2015 MOSCOW INVESTMENT POTENTIAL: REAL PROPERTY AND INFRASTRUCTURE MOSCOW CITY PROPERTY DEPARTMENT.

2015

MOSCOW INVESTMENT POTENTIAL: REAL PROPERTY

AND INFRASTRUCTURE

MOSCOW CITYPROPERTYDEPARTMENT

I. Public-private partnership

II. Land auctions

III. Tax benefits and Lease incentives for industrial

enterprises

IV. Construction of transfer hubs V. Investment programs " 1 ruble per 1 sq.m per year"

INVESTMENTS TO THE DEVELOPMENT OF THE CITY

TERRITORY

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1. Concessionary agreements

2. Public-private partnership agreements

(since January 01, 2016)

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1. Concession

CONCESSION - creation/reconstruction of property owned by concessor

(Moscow) by concessioner (the investor) and the implementation of economic activities with the use of

this property

Concessionary agreement

- Shall be executed for extended lengths of time (up to 49 years);

- Shall be executed on a competitive basis;- It allows to confirm a complex set of

relationships by one document

Concession facility

- Is free of third party rights;- It may be transferred by the concessioner for use of third

parties with the consent of the owner;- The concessioner does not have a right of private

ownership to the object of the concession agreement;- Pre-emption right of the concessioner to purchase

the concession facility



Realisable concessionary agreements

MUNICIPAL CLINICAL

HOSPITAL No. 63

Concession Agreement of 2013

Name Indication

Land plot area 20,109.0 sq. m.

Existing objects area 29,647.6 sq. m. Maximum area of designed objects

86,000 sq. m.

Period of concession agreement 49 years

Investment phase (design and survey works, construction and installation works, equipping, commissioning)

5 years

Planned investment costs, total, € 89,265,306.00

- Reconstruction cost, € 58,857,142.00

- Equipment cost, € 30,408,163.00

Share of services of compulsory health insurance

from 20% to 30%

Name of medical service Total volume of services

Volume of services of compulsory health insurance

Number of medical trials of positron-emission tomography center

29,760.00 up to 7,000

Number of hospitalizations of endovascular surgery center 4,867 up to

1,000

Number of visits of endovascular surgery center

386,880 up to 65,000

Number of hospitalizations of perinatal center

6,600 up to 1,000

Number of visits of perinatal center 305,040 up to 55,000

Number of obstetrics 4,538 up to 1,000

Number of hospitalizations of rehabilitation center

1,460 up to 500

Number of visits of rehabilitation center

189,720 up to 25,000

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Realisable concessionary agreements

Construction of the Northern alternate route of Kutuzovsky

Avenue Concession Agreement of 2014

Name IndicationLength 11 km, at least 4 lines, at

least 3 interchanges

Investments to construction

Approx. 846,326,530.00€ Concession period 40 years

The Moscow City Government will carry out a repayment and vacation of the land and give land on lease

Expenditures on site preparation and removal of existing engineering networks will be divided between the parties

The concessioner shall bear all costs associated with the design, construction and operation of the facility

The concessioner shall independently fix the passage fee in the amount not exceeding the maximum limit defined by the Government of Moscow

The Northern alternate route of Kutuzovsky Avenue is turnpike, concessioner collects the fee.A free by-pass is possible by Kutuzovsky Avenue and Mozhaisk Highway


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2. Public-private partnership agreements (since January 01,

2016)

A wide range of agreement facilities

- Private highways;- Public transport (except of metropolitan railway);- Railway transport facilities;- Pipelines- Ports, airports- Air, water transport- Educations, health, etc. facilities

Compulsory figures of Public-private partnership agreements

- Observance of the bidding process for the selection of the private partner

- Creation of facility (construction/reconstruction);- Funding for the facility creation;- Operation and maintenance of the facility;- Creation of private ownership of a private partner to the

created facility;


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Payment shall be in accordance

with the bidding result

Period of the lease contract for the construction

period

Bidding documents–

complete information for a decision on the participation in the

auction

- Conclusion on engineering maintenance of the facility with value indicators;

- Urban Development plan of the land (the main type of permitted use, technical and economic indicators);

- Draft of land lease contract;- Land is registered in Cadastre;- Land is free legally and materially

- Redemption of the right to lease shall be paid for 3 days from the date of the auction;

- The annual rental rate for the period of construction is 1.5% of the cadastral value of land (payable quarterly);

- The starting price is set based on an independent market valuation

6 years

List of land plots planned for sale at

auction

http://tender.mos.ruhttp://togri.gov.ruhttp://dgi.mos.ru

II. Land auctionsMOSCOW CITYPROPERTYDEPARTMENT

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The range of areas of land plots sold at auction:

from 0.022 ha (trade) to 4.5186 ha (leisure facility)

2011 2012 2013 2014 2015(II кв.)

0

10

20

30

40

50

60

70

11

38

59

31

16

Number of sold land plots, pcs.

The function of the land plots

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1025

211221

23

7 11

15

2011 2012 2013 2014 2015(II кв.)

0

5

10

15

20

25

30

35

2

1517

96

3 43 2 1

47

108

22

12

29

12

34

Торгово-бытовое назначение

Гаражное назначение

Общественное назначение

Прочее (учебно-воспитальное, лечебно-оздоровительное и пр.)

жильё

*

* 29 land plots are planned to be sold until the end of 2014

Commerce and household purpose

Garage purpose

Public purpose(administrative, educational facilities, technological parks, etc.)

Others (teaching and educational, medical and sanitary, etc.).

residential space

*

3 land plots – private housing projects (Troitsky and Novomoskovsky Administrative Districts);1 land plot – multiple family dwelling (Zelenograd Administrative District) – first in practice

II. Land auctions

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(II quart.)

(II quart.)

III. Proposals on tax benefits and lease

incentives for industrial enterprises

Correspondence of the enterprise to economic and city-planning criteria

Status getting

Industrial complex

(basis package)

Industrial / technological park

(expanded package)

Lease of land plot for the period of operation 0.3% of cadastre

Land tax 0.3% of cadastre

Property tax 50% of charged

Income tax 18%

General load reduction 8%

Lease of land plot for the period of operation 0.01% of cadastre

Land tax 0.01% of cadastre

Property tax 0 %

Income tax 13.5 %

General load reduction 25 %

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IV. Construction of transfer hubs

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THs are designed to provide a safe and comfortable passenger services in the place of

their transfer from one mode of transport to other

It is planned to create network of 176 permanent transport hubs (TH) in Moscow

till 2020.


IV. Construction of transfer hubs

TH

Funds of TH operator

Urban land plot

Investor's funds

TH commercial facilities

To the investor

TH production facilities

To the city 12

TIH operators

Moscow Metro State Unitary Enterprise

Mosingproject OJSC

MKZHD OJSC


V. Investment programs " 1 ruble per 1 sq.m per

year"

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2. Private preschool / school education

3. Objects of cultural heritage

1. Private medicine


V. Investment programs " 1 ruble per 1 sq.m per year"

1. "On hand doctor"

Rental conditions

- Rental rate for the use of premises is € 0.01 per 1 sq.m. per year (after observance of terms);

- Period of premises rent is 20 years

Terms of use of preferential rates

of rent

- Provision of medical services under the compulsory health insurance;

- Non-provision of dental, cosmetological, detoxication, plastic surgery, venereological, andrological services

Area of premises

from 250 m2 to 500 m2** The premises are located on the 1st floor of dwelling houses with separate entrances

• 52 non-residential lease agreements for these purposes are executed since 2013 , 17 clinics are opened

• 13 medical facilities are planned to be sold on auctions for the IV quarter of 2015

List of real property planned for sale at

auction


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1. "On hand doctor"


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Rental conditions

- Rental rate for the use of premises is € 0.01 per 1 sq.m. per year;

- Period of premises rent is 49 years

Terms of use of preferential rates

of rent

- Provision of educational services during the first year in an amount not less than 50%, during the

second year 100% of the number of places established by the Moscow Department of Education;

- Implementation of the basic educational program in respect of at least 80% of children registered in Moscow;

- Educational activity not later than 6 months from the date of the lease contract if repair of the facility is necessary (minor repair);

- not later 18 months from the date of the lease contract if overhaul is necessary;

- not later 3 years from the date of the lease contract if the facility reconstruction is necessary;

• 29 lease contracts are executed since 2013 , 9 educational organizations are opened• 4 facilities are planned to be sold on auctions for the IV quarter of 2015

List of real property planned for sale at

auction



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Novokhoroshevsky Ave., 11 (North-West Administrative District)

27 Profsoyuznaya str., bld. 4 (South-West Administrative District)


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3. Objects of cultural heritage (OCH)

Bidding documents contain the most complete set of

documents

- Information about OCHs including information about technical inventory of the facility;

- Technical specifications; - Urban Development plan of the land;- Cadastral certificate of the land;- Draft of lease contract

Rental conditions

- Conclusion of security obligations;- Lease of part of facility is possible;

- Preferential rate of € 0.01 per 1 sq.m. per year after the completion of restoration work and commissioning of the facility;

- The period of restoration works is up to 5 years;- Market rent value shall be fixed for the period of

restoration;- Period of rent is 49 years

• 15 lease contracts are executed since 2012 , 3 facilities are restored • The total value of lease rights exceeds the starting one in average 4 times• 7 facilities are planned to be sold in the IV quarter of 2015

List of facilities planned for sale at

auction



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3. Objects of cultural heritage (OCH)

7 Pechatnikov lane (Central Administrative District )

23 Podsosensky lane, bld. 3 (Central Administrative District)


Thank you for your time.


2015 MOSCOW INVESTMENT POTENTIAL: REAL PROPERTY AND INFRASTRUCTURE MOSCOW CITY PROPERTY DEPARTMENT.

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Transcript of 2015 MOSCOW INVESTMENT POTENTIAL: REAL PROPERTY AND INFRASTRUCTURE MOSCOW CITY PROPERTY DEPARTMENT.