AHR puts land plots in Yanino up for auction

The AHR announces an auction for the sale of 11 land plots intended for housing development in the village of Yanino, Leningrad Oblast. The conduct of the auction is scheduled for 5 December 2012. The total starting price of 11 lots is 1.12 billion rubles.

Land plots for housing development with an area from 0.3 hectares to 11 hectares that make part of a section for integrated urban development are offered for sale. Total area of the lots offered is 35 hectares. Due to the fact that the territories immediately adjacent to the Object are not yet overbuilt, the new housing complex can be marketed in the “Comfort” class. The technical specifications for connecting the technical supply systems for the territory have been obtained; the owner is carrying out the work on connecting the electricity supply system (3 mega-kW) to the borderline of the section.

In accordance with the General layout of the “Zanevskoe sel’skoe poselenie” municipality the main part of the territory offered for sale is part of a functional zone Zh4 which implies erection of mid-rise residential buildings with a height of up to 8 floors.
On the basis of this document the owner is already carrying out the work on the specification of the previously developed project of the territory layout (PTL) of the section. In the new version of PTL the number of floors was raised from 6 to 8 on 70% of the territory. This will allow increasing the volume of the intended development from 380 000 sq. m. to 460 000 sq. m. At the same time the extra charge per meter of developed residential property will go down from $92 to $76. “The administration of Leningrad Oblast promptly reacts to the needs of investors, we have reasons to expect that the PTL will be approved before the end of the year”, says the owner’s representative.

General Director of AHR Andrei Stepanenko:
“The object combines the advantages of comfortable housing with a location very close to St Petersburg, and has quite interesting potential. The segment of comfortable and relatively inexpensive housing is the most stable one. Prices and demand for land in this segment are only growing. Preliminary negotiations showed that a number of developers are interested both in buying separate lots and the whole of the territory of the section. We believe that some investors might prefer to make offers to purchase with a higher starting prices of the lots to avoid bidding at the auction”.

A credit program from the “Sankt-Peterburg” bank will be available for buyers within the framework of the auction. In accordance with an agreement signed in September, the bank is ready to credit purchase of lots of AHR. Under the terms of agreement the minimal sum of the credit is 10 million rubles and the financing of the purchase of the lot does not exceed 70 % of the original cost of the lot. The purchased property can be regarded as the loan security and the duration of the credit accommodation is determined depending on the duration of the period of repayment of the financed project.

The Senior Vice-President of Bank Sankt-Petersburg Mikhail Frid:
“The bank expresses its interest in transactions related to financing of auction participants for purchase of lots and is ready to consider applications for loans within the framework of a special credit program developed in cooperation with AHR. The bank has many years’ experience of cooperation with the leading construction companies of St Petersburg and Leningrad Oblast which will allow it to offer developers financing not only for purchasing active assets, but also for project-lending of residential and commercial property”.