Investing in Ukrainian real estate – a potential worth considering
The recent spectacular sale of the Ukraina Hotel in the centre of Kyiv for more than UAH 2.5 billion is not a random event, but a sign that the Ukrainian real estate market is entering a new phase.
While most seem to be waiting for the ‘golden moment’, informed investors are already spotting unique opportunities to buy strategic properties in prestigious locations that are discounted by up to half the price and still available.
Is it worth holding out?
The figures speak for themselves. An increase in demand of more than 20% and a growing number of bidders vying for property assets suggest that the window of opportunity may be shorter than it seems. Especially as Ukrainian law guarantees foreign investors exactly the same conditions as local entrepreneurs.
Privatisation in Ukraine opens doors to foreign capital
- Increasing number of bidders per auction – from 2.9 in 2023 to 3.2 in 2024
- 13 properties privatised in the first half of 2024
- UAH 2.51 billion – the exact sale price of the Ukraina Hotel in Kyiv (September 2024) – the first such large transaction since the beginning of the war
Why invest in the Ukrainian real estate market?
- Transparent purchase process:
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- Prozorro online auction system
- Full access to property documentation in virtual data rooms
- Equal conditions for domestic and foreign investors
The Prozorro system provides full transparency within the bidding process, allowing each stage of the transaction to be tracked in real time.
Access to documentation, including financial statements, incorporation documents and contracts, enables a thorough analysis of potential investments before participating in the auction.
All documents are available electronically, significantly streamlining the due diligence process.
- Investment potential
- Lower property prices (25-50% compared to pre-war levels)
- 22% increase in demand
- Opportunity to enter the market before competition
The current situation offers a unique opportunity to enter the market. And at very attractive prices. Experienced investors know this. Particularly interesting is the case of Kharkiv, which, despite its proximity to the front line, has seen a significant increase in interest in commercial property, confirming the long-term investment potential of the entire region.
- State support
- Active policy focused on attracting foreign investment
- Continuous improvement of the privatisation system
- Access to detailed property information via official government platforms
The Ukrainian authorities actively support foreign investors, including by simplifying administrative procedures and ensuring equal treatment of all market participants. The State Property Fund regularly updates the database of available properties and provides information support, which greatly facilitates decision-making.
How can we help you?
We offer comprehensive support in the investment process in Ukraine. Our expertise includes:
- Legal analysis of properties for privatisation
- Conducting due diligence
- Representation in tender procedures
- Advice on investment risk assessment
Investment security in Ukraine
We advise on risk assessment and help to analyse the location of properties, including from a security perspective, using available data and our own analysis of the situation in particular regions or sectors.
So if you are considering investing in Ukrainian state property, contact us today. Together we can work out the best investment strategy for you, and together rebuild a stronger Ukraine.
Any questions? We can help you