Page 62 - UKRRptJun21

moved above its equilibrium level in April, to 51.5, up from 40.6 in March. Respondents expected an increase in construction volumes, the number of new orders, purchases of contractor services, and purchases of raw materials and supplies. Companies across all sectors expect a rise in selling prices on the back of higher raw material and supplies prices. They also report no intentions to expand their workforces.
Apartment prices in Kyiv could nearly double – to $2,000 per square meter -- by the end of 2023, predicts Serhiy Pylypenko, general director of Kovalska construction and construction materials company. Driving prices up 15-20% this year will be the rising cost of building materials, he told the Confederation of Builders conference, “Post-Quarantine Development” Wednesday in Kyiv. The world runup in iron and steel prices are pushing local prices up by 30-40%, he said.
Dragon increased its Kyiv warehouse holdings by 50% in mid May by buying a 100,208 square meter office and logistics complex in Bilogorogoda, six km from the Kyiv ring road, between the Odesa and Zhytomyr highways. With the purchase of Amtel Logistics Complex, Dragon’s portfolio of 11 warehouses totals 294,000 square meters on the right bank of Kyiv and 391,000 square meters across Ukraine, the company reports. Dragon also is building the first stages of two industrial parks – 25,500 square meters on the E40 in Kyiv; 14,500 square meters on the M10 in Lviv.
Estonian shareholders of Arricano Real Estate Plc registered in Cyprus, the management company and developer of a number of shopping and entertainment in Ukraine, have demanded $750mn in compensation for what they say is the illegal seizure of Sky Mall in Kyiv. “According to the press service of Arricano, after filing the notification, the parties have six months to settle the dispute before arbitration. If the parties fail to agree within the specified period, Estonian investors will apply to international investment arbitration against Ukraine” Interfax-Ukraine has reported.
62 UKRAINE Country Report XXXX 2018 www.intellinews.com