MOSCOW INVESTMENT DIGEST. FEBRUARY 2024
The Moscow Department of Investment and Industrial Policy and the Moscow Investment Agency present you the next digest of the main investment events in the Russian capital.
The Moscow Government has decided to implement three projects for the integrated development of inefficiently used territories (ICT) and sections of the former industrial zone. New city blocks will appear in place of half-abandoned and underused territories in the Nizhny Novgorod, Levoberezhny, Khovrino and Zyuzino districts. More than 254.000 m2 of real estate will be built - public business, social, utility facilities and housing under the renovation program.
An industrial technology park is being built at the Alabushevo site of the Technopolis Moscow special economic zone (SEZ) as part of the program for creating places of employment. Now the first stage of the project has been put into operation, which includes three buildings and a checkpoint. More than a thousand jobs will be created there. In each building, in addition to production sites, there are offices, a canteen, a first-aid post and technical rooms. About 80 percent of the space has already been leased.
A Moscow company that produces fire protection devices has increased production volumes by 2.2 times. The plant produces arc flash protection devices (AFDP). They help reduce the risk of fire due to faulty electrical wiring and equipment - the most common cause of fires. Thus, the capital’s Ecolight enterprise produced 35.000 devices in 2023, increasing production volumes by 118 percent compared to 2022. In 2024, the company plans to increase production volumes to 150.000 devices.
In 2017, the city awarded the status of an industrial complex to the production site of one of the largest pharmaceutical companies, Binnopharm Group. Thanks to this support measure, the average savings of the enterprise over the past three years amounted to about RUB 20 mln. The manufacturer can use the saved funds for its own development, site modernization and product range expansion. This year the company confirmed the status of an industrial complex, having achieved the required indicators. In particular, the volume of investment of the enterprise over five years is RUB 200 mln. The production provides jobs for more than 300 specialists.
In 2023, thanks to offset contracts, Moscow received more than 830.000 packages of medicines. The city will produce antiglaucoma, antitumor and analgesic drugs, as well as antidepressants, antipsychotics and other drugs. Offsets are a special way of interaction between the capital and business. Investors launch production of key goods in Moscow, and the city, in turn, guarantees their purchase for many years. Eight offset contracts for the supply of medicines have already been concluded. Antiglaucoma, antitumor, and analgesic drugs will be produced in the city. According to the eighth offset signed in 2024, it is planned to produce antidepressants, antipsychotics and other drugs under 43 international non-proprietary names.
In 2023, eight capital companies entered the markets of the Persian Gulf, CIS and African countries thanks to the Mosprom export support center. Among them are manufacturers of electrical equipment, radio frequency identification equipment, as well as companies producing food, beverages and other products. The sales markets were the countries of the Persian Gulf, the CIS and the west coast of Africa. For example, a manufacturer of lighting products, the Transengineering Company, signed a contract to equip a network of Kazakh supermarkets.
Another metropolitan manufacturer in the field of electrical engineering, the Ecolight Company, found a potential distributor of its products as a result of participating in a business mission in Iran. The company plans to supply arc flash protection devices and produce them in Iran. Last year, the Moscow Company, which produces products under the Sauk brand, also received requests to supply its radio frequency identification equipment to Egypt and Somalia.
The city has reduced the requirements for a bank guarantee that ensures the fulfillment of obligations under the agreement on the creation of places of employment (MPT). Now it will not include interest on deferred payment for changing the type of permitted use for housing construction. The decree on additional measures to support developers participating in the program to stimulate the creation of places of employment was signed by Moscow Mayor Sergei Sobyanin.
Previously, the amount of the bank guarantee was determined by the amount of payment benefits provided by the city for changing the type of permitted use of the land, and also included interest for deferred payment in the amount of the key rate of the Bank of Russia plus five percentage points. A deferred payment was provided for the duration of the agreement until the date of registration of ownership rights for 100 percent of the total area of the place of employment. Now there is no need to include interest for the deferment in the bank guarantee.
Capital industrialists actively export products to more than 100 friendly countries. At the end of nine months of 2023, supplies abroad increased by 30 percent compared to the same period in 2022. With the support of the Mosprom export center, manufacturers are finding new foreign partners. Thus, last year, the city’s industrial enterprises established cooperation with five new countries: the Philippines, Senegal, Algeria, Iran and Turkey.
A decision was made to hold an electronic tender for the right to conclude an offset contract for the supply of small vacuum sweepers and universal small electric utility machines. The contract will allow for the creation of a new high-tech production facility, and also guarantees the proper quality of cleaning streets, roads and internal driveways in the city. Under the terms of the contract, the winner of the competition undertakes to create or modernize existing production within two years.
In turn, the Moscow Government guarantees the purchase of 1,580 units of municipal equipment for seven years.
Starting this year, it will become almost three times more profitable for developers to build museums, libraries, exhibition and concert halls, art galleries, planetariums, as well as theaters and cinemas: the MPT location coefficient for cultural objects will increase from 0.3 to 0.8. At the same time, a measure is being introduced to control the core operation of the property for five years from the date of registration of rights to the property.
Investors will be able to rent three land plots with a total area of more than 2 ha based on the results of open auctions. Renting land for the construction of shopping, sports and other commercial facilities allows entrepreneurs to implement large projects and contributes to the development of the capital's infrastructure. Thus, the city approved the auction of three plots ranging from 0.1 to 1.93 ha, on which investors will be able to build a sports and recreation complex, a parking lot and a store. The total area of the buildings may exceed 64.400 m2.
Commercial properties in areas with developed infrastructure are popular with investors. Shops, offices, and service enterprises are opening in them. For example, two vacant premises on the first floor of a residential building in the Lomonosovsky district are now up for auction. The area of each is about 140 m2. They will be sold through a public offering, which involves a consistent reduction in the initial price during the bidding process.
Chrome
Firefox
Opera
