Real estate market monitoring. April 2011

The monitoring presents the results of the development of the residential and the commercial real estate markets of Moscow and Moscow Region in April 2011.

In April 2011, the supply volume in the elite primary market remained at the level of the previous month. By the results of the month the average price for apartments in the elite new buildings grew by 3.4%, which was caused by the direct raise of prices for some properties.

April 2011 did not bring any important changes into the situation in the office real estate market of Moscow. All the indices stay stable, the level of business activity is rather high, at the same time all the recent trends are still relevant in the market: the slowdown of new supply delivery paces, developers' change of plans and stable recovery of demand for rent and purchase of high-quality areas.

In April 2011, the recovery was noticed in the professional retail real estate market of regional cities: 4 new projects of REC were announced. Besides, two operators' entry into the Russian market was reported in April: Kesko Finnish group plans to develop the chain of product hypermarkets Kesko Food in Russia, besides, Berghaus British chain of clothes and shoes stores is getting ready to enter the Russian market.

Important news of the hotel market of Moscow in April was the announcement about the construction of a hotel in Volkhonka str., opposite Christ the Saviour Cathedral. The developer of the project is "Shater" retail house, Hilton Hotels will manage the new hotel for 142 rooms. It was also reported in April that the Vega hotel (more than 1, 000 rooms) will be possibly included in the International system Best Western International. Another important event of April for the hotel real estate market was the opening of 3* Aminievskaya hotel, reconstructed from the former hostel. The hotel, the room capacity of which numbers 223 rooms, entered the new hotel chain "Cosmopolis Hotels", formed by ZAO "Mospromstroy".