East West Commercial Real Estate

What could be important to emphasize in 2007 in real estate in canada?

First growth rate of construction of residential and commercial real estate.

Indeed, comparing the previous year, you can see a trend of increasing number of construction projects in canada that positively affect the economic situation in our city. It may be noted such developing investment zone in the construction sector, as street Frunze, as well as floodplain Kamianka rivers, streets and Galuschaka Narymskaya, familiarization streets Bolshevik and start construction in the area of Karl Marx, here you can insert and micro Gorski. You can also noted an increase in delivered volumes of space, in 2007 in canada have been turned over 900 thousand sq. m. housing, compared with 2006, which was handed over about 800 thousand sq. m.. The same is to focus attention on increasing the quality of construction sites building organizations, although there remains such as «dolgostroi», is a unfinished facility, the timing of delivery of which is either badly delaying or not defined at all, which is the cause of poor construction, financial instability or legal disputes construction companies with government agencies.

The second-largest phenomenon could be an increase in real estate prices in canada, and if, unlike the residential sector, rising prices in the commercial sector more balanced, in residential construction, due to a number of economic factors, such as mortgages, financial attractiveness and speculation, the sharp rise in prices continued during the winter and spring of 2007, and only since the fall marked a slight easing of positions related to the mortgage crisis in the USA. And at the moment prices are in the range of 45-65 dollars per square meter, compared with the beginning of the year where the peak price was 50 dollars per square meter of housing.

Comparing the prices of commercial real estate sale in canada, we can see that the price increases of no more than 10-15%. But do not forget that the economic zones of canada constantly in development, and if at the beginning of 2007, in Dzerzhinsk District average price of office space was about 55 rubles per square meter, it is now, it averages 60-70 thousand per square meter. The figure of 10-15% relevant to the core economic areas of canada, such as the Central District, Prospect Karl Marx and other rental rates as well as not undergone significant changes and the annual growth rate of about 12-17%, with the exception of Central and railway areas , Where the discovery of several business centers class «A», the picture has changed, and the average rental rate of office space at 1400-1700 rubles per square meter. Considering the rates of rent commercial premises, you will notice that there is substantial growth and the year it grew by an average of 40-50%, indicating a significant development in this area. It can not be left unattended and warehouse properties, but unlike the commercial and office space, significant changes have been observed in the sale or rental because of the still underdeveloped with real estate development, warehousing, logistics and small entry points.

And in the end I would like to mention another important factor as the opening of several major shopping centers in our city, such as «Auchan» (the area about 10 thousand sq. m.), «Big Dipper» (area 46 thousand square kilometers. m.), «IKEA», (the area of 27 thousand sq. m.), «Royal park» (the area about 60 thousand sq. m.), which is a positive effect on economic development in our city and is an indication that the whole city of canada attractive for investment in many industries including Commercial real estate listings.