RZhS approves 2012 operating plan

2011-11-18



The Russia Residential Construction Development Support Fund (RZhS) has approved its operating plan for 2012, according to which it intends to put into operation land in the volume of 7,500 ha. A share of 40% of the land to be used in 2012 is either already the fund’s property or the decision to transfer it to the fund has already been made. 60% still needs to be secured.
Due to the resolution, 5,250 ha out of the aforementioned volume should be used for the construction of economy class housing with low rise housing comprising 80% of all economy class housing.
Furthermore, a part of the land controlled by the fund will be allocated to construction cooperatives free of charge. Only cooperatives of state employees, the military, and scientists will be eligible to receive such land, and the housing built by cooperatives should be economy class. The pilot project was launched in the Novosibirsk Province where the cooperative for young researchers working for the local campus of the Academy of Science received 153 ha of land for the construction of housing for its members. Private developers have indicated that they may be interested in building housing for cooperatives if their margin will amount to 10-15% of the construction cost.