"CHEAP ROOF over your head!!! - News about real estate, Kiev, Kyiv region. Real Estate In Ukraine

Dozens of Poltava were able to get a "cheap" roof. "We passed the first building constructed as part of the development of the program "Affordable housing". It was the first pilot project, but our experience was evaluated the possibility of cheaper...Dozens of Poltava were able to get a "cheap" roof. "We passed the first building constructed as part of the development of the program "Affordable housing". It was the first pilot project, but our experience was evaluated the possibility of cheaper housing in Ukraine", - says Evgeny Lopushinsky, assistant to the Chairman of the Poltava regional state administration. - Who had, and bought it. People came to the administration, wrote statements. No restrictions for buyers we did not put".The experiment is considered successful. Soon the world saw the concept of the Ministry of regional development "State program on providing citizens with affordable housing for the period 2009-2016 and the corresponding bill. Although these documents have not been approved at the state level, local municipalities have engaged in the development and approval of a similar regional programmes, identify areas in which could appear affordable housing", and the definition of future developers.In may this year, the government of Poltava region reported about the allocation of a further nine sites for the construction of "affordable" homes. Similar statements came tumbling in from other regions.In Lugansk, for example, for these purposes, recently took just one area, but an area of 10 hectares, on the outskirts of the city. Just selected by the Ministry of regional development of the list of pilot projects for affordable housing at the moment were more than 10 areas with 72 objects.To start building officials promise this year. To reduce the cost of housing is offered through a free allocation of land, the use of already approved project documentation, inexpensive construction materials domestic production (panels, blocks) and completing unfinished buildings. To lay the communication on their own" local authorities are ready in words only waiting for funding from the state budget. "For many local municipalities still remains a very painful problem of the lack of necessary funds for the construction of a citywide community facilities, without which many of the pilot projects may be only a draft", - says Dmitry Poddubny, President of LLC "Capital construction technologies".On the implementation in the framework of the program "Affordable housing" mechanism of 30% of the financing for the purchase of apartments from the budget and about the cheapening of mortgage loans to preferential 4-6% per annum until also. In the state budget for this year matching funds is not provided, and the mortgage market was rapidly rose in price. Yes and plans to reduce them to this level next year, experts believe no more real than a cinematic story in the fantasy genre. "It's very likely to assume that interest rates on loans under the program "Affordable housing" will be even higher than standard Bank loans, since these loans are not funding base and will require expensive money, " says Alexander Okhrimenko, Advisor to the Chairman of the Board of JSB "Ukrgasbank". - Mortgage loans under 4-6% per annum through the refinancing system of the State mortgage institution really only provided that all bonds of the SMI will be sold to foreign investors at a rate not exceeding libor. It is theoretically possible, but given the situation on global financial markets and the level of trust of foreign investors to the SMI, it looks unlikely. Today the bulk of the redeemed bonds SMI Ukrainian banks at rates that significantly exceed 4-6%". So even if to build "affordable" homes still start, they can be purchased only for their money or borrowed in the Bank at market rates means.The mythical $500The reference point for potential builders "affordable" homes - sales price of residential "square" in $500-600. For such value were implemented flats in the first experimental house built under the program "Affordable housing" at Poltava (S. Shcherbani). Although the construction phase of the second phase of this project, the selling price per square meter has increased by 30-40%, a price target of $500 continue to articulate representatives of relevant ministries. A different perspective on perspective price available square" from developers. Capital and regional builders argue that such prices to potential buyers "affordable" apartments to forget. And this time the developers almost unanimously declare: the lack of spending on the allocation of land is not an argument in favor of a significant reduction in price purchase price of housing."The weight of the earth per square meter big apartment building is not so great. There may be cheaper up to $50 per square meter, but not hundreds of dollars, - says Yuri Kostoglodov, Chairman of the Board of Directors the CLAIM of "Avantage" (Kharkov). - 80% of the construction cost is construction work, of which 60% is materials, and during 2007-2008 the cost of building materials increased by 100% because of higher energy prices. In addition, the developer contributes to the development of the city from 5 to 25% of the value of work. Plus he always carries out reconstruction work: to connect to the sewer, you need to repair at least 300 meters of pipes and systems. Same with plumbing. The solution to the problem of the load on the network reaches 10-15% of the construction cost"."Builders in principle do not acquire the land for the construction of apartment buildings. Still there is a practice of allocation of plots for construction of rental. The house because after the Deposit still goes to the balance of the city, " explains Vladimir Herman, head of marketing SIC Kyiv Housing-invest. - Although this certainly does not mean that they get it for free (except for a symbolic rent rates, have to pay officials bribes, often reaching one-third of the prospective profitability - approx. "WA"). If you talk about the cost per square meter without indirect cost allocation, the cost of communication, promotion and advertising, development of project documentation, without charges to the city (due to the absence of which it is proposed to reduce the cost of construction under the program "Affordable housing" - approx. "WA"), then to Kiev, it will be $600-800 per square meter in the panel house, and $1000 per sq m in monolithic frame. Plus the profitability of the developer - 40-80% for houses economy class from which it is unprofitable to give up even in the construction of affordable housing. Obtained from $840 and $1,400 per sq m respectively for prefabricated and cast-frame "technology".I see this developers the minimum price at which you could sell the apartments under the program "Affordable housing" in the capital. For regional cities this figure for $100-300 less. And this is assuming that local authorities will waive mandatory contributions to the city, for the opportunity to build on the "free designated area" will not have anyone to share, and communications is at the expense of budgetary funds.Without sacrificeTo cut the same rate of return for the implementation of social initiatives of the state, the developers did not intend. "Construction companies will not be able to operate without the necessary profitability. Developers will simply refuse to build houses under the program "Affordable housing," continues Mr. Poddubny. "They will build until you understand that there are more profitable areas of investment. Typically builders is a diversified corporations that have multiple lines of business, low profitability, the money will be diverted to other, more profitable industry," - said Denis Protection, the President of the construction company Miskzhitlobud (Kiev).No wonder no one can guarantee the bringing to mind even started the construction of "affordable" homes.

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