Build-to-Rent Developments and What They Offer Tenants

Kyiv's real estate market is witnessing a surge in build-to-rent developments, with over 1,000 new units expected to be completed by the end of 2026, according to a report by the Ukrainian Association of Real Estate.

This trend matters now because the affordability gap between renting and buying in Kyiv is widening. With the average price of a one-bedroom apartment in the city centre exceeding 500,000 hryvnia, many residents are being priced out of the market. The build-to-rent model, which involves developers building and managing properties specifically for rental, offers a potential solution for those struggling to afford a home.

In Kyiv, neighbourhoods like Podil and Obolon are seeing a significant increase in build-to-rent developments, with companies like Kyivmiskbud and Ukrbud Corporation leading the charge. The popular street of Khreshchatyk is also witnessing a rise in rental properties, with the average monthly rent for a one-bedroom apartment ranging from 15,000 to 25,000 hryvnia. Organisations like the Kyiv City State Administration and the Ukrainian Real Estate Association are working to promote the development of affordable housing in the city, including the implementation of programs like the Affordable Housing Initiative, which aims to provide subsidies to low-income families.

What Do the Numbers Say?

According to data from the Kyiv City State Administration, the average rent for a one-bedroom apartment in Kyiv increased by 10% in the past year, reaching 18,000 hryvnia per month. In contrast, the average price of a one-bedroom apartment in the city centre increased by 15% over the same period, reaching 550,000 hryvnia. This disparity has led to a growing demand for build-to-rent developments, which offer a more affordable alternative to buying. For example, a build-to-rent development on the street of Velyka Vasylkivska offers one-bedroom apartments for rent at 12,000 hryvnia per month, significantly lower than the average market rate.

So what happens next for Kyiv's renters? As the build-to-rent market continues to grow, tenants can expect to see more options and better amenities. However, it's essential for renters to do their research and carefully consider their options before signing a lease. With the help of organisations like the Ukrainian Real Estate Association, renters can navigate the complex Kyiv real estate market and find a home that meets their needs and budget. As the city's real estate market continues to evolve, one thing is clear: build-to-rent developments are here to stay, and they're changing the way Kyiv's residents think about renting and buying.

This article is general information only and is not personal financial or investment advice. Consider your own circumstances and seek licensed professional advice before making financial decisions.