A recent report from Jones Lang LaSalle revealed that the Russian commercial real estate industry is improving and in 2012, it should remain higher than levels seen before the economic crash.
Overall, the first quarter of 2012 experienced approximately $547 million in investments, and while this was below the same quarter in 2011, last year had more investment funds spent than any year on record.
"Past presidential elections in Russia, continuing uncertainties with the Eurozone and low investment volumes across Europe impacted Russian real estate investment [in Q1]," Jones Lang LaSalle said. "Nevertheless, we are aware of several large deals in progress that are expected to be closed in 2012."
The firm also said that total commercial real estate investment in the country should eclipse $6.5 billion this year. Furthermore, Jones Lang LaSalle noted that office rentals improved significantly in Russia during the first quarter, and was 20 percent higher year-over year.
Michael Graham, the head of the Russian office of PRP told Architects Journal that impressive recovery occurred in the country during 2011 after a rough 2010, but with improvements in retail and residential investment, this should continue during 2012.