Two speakers of Arricano participated in the first Legal Real Estate Forum
On October 31, the first industry-specific Legal Real Estate Forum which was attended by speakers from Arricano Real Estate Plc, - Mykhailo Merkulov, CEO, and Tetiana Klimuk, head of the legal department (for non-residents) was held. Among the participants of the first industry legal forum organized by the specialized edition “Legal Practice” were the representatives of the real estate market and the legal sector, leading law firms, legal departments of national and international companies, representatives of the judiciary and state bodies.
Mykhailo Merkulov became a speaker of the round table on the topic: “What is waiting for the real estate market: a view of market players”, which was also attended by Ihor Zubytskyi, CEO of City Capital Group Development, Oleksandr Lyatambor, President of Ukrbud Corporation and Arie Schwartz , CEO of Seven Hills International Developers.
Ernest Hramatskyi, a moderator of the round table, President of Hramatskyi and Partners, while opening the meeting, noted that business should form new standards of relationships, and stressed that Real Estate requires regulatory policies and lustration of disreputable subjects. The participants of the round table have discussed the main indicators and vectors of business activity of the real estate market in Ukraine, the present and the future of commercial real estate and the prospects for the development of residential real estate in Ukraine. “In general, it is rather difficult to assess the state of the Ukrainian market: on the one hand, it continues to grow, on the other - the growth rate decreases indicating the general oversaturation of the market and its possible near-term decline,” E. Hramatskyi says. The speakers agreed that, in general, the market is tend to develop, the real estate market is impossible without innovation, currency fluctuations affect the real estate market, a modern buyer can purchase, but wants to get more for the same money.
The CEO of Arricano noted that the commercial real estate market is subject to more influences than other commercial real estate sectors. “Business always goes after needs: if a business can anticipate needs and offer the right product, it will always win,” Mykhailo says. The situation in the commercial real estate market is rather complicated. On the one hand, if you take into account the consumer demand of the population of Ukraine, the market is oversaturated with retail space. On the other hand, there are not enough high-quality shopping malls. A retailer needs traffic, a visitor needs comprehensive solutions of his/her needs. That’s why, in commercial real estate the future belongs to multifunctional objects.” Mykhailo Merkulov told about the concept of a mall which Arricano builds on Lukianivka. This will be a mixed-use project which important components will be not only design and functionality, but also atmosphere and environment in which the expectations of both B2B and B2C customers will be met. “Only strong players will survive in the commercial real estate market due to innovations, effective work with values and competent management,” the CEO of Arricano concluded.
Tetiana Klimuk, Head of the Legal Department for Work with Non-Residents of the Arricano Group, spoke in the profile section “Urban Planning and the Real Estate Market” and shared her experience in the report “Commercial Real Estate Objects as a Security Subject in Bank Lending — a Borrower's View. Zones for Agreements with a Bank. The speaker told about the painful points of a borrower and a bank, about possible solutions by insurance and by assessing a property, shared tools that can balance the interests of a borrower and a bank by managing of a mortgaged commercial real estate, spoke about the key points related to control over the object. Tatyana noted, “The Forum was held in the right time, given the significant potential of real estate transactions in the market. We see that banks are interested in lending, in particular, on the security of commercial real estate, in case a company demonstrates increasing incomes, a good credit history, has a transparent ownership structure and a strong management team.”
The program of the first Legal Real Estate Forum was rich and pragmatic - the round table “What is waiting for the real estate market”, the panel discussion “Real Estate and Development: Ways of Development”, a master class from Mark Hinzburgh, President of MTN holding about selling of apartments for cryptocurrency, the section “Urban Planning and Real Estate Market” and “Conflict Resolution” and a networking of representatives of the real estate market and the legal sector. The participants note that the legal focus of the discussion about the real estate market is the most relevant issue, which will lead not only to the development of the industry, but to the development of the country in general, because the real estate market is one of the key markers of the state economy, an indicator of citizens' welfare and consumer sentiment in the country.