"Diverse perspectives exist regarding the perfect flat: preferences vary amongst individuals."
At the close of March, the Bank of Russia decided to maintain the key rate at 16%, hinting at future decreases as inflation eases. The top ten banks have begun lowering deposit rates, and many will likely need strategies to preserve and boost savings in the near future.
One of the most dependable means to shield capital from inflation is by investing in real estate, especially given the escalating apartment prices in Yekaterinburg, particularly within the Academic District. According to "Objective.RF" service, the Academic District leads in residential construction, with an impressive 298,5 thousand sq.m of supply as of March 2023.
Curious about finding your ideal apartment or resale object within this thriving area? Our site spoke with Magomed Chamokov, head of sales at "Development-South Yekaterinburg".
Magomed, what captivates developers and residents in the Academic District?
In my view, it's the most innovative district in Yekaterinburg. Its appeal lies in its robust infrastructure, spacious boulevards, and high security. New educational institutions, sports facilities, and social amenities are being constructed.
Looking ahead five to ten years, there will be an exit to the EKAD via Amundsen Street, an exit to the Bypass Road via Chkalov Street. A medical cluster is being built, which will eventually serve as a hub for education and new employment opportunities. Discussions about constructing a metro are ongoing. With each major project implemented, life here will only become more lively and comfortable.
New developers have entered the second phase of the Academic District development—currently, 21 developers are working on 30 residential complexes. The level of housing has improved, with "comfort" and "comfort+" projects now available.
Prices for housing in the Academic District are on the rise, but they remain more affordable than in other districts of Yekaterinburg. I predict that within three to five years, this district will become significantly more expensive.
Your company began construction of the "A+" residential quarter last year. Has the pricing of apartments changed since then?
Yes. On average, prices have increased by 14% since February 2022. One-room apartments have gone up by 15%, while two-room apartments have risen by 18%.
How do you expect the cost of apartments in your project to alter by the end of the residential complex's construction?
I anticipate a total growth of 24-25% by next July. Despite the fact that deposit rates currently stand at a relatively high level, investing in real estate can yield a higher return. Furthermore, investing in construction is generally considered the safest way to safeguard and multiply capital.
When buyers inquire about price increase forecasts, we usually counsel them to expect an 15% rise throughout the entire construction period. However, in certain instances, the projected growth of a specific location may significantly surpass this.
The Academic District continues to draw the attention of both long-time and new residents each year. Crucially, individuals in this area can build successful housing careers: those who purchased property in the first phase 7-10 years ago are now moving to new, more comfortable, and spacious apartments.
Let's discuss your project in greater depth. It's called "A+". What does the plus signify?
Long before the start of this residential complex's design, we visited Yekaterinburg to conduct a survey. We spoke with anyone we encountered, asking them the same question: what would you like to alter in your apartment? They expressed a strong desire for more ergonomic layouts, particularly combined kitchens and living rooms that would serve as the central hub.
Today, when engaging with our clients, we understand that layout is the primary factor they consider when purchasing real estate. However, everyone has their unique vision of the perfect apartment. Some need compact apartments with efficient layouts for couples, while others prefer spacious two- and three-bedroom apartments with master bedrooms and storage systems. Some seek apartments with increased ceiling height or duplexes. Others look for terraces to set up a sports or seating area.
We take our clients' preferences into account when creating layouts and offer something distinctive in each new phase. Currently, we provide over 70 layout options—perhaps this is the main advantage of our project.
Can unique layouts affect the investment attractiveness of an apartment?
Yes, certainly. Life circumstances can change. Often, a couple in the initial stages of their relationship purchases a studio or one-bedroom apartment, but a few years later, when children arrive, they decide to expand.
To sell an old apartment quickly and profitably, it’s essential that the property is liquid and uniquely appealing compared to those on the market. For example, we have studio options at 35 sq.m with a large bathroom featuring a window, a French balcony, and a warm loggia. By listing a property with unique features, you'll have fewer competitors.
Many of our colleagues focus apartments with interesting layouts on the upper floors. We distribute them evenly throughout the residential complex.
Do you have any unique solutions in your project that your colleagues don't have?
Indeed, the most interesting apartment in the second phase of "A+" is the "tsar-three-room." Essentially, it's a real penthouse on the 13th floor, covering 130 sq.m. It accommodates three bedrooms and three bathrooms, making it comfortable for large families. Parents can occupy one room, the younger child another, and the older child with their spouse in the master bedroom. They can gather in the spacious kitchen-living room of nearly 35 sq.m or on the 17 sq.m terrace. The apartment will be the only one on the floor.
What else sets "A+" apart from other projects in the Academic District?
The first and second phases of the residential complex will feature a large, enclosed courtyard of 8,500 sq.m. It will be filled with greenery and divided into functional zones for different groups—children, parents, grandparents, yoga enthusiasts, and joggers. The courtyard will be car-free, accessible only to emergency vehicles.
Another distinctive feature is the option to purchase apartments not only in the whitebox finish format but also with designer finishes developed by Bricktobrick. For more information about the developer's repair, visit the sales department.
We advocate for peaceful living. Therefore, in certain sections of "A+," apartments with turnkey finishes are offered by default. The cost of the finish is included in the share participation agreement, enabling buyers to move in immediately without having to save and spend time on separate repair work.
Among those who prefer to invest in real estate in Yekaterinburg, demand is not limited to apartments but also encompasses street retail. How do you assess the investment attractiveness of commercial spaces in your residential complex?
In both the first and second phases, commercial spaces in our complex are being actively purchased, not for rental purposes, but rather for opening one's own business. For instance, spaces for grocery stores, an optics store, and "LifeMarta" have already been purchased. The space for a family café remains vacant, but I believe it will soon find a buyer.
This location is undoubtedly suitable for establishing trading and service businesses. Firstly, there will be interest from our complex's residents and neighbors. Secondly, the complex will be positioned on one of the main streets in the district with high traffic. In particular, bus and tram stops are planned near the residential complex, which will generate additional traffic.
What are your plans for the further development of your project in Akademichesky District?
The "A+" project is being built in quarter 19, where a kindergarten and a school are also planned. Currently, we are constructing four houses and two above-ground parking lots. The first phase – three houses (seven sections) will be completed in July 2025. The second phase – the fourth house (three more sections) will be finished in 2026.
- Magomed Chamokov, head of sales at "Development-South Yekaterinburg", mentioned that the Academic District is the most innovative district in Yekaterinburg, with an appealing infrastructure, spacious boulevards, high security, and new educational institutions, sports facilities, and social amenities being constructed.
- Regarding the "A+" residential quarter, Magomed stated that the pricing of apartments has increased by 14% since February 2022, with one-room apartments going up by 15% and two-room apartments rising by 18%.
- Looking forward, Magomed anticipates a total growth of 24-25% by next July for the "A+" project, making it a potentially profitable investment for those seeking to preserve and boost their savings.
- Investing in real estate, particularly in the Academic District, can be considered a safer method to safeguard and multiply capital compared to maintaining high deposit rates, according to Magomed.
- The "tsar-three-room" apartment in the "A+" project, a spacious penthouse on the 13th floor, is one unique solution offered by the company, accommodating three bedrooms, three bathrooms, and a terrace, making it comfortable for large families.
