Sustainable development of territories: Andriy Vavrysh told about the directions of SAGA Development work

On the 8th of November, during his speech at the Residential Development Forum 2019, Andriy Vavrysh spoke about the trends in the development sector and outlined the main challenges faced by the Company and which became the main guidelines for its work.

The Ukrainian real estate market is changing. Improving the country's credit rating, GDP growth, refinancing rates reduction, jump in the IT development and projected growth in investment in the economy: these factors are major catalysts for changes and create positive conditions for developers. At the same time, Ukraine remains one of the most urbanized countries in the world. The pace of development is increasing, which poses new challenges to developers, forcing them to change the model of their work and seek a compromise between the expected profit and the city development.

According to Andriy Vavrysh, modern companies should abandon extensive methods of developing territories and be sensible about the resources of our country.

“Today, the number of urbanized areas is the best indicator of the unreasonable use of resources. Fortunately, not only global companies understand it. Ukrainian developers are also moving from developing new territories to developing territories within cities. For developers, redevelopment of poorly used urban spaces is gradually becoming the standard.”

Today, the government and market participants agree that it is necessary to direct forces to the central areas of the city, change the models of their use in accordance with the International Program of Sustainable Urban Development Program. The Soviet past has left behind many industrial enterprises in the central part of the city. They should be the catalyst for territorial development, increasing local budget revenues, and at the same time localizing resources to local communities and local governments.

According to the SAGA Development SEO, this can only be achieved through joint efforts. Every developer should adopt this standard of work and be able to involve different market players in their projects: environmentalists, community leaders, and community representatives. “We need to change our landmarks and create cities that are good for people. And this cannot be the matter of a single developer,” — emphasized Andriy Vavrysh.

The issue of comfortable environment is directly related to the way objects are created. The high-rise buildings and the Soviet Union inheritance, where the labour resources displacement was a primary purpose of the authorities, do not create adequate living conditions for the locals.

But unfortunately, sustainable approaches to construction will prevail in the market for a few more years. According to the developer, the point in this issue will be made by people who will choose real estate in new low and medium-height facilities. These people will multiply by zero the strategies that still dominate in the real estate market.

Given these trends, both in the economy and in the real estate market, the SAGA Development outlined for itself three areas of work.

The first step is to develop your own strategy. The company's goal is to create an ecosystem of rules by which all project participants will work on. It's about building a professional team and finding the right solutions for constructing quality facilities. At the same time, according to Andriy Vavrysh, quality is not always about price and cost, it is a balance of what is necessary and sufficient. Today, it is not enough to construct and commission buildings, it is important to properly organize the process of building operation.

The second challenge of the company is to digitize processes, create own digital products and services that will improve lives of the residents. Becoming a service leader and moving from human involvement to the work of algorithms are the priorities of the SAGA Development and its partners.

Creating ecosystem relationships is another direction for a developer. The construction of new facilities must involve a large number of market players, the principle of openness and the desire to constantly improve teamwork results, the basis for effective cooperation should be clear and with fair rules.