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08 Августа 2018
Foreigners

Renewed Law to Make Developers Work by New Rule

Источник фото: Юлия Семенченко
Источник фото: Юлия Семенченко

Krasnodar, 8 August – Yug Times. The Russian real estate market is going through a difficult period. Amendments to the federal law on shared financing of construction of apartment houses will change the entire paradigm of interrelations between citizens and construction companies. The aim of the amendments is to minimise the buyers’ risks and to improve the developers’ culture.

On August 1, Novorossiysk played host to the First Summer Yacht Summit of Real Estate, organised by The Yug Times weekly with the information support of the Kuban 24 TV company. The event was timed to the constructors’ professional holiday that will be celebrated on August 12. The Summit was also supported by its partners - the Perspektiva management company, Alkoteka retail chain, INDEVER men’s clothes brand, Novorossiysk city administration, Federal real estate agency Etazhi (Floors), and Rost Group Catering. The agenda of the Summit consisted of four issues, united by the common topic: what will the construction market look like after the working conditions for developers are toughened? Regional power executives, municipal heads, and businesspeople engaged in the construction industry shared their views on the future of the real estate sector.

Maksim Mikhailov, Business Argument Ltd. Director General:

“The main prerequisites for the introduction of amendments in the Federal Law No. 214 were a huge volume of problematic projects and thousands of deceived flat owners throughout the country. When introduced, the amendments will provide that the money paid for the future flats will be transferred to a special bank account rather than be given to the construction company. On their side, the banks will grant this money to construction companies via project financing and crediting tools.

“Such mechanism was thought of to secure the buyers. Banks are more stable; they can track in advance the financial state of the construction company, and duly react if any problems with the construction project would appear.”


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