it is Established that the interest rate on loans to construction companies will be no higher than Central Bank key interest rate (currently 5.5 percent) but lost the difference to the Bank is compensated by the state. These rules will relate to credit agreements concluded before 1 may. The company-the borrower must meet certain requirements: to be in a state of bankruptcy, have tax debt, distressed homes, as well as must make payments on the loan. In addition, the developer is obliged in 2020-2021 years to bring their facilities into operation in accordance with the schedule. And must maintain “the number of workers involved in implementation of housing project”, which opened on may 1 (this is determined by the number of employees, for which the borrower makes contributions to the Pension Fund). In the coming days, the Ministry of construction needs to be created interdepartmental Commission which will decide on the subsidized loans.
the Conditions of subsidising interest rates for the developers, of course, quite acceptable, said the Deputy Director of the development company KASKAD real Estate Olga Magiline: “In this situation, any help to business from the state is very timely. Although essential to call it, unfortunately, it is not impossible”. “The proposed rules in the first place it will support banks that the government compensates for the forgone funds from developers. It will also help developers who have problems in loan repayment. For this category of builders the government’s proposed assistance more than significant. In addition, this measure will retain a total credit rating industry”, – said the Director of the Department of Finance GK “Ingrad” Peter badgers.
the Larger the effect of the subsidy rate will be for older projects that were started without escrow accounts, according to a member of the Board of Directors of “joint-FREE” Maxim Fedorchenko. When you use escrow, the average rate (taking into account the reduced rate on the portion of funds) is close to the key rate of the Central Bank, and therefore does not fall under the exemption. In addition, the subsidy does not compensate for Bank fees that are not included in the rate, but significantly increase the cost of credit, emphasizes Fedorchenko.
the conditions of the loans too narrow a circle of potential recipients of state support, the head of the Russian center of national construction policy Alexander Moore. Because to qualify for the subsidized rate is available only to developers without debts and problematic objects, in fact, assistance will be provided to companies where and so all is quite well. “The proposed measures are not enough. We need to help those who have no ability to pay, ensure your loan who have including samples��dark objects they are trying to finish. Such companies have a vast amount – up to 80% of developers have some debt. The necessary additional measures to support these developers,” said Moore.
“These measures are definitely needed, and they will want to make use of probably almost all developers. But it is not quite clear, how will it work in practice”, – says the President of NOSTROY Anton Glushkov. The base rate for project financing loans, in current of 9.5-10% in the last month rate rose to 11-12%, special rate on a portion of the funds (it depends on the amount accumulated in escrow accounts) is about 4%. Using the subsidy rate can be decreased to 5.5%. “But construction companies, as a rule, quite complex intercompany structure, they are unable to engage in parallel and construction materials production, take loans for working capital. In the purest form of project financing agreements or escrow accounts related to a single object and clearly appropriate under the terms of the subsidy, is sufficiently small”.
According to the head of NOSTROY, the majority of developers are now going through not so much because of the cost of credit, but because of declining sales. In April, before the appearance of preferential mortgage sales in most regions fell to 60%. In addition, for the Builder, not the filling schedule of the escrow account, the Bank may tighten loan conditions: to increase the rate or even to stop funding it return to the schedule of payments.
the easiest way, says Glushkov, developers to fulfill the condition of maintaining the number of employees. “Developers usually use a large number of subcontractors and even usually are not contractors. Therefore, they have the number of employees is not the biggest,” explains the expert.
