The property market in Moscow

Real estate markets have globalised, but will recent events curb growth?

8 April 2014, Words by Paul Tostevin

 

The Moscow residential market recorded modest price growth of 2.2% in 2013, as transactions rose a quarter over 2012 levels. Interest in domestic real estate among wealthy Russians had been increasing prior to the crisis in Ukraine. For Russians, Moscow prime residential property was seen as a comparatively safe investment. It remains to be seen how it will be viewed following recent events.

Multiple home ownership among the world’s wealthy means that buyers have come to expect the same level of service and comfort from a new home in Moscow as they might do in London or Monaco, for example.

This even extends to architecture and design: a substantial new development on the edge of Razdory, just outside Moscow, offers wealthy Russians English-style mansions and landscaping modelled on Regent’s Park.

The legacy of industrial areas 
in central parts of Moscow presents 
a significant opportunity for redevelopment to both residential and office use. This will help to support the general expansion of the city’s prime markets as a number of high-profile schemes become available for sale in the coming year.

 
 

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