 |
Azerbaijan Real Estate Market 30 to 50 percent more profitable than Moscow
19.03.2008
Azerbaijan Real Estate Market 30 to 50 percent more profitable than MoscowAzerbaijan Real Estate Market 30 to 50 percent more profitable than MoscowIt is not a secret to anyone that real estate market in any CIS country shows much more activity than that in Moscow. Here Azerbaijan presents a remarkable case, since its profitability is 1.5 to two times higher than in Moscow and successful projects may generate profits of about 30 percent. Azerbaijan’s increasing investment appeal in many ways is a result of continuous GDP growth, which currently is at 35 percent per year as opposed to Russia’s seven to eight percent. Moreover, Azerbaijan is the leader in GDP growth rates and availability of "oil cash" and stable political situation add more assurance to investors coming to the country’s real estate market. Despite the fact that dominant investors in are local players, the future prospects of Azerbaijan’s commercial and residential real estate market attracts companies from Moscow. National Reserve Corporation (NRK) of State Duma Deputy Alexander Lebedev in the nearest future plans to build a business center in Baku planning to invest in the project about $150-$200 million. Over the next few years the company also plans to implement several major projects, including a network of hotels, shopping centers and residential projects. Krokus Expo President Aras Agalarov has plans for projects of no smaller scale in Azerbaijan. He plans to develop a resort area on the Caspian Sea coast, a plot of 200 hectares stretching two kilometers along the shore. The company will invest about $1 billion in real estate projects. The total areas of the new resort will be 500,000-600,000 square meters (a yacht club for 150 craft, boat maintenance and repair center, several hotel recreation zones and other projects). Major companies’ interest to the country's real estate is understandable, especially when experts predict a clear trend: a short supply of available construction space in Moscow in the nearest future may multiply Russian investments in Caucasus real estate, and particularly Azerbaijan. A detailed analysis of Azerbaijan's real estate market, its specific features and dynamics, risks associated with investment projects and risks versus potential benefits will be presented by experts at the Forum Investment. Construction. Real Estate in Russia and CIS 2008 Dealmakers Forum organized by RPI on April 23-24, 2008, in Moscow Expocenter. The Forum will be a part of the exhibition Investment. Real Estate. Construction. 2008. The Forum will feature unique speakers representing government agencies, developer and investment companies from CIS and regions of Russia. Please follow the link to request brochure and register for the Forum : http://rus.rpi-conferences.com/conference/?cnf=2&pg=delegat_reg Contacts: Program and presentations: Participation and sponsorship: Mass media contacts and accreditation: |
Project Directors (Vienna)
Ms. Margit Hatzmann
Tel: +43 1 230 85 35 Fax: +43 1 230 85 35 50 Head office, Moscow
Exhibition Director  
| ||||
