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How Much For Office Rent in Kyiv?

Till the end of the year about 100 000 m2 of new offices will be put in operation in Kyiv. Operators of Ukrainian property market are sure - it is not much in order to reduce high rental indexes. For instance, in business center Fargo (will be put in operation at the end of current year), where 1 m2 of rent for today is 53 USD, almost all areas are divided among the renters.

"Introduction of new business centers in autumn of this year will not be able significantly change the situation on the Ukrainian real estate rental market, as demand for the premises is greatly higher than proposition.

Moreover the owners of some not put into operation objects, already signed preliminary contracts with future renters. It says about great stress for such property in Ukraine" - reports Alexandr Nosachenko, director of company Colliers International (Ukraine).

To find not occupied office in business centers of class A in the center of Kyiv is pretty difficult. "Until the market is on the stage of growth, the lack of office areas is still present. That is why the rates are growing.

The same situation is now observed in Moscow. In the Eastern Europe the markets already came to the stage of fulfillment - there the rental taxes are much lower than in Ukraine, and vacancy is kept on the level of 10%" -says Yaroslava Chapko, general director of international consulting company Knight Frank LLC Ukraine.

In Kyiv this index includes 1-3%. In such business centers in the central district of Kyiv as Leonardo, Iceberg and Mandarin Plaza, free areas are mostly absent. Some other situation is observed in the district located more far from the center of capital. There one can find premise for office, hence the propositions are limited.

The rates for rent of office premises in Kyiv grew in 15-20% from the beginning of the year. Especially premises of class B grew in price. The average cost of rent of m2 in business center of class A is about 90 USD (including exploitation expenses). In autumn the rental taxes can grow more in 10-15%. Analogous growth is forecasted by Ruslan Khytsyuk, manager of property department Mirax Group (Ukraine).

Till the end of the year about 100 000 m2 of new offices will be put in operation in Kyiv. Operators of Ukrainian property market are sure - it is not much in order to reduce high rental indexes. For instance, in business center Fargo (will be put in operation at the end of current year), where 1 m2 of rent for today is 53 USD, almost all areas are divided among the renters. "Introduction of new business centers in autumn of this year will not be able significantly change the situation on the Ukrainian real estate rental market, as demand for the premises is greatly higher than proposition. Moreover the owners of some not put into operation objects, already signed preliminary contracts with future renters. It says about great stress for such property in Ukraine" - reports Alexandr Nosachenko, director of company Colliers International (Ukraine). To find not occupied office in business centers of class A in the center of Kyiv is pretty difficult. "Until the market is on the stage of growth, the lack of office areas is still present. That is why the rates are growing. The same situation is now observed in Moscow. In the Eastern Europe the markets already came to the stage of fulfillment - there the rental taxes are much lower than in Ukraine, and vacancy is kept on the level of 10%" -says Yaroslava Chapko, general director of international consulting company Knight Frank LLC Ukraine. In Kyiv this index includes 1-3%. In such business centers in the central district of Kyiv as Leonardo, Iceberg and Mandarin Plaza, free areas are mostly absent. Some other situation is observed in the district located more far from the center of capital. There one can find premise for office, hence the propositions are limited. The rates for rent of office premises in Kyiv grew in 15-20% from the beginning of the year. Especially premises of class B grew in price. The average cost of rent of m2 in business center of class A is about 90 USD (including exploitation expenses). In autumn the rental taxes can grow more in 10-15%. Analogous growth is forecasted by Ruslan Khytsyuk, manager of property department Mirax Group (Ukraine).



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