11.12.2014  

Solid investment in Big Moscow

Being one of the most dynamically and smoothly developing metropolises of the world Moscow made considerable progress toward bolstering its business and investment climate. New investment strategy of Urban Development and Construction Department, Moscow City Administration, aims at the interests of Muscovites. In 2012 showed 8.5% increase of investments in fixed asserts comparing to the year of 2011; in 2013 it was around 6% according to the Municipal Agency of Investment Management. In 2014 Moscow Government expects $3.8 billion overall investment volume in the city. 
In the rating of the world’s cities prepared by PriceWaterhouseCoopers Moscow was ranked 9th out of 30 cities in the scope of projects under construction. Moscow government significantly reduced the number of bureaucratic procedures that new entrepreneurs have to face. Moscow holds top positions in numerous dedicated ratings and shows persistent improvement every year. In the rating Doing Business Russia (represented by Moscow as one of the biggest business centers of the country) was one of 10 countries which showed the greatest progress in creating favorable conditions for sustainable enterprise and the first country among  BRIC countries in effectiveness of economic reforms. 
Today Moscow Government offers investors a certain number of attractive projects. One of them is transport development program. Private investments are welcomed in road construction, and transport interchange hubs construction. By 2020, Moscow Government wants to build 255 transport interchange hubs, many of them will be capital facilities with hypermarkets, restaurants, hotels and intercepting parkings. There will be built 5 million square meters of capital facilities nearby new transport interchange hubs.
Another top-priority goal for Moscow is development of the metro system to be extended by 160 km by 2020. Moscow Government considers engaging private investors in metro construction and development, including foreign businessmen. An agreement has been signed in May, 2014 between JSC Mosinzhproekt and China Railway Construction Corporation and China International Fund, which outlines construction plans for a major underground transportation network initiative in Russia — the new South-West metro line, a key part of the «New Moscow» urban development project. 
The «New Moscow» is an ambitious construction and infrastructure project that aims to double the size of the city, has already received $4 billion worth of investment since its approval in 2012 and is expected to attract over $200 billion by 2035. It is one of the major attractions for foreign investors and many of them have already shown their interest.
Another «sweet spot» for investors is development of industrial areas of Moscow. This process stared a year ago with building of 1.3 million of square meters of capital facilities within these areas which comprise 7.5 thousand of hectares in 209 industrial areas. There are also other kinds of ineffective territories which are situated not far from the center of the city. The total area of them is estimated around 15 thousand of hectares. 
 «We are prepared for an open dialogue and efficient cooperation with investors in any sector important for the city’s development and transformation into the best metropolis of the world», Marat Khusnullin, Deputy Mayor of Moscow for Urban Development and Construction Department commented. Moscow Government considers attraction of investment to be one of important goals of economic policy of the city. It offers necessary conditions for Russian and foreign investors, facilitating bureaucratic barriers to private capital participation in development projects. Government officials are ready to negotiate and cooperate with investors in order to achieve a real breakthrough in the city development.
 
City planners reviewing the development concept of the territory along the Moskva River 
 
Moscow authorities aim to integrate the Moskva River in the city space and this initiative promises to result in success. Embankments of the river will be dressed in granite, residential and recreational areas will be created instead of plants, highways will be moved away from the water and river transport routes will be made etc. An international competition for the concept of urban development of areas along the Moscow River will last till the end of 2014.
The development of embankment areas will be all-inclusive. The Institute of General Plan of Moscow has collected data on the areas adjoining the Moscow River. The river and nearby territories occupy 10% of city space that is more than 100 square km. The total length of the coastline of the river is 201 km: 68 km (34%) of green areas, 34 km (17%) of industrial areas, 24 km (12%) of public areas, 16 km (8%) of residential areas and 0.68 km (0.1%) of streets and roads. «Moscow River — a world-class urban development project, involving the reorganization of more than 10 thousand hectares of old Moscow, which are the part of the zone of influence of the main water artery of Moscow. Moscow River should be the central axis of the city, like Seine for Paris», explains Marat Husnullin, Moscow Deputy Mayor for urban policy and constructing. «The experience of other cities of the world shows», he continues, «that the area near the river first of all should be a pedestrian zone available for recreation purposes. Roads in Moscow are very close to the river. Therefore, we intend to push the highway part out of the river, to make the area near the water as accessible as possible. In addition, this area has great potential for urban development, which hasn’t been practically used previously. The project provides a comprehensive transformation of the territories — both built-up and undeveloped».
Building located near the river will draw in the same style — it will help to improve the perception of the city from the river. The embankments will be improved — new ones will be built and old ones updated. Other line of work is renovation of industrial zones. Instead of depressed production sites modern residential and business districts will be built. It will serve as a stimulus for further development of the affected areas and the city in general. 
Moscow River will be a real transport corridor. Water transport will not replace Underground but it can be a good alternative. «In order to be attractive for citizens», says the President of the National Shipowners’ Association Andrej Novgorodskiy, «it is necessary for water transport to ensure the fare comparable to the cost of travel in Underground, the safety and well-maintained moorings either and coordinate the work of both land and water transport». However, there is an alternative solution for the development of transportation on the river — the monorail. «Working on a cable-drawn the monorail can reach speed up to 60 km/h. Such transport can also be used in winter», says chief architect of the Institute of General Plan of Moscow Andrej Gnezdilov. 
What will the main Moscow river look like in the near future will be more clear in the end of the year after summation the results of the competition for the best development concept of the river area.
 

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