Tenants returned to expensive apartments – Kommersant

The situation on the rental market of expensive housing in the center of Moscow, which experienced a serious outflow of customers a year ago, changed in the first quarter. The number of requests for renting high-budget housing for the first three months of this year increased by 15-17%, and the volume of supply has stabilized. Owners of apartments in Khamovniki, an area traditionally popular with wealthy Russians, now even refuse to provide discounts to tenants, which was not the case last spring. But on Chistye Prudy housing is still rented at a discount.

During the first quarter, the number of requests for renting high-budget real estate (from 150,000 rubles per month) in Moscow increased by 15% year-on-year, according to NF Group. Intermark Real Estate reports a 20% year-on-year growth. Vladimir Rodionov, head of the Apple Real Estate leasing department, adds that in April demand increased by another 10-15% compared to March. Such dynamics, according to NF Group, led to a reduction in supply by 10% compared to the fourth quarter of 2022, and the volume of supply is approximately comparable to the values ​​of the beginning of last year. Intermark Real Estate notes a 17% drop in exposure over the quarter. “Good offers began to quickly wash out of the market,” says Elena Kulikova, director of the rental department at Intermark Real Estate.

The current revival is a trend reversal: last year, supply was constantly growing, while demand was declining due to the departure of wealthy Russians abroad after the outbreak of the military conflict between Russia and Ukraine.

“In May 2022, 2.5 times more apartments were offered for rent in the capital than in January,” recalls Roman Gayazov, head of the rental department at Barnes International Moscow. The current dynamics, according to Mr. Rodionov, is dictated by a gradual adaptation to the situation: “Obviously, the resumption of reverse relocation, its pace is increasing.” Alexey Chumalov, General Director of Kalinka Moscow, also noticed the return of some tenants, but is not yet ready to talk about sustainable growth.

NF Group partner Andrey Solovyov does not rule out the return of some expatriate clients to Russia. Readiness to move to Moscow for work is discussed, for example, on the Reddit forum, where last week one of the foreign users was interested in the conditions for expats who remained in the city. Foreigners living in Moscow replied that many were returning, and some had just arrived to do business.

However, in the total volume of demand, foreign tenants now form about 10% of applications against 30% before the start of last year’s massive outflow of foreign companies from the Russian market, according to NF Group data.

Basically, now we are talking about immigrants from Turkey, South Korea and South Africa. Yulia Kulikova draws attention to the small influx of tenants from Kazakhstan and Armenia. Vladimir Rodionov notes the requests of immigrants from Asia and Africa. But in general, foreigners, according to his estimates, form only 3-5% of demand.

AREA representative Grigory Ashikhmin speaks about the large number of high-budget tenants from Russian regions, which account for eight out of ten clients. According to him, now the demand is growing for apartments with an area of ​​60-70 square meters. m with a lease amount of 500-600 thousand rubles. per month. For such clients, options with outdated finishes are excluded, even if located on Patriarch’s Ponds, he notes.

The recovery in the high-budget rental market has not yet led to a revision of rates. According to the results of the first quarter, Intermark Real Estate estimates the average budget of the offer at 329 thousand rubles. per month (the sample of the company includes objects with a rate of 100 thousand rubles or more). This is 17% lower year-on-year, but 2% higher than the fourth quarter. Ms. Kulikova draws attention to the stabilization of prices in areas popular with wealthy Russians: Khamovniki, Ostozhenka, Frunzenskaya Embankment. In the area of ​​Chistye Prudy and Pokrovsky-Streshnevo, where foreigners often rented housing, discounts on rent remain. Andrey Solovyov draws attention to the return to the market of some of the objects previously removed from the exposition. And Mr. Rodionov points to the completion of finishing work in new projects of elite houses, where the lots were bought by investors on a wave of demand.

Alexandra Mertsalova, Anatoly Kostyrev