which strongly denies the claims testifying to those nothing either law or order to better schools. well since the soviet era finding adequate housing has been a major nightmare for many russians to discuss this are tease out good off sits down with alexander braverman the director general of the russian housing development foundation. will. review the latest in science and technology from the realm for. the future coverage. hello again or welcome to the spotlight. on our i'll do you know of and today my

guest in the studio is. russia's biggest cities are going through a construction thousands of brand new buildings right here and the real estate market keeps growing even so it is not enough and the russian government wants to double the development in the next five years is it possible or is this statement just a pretty election. what's the big picture for russian real estate we're putting these points to the director general of the russian housing development foundation alexander government. officials say about thirty million square meters of residential space are brought to the market every year real estate prices have grown five times during the last decade and demand is still extremely high many people however can't afford to plant and continue to live in soviet style shared apartments or dormitories meanwhile the construction boom is focused mostly on the

bigger cities while other parts of the country are left on the developed. thank you very much for being with you having here first of all you are getting ready to take part in a great event and. the event will bring together lots of people from many parts of the world especially the russians and americans i think will be the central dealers and that's what do you expect the u.s. partners that you wish to meet. first before we. expect discussion. to walk in russia. to walk in construction area to russia especially in area of affordable housing. has maximum we expect in certain steps to

attract direct investment from from different kind of investors first of all from the u.s. when you see affordable housing you mean in russia in terms of cost today today housing in russia i think it's one of the one of the most it's in spencer in the world so you wanted to make you wanted to be affordable by today's standards or bought by world. i mean russian standards this. was created by this special special decree or ministry or were regional development. it describes describes square metal. and materials etc oh a little bit of a square meters but should affordable housing to you from your point of view become

much more cheap in russia than it is today for different segments of horrible housing means affordable housing for the our main goal our. we aimed segment of of middle class. economic a to the population and. it's. important they haven't seen well calling to signs in the streets of muskrat been seen many foreign companies building in moscow this doesn't mean that russia's construction business is not attractive for foreign investors russian construction business is very attractive it is what it is for for for for. for foreign investors . i would like to give you. some takers the ira are from different regions of russia are between twenty four

till thirty five percent compared with the revenue here growth yeah. absolutely absolutely. and our main goal. to do this business together with foreign investors signal to industry with the minimum risk for them i mean elements of your barriers corruption etc to reduce it. because structural industry in russia has seen upsurge this year after a period of slowdown spotlights yelena dimmy there are reports. the credit crunch he'd construction industry in russia hard two thousand and eight so the majority all work suspended virtually no new projects were launched in two thousand and ten when recovery began it was partly due to the government which

supported numerous projects including preparations for big upcoming events like the sochi two thousand and fourteen winter olympics the two thousand and twelve aipac summit in void of a stalk and the two thousand and thirteen university aid in cars on what the government does not intend to rely solely on its own resources its encouraging investment both domestic and foreign to step in meeting with c o o's of the big players in the international markets prime minister putin promised predictability of the russian economy which he believes is enjoying by post-crisis revival this ship do you have to work with what is two thousand and nine to the third quarter of two thousand and eleven the record investment in russia has a. a hundred billion u.s. dollars and the first nine months of this year are still twenty percent group in direct investment. and the russian construction sector it has been shall we

groove this year as well the country's economy scurrilously been fueled by growing domestic demand which is now climbed to one three year high despite the recent months turbulence in the global market and it has so far been unaffected by the euro zone debt crisis. so so we see and you also mentioned that there that russian construction industry is should be very attractive for for investors well of course if you can get away with twenty four percent of the revenue is it before tax or after tax. before taxes ok but anyway attractive but there are global players such as for example the brookfield which which in brazil own builds i think more than all russia russian companies build in their country are you afraid are russian russian companies afraid of competition for such a giant such big. search because russian market is huge market huge market and to the best of my knowledge just.

see the spear of all companies russian companies foreign companies and demand the russian market is saw big there'd be it's not a place for all players the russian government is sitting you go you mentioned that there the demand is high so the goal is to double the amount of construction in the double in like about five years or is it is it is the things it will go can this can this really become reality hits it's absolutely really the because. we have got a market in the patent in foundation and we. measure the demand and we have got a figure is which shows us that. the.

two hundred million meters very year is possible to sell in russia to southern russia but even at the existing yes yeah it means that it's a huge market. tell you begin again and again what kind of investment are you seeing where you will be talking to your colleagues to your american colleagues you know what you need what just financial investment cash or you'd rather prefer no how and and they're like real real sort of exchange exchange of experience very simple answer or both because both from american america. side. where i expect and where expecting more financial investment and regard in construction we have bought

a lot of european partners practically every month we receive. letters with a suggestion of new technology is. very electric refused to see. a pure etc it means we have got to have opportunity to make choices it means it means first of all for us direct investment what preferences does invest through well a developer get from a corporation with the housing development found out four main blocks four main blocks the first to fall. first of all. it's. called administrative resource. no doubt you discussed in this place the problem of corruption in russia of course

. the plots of land of practically zero. so called reserves what will the. phrase as ministers of resources it's very widely used to work well. what does it mean to resource makes you overcome corruption helps you save money on iraq think. so what. resources from the federal level means that regional and local authorities will do the jobs according to the rules free of charge. so saves you money at least at least the plots of land for one some people told me some people in your business told me that after the new mayor came to most committed mr luzhkov the the number of red tape

you have to cut the number of bureaucracy in construction be as low it is a true it's really so it's really saw but they have problems with the with the plots of land in moscow. but they knew more school will get but unity for them to construct new affordable housing so administer the resource is one big thing that an investor developer gets by cooperating with the housing development family will talk about the other three after a short break we're talking to alexander brother man director general of the russian housing development foundation about you know thyself they wouldn't know. the big players.

discover it to be easy to. communicate with the wild. test yourself and become free. see what nature can give you. a very warm welcome to you this is your news today protesters on holds true today at. least in canceling your chance to chance to set a good mood for example the status of the human experiment is exploding. we pursue all programs in this rap music in which it snows moving slowly trying to make sense

of global economy and it's on changelings us financial templates each of the research clambering to maintain our confidence in long kids and taking on the critics wants to be seen trade imbalances recession look even the nation's close to collapsing and some like loan foreclosed homes. to fail so we play banks again feel a little like thing is us crashing seven and smashed ceiling teams playing just like ultimate in the clubs in athens greece the i.m.f. constructionism just programs increase the total economies of. the big players. welcome back to spotlight an amalgam robin just to remind you that my guest on the show today is alexander the brother man the rector general of the russian housing development foundation the age the after let's call it. what we started talking

about there about the the preferences that developers get by dealing with the have you mentioned one administrative resource which helps you save money ok well well there's actually agree and there's the gas and that's the second circuit the second one in for such a component components. recently i have read. it seems to me in here in russian newspaper with a mystery. that the concern and concern in western clement russia are between between costa rica where we are. two main company and its infrastructure. and permission for construction. our support. for infrastructure company and ease opportunity for potential

investor to integrate in grits. gas electricity etc etc. their third component is. the commentary company because of we have got. agreements with the. branch of branch of powers especially especially agency which is responsible for registration it means we are ready to support potential investors to register a their rights for the building. multiplexes. and finally. last but not least the. final financial support for it one of support because of two companies within

financial supporters we have got agreements with the. banks largest bank very large yes. yeah absolutely. for population for constructors. some western companies will giants like i care for example i think the main. the main thing that they may need from you is number one the administrative resource because the they sometimes say that they encounter huge problems while dealing with authorities so so so i think when they. have helping foreigners this is the main thing you do for them is a true yeah i've heard the history of i care and i would like to see. the foreign investors it's certainly to help them to solve problems they will. not have problems. during

the process of cooperation respond. because of we have good the agreements with all eighty three. regions of russian federation has. twenty three now let's talk about a different matter about the housing itself when we say housing in russia we mean we mean apartment blocks well which is strange for most of our viewers because because in many countries in most industrial developed countries people prefer living in individual houses now. yeah well except in yours then maybe not in the olympic apartment block in russia like like i think ninety percent of the population live in apartment blocks why why so this is sort of a traditional what a traditional salute lee vision of unfortunately unfortunately population and

russia have has had to leave in break and harris house. we have this special program to promote a low rise russia. but in my view my person of the you and i'm sure of the view of my colleagues we will promote this program just. on the positive symbols we have called the this positive symbols. he was talking you know when. in history it's causally with the most core etc who will show it will show it people to people but will you make individual housing affordable they really did this is that it should be cheaper that it's absolutely possible because because of.

during three years we are conducting the competition hausen of twenty twenty one. twenty twenty one and during this competition the frys of individual housing should be not less then eighty. eighty eight hundred thousand dollars pregnant but as a grandma but the one of those the problem rush is also that we cannot afford building houses like in united states from cardboard and plastic because because of the winters i mean. the problem for american programs of construction of canadian construction and russia because the population with. russia doesn't look at this house like. the first

house and first house. it looks like that you. make that sure because of course the incentive is simply spend it's leg that chair the problem. the same problem mentioned before the. problem of maturity well we have a pretty nice dutcher here you see. this is what like love like no other luxury dad . talking about the actions the age the fear fund as far as i know holding competitions of the best house for the twenty first century world many companies take part to maybe this house will take part in this competition listen what from your point of view is the ideal hands for the twenty first and what kind of house should win your competition. idea house the this is this picture

a loris with. all their will all four of energy. very ecological. and with a good view and. with the opportunity to reach the place of job. within the. very very good. what's very good time because i know in moscow some people some people drive more than an hour to get to work here my mother an inter some even well no one is what you call good time good so i'll drive all for four regions and russia in my view it's. thirty minutes in moscow it will be good will be realistic it will be good to work with one of you driving within one hundred feet of where if you take the subway train it is should be just ok do far architects take part in

these competitions of yours unfortunately unfortunately. from former u.s.s.r. and so. socialist countries but we expect the best i could. be could get access partly we describe this problem because. of mr before. and we are expecting. the participation in our committees well the two thousand and eight financial crisis led to a lot of foreclosures so what do you do to avoid the same problem now russia where the average person seeing power of people is much lower than that then easily. understood repression. it's a. marker a economics problem not

a problem of affordable or. glass or business for us because of the micro or macro economic problem and in my view absolutely sure that the. current situation in russian economy and the current situation situation in russian finally ends is quite good to be quite stable. housing in moscow is more expensive than in dubai salut comparable to london but can the market can moscow housing market really really compete with london dubai. red. if we discuss the problem. the best bit of competition regarding regret in prices. is absolutely comparable with with the with the

with with london and dubai again and unfortunately no. main. to do it together with the more school local authorities but to live with said he said ben in the new major we are working together absolutely together and we met. one one one one time and very week and. the problem will be so so so you are optimistic yeah ok well thank you thank you very much and. good luck on the upcoming court when we thank them we gave you was a pleasure yes thank you martin just a reminder that my guest today was alexander the private of my director general of the russian housing development foundation and that's put up or more all of us here if you want to have your say on spotlight or if you have someone like you think i

should interview next time to drop. in our path. and let's keep spotlight interact movie back with more of her type of problem from what's going on in and outside russia. our team and take care.

in some. old. photos in the big old. cultural agency for the first movie widely seen as a strong show of support for the nations.

countries funded from abroad. to keep out. chelsea football club. for allegedly stealing out of a multibillion dollar russian oil. next up a special from the i want to show and a tongue in cheek look at how the u.s. mainstream media handles some issues enjoy. looking to get the real headlines with none of the mercy of washington d.c. it's got a great show for you tonight but first let's start off by taking a look at what.