SA Ricci Compares Europe Rental Conditions
06.06.2011 3444

SA Ricci Compares Europe Rental Conditions

SA Ricci has published a study on property rentals in Europe, comparing rental terms and conditions in different countries. According to experts, the average rental period today ranges from three to nine years. The maximum rate is in Great Britain, Ireland and Greece - up to 12-15 years.

In Spain, Italy, Portugal, Romania, Cyprus the real estate market is oversaturated, and the economic situation is not the most favorable, hence the short contracts, the minimum deposit in the amount of the monthly rent, the automatic extension of the contract.

Russia under the terms of the contracts and the length of the lease term fits well with the average European indicators. According to the study, rental conditions in Russia can be described as average. In Russia, the rules of the game for tenants often change. This is due to the fact that the market has not yet debugged work on long-term contracts and there is no economic stability.

 “Russia is almost the only country (with the exception of Ukraine), where the increase in rent is not clearly tied to the IIT (consumer price index), but is discussed based on a minimum of 3%. Note that this is in a country where the CPI has been over 9% for several years. The contract includes indexation from 3 to 7%, despite the fact that ruble inflation is a priori higher. In almost all European countries, rent increases are linked to the CPI. The rental market in our country is practically not formed, it works according to the principle: “Whoever dared, he ate,” says P. Yanshevsky, partner of SA Ricci.

In his opinion, a unified pricing scheme should work on the market: “In our case, the owner, when calculating the rental price, proceeds from the principle of how to rent an object more expensive to him, and the tenant - as if to conclude an agreement at a low rate for the longest possible period.”

An unusual practice exists in France, where the rent increase index is tied to the construction cost index. The most competent price review practice has been developed in the UK, where the basis for rent increases is the market environment at the time of the contract review.

The lowest transaction activity for rent is in Germany, where there are long (5-10 years) but rather soft contracts, companies rarely move, and the value of real estate is low. Therefore, transactions cost market participants in the amount of 3-4 monthly rent, including taxes for rent, if the contract was concluded for a period of more than five years, and 2-3 months. rental rate, including taxes, for a rental period of up to 5 years.

SA Ricci published a study on rental properties in Europe, comparing rental terms and conditions in different countries. According to experts, the average rental period today ranges from three to ...
5
1
Rating

Latest News

Roger Vivier Releases Glamorous Viv' on the Run Sneakers

The design of the new sneakers from the French luxury brand Roger Vivier is reminiscent of the glamour era of the early 2000s. The upper is made of smooth nappa leather and mesh, the lightweight EVA sole has an original shape with protrusions, and the pair of shoes comes with…
16.01.2025 118

Proenza Schouler Design Duo Jack McCollough and Lazaro Hernandez Leave

Jack McCollough and Lazaro Hernandez, founders and creative directors of the American avant-garde fashion brand Proenza Schouler, are leaving their brainchild. The fashion world is wondering where the designer duo, who brought Proenza, founded in 2002, will go next…
16.01.2025 129

Australian brand Ugg Since 1974 changes name

Amid an ongoing legal battle with California-based Deckers, the owner of the UGG brand, the Australian manufacturer of sheepleather boots with the common name "ugg boots" Ugg Since 1974 is forced to change the name of its own brand. Now…
15.01.2025 233

Juicy Couture expands range with leather accessories and footwear

Known for its iconic chenille tracksuit, introduced in 2001 and quickly adopted by celebrities, American brand Juicy Couture is set to present at the upcoming Florence fashion fair Pitti Uomo total…
15.01.2025 192

Ecco strengthens its presence in Italy

The Danish footwear and leather goods brand Ecco, part of the group of the same name with a turnover of over 1,5 billion euros and operating worldwide, has set its sights on conquering the Italian market, writes…
15.01.2025 448
When you sign up, you will receive weekly news and articles about the shoe business on your e-mail.

To the beginning