| 2016-01-29 | Slight improvement in investor sentiment
UKRAINE Commercial real estate investment in Ukraine increased in 2015 to USD 65 mln, from USD 47 mln in 2014, according to DTZ Ukraine.
The major deals included the acquisition of the Kvadrat shopping centre in Kyiv (41,000 sqm) by Petricol Investment, the sale of the Opera Passage (4,500 sqm) office entre in Lviv by Hartwall Capital, the sale of the Lyubava Grad (15,000 sqm) office building by Energobank, as well as the purchase of a number of warehouses in the Kyiv region by various investors. “Quality income generating office, retail and logistics properties located in Kyiv remain the most attractive investment assets in the country. Some investors are also prepared to consider good quality existing retail properties in other major cities of Ukraine, except for the eastern regions of the country,” commented Marta Kostiuk, the head of research and development consultancy at DTZ Ukraine. Since mid-2014, prime yields for commercial property in Kyiv have remained generally unchanged. At the end of 2015, prime net initial yields stood at around 13.5 pct for prime office and retail space and at 15 pct for prime logistics properties. DTZ Ukraine expects further improvement on the investment market, with volumes for this year from USD 50 mln up to USD 210 mln.