Expert: Investment in Russian commercial property falls 58% 2015

MOSCOW, Dec 15 (PRIME) -- Investment in Russian commercial property fell to its lowest in the last five years and decreased 58% compared with 2014, S.A.Ricci managing partner Alexei Bogdanov told reporters.

“Investment in commercial property has been falling for a second year in a row. A decrease against 2013 stood at 72%. It is a record low investment in Russian property over the last five years,” the expert said.

Investors are mainly interested in commercial property in Moscow and the Moscow Region, while other assets lost their attractiveness due to high investment risks, Bogdanov said.

An average deal in the segment fell 37% to U.S. $72 million in 2015 and the share of deals with commercial property area exceeding 30,000 square meters decreased by 7 percentage points to 31%.

Investment in Russia’s commercial property is likely to stand at $2.5-3 billion in 2016, the expert said.

(70.2244 rubles – U.S. $1)

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