Wednesday, October 26, 2011

Moscow real estate has lost a major factor for the rise in prices

Many joyful shouts of expanding the boundaries of the capital can not be considered justified. It's no secret that there are many factors that have a negative impact on the market due to the increased space of the city. And not all experts share the joy of this project. "Statement of expanding the borders of Moscow in a moment deprived of many investors' hopes for the future of housing prices. For decades, the main reason for the price the storm was not enough land for construction of affordable housing and for social programs. Now the fears associated with a lack of areas under construction, no "- says Valery Barninets, CEO of real estate A-Realty Group. While some developers are already talking about the imminent rise in prices for apartments in newly-districts of Moscow, it is rather an attempt to save face before the unavoidable circumstances. The reality is that if housing prices in the "new Moscow" and grow in the short term, then in the next 10-20 years, more land will be the main cause of stagnation in the capital's housing market. "We're really going to see rising prices in the first year or two, but it can not last forever - the growth followed by decline, and serious", - peer-reviewed A-Realty Group. Ardent supporters in defense of the ever-increasing price trend should now ask ourselves what we could become a new foundation for the credibility of defense of his position. However, increasing the size of Moscow's more than twice - it's only one reason, which cool the ardor of many investors. The main one lies in the idea of ​​creating a few new "centers" of Moscow. This will lead to the formation of entirely different in its social structure of areas: "The current zoning, the understanding of the elite and poor areas in its present form is likely to disappear. We can already say with certainty that Moscow in the coming years will be developed as well as most of the major cities of the world: the formation of well-off is inevitable and disadvantaged areas, national ghetto, the historical center with a calm and measured life and some very expensive areas. At the same time the social structure of today's successful and promising areas of Moscow can not completely change for the better. "We are faced with a situation that already exists in cities on the border between Moscow and the region. Reutov, Lyubertsy, Khimki - despite the proximity to the capital, where there is a big difference between Moscow and the regional standard of living. This is a serious conflict in social conditions, as well as the difference between the cost of utility bills and amounts of social security ", - said Valeriy Barninets. How to overcome these differences in expansion of the city - is not yet clear. In particular, plans for an international financial center outside the Ring Road to exclude entirely meaning one of the largest buildings in the capital. Moscow City as the center of business life in Moscow threatens to never take place because of high cost of rent and the total lack of infrastructure. "But do not blow the alarm too soon" - experienced experts say. "Expansion of Moscow - process more than one year. In the next 2-3 years will only be designed and prepared a strategy. As investors look forward to a couple of years, until they can trust - fundamental changes in status will not happen "- experts believe" A-Realty Group ". Who then would benefit from expanding the boundaries? Those who already have or acquire housing in areas off to Moscow - to win, but in the long run: if tighten the level of social services, transport accessibility, but they will survive the epic collapse associated with the construction of roads, infrastructure, metro, with a change in urban development plans and change. " This situation can be compared to a tenant who bought the flats and 5 years, or doing repairs yourself, or waits to finish it neighbors. None of what a comfortable life for the citizens do not have to say, "- said Valeriy Barninets. Transport access remains a major pitfall in the way of expanding the frontiers." Moscow extends the wedge and the entry there - only two roads that are loaded and will be loaded even stronger " - experts say A-Realty Group. According to experts, it all depends on the pace of the enlargement process. If it will be irregular, this rotation did not bring a good city, "Can Repeating Butovo: The areas under construction, and the availability of infrastructure and lagged . The situation is now slightly unloaded subway line, but the problem is finally resolved. "Thus, perhaps expanding the boundaries - it's not the way to solve the problems of the city, but only an opportunity to amass new Analysts say that it is not." Expansion of the city is inevitable. But there is another way: not to raise the level of social comfort by attaching to the territories of Moscow, and develop their own, on the ground, bring it to the city standards. As do all over the civilized European world "- suggests Valery Barninets.

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