ha site in the south Moscow district

Russian Construction Review Issue No. 5 (144)

Tuesday, 6 March 2012

Building materials
Asphalt-concrete modification plant to be built in Krasnoyarsk
The administration of the Krasnoyarsk Territory and Unikom, one of Russias largest asphalt-concrete modification producers, have signed a cooperation agreement providing for the opening of a Unikom production plant in Krasnoyarsk, according to Radi Doma Pro. The territorys authorities expect significant improvement in the local road system resulting from the cooperation with the company. The company works in road construction and modernisation and widely uses special modifying agents for asphalt concrete. These agents consist of microparticles of rubber made from used automobile tires which are then added to asphalt-concrete.

Soyuzstroy constructs roads, highways, infrastructure facilities, and bridges as well as carrying out road repairs. It also produces asphalt-concrete.

Soyuzstroy buys mobile asphalt-concrete plants from SPECO

The Soyuzstroy production association, one of the leading road building company in Russias Southern Federal District, has signed an agreement with SPECO, a South Korean leader in asphalt-concrete plant production, reports B2blogger.com. The Russian company will buy mobile asphaltconcrete plants from SPECO, and the deal is reported to cost RUB 38m (974,000).

IKEA may build factory in Nizhny Novgorod

IKEA, the Swedish furniture and housekeeping goods retailer, is considering building of one of its manufacturing plants in the Semenovsky district of Nizhny Novgorod Province. The company is currently in talks with the provincial authorities. If the decision to construct the plant is taken, IKEA would invest RUB 1.5bn (38.5m) in the project. The factory is to process wood and produce chipboard and veneer sheets. n

Real estate
Seven land plots to be sold in Moscow
The Moscow Land Resources Department is to auction off seven land plots in the city. The sites are located in the eastern, western, south western and Zelenogradsky districts. They are zoned for the construction of commercial and retail real estate, gas stations, and car parks. Four of the aforementioned seven are in Moscows Eastern administrative district and are located on Dmitrievskogo, Krasnobogatyrskaya, Lukhmanovskaya and Suzdalskaya streets. The other ones are on Akademika Anokhina and Skobelevskaya streets in the Savelki district. according to Vedomosti. The offer amounted to $350m (260m) and is coming from the company Verny Kapital, which informed sources associate with the Kazakh official and businessman Bulat Utemuratov. Neither Verny Kapital nor Smart Finance confirm the offer. The city authorities are surprised by the situation, and they say that Verny Kapital got the tender documentation for the hotel but did not participate in the auction. As Russian Construction Review reported, Smart Finance won the auction organised by the Moscow council in January and got the 21,530 m2 hotel for RUB 4.67bn (119m), which is located opposite to the Kremlin and equipped by the Russian tsars family interior decorations.

dator.ru, Mr Yebralidze has announced plans to sell the asset in autumn 2011, stating, at the time, that the final price will be no less than RUB 12bn (307m). However, some on the local market believe that the current RUB 14.7bn price is excessive. The hotel is situated at the junction of the Nevsky Avenue and the Moyka Embankment, which is the historical centre of the city. The building itself was built in the late 18th century.

Rechnaya hotel in St. Petersburg sold

The Rechnaya hotel in St. Petersburg has been sold to the company Megalit. The vendor is the Russian businessman Vladimir Kekhman the majority co-owner of the largest Russian fruit importer, JFC, which has been recently experiencing financial problems and has applied for voluntary winding up. The asset may have cost the new owner 31m. Megalit intends to demolish the hotel and to use the site for residential construction. According to arendator.ru, the demolition work could cost RUB 25-30m (640,000-770,000). Megalit is a Russian corporation and has operated for about 20 years, mainly in multi-storey residential construction. However, the companys portfolio also contains the

The Moscow National hotel may be re-sold for twice the price?
The company Smart Finance Group, which has recently become the owner of the National (Natsional) hotel in the centre of Moscow, has allegedly received an offer to sell the asset at more than twice the price it was bought for,

Luxury hotel in St. Petersburg to be sold

The owners of the 89-room Taleon Imperial Hotel in the centre of St. Petersburg have offered the asset for sale at a price of RUB 14.7bn (377m). The owner is Talion, which is controlled by Aleksandr Yebralidze, a Russian businessman. According to aren-

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Russian Construction Review Issue No. 5 (144)

Okhtinskaya dolina settlement of cottages in the Vsevolzhsky district of the Leningrad Province.

claims of the other creditors or wait until the store is auctioned out. The payoff period for the stores debts is scheduled for March 2013. Experts value the asset at $60m (44.6m).

Moskva department store got new major creditor

The Moskva department store in the centre of Moscow has got a new creditor after its 24.5m debt to the Latvian Parex Bank was bought by entities which are said to be connected to the local businessman Vladimir Polikhata, president of the RosEnergoMash group manufacturing equipment for energy producing industry. The debts were acquired for 27.8m. The 22,000 m2 department store, located on the Leninsky Avenue, was recently working with interruptions resulting from the shareholders conflict and has eventually been declared bankrupt. It has gone into the external administration as a result of a lawsuit from one of the smaller creditors private individual Larisa Zharekhina whose claim amounted to RUB 19m (480,000). The total debt of the department store amounts to RUB 1.3bn (33m) acquiring the majority of the debt potentially allows the new creditor to control the liquidation process. However, in order to control the asset, the new owner will either have to buy out the

Bosch opens new warehouse in Novosibirsk

The German Bosch has put into operation its new 4,000 m warehouse in Novosibirsk, according to Kommersant. The new warehouse space will be used for the storage of electrical appliances made by the German manufacturer. The new warehouse will be operated by FM Logistic, a French logistic services provider. Bosch has previously transported all its goods to the various regions of Russia from its Moscow warehouse. Thus, after opening its new warehouse in Siberia, the company expects to reduce delivery times to the Eastern parts of Russia.

Shipping Lines) is to acquire 100% of Stroyopttorg, which owns a 20,000 m2 logistics facility in Khabarovsk. The two main vendors are Transgarant (a 74.99% stake) and BGI Logistics AG (23.94%). The asset, located on a 9.2 ha site in the centre of the city, is one of the largest facilities for cargo transported by rail, motorway and river. Permission to consolidate the shares has been already granted to the DVMP by Russias Federal Antimonopoly Service (FAS).

Sever mall in Orenburg launches third stage

The third stage of construction for the Sever shopping mall in Orenburg has finished and the new premises were launched on 18 February 2012. The anchor tenants in the third stage are a Magnit grocery hypermarket and a Dochki & Synochki maternity and baby goods store. The total area of the mall is 52,000 m2, with 35,500 m2 of trading space. The start of fourth (and last) construction stage, which will add 11,000 m2, is planned for Q3 2012. This part will house Sportmaster and M.Video stores, as well as a multiplex cinema. n

Sea Shipping Lines acquires logistics complex in Khabarovsk

The company DVMP (Dalnevostochnoye Morskoye Parokhodstvo Far East Sea

Planned investments
Residential and mixed-use
Hals to build upmarket housing on Moscow sparkling wine plant site
The developer Hals Development (former Sistema Hals) is to build an upmarket residential complex in the centre of Moscow on the site of the Kornet sparkling wines plant located on Sadovnicheskaya Street. The complex will take up 54,300 m2 of low and middle rise housing. The plant belongs to the developers majority shareholder VneshTorgBank which got it and other assets with the Bank of Moscow after the latters former top-managers were prosecuted for fraud. Experts value potential investments in the project at 92-115m without the cost of relocating the existing production facilities. The plants production facilities will be relocated soon. In addition, the site hosts several protected architectural monuments. The project will become the second upmarket housing development for Hals Development, the construction of the first, taking up 67,300 m2, has recently been approved on another former industrial site on Lva Tolstogo Street in the Khamovniki district.

RBI to build residential housing in St. Petersburgs Primorsky district

The RBI holding has acquired 15 ha in the Primorsky district of St. Petersburg where it intends to develop 200,000 m2 of residential properties, social amenities and commercial real estate. Experts value the plot, which was acquired from individual owners, at 12-13m. According to the company, construction works are to begin within two years. The holding has been active in St. Petersburg since 1993. It specialises mainly in residential construction. The majority stake belongs to local businessman Eduard Tiktinsky while 24.99% is controlled by Morgan Stanley Real Estate Fund.

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Tuesday, 6 March 2012

Yet another residential complex to be built on Vasilyevsky island (St. Petersburg)

A residential complex is to appear on the site of the former iron rolling plant on Vasilyevsky island in St. Petersburg. The plants owners, who still control the site, intend to develop the project in co-operation with the Finnish developer Lemminkainen. The complex will take up 140,000 m2 and is estimated to need $350-450m (260-335m) in investments. The plant stopped production in 2006, and since then its owners are planning the new development.

total volume of properties put into operation amounts to 300,000 m2. As Russian Construction Review previously reported, the concept of the centre was worked out by German architecture firm Eller+Eller. Also, Okhta signed an agreement with IB-group company over the brokerage of areas in the future centre.

Hotel complex by Accor Group to be developed in Kaluga

The French Accor Group is to invest in and manage a complex consisting of an 160-room Ibis hotel and 130-apartment Adagio apart hotel in Kaluga. The whole complex will take up 18,000 m2 and cost about $38m (28.3m). The developer of the project is GVA Sawyer. In addition, the complex will consist the first hotel asset under the Adagio brand in Russia. According to sadz.info, the project itself is owned by Apart-otel company. Construction on the site are to begin in 2-3 months and are planned to take some 10 months. As the source informs, the complex will also have a 120-seat restaurant and some commercial spaces.

Non-residential
Two luxury hotel projects approved in Moscow
The present Moscow authorities have confirmed two luxury hotel projects approved by the previous city administration. The first is a 14,400 m2 hotel at the Pushkinskaya Square on the site of the former office of the Moskovskie Novosti daily newspaper. The project was launched by the owners of the newspaper and later acquired by the company BEL Development affiliated with the Basic Element holding (Bazel) belonging to the local tycoon Oleg Deripaska. The other development is a hotel project near Patriarshie ponds on the Maly Kozikhinsky Lane and it is also to be developed by BEL, while the investor Studia TriTe is affiliated with local famous actor and producer Nikita Mikhalkov. Oleg Deripaska maintains that his holding does not control BEL any more, although some informed sources, cited by Rbc Daily, still connect him to the company.

Stroitelny Trest acquires land in St. Petersburg

The company Stroitelny Trest has acquired two sites, taking up 6 ha in total, in the Vyborgsky district of St. Petersburg, according to Kommersant. The company will use the land for the construction of 150,000 m2 of various properties. The vendor has not been identified, but the sites are thought to be worth RUB 2-2.2bn (50-55m). The Stroitelny Trest was founded in 1992 and is a member of the self-regulating organisation (SRO) Obyedinenie Stroiteley SanktPeterburga (St. Petersburg Association of Construction firms). The company claims that its joint portfolio contains more than 1.8 million m2 of developments.

EBRD to grant 25m loan for science park in St. Petersburg

The Board of Directors of the European Bank for Reconstruction and Development (EBRD) intends to grant Technopolis, a Finnish construction company, a 24.7m loan for the construction of the second stage of a science park in St. Petersburg, according to arendator.ru. The total cost of this stage will be 49.3m. The park will take up more than 20,000 m, including 18,700 m of office space. Lemminkainen, a Finnish developer, is the prime contractor of the project. The first section of the science park was activated in the vicinity of Pulkovo airport in March 2010 and cost 52m.

Okhta Group to launch construction of mixed-use centre in Petrozavodsk

The Okhta Group is to launch the construction of a 77,000 m2 mixed-use centre in Petrozavodsk, in the Republic of Karelia. The centre will be a part a redevelopment project on the site of the former Aleksandrovsky tractor plant, involving the construction of various residential and commercial properties on a 21 ha land plot. The mixed-use centre will feature retail space, cultural and leisure facilities and will open by the end of 2014. The group is active in the North West of Russia, and is involved in both the commercial and residential construction sectors. The

Mariott to build 20 hotels in Russia till 2015

Mariott worldwide hotel network intends to open 20 new hotels in Russia by 2015. In 2012, the construction will be launched in Nizhny Novgorod, Omsk and Kemerovo. The company will implement the project along with the Russian Transstroybank, owned by the Russian businessman Petr Chitilakhovyan. The total investment is not disclosed, but the newest addition to the Marriot chain in Russia the 208 room Courtyard by Marriott in Irkutsk cost 45m. According to arendator.ru, other cities where Marriot hotels are also to be developed in the future are Krasnoyarsk, Krasnodar and Sochi. However, this would be in cooperation with investors other than Transstroybank.

Second stage of Moscows Mitino shopping centre to open in May

The second stage of the Mitino shopping centre in north-west Moscow will open in May this year, according to lenta.ru. The centre is close to a metro station bearing the same name. The second stage of the shopping centre will contain stores, a restaurant and offices. Meanwhile, the owner of the centre is planning to redesign the first stage of the building and to complete the work in September this year.

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Russian Construction Review Issue No. 5 (144)

The 10,000 m2 asset is located at the junction of Mitinskaya Street and Dubravnaya Street and opened in 2001.

The construction of the tunnel is expected to take six years.

First Russian diesel-solar power plant to be built in St. Petersburg

The Renova group of companies, a large Russian conglomerate, the Russian Corporation of Nano-technologies, and the Ioffe Institute of the Russian Academy of Sciences will develop the first Russian diesel-solar power plant, according to ktostroit.ru. The capacity of the pilot hybrid power plant will be 100 kW. It is planned to use such power plants in the south of Russia, the south-eastern part of Siberia, the Republic of Yakutia, Zabaykalye, and the Far East. n

Civil engineering
Israeli investors may build tunnel in Rostov-on-Don
Israeli investors are considering the construction of the Northern Tunnel in Rostovon-Don, according to Interfax. The project could cost RUB 7.5bn (192m). This will be a toll road which will connect the central part of the city with the northern residential area. The tunnel will eventually span 2.5 km, and its load bearing capacity will reach 60,000 vehicles per day.

Foreign investors encouraged to develop Taman port

Russias Ministry of Transport is considering the possibility of encouraging foreign investors to build and manage the port in Taman, in the Krasnodar Territory, according to Vedomosti. The companies which operate the ports of Rotterdam, Amsterdam and Hamburg are currently being considered as potential managing companies for the port. According to experts quoted by the same source, there is a 50-60 million tonne port capacity deficit in southern Russia.

In brief
n The company Firma Park Kultury has got permission to extend a deadline for the construction of an exhibition centre on Bolshoy Chudov Lane in the centre of Moscow till 0 June 201. The 2,600 m2 asset, with a 90-lot underground car park, should have been completed in 2009. The developer has not been fined for the delay. The retail area of the Nizhny Novgord railway terminal is to be expanded from 1,000 m2 to 1,600 m2. The station will contain a supermarket and other retail facilities. InterContinental Group (IGH) is to open a second hotel in Russia. It will be located in St. Petersburg. The first one opened recently in Moscow. The new hotel will be located in the centre of St. Petersburg and feature 159 rooms, 1 luxury suites and a presidential suite. The hotel is planned to be opened in 2016. n The company Shavrin and Godovalov intends to borrow RUB 200m (5m) from VneshTorgBank (VTB) for the construction of a warehouse in Perm. It has already borrowed RUB 100m (2.5m) from the same bank and owns several logistics facilities in Perm, Tyumen and Moscow. A logistics complex for Belorussian merchandise is to be built on the border of the Novgorod and Leningrad Provinces. The complex will have a capacity of 150,000 tonnes of goods. The construction work is to start in March this year, but no other details have been disclosed. The construction of three new waste burning plants could begin in Kiev in 201, according to building.ua. The city administration is currently producing a feasibility report and considering land sites for the future plants.

n n

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Tuesday, 6 March 2012

Ukraine
Ukrainian parliament to permit privatisation of ports and facilitate investment
The Ukrainian parliament has adopted a bill on the countrys seaports at its first reading, according to building.ua. The bill extends the protection of investors and facilitates the work of those eligible to work at Ukrainian ports. The newly adopted bill stipulates that the government has controlling functions only and that port infrastructure activities are now at the disposal of private companies. The main rationale of the new bill is to facilitate the work of investors and to establish public-private partnerships in ports. It secures the legitimacy of the work of marine terminals which are remote from the main port area and improves the port restructuring and privatisation mechanism. Ukrainian officials claim that Russians will be given priority in investing in six strategic projects, including the construction of residential and hotel complexes, a yacht marina, shipyards, an airfield and a recreation centre. The anticipated volume of investment in the projects, on 749 ha of the fleets land, exceeds $1.7bn (1.3bn).

sewage treatment facilities, according to Interfax. The total cost of the project is 5.1m, excluding VAT. The work is expected to be completed in full by 31 December 2012. The World Bank will lend $150m (111m) to the Ministry of Housing and Public Utilities of Ukraine for the reconstruction of water supply systems in several of the countrys cities.

Cypriot company to acquire Odessa concrete products plant

Barcosta Ventures Ltd., a Cypriot investment company, intends to purchase 48.5% of the issued share capital of Chernomorgidrozhelezobeton, an Odessa-based concrete products plant, according to building.ua. The plant currently produces precast concrete units.

Kharkiv authorities seek investors for new waste management plant

A municipal solid waste recycling plant will be constructed in Kharkiv by 2015, according to building.ua. The plant will occupy 83 ha of land and will cost around 25m. The authorities are currently seeking investors who could participate in the project. It is expected to use Slovenian techniques and expertise in the construction of the new plant. n

Sevastopol authorities encourage Russia to invest $1.7bn in city projects

The Sevastopol authorities have suggested that Russia should invest in the territories leased but not used by the Russian Black Sea Fleet, according to building.ua.
A D V E R T I S I N G

Two Polish companies to rebuild water purification facilities in Ivano-Frankivsk

The Polish companies Ekolog-Spomasz and Pios Ekoklar have won a tender for the reconstruction of the Ivano-Frankivsk

Tuesday, 6 March 2012

Russian Construction Review Issue No. 5 (144)

Market overview & statistics

Basic economic and construction industry indicators

Construction output and main macroeconomic indicators, 2008-2011
Construction output GDP GDP at current prices Real GDP change GDP components Household consumption Gross fixed capital formation Gross value added Manufacturing Construction Real estate, renting, business activities Output Industrial output Foreign trade Exports Imports Balance Prices CPI PPI Unemployment (by LFS) Salaries Gross monthly salaries Real change in gross monthly salaries Foreign direct investment Exchange rates /RUB $/RUB
Note: changes in the table presented in real terms. * preliminary data of Rosstat Source: Rosstat, CBR, 2012

RUB bn bn y-o-y bn y-o-y y-o-y y-o-y y-o-y y-o-y y-o-y y-o-y $ bn $ bn $ bn y-o-y y-o-y eop y-o-y $ bn average average

2008 4,528.1 124.4 12.8% 1,144.4 5.6% 10.7% 10.6% 0.2% 11.9% 13.6% 2.1% 471.6 291.9 179.7 13.3% -7.0% 7.7% 473.0 10.3% 75.0 36.4 24.8

2009 3,998.3 98.0 -13.2% 879.5 -7.8% -4.8% -14.4% -14.9% -14.6% -7.2% -9.3% 304.0 191.9 112.1 8.8% 13.9% 8.2% 426.0 -2.8% 36.5 44.1 31.7

2010 4,206.1 104.4 -0.6% 1,115.1 4.0% 3.0% 6.1% 12.3% -0.7% -1.2% 8.2% 400.0 248.4 151.6 8.8% 16.7% 7.5% 525.9 4.2% 43.3 40.3 30.4

Latest 2011 Jan 2012 234.7 Jan 2012 5.8 Jan 2012 11.7% Q1-Q4 Q1-Q4 Q1-Q4 Q1-Q4 Q1-Q4 Q1-Q4 Q1-Q4 Jan 2012 Jan-Dec Jan-Dec Jan-Dec Jan 2012 Jan 2012 Jan 2012 Jan 2012 Jan 2012 Jan-Dec Jan 2012 Jan 2012 1,330.3* 4.3%* 6.4%* 6.0%* 6.1%* 4.8%* 2.6%* 3.8% 522.0 323.2 198.8 4.2% 8.4% 6.6% 576.7 9.0% 38.1 40.7 31.5

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Production of basic building materials, 2010-2012

Types of building materials Cement Bricks Ceramic floor tiles Ferroconcrete production Unit million tons billion standardised bricks million m2 million m3 2010 Volume Y-o-y change Volume 50.4 15.4% 56.1 5.0 6.4% 6.1 70.0 7.3% 77.6 20.3 15.3% 22.9 2011 Y-o-y change 11.4% 17.2% 18.5% 11.2% January 2012 Volume Y-o-y change 2.7 26.4% 0.4 23.4% 6.6 20.7% 1.5 18.8%

Note: Since January 2010 Rosstat has introduced a new system for classifying production which is harmonised with the Statistical Classification of Products by Activity in the European Economic Community (CPA), and for this reason data on the production of bricks and ceramic roofing tiles in 2009 is not in line and can not be compared with the data provided since the beginning of 2010. Source: Rosstat, 2012

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Inflation in building materials in Russia (y-o-y), January 2011-January 2012

5.1% 5.6% 6.1% 6.7% 7.4% 7.8% 8.3% 8.5% 8.5% 8.3% 8.0% 7.9% 7.6%

Jan 11
Source: Rosstat, 2012

Feb 11

Mar 11

Apr 11

May 11

Jun 11

Jul 11

Aug 11

Sep 11

Oct 11

Nov 11

Dec 11

Jan 12

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10

Russian Construction Review Issue No. 5 (144)

Tuesday, 6 March 2012

Construction output
Construction output in Russia (%, y-o-y), January 2010-January 2012
17.6 12.4 11.7 4.2 -1.1 Jan 0.4 Feb Mar -1.9 Apr -5.5 May -5.0 Jun 1.9 2.5 -0.3 Jul -5.6 0.0 Aug 2.0 Sep 8.2 2.9 Oct Nov -1.0 5.9 6.7 11.6 16.5

Methodology notes on statistics in Russian ConstructionReview

Construction output
The value of construction output is understood as the monetary value of construction work carried out by construction companies based on construction contracts which are assessed and summarised by the Russian Federal State Statistics Service (Rosstat). Any changes in Rosstat data are immediately reflected in RussianConstructionReview. The updates may also refer to historical data.

Dec

-8.2 -13.6 -12.8

2010
Source: Rosstat, 2012

2011

2012

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Value of construction work orders signed and other construction orders (RUB bn) and backlog of orders in the Russian construction industry (months), January 2011-January 2012
303.1 245.6 3.5 313.1 3.2 2.6 2.5 2.3 1.7 1.0 Mar 11 Jan 11 Feb 11 Apr 11 May 11 Jun 11 Jul 11 Aug 11 Sep 11 1.6 1.6 1.3 Oct 11 1.4 1.2 Dec 11 337.9 343.2 332.7 309.7 307.3 307.6 288.4 302.5 255.0 264.3

Changes in construction output

The percentage changes in construction output are presented in real terms, which means that changes in construction prices have been factored in.

0.9

Value of construction work contracts signed

Backlog of orders

Note: the 'backlog of orders' figures indicate the number of months for which Russian construction companies st are assured work based solely on the volume of contracts concluded by them as of the 1 of the month. For example, in February 2009 the backlog of orders was 3.6, which means that the total volume of contracts concluded by construction companies as of 1 February 2009 allowed them to continue doing business (assured them work) for another 3.6 months, assuming the January 2009 capacity utilisation rate. Source: Rosstat, 2012

Construction ouput in Russia in January (RUB bn), 2010-2012

169.3 192.3 234.7

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Regional comparison of construction industry performance in CIS countries, 2010-2012

Nov 11

Jan 12

Jan 2010
Source: Rosstat, 2012

Jan 20110

Jan 2012

Change in construction output* in Russia in January (y-o-y), 2010-2012

11.7% -1.1% Jan 2010 -13.6%
Source: Rosstat, State Statistics Committee of Ukraine, National Statistics Committee of Belarus, Statistics Agency of Kazakhstan, 2012

Jan 2011

Jan 2012

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* in real terms Source: Rosstat, 2012

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Tuesday, 6 March 2012

Russian Construction Review Issue No. 5 (144)

Construction output in federal subjects of Russian Federation, 2009-2011

Russian Federation, total Central Federal District Belgorod Province Bryansk Province Vladimir Province Voronezh Province Ivanovsk Province Kaluga Province Kostroma Province Kursk Province Lipetsk Province Moscow Province Oryol Province Ryazan Province Smolensk Province Tambov Province Tver Province Tula Province Yaroslavl Province City of Moscow Northwestern Federal District Republic of Karelia Republic of Komi Arkhangelsk Province Including Nenets Autonomous District Vologda Province Kaliningrad Province Leningrad Province Murmansk Province Novgorod Province Pskov Province City of St. Petersburg Southern Federal District Republic of Adygeya Republic of Kalmykia Krasnodar Territory Astrakhan Province Volgograd Province Rostov Province North Caucasian Federal District Republic of Dagestan Republic of Ingushetia Republic of Kabardino-Balkaria Republic of Karachay-Cherkessia Republic of North Ossetia-Alania Republic of Chechnya Stavropol Territory Volga Federal District Republic of Bashkortostan Republic of Mari El Republic of Mordovia Republic of Tatarstan Republic of Udmurtia Republic of Chuvashia Perm Territory Kirov Province Nizhny Novgorod Province Orenburg Province Penza Province Samara Province Saratov Province Ulyanovsk Province Urals Federal District Kurgan Province Sverdlovsk Province Tyumen Province Including Khanty-Mansi Autonomous District (Yugra) Yamal-Nenets Autonomous District Chelyabinsk Province Siberian Federal District Republic of Altay Republic of Buryatia Republic of Tyva Republic of Khakassia Altay Territory Zabaykalsky Territory Krasnoyarsk Territory Irkutsk Province Kemerovo Province Novosibirsk Province Omsk Province Tomsk Province RUB million 3,869,074.1 1,023,423.5 27,154.0 11,494.7 20,078.3 26,539.5 15,007.8 22,378.8 4,309.6 19,163.1 23,073.5 211,544.1 6,745.7 18,341.0 15,609.3 17,793.5 25,728.9 30,527.6 33,190.2 494,743.8 561,944.6 7,070.2 38,374.9 19,821.1 6,343.1 27,172.3 25,618.0 92,727.1 11,235.1 14,240.1 6,157.9 319,527.9 448,308.6 7,800.7 2,912.9 187,367.6 18,490.0 32,443.2 67,316.9 53,644.9 3,899.9 6,371.1 5,163.2 12,241.1 26,889.8 23,767.4 623,562.6 73,505.8 6,497.9 13,830.0 184,071.3 14,728.4 18,517.7 56,457.9 9,044.0 102,806.9 25,205.5 25,072.5 40,973.9 33,386.0 19,464.9 503,152.0 7,836.6 71,884.9 379,556.9 149,653.5 173,280.7 43,873.5 329,812.6 4,205.3 13,245.3 2,018.0 4,981.7 16,958.4 22,753.6 67,619.2 40,362.7 65,923.1 28,227.3 31,420.1 32,097.8 2009 Change (%, y-o-y) -16.0 -17.1 -30.2 -1.4 -2.7 -3.0 27.1 -15.5 -28.2 -12.1 1.0 -24.5 -34.2 -33.6 -9.4 1.8 1.7 25.2 0.2 -19.1 -19.6 -25.1 -9.8 -49.8 -52.7 -34.9 -11.7 5.8 -36.2 7.6 -39.8 -32.7 -4.4 15.8 4.5 4.5 -35.6 -14.0 -15.9 15.7 1.0 -14.5 -13.8 0.2 3.0 -25.2 -20.0 -23.3 -31.1 -11.3 4.5 -32.0 -42.4 -18.2 -39.4 -32.5 -29.9 -24.9 -27.6 -20.0 -21.3 -22.1 -25.4 -35.6 -15.8 -19.6 -4.5 -39.9 -22.1 -28.2 0.8 83.2 -13.7 -29.7 -20.2 -4.8 -26.0 -13.0 -47.9 -36.8 -18.8 RUB million 4,206,100.0 1,093,587.3 36,263.1 13,476.7 21,308.9 22,796.3 12,800.8 26,812.4 8,064.8 24,127.4 21,927.1 232,256.1 7,669.6 23,080.0 19,341.4 17,827.4 26,334.5 25,041.6 34,237.7 520,221.6 589,088.0 10,261.8 51,936.2 25,822.9 10,846.6 26,617.7 22,405.0 72,054.7 17,417.7 15,446.0 7,121.9 340,004.0 397,471.8 7,075.0 2,531.3 267,686.8 16,871.4 35,621.0 67,686.4 135,584.2 60,223.5 3,253.7 4,008.6 4,192.2 12,943.9 21,505.0 29,457.2 618,336.7 81,162.7 8,767.0 17,354.8 176,883.7 14,683.6 18,501.5 60,192.4 10,335.5 80,310.9 28,792.4 23,504.4 45,962.8 35,098.0 16,787.1 531,377.2 4,542.9 83,728.9 402,823.3 168487.9 172,356.6 40,282.0 364,936.2 6,719.2 15,947.9 2,225.9 7,199.7 15,984.8 16,740.7 78,855.3 52,162.3 69,863.0 36,121.4 35,725.7 27 390.5 2010 January-December 2011 Change (%, y-o-y) RUB million Change (%, y-o-y) -0.6 5,061,800.0 5.1 1.9 1,236,396.9 -0.6 11.7 59,839.0 54.4 7.2 16,886.2 0.2 4.6 23,516.8 2.2 -1.8 28,525.4 10.8 -22.9 16,221.5 9.4 7.6 33,775.3 18.1 -1.7 9,157.4 -14.7 21.9 25,911.2 3.2 -14.3 28,507.1 0.5 8.9 282,988.4 -1.2 -7.2 9,248.4 5.2 14.4 31,993.5 0.1 7.2 25,566.2 1.1 2.1 20,451.7 10.5 2.3 32,533.2 9.1 -22.2 17,048.1 -33.8 0.1 38,570.2 3.5 0.0 535,657.3 -5.7 -3.0 672,471.4 3.9 42.1 10,168.4 -3.9 14.1 64,976.4 8.1 9.7 29,326.4 -2.3 55.2 10,271.8 -24.8 -8.2 60,699.9 90.7 -42.3 33,495.7 11.5 -8.5 92,547.1 15.1 -2.1 21,708.4 27.4 -4.6 15,833.9 -21.5 0.1 7,977.3 -10.0 -0.9 335,738.0 -6.3 15.3 528,579.8 10.5 -15.1 8,328.4 5.1 -21.9 2,167.6 -19.8 26.0 381,134.8 15.9 -14.5 17,364.7 2.2 -0.2 42,843.6 2.5 3.4 76,740.7 -4.0 -2.9 162,411.4 8.9 9.6 68,358.3 6.5 -27.8 1,827.0 -50.1 -29.6 5,382.7 22.7 -31.7 7,239.4 44.1 0.4 14,654.0 1.2 -23.4 27,384.4 16.7 7.4 37,565.7 10.7 2.0 777,736.9 8.4 -3.5 99,511.3 3.4 36.5 11,547.2 11.0 22.1 25,678.9 41.9 4.0 233,206.4 6.8 0.0 19,320.9 37.0 8.8 23,046.7 5.7 -3.4 69,593.4 -0.7 -12.2 12,043.2 1.6 8.0 88,436.3 0.7 0.8 33,358.1 -2.9 0.4 30,150.1 18.6 3.5 64,927.6 27.7 5.5 42,544.0 11.6 -22.4 24,372.8 23.1 -0.5 593,442.6 1.6 -46.0 8,476.9 46.5 15.4 106,323.5 8.2 -2.2 433,856.9 0.0 4.0 211,553.4 9.4 -14.7 152,193.8 -12.5 -2.4 44,785.3 -2.8 -0.7 484,945.2 14.1 16.3 9,763.3 8.2 2.7 19,990.1 9.7 7.2 2,463.2 2.0 13.5 9,290.9 13.5 6.8 27,560.5 28.0 -35.2 20,132.3 2.4 -1.6 97,571.1 -1.6 6.0 73,651.2 20.8 4.0 102,265.8 30.0 13.6 44,025.1 10.5 2.1 41,724.9 9.7 -18.6 36 506.8 25.1

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Russian Construction Review Issue No. 5 (144)

Tuesday, 6 March 2012

Far Eastern Federal District Republic of Sakha (Yakutia) Kamchatka Territory Primorsky Territory Khabarovsk Territory Amur Province Magadan Province Sakhalin Province Jewish Autonomous Province Chukotka Autonomous District
Source: Rosstat, 2012

251,238.5 64,552.6 14,114.2 48,855.2 38,801.4 28,014.5 5,653.1 45,611.2 4,505.6 1,130.6

-8.6 11.4 22.1 24.9 -5.7 -10.9 -7.5 -44.0 1.4 -35.8

308,928.6 43,753.5 14,392.4 87,165.4 67,134.1 25,792.1 6,569.7 52,176.5 10,770.8 1,174.1

6.2 -39.9 -23.1 32.2 61.0 -12.8 0.9 5.8 110.0 4.0

385,126.7 58,573.5 14,862.6 122,559.3 55,583.3 32,056.3 8,632.4 78,809.6 11,891.6 2,158.2

6.6 12.5 -19.3 14.1 -25.9 8.1 14.0 36.1 -0.3 87.0

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Housing construction
Flats completed in Russia (millions of m of space and y-o-y change), January 2010-January 2012
20.0 15.0 10.0 5.0 0.0
Mar 10 Dec 10 Mar 11 Jan 10 Jun 11 Oct 11 Feb 10 May 10 Aug 10 Sep 10 Feb 11 May 11 Aug 11 Sep 11 Nov 10 Nov 11 Dec 11 Jan 12 Apr 10 Jun 10 Jul 10 Oct 10 Jan 11 Apr 11 Jul 11
2

30% 20% 10% 0% -10% -20% -30%

Flats completed (millions of m2)

Source: Rosstat, 2012

Y-o-y change

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In January 2012, all types of investors completed 36,500 new homes.

Homes completed, number and total floor space, 2008-2012

Number of homes completed Change Total floor space of homes completed Change 000 y-o-y million m2 y-o-y 2008 766.0 7.2% 63.8 4.5% 2009 701.3 -8.4% 59.8 -6.7% 2010 714.1 1.8% 58.1 -3.0% 2011 788.2 9.9% 62.3 6.6% Jan 2012 36.5 23.7% 3.1 21.5%

Source: Rosstat, 2012

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Total floor space of housing units completed in federal subjects of Russian Federation, 2009-2011
2009 Floor space (000 m2) Russian Federation, total Central Federal District Belgorod Province Bryansk Province Vladimir Province Voronezh Province Ivanovsk Province Kaluga Province Kostroma Province Kursk Province Lipetsk Province Moscow Province Oryol Province Ryazan Province Smolensk Province Tambov Province Tver Province Tula Province Yaroslavl Province City of Moscow 59,800.0 18,611.6 1,097.3 345.2 452.2 872.5 181.9 441.8 176.9 457.2 731.2 8,235.7 285.5 510.5 346.1 564.8 440.9 394.8 373.9 2,703.5 Change (%, y-o-y) -6.7 -2.7 -1.3 7.3 7.8 -22.1 6.5 -30.0 18.7 2.2 1.3 4.5 -12.4 1.5 0.4 0.8 26.9 -5.4 -5.8 -17.2 2010 Floor space (000 m2) 58,100.0 17,142.8 1,100.2 390.1 480.8 1,048.2 190.7 507.5 150.5 377.2 736.0 7,733.2 199.3 466.4 331.7 568.7 406.0 394.8 290.5 1,771.0 Change (%, y-o-y) -3.0 -9.3 0.3 10.5 6.6 18.1 2.3 11.1 -16.6 -17.3 0.6 -8.5 -33.9 -8.5 -4.1 1.7 -9.9 0.0 -22.8 -34.5 Floor space (000 m2) January-December 2011 Change (%, y-o-y) 62,263.9 6.6 18,003.3 3.1 1,147.5 4.3 421.0 7.7 435.7 -9.4 987.0 -6.0 224.0 17.4 586.5 17.1 152.9 1.0 393.2 3.1 761.6 3.4 8,219.4 3.5 330.4 32.6 475.3 1.9 370.8 6.5 602.9 5.9 416.6 -7.9 260.6 -34.0 412.7 41.6 1,805.2* 2.1

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Tuesday, 6 March 2012

Russian Construction Review Issue No. 5 (144)

Northwestern Federal District Republic of Karelia Republic of Komi Arkhangelsk Province Including Nenets Autonomous District Vologda Province Kaliningrad Province Leningrad Province Murmansk Province Novgorod Province Pskov Province City of St. Petersburg Southern Federal District Republic of Adygeya Republic of Kalmykia Krasnodar Territory Astrakhan Province Volgograd Province Rostov Province North Caucasian Federal District Republic of Dagestan Republic of Ingushetia Republic of Kabardino-Balkaria Republic of Karachay-Cherkessia Republic of North Ossetia-Alania Republic of Chechnya Stavropol Territory Volga Federal District Republic of Bashkortostan Republic of Mari El Republic of Mordovia Republic of Tatarstan Republic of Udmurtia Republic of Chuvashia Perm Territory Kirov Province Nizhny Novgorod Province Orenburg Province Penza Province Samara Province Saratov Province Ulyanovsk Province Urals Federal District Kurgan Province Sverdlovsk Province Tyumen Province Including Khanty-Mansi Autonomous District (Yugra) Yamal-Nenets Autonomous District Chelyabinsk Province Siberian Federal District Republic of Altay Republic of Buryatia Republic of Tyva Republic of Khakassia Altay Territory Zabaykalsky Territory Krasnoyarsk Territory Irkutsk Province Kemerovo Province Novosibirsk Province Omsk Province Tomsk Province Far Eastern Federal District Republic of Sakha (Yakutia) Kamchatka Territory Primorsky Territory Khabarovsk Territory Amur Province Magadan Province Sakhalin Province Jewish Autonomous Province Chukotka Autonomous District

2009 Floor space Change (%, y-o-y) 2 (000 m ) 5,720.5 -12.8 164.2 11.7 114.6 -37.8 258.1 -25.6 42.5 -33.5 484.7 -11.1 606.6 -24.2 1,030.7 13.5 22.1 136.1 245.7 -5.0 190.5 25.9 2,603.2 -18.9 9,372.6 -5.5 120.0 48.6 75.3 26.9 3,394.4 -13.8 477.9 25.0 714.1 -12.9 1,804.7 -10.1 1,014.8 11.9 33.5 -46.1 255.0 3.1 90.1 -5.7 197.7 0.4 71.6 30.1 1,123.4 5.5 12,680.7 -6.5 2,352.0 0.0 301.2 0.8 276.6 -2.7 2,010.2 -9.6 455.5 -6.3 852.1 -12.9 675.5 -18.9 330.9 -22.3 1,402.3 3.6 740.0 -4.6 608.6 0.6 1,024.2 -22.9 1,120.7 0.7 530.7 4.4 5,300.0 -14.9 286.6 2.0 1,594.4 -6.3 1,988.9 -10.4 824.8 -7.5 130.7 -43.1 1,430.1 -29.3 6,220.3 -13.3 59.5 2.0 244.5 -20.4 50.3 13.0 183.2 -5.0 654.0 3.5 264.7 2.4 850.0 -22.8 593.8 1.5 1,069.3 0.6 1,212.3 -12.9 605.1 -40.4 433.7 -17.2 1,495.4 5.1 291.1 0.1 60.5 -4.6 391.9 4.4 373.1 22.7 149.2 -19.3 15.6 4.2 161.7 8.6 48.2 22.3 4.0 156.4

2010 Floor space Change (%, y-o-y) 2 (000 m ) 5,541.3 -3.1 142.2 -13.6 81.2 -32.4 268.2 10.1 39.8 -6.6 409.1 -16.5 525.4 -13.6 1,041.1 1.0 27.8 25.9 250.2 1.6 139.5 -27.2 2,656.5 2.0 6,739.4 1.9 133.9 6.6 80.6 11.5 3,554.0 4.2 495.7 4.1 666.7 -7.8 1,808.4 0.2 2,968.5 6.0 1,104.9 3.7 158.4 324.2 257.9 0.9 66.6 -26.0 198.0 0.2 81.7 9.1 1,101.1 2.1 12,353.5 -2.9 2,006.3 -14.7 302.3 0.8 289.2 4.5 2,027.0 0.8 485.5 4.5 874.1 2.6 691.4 -0.5 370.8 10.4 1,452.1 3.4 581.1 -21.5 624.1 2.3 1,040.0 1.6 1,142.6 1.1 467.0 -12.0 4,770.1 -10.3 156.4 -45.8 1,761.5 10.7 1,788.9 -10.8 539.2 -34.8 125.3 -7.5 1,063.3 -25.7 6,565.9 5.1 68.0 12.0 270.8 9.2 49.3 -1.9 139.9 -24.3 659.4 0.8 272.4 1.2 966.4 12.3 629.5 4.5 1,002.7 -5.7 1,364.3 12.2 706.0 16.7 437.1 0.8 1,632.7 7.6 300.8 2.5 57.5 -9.2 529.7 32.8 311.6 -17.8 163.9 9.6 15.9 1.8 200.3 21.6 52.6 7.7 0.3 -93.4

January-December 2011 Floor space Change (%, y-o-y) 2 (000 m ) 5,784.1 3.9 178.8 25.4 115.3 43.7 280.1 -2.8 28.1 -33.6 414.1 1.0 545.0 3.9 1,075.2 3.0 22.7 -18.0 272.5 12.2 174.6 16.7 2,705.7 1.9 6,921.8 1.7 121.7 -9.9 99.0 13.4 3,688.7 2.3 503.2 0.7 628.9 -5.7 1,880.3 4.0 3,175.3 4.8 1,210.0 7.7 81.8 -48.3 271.8 2.9 82.0 16.9 200.1 1.1 62.6 -45.7 1,266.9 15.1 13,568.1 9.1 2,109.3 5.1 314.7 3.7 298.1 3.2 2,396.1 18.2 501.5 4.0 876.0 0.2 731.8 -3.9 400.4 5.9 1,474.2 1.4 743.5 26.8 670.1 7.2 1,330.6 27.8 1,168.7 2.1 553.1 18.5 5,384.9 11.8 183.6 15.0 1,817.8 2.7 2,067.7 13.9 712.2 26 133.7 -4.3 1,315.8 22.6 7,185.6 8.8 76.8 12.4 302.0 11.1 52.4 5.9 153.8 9.4 661.6 0.3 275.1 0.1 1,049.9 6.3 751.3 19.6 1,082.6 8.0 1480.7 7.3 841.4 19.1 458.1 4.8 1,898.2 15.2 315.6 4.2 68.7 18.9 583.1 8.9 382.5 21.4 240.2 44.4 18.2 14.1 234.7 16.3 53.0 0.8 2.2 711.3

* completed in the city of Moscow, including the area of Lyberetskie Fields the volume amounted to 2,107,300 m Source: Rosstat, 2012

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Russian Construction Review Issue No. 5 (144)

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Tuesday, 6 March 2012

Russian Construction Review Issue No. 5 (144)

Russian Construction Review Bi-weekly News Briefing: a prime source of market intelligence for construction professionals
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