NEVA NEWS | Nadezhda KapranovaAndrey Berezin, Chairman of the Board of Directors of the St. Petersburg company Euroinvest Development, assessed the development of the residential real estate market in 2023. In his opinion, St. Petersburg developers who managed to maintain their business in 2022 will face new challenges in the near future.
Thus, in 2022, Euroinvest maintained its position among local developers and put on the housing market about 2,000 apartments with a total area of about 200,000 square meters. However, the entrepreneur views the future quite realistically, as he believes it is logical to expect a decline in performance.
This trend is likely attributable to a decline in buyer interest in mortgages. Now developers are being forced to introduce their own mortgage rate compensation programs.
However, it is possible to remain a market leader due to the high quality of real estate, as well as the delivery of objects ahead of schedule. Euroinvest had such cases in 2022, for example, iD Murino and Kudrovo complexes.
However, according to Andrey Berezin, the market will not return to its previous indicators in the near future. Mortgage interest alone is not enough, buyers need to stop thinking about risks and external factors, which is only possible when the situation stabilizes.
So far, Euroinvest has focused on the projects it has launched. The company has chosen this strategy despite the fact that the developer’s land reserve allows the construction of around one million square meters of housing in the next five to seven years.
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