Page 128 - RusRPTJun21

the record high of 2015. This year, completions are seeing tailwinds from upbeat residential demand after the launch of the subsidised mortgage programme and the low base of early 2020. Volumes in 4mo21 are up 28% y/y and 22% vs. the same period of 2019 for a decent operational stance.
In order to reach the announced plans, completions only need to stay flay y/y (at 61.2mn sqm) from May to December 2021. We consider that to be conservative, taking into account the robust residential sales last year. The sector’s strategic target is for 120mn sqm of completions by 2030 and the latest support measures were raised in areas such as developing complex territories for large-scale projects and lowering administrative requirements, which could reduce construction cycles by 30%. In the short term, we anticipate a final modification of the subsidised mortgage programme at a 6.5% rate from 1 July, as it could have a sizable impact on demand and completions in the next few years.
In the first quarter of 2021, 228.0 thousand apartments were commissioned in multi-apartment and residential buildings, including those built by the population, with a total area of residential premises of 17.8mn square meters. Compared to the first quarter of 2020, the volume of housing commissioning increased by 15.4%.
In the first quarter of 2021, the population built 72.2 thousand residential buildings with a total area of 9.7mn sq. meters, which amounted to 121.6% by the first quarter of 2020.
Among the constituent entities of the Russian Federation, the largest volumes of housing construction were carried out in the Moscow Region, where 10.9% of the total area of housing commissioned was commissioned in Russia as a whole, Moscow - 6.4%, Leningrad Region - 6.0%, the Republic of Tatarstan - 5 , 0%, Krasnodar Territory - 4.9%, St. Petersburg - 4.1%, the Republic of Bashkortostan - 3.9%, Samara and Sverdlovsk regions - 3.2% each, Rostov region - 2.6%, Novosibirsk region - 2.3%, Nizhny Novgorod region - 2.2%. 9.7mn square meters have been built in these constituent entities of the Russian Federation. meters of the total area of housing introduced in Russia.
With significant volumes of housing construction in the 1st quarter of 2021, there was a decrease in housing commissioning compared to the 1st quarter of 2020 in Moscow - by 22.5%, in the Rostov region - by 15.0%, in the Nizhny Novgorod region - by 13.9%, Krasnodar Territory - by 8.9%.
The share of individual housing construction in the total area of completed housing construction was: in Russia as a whole - 54.5%; in the Republics of Altai, Komi and Tyva, the Karachay-Cherkess Republic, the Kurgan and Tyumen (without autonomous okrugs) regions, the Yamalo-Nenets Autonomous Okrug and Sevastopol - from 90.4% to 99.0%, in the Republic of Ingushetia, the Jewish Autonomous Region, Nenets Autonomous Okrug, Magadan and Oryol
128 RUSSIA Country Report June 2021 www.intellinews.com