FGC Group of Companies

FGC Group specializes in the implementation of projects in the field of residential real estate: from the complex development of districts to the construction of residential buildings according to individual projects.

Aktivs

For 2021, the structure of the FGC Group of Companies includes:

• The first house-building plant (JSC "House-building plant No. 1," DSK No. 1) and
• MSU-1 (Monolithic Construction Department-1 JSC),
• enterprises for the production of ready-made concrete LLC "Concrete Stroyholding" and JSC "TD" Partner. "

Performance indicators

2023: FGC development group increased annual revenue by 1.5 times

In 2023, the FGC group raised 262.7 billion rubles, which is 1.5 times more than a year earlier. At the end of 2022, the company reported consolidated revenue of 174.1 billion rubles. FGC disclosed some of its financial indicators for 2023 on December 19, 2023.

According to the Interfax news agency, citing FGC materials, real estate sales from the company in 2023 amounted to 153.4 billion rubles. The development company sold 685.8 square meters. meters of real estate, which is 60% more than a year earlier. The share of mortgage transactions is 83%, transactions under installment plans - 5%, with full payment - 12%.

The total volume of commissioning of FGC projects in 2023 exceeded 746.7 thousand square meters. m. In addition, the companies included in the group (MSU-1 and First DSK), as part of work on city orders, introduced 518, 3 thousand square meters. m.

Summing up the results of 2023, the FGC also noted the conclusion of several M&A transactions. Thus, a factory with the production of sheet glass and production sites for the manufacture of glass products, as well as enterprises for the processing of sand and clay, were acquired.

As a result of the purchase of assets, we made a transition from a development company to a production and construction group... Thus, we form a unique asset base that makes FGC Group a more financially stable company and less dependent on counterparties and external factors. At the same time, we continue to actively develop the development direction, said Vladimir Voronin, President of the FGC Group of Companies .

According to him, in 2024 the group will launch several new projects. Among them are 5 projects in the country market and 5 projects in the segment of residential complexes of comfort and business classes in Moscow and the Moscow region.^[1]

2021:45% increase in consolidated revenue to RUB 170.072 billion

GK FGC December 21, 2021 shared the results of the year, analyzing the main indicators of the group of companies. According to preliminary estimates, in 2021, consolidated contracting revenue amounted to 170.072 billion rubles, which is 45% higher than last year. The revenue of FGC Group from the sale of real estate increased by 65.2% and amounted to 101.063 billion rubles.

The average budget of the realized apartment in Moscow projects of the FGC Group in 2021 amounted to 16.42 million rubles, in the Moscow region - 8.4 million rubles, in projects in St. Petersburg - 7.5 million rubles.

The total volume of project commissioning in 2021 doubled compared to 2020 and amounted to 909,349 square meters. m. In addition, the companies included in the group (MSU-1 and First DSK), as part of work on city and commercial orders, introduced 376,565 sq. m (186,100 sq. m and 190,465 sq. m, respectively).

The volume of real estate sold increased by 9% and amounted to 517,395 sq. m in 2021. The reasons for the growth were profitable programs with partner banks, which appeared after the abolition of preferential mortgages, as well as the launch of several new Moscow business class projects (LCD Rotterdam, LCD Sky Garden) and comfort class ("1st Leningradsky"). The average volume of mortgage transactions amounted to 55%, transactions under installment plans - 32%, with full payment - 13%.

One of the priority areas of the company's development in 2021 was the entry into the commercial real estate market. FGC Group of Companies will build a business center within the Sydney City residential complex and an industrial technopark, investments will amount to 8.5 billion rubles. The implementation of these projects will create more than two thousand jobs.

Despite the stagnation of the market in the second half of the year, the company's results show positive dynamics in comparison with 2020 both in terms of sales volumes and in terms of sales revenue. According to our forecasts, in 2022 a strong increase in prices should not be expected. The rise in prices in new buildings will primarily be due to an increase in construction readiness and will amount to 20%. In 2022, FGC Group plans to expand its project portfolio, and plans to increase consolidated revenue to 225.8 billion rubles, "said Vladimir Voronin, President of FGC Group.

History

2023: Buying Sibelco's Russian business

On November 15, 2023, the development group FGC announced the buyout of the Russian business of the Belgian mineral producer Sibelco. Financial terms of the transaction are not disclosed. More. here

2022

Creation of a company for the development of the hotel business

On December 22, 2022, it became known that the FGC construction group had created a new company, would manage hotels and apartments, as well as the development of hotel services at its own and third-party facilities in Moscow, St. Petersburg and other Russian cities. The established structure was called "FSK Hotel." Read more here.

Buying Filanco

One of the largest developers in Russia, FGC, bought the telecommunications company Filanko. The value and other parameters of the deal, which was announced on September 12, 2022, have not been announced. Read more here.

Appointment of Alexey Almazov as Managing Partner in the Regions segment

Alexey Almazov was appointed managing partner of FGC Group in the Regions segment, which the company announced on April 12, 2022. Read more here.

Permission to commission the Best Western Zoom Hotel

GK FSK on April 4, 2022 announced that it had received permission to commission the Best Western Zoom Hotel (BWZH) hotel complex in the Primorsky District of St. Petersburg.

Hotel with 847 rooms on Kolomyazhsky Ave. Is located directly on the embankment of the Black River, within walking distance from the metro station of the same name.

The hotel complex is implemented in partnership with one of the largest hotel chains in the world - Best Western Hotel Group, the product concept meets world standards and best practices of its segment.

We are pleased with the success of the project in the competitive market of service apartments. By the time the project is put into operation, almost all the lots in it have been implemented, "said Kirill Krutikov, chairman of the board of directors of the FGC Group of Directors in St. Petersburg. Despite the difficult period for the hotel market, we are convinced that the hotel is in demand among the guests of the city. Even at the stage of the concept, we laid down various scenarios and ways to load the hotel, focusing on domestic tourism, travel and corporate segment, as well as group reception of guests, including from the countries of the East and Asia. Petersburg is a key tourist and business destination in Russia and the world, and BWZH will be one of the significant elements of its hotel infrastructure.

Now the company organizes the procedures for accepting rooms by the owners and prepares the hotel for the opening, which is scheduled for the second half of this year.

The hotel includes, in addition to hotel rooms, the entire complex of service infrastructure - from a 24-hour reception service and restaurant to co-working space, conference rooms and entertainment areas.

The hotel will be managed by its own management company according to the facility standards of the Best Western group.

Appointment of Olga Skomorokhova as Managing Partner

Olga Skomorokhova became the managing partner of the FGC Group of Companies, which announced this on March 29, 2022. Read more here.

Talks with Turkey and China producers

FGC Group is negotiating with companies from Turkey, China, as well as with Russian manufacturers on the supply of products for the construction of business and comfort-class houses. One of the main selection criteria is to maintain the declared level of quality of construction of facilities. The company announced this on March 21, 2022.

In the business class of the developer, the share of Russian-made components is 80%, in the comfort class - 90%. The most vulnerable to restrictions were categories with an imported component, such as engineering equipment and finishing materials for business-class projects, which were supplied by European companies from France, Germany, Italy, Belgium and the Czech Republic.

We held about 300 negotiations with existing and potential partners and selected comparable companies that will allow us to fulfill the declared level of construction of our projects. Cooperation with Turkey and China, where the production of the world's leading brands is concentrated, will give us the opportunity to maintain the high quality and pace of work at the same level. However, logistics costs and delivery times will be increased. We will take this into account when planning our construction activities within the company, "said Alexander Tkachenko, Vice President, Director of the Procurement Department of FGC Group.

At the end of March 2022, the developer also continues to work with foreign partners, whose production is localized in Russia.

Transaction with the A1 for the acquisition of a plot in Moscow

On February 7, 2022, the FGC Group of Companies and A1 investment company announced the conclusion of a sale and purchase transaction for 75% of the share in the project for the development of a site located in the Southern Administrative District of Moscow within the boundaries of Promzona No. 58 Lyublino. One of the sellers of the A1, as well as Denis Izbrecht, retained their shares in the project.

A plot of 13.62 hectares is located on Ilovayskaya street, 3. On the acquired territory of the FGC Group of Companies, it involves the construction of a multifunctional residential complex with a total area of ​ ​ 510,290 sq.m. with a school and a kindergarten.

We entered this project, as we assess the place of future development as very promising. There are warehouses on the territory. The appearance of a modern residential complex with its infrastructure instead will form a new center of attraction in the region, "said Vladimir Voronin, President of the FGC Group of Companies.

Partnership with FGC Group of Companies will allow implementing a large development project in the interests of the city of Moscow and its residents. We look forward to long-term cooperation with FGC. A1 remains an investor in this project, "said Andrey Elinson, managing partner of the A1.

2021

Agreement with the hotel chain BWH Hotel Group on the construction of 10 hotels in Moscow and St. Petersburg

On December 16, FGC announced the signing of an agreement with the BWH Hotel Group hotel chain, under which the companies planned to implement ten Best Western apart-hotel projects in Russia. The document is designed for a period until 2030, and is valid for the sale of apart-hotels in two capitals - Moscow and St. Petersburg.

"As a large construction holding, we are developing in many areas of development activities, and the hospitality industry is one of the segments significant for us," comments Kirill Krutikov, Chairman of the Board of Directors of FGC Group in St. Petersburg. "We are interested in diversifying our business, as well as in attracting successful international partners, which is the BW Hotel Group."

The partnership between BWH Hotel Group and FGC Group will ensure interaction and combine the competencies and experience of two major players. Both companies are recognized experts in their business fields. This means that apart hotels created as part of this partnership will be able to take strategic positions in their niche and will be attractive to guests, potential investors and owners of facilities.

"We are very interested in expanding the presence of our brand in Russia and believe that this cooperation will allow us to achieve this goal. We are one of the largest hotel groups in the world and want to leverage the strength and reach of our brand to help our partners develop hotels that deliver the necessary ROI, "says Suzy Yoder, Senior Vice President, Global Operations, BWH Hotel Group.

The partnership has already begun: in the summer of 2022, the first joint project of partners will be opened in St. Petersburg: an apart-hotel with 847 rooms of the BW Zoom Hotel.

Creating a public collection of contemporary art

GK FSK September 2, 2021 announced the creation of a public collection where works of art by key contemporary Russian artists will be presented. The exhibition of works, which at the first stage will be located in the sales office of the Sydney City residential complex, can be visited by anyone.

The main idea in the positioning and development of the Sydney City residential complex project is the well-being philosophy. This concept means not only physical health or material wealth, but also emotional, psychological and social well-being. Within the framework of this concept, both an aesthetic and functional space and a cultural environment filled with objects of art are created, the FGC Group of Companies told.

"We see the need in our business class audience not only for quality housing, but also for additional meanings, added cultural value. This creates the prerequisites for the formation of a trend on art integration and the development of public spaces through art. By the way, in the West, developers are obliged to allocate 1% of the facility's budget for these purposes, - said Pyotr Kirillovsky, director of the product development department of the FGC Group of Companies. - From a business point of view, this approach helps to create a product with a recognizable style, which makes it more attractive to buyers and accordingly increases liquidity. This mark-up can be as high as 20%. "

The exhibition will be curated by the invited art critic Olga Gashchova, who specializes in the development of art projects for public spaces and has extensive experience in the field of contemporary art not only in Russia, but also abroad.

"Art becomes an integral element of our ordinary life: public art on the main streets of the city, exhibitions for which we are ready to plan vacations. People have always needed some subtle matter to feel the fullness of life and their own well-being, - says Olga Gashchova. "In the art space of the Sydney City residential complex, famous Russian artists will offer viewers their vision of the topic of well-being and give people the opportunity to meet the beautiful already on the threshold of their own apartment."

As part of the development of the project in the FGC Group of Companies, work is underway to create public art facilities in the park, on the embankment and in the public spaces of the residential complex under construction.

"Our public art space will be a point of attraction not just for the people of Sydney City. The exposition can be included in the list of attractions of the location along with the unique the Dutch ponds of the Krasnaya Presnya park, the magnificent Shelepikhinskaya embankment and many other interesting places that made up the Naberezhnye-Reki walking route. Moscow Recall that the project "Walking routes from the FSK Group of Companies and" we Russpass launched together with the digital tourist service in July this year, "says Peter Kirillovsky.

Connection "FGC Finishing technologies"

On March 29, 2021, the FGC Group of Companies announced the inclusion of a business unit in its structure - FGC Finishing Technologies. The company will specialize in the finishing work of the full cycle: from the creation of the design project of the apartment, to the preparation of the object for settlement. Read more here.

Appointment of Dmitry Trubnikov as Executive Director of FGC Group of Companies

The FGC Group of Companies on February 9, 2021 announced the appointment of Dmitry Trubnikov to the post of executive director, who has significant management experience, including in the development business. Read more here.

2020

Revenue growth by 15% to RUB 130.067 billion

GC FGC on January 25, 2021 announced the results of the year, analyzing the main indicators of the group of companies. According to preliminary estimates, in 2020, revenue amounted to 130.067 billion rubles, which is 15% higher than in 2019. The revenue of FGC Group from the sale of real estate amounted to 61.176 billion rubles.

The average budget of the realized apartment in Moscow projects of the FGC Group in 2020 amounted to 13.1 million rubles, in the Moscow region - 5.9 million rubles, in projects in St. Petersburg - 4.25 million rubles. The total area of ​ ​ real estate put up for sale in 2020 amounted to 993 thousand square meters. m., of which 35% are business class projects in Moscow.

In addition, due to the low mortgage rate in 2020, the share of transactions involving a loan increased. The average mortgage deal rate rose from 64% to 70%. In some projects, the share of mortgages reaches 85%. Of this volume, about 95% were committed at a preferential rate.

2020 was a successful year for our company, we were able to improve revenue indicators compared to the previous period. In 2020, the company headed for the premierization of the development portfolio. As part of this strategy, in the second half of the year we launched three residential complexes in the business segment at once. The volume of sales in this segment has also increased - in 2020 we increased it 2.5 times, in 2021 we plan to increase this figure by another 3.4 times, "comments Vladimir Voronin, President of FGC Group of Companies.

In 2020, FSK Group of Companies launched 4 projects, three of which are located in Moscow (Sydney City residential complex, Director residential complex, Architect residential complex), and one in the Moscow Region (First Lermontovsky residential complex).

The total volume of real estate introduced by the company at the end of 2020, together with the indicators of the First DSK, is 775,165,38 square meters. meters, 378,582,69 square meters of which fell on the volume of third-party commercial and city housing orders.

FGC headquarters moved to Midland Plaza Business Center

GK FSK on November 10, 2020 announced that it had moved from the old office on Myasnitskaya Street to the office, which is located in the Midland Plaza business center at 10 Arbat Street.

The format of this "flexible" office is fundamentally different from the old one, built on the principles of the cabinet system and fixed workplaces. There are no separate offices in the room, even for the top management of the company.

We abandoned the cabinet system in favor of the open space format. Cabinets create unnecessary barriers, open space, in our opinion, will make the interaction process much more effective. We decided to introduce such experience into the company after the forced transition to remote work. As practice has shown, the existing formats of interaction no longer necessarily imply that the employee is in the office, which means that there is no need to maintain large offices. The flexible system allows you to more efficiently build work processes and quickly solve current problems, - comments Irina Voronina, Vice President of FGC Group of Companies. - Moreover, this format allows the employee to work from any space in the office, thereby establishing communication between different divisions of the Group of Companies and increasing their involvement.

The total area of ​ ​ the office is 3200 sq.m.

The company recalled that in September FGC concluded a contract with Space 1 for the lease of a class A service office, which is located in the Midland Plaza business center at 10 Arbat Street. The deal was consulted by S.A. Ricci.

Conclusion of Class A Service Office Lease Agreement

On September 16, 2020, the FGC Group of Companies announced the conclusion of a contract with Space 1 for the lease of a class A service office with an area of ​ ​ 3,200 sq.m. which is located in the Midland Plaza business center at 10 Arbat Street. The deal was consulted by S.A. Ricci.

The contract was concluded for a period of 5 years, the rental rate, the commercial terms of the contract were not disclosed.

FGC Group continues to grow, develop and look for ways to manage its large team. We want to keep up with the times by using different formats of interaction. However, closed cabinet spaces, sometimes, create unnecessary barriers, including in communications. I decided that the most suitable format for solving this problem will be a modern office in the open space format. Building work in a single space, I am sure, will allow solving current problems, competently building communication and strengthening horizontal ties between employees, "Vladimir Voronin, President of the FGC Group of Companies, commented on his decision.

The fact that one of the development companies appreciated the capabilities and advantages of the service office, in my opinion, is indicative and once again proves that the service format is a popular solution, including for large corporate clients who used to consider an exclusively classic lease option for the location of their office, - said Maria Kabanova, head of sales at Space 1. - Over the past two years, the segment of service offices has grown by 50% annually. The crisis caused by the pandemic only increased the interest of corporate clients in the segment, which offers flexible lease conditions and modern technological solutions for organizing office space, allowing building communications within the company.

We are seeing increasing interest from large tenants in service offices. For some, this is a temporary solution and the ability to "test" various office formats in the post-pandemic era, for others - a balanced long-term solution and the ability to get good office space without capital costs with a set of necessary services, - comments Alexey Bogdanov, managing partner of S.A. Ricci. The FGC and Space 1 GC transaction is an example of a long-term approach and one of the major transactions in the service office segment in 2020.

Plans to invest in the Mari shopping and entertainment center 100 million rubles

Until the end of 2020, the FGC group of companies will invest 100 million rubles in the development and modernization of the MARi shopping and entertainment center. The investor announced this on July 17, 2020. Read more here.

Completion of the acquisition of 94% of the shares of VDSK

On January 20, 2020, the FGC group of companies announced the completion of the acquisition of Voskresensky House-Building Plant JSC (VDSK). The corporation bought a 94% stake in the company worth more than 1 billion rubles. The transaction was financed from the own funds of the group of companies. Read more here.

2019

Consolidation of MSU-1. "FGC Leader" is transformed into "FGC Group"

In 2019, the restructuring of the group and the consolidation of the MSU-1 were completed. In this regard, the company is rebranded: FGC Leader is being transformed into FGC Group. The company's revenue is 116.54 billion rubles. The volume of real estate introduced by the company amounted to 845, 68 million square meters. m., taking into account the indicators of the "First DSK" - 1.556 million square meters. m., about 711 thousand square meters. m. Of these fell on the volume of commercial contract and city order for housing.

Agreement on the acquisition of a 90% stake in VDSK

On November 25, 2019, the FGC Group of Companies announced that it had reached an agreement to acquire more than 90% of the shares of the Resurrection House-Building Plant (VDSK). Read more here.

2018: Revenue growth by 16% to RUB 111.58 billion

On December 20, 2018, FGC Leader reported that the company's revenue for 2018 amounted to 111.58 billion rubles, an increase of 16% compared to the same period in 2017. The volume of commissioning of FGC "Leader" in 2018 amounted to 817 thousand square meters, which is 53% more than in 2017. In total, the corporation, taking into account the indicators of the DSK-1, put into operation 1.3 million square meters. The consolidated input indicator increased by 27% compared to the data for 2017.

At the end of the year, FGC Leader (together with DSK-1, a member of the corporation) entered the top three in sales in the Moscow region, selling 485 thousand square meters. m. Together with the northwestern direction of business, the volume of sales amounted to 553 thousand square meters. m.

Among the projects of Moscow and the Moscow region, the leaders in demand were: UP-quarter Skolkovsky (19% of total sales), residential complex Nekrasovka (18%), UP-quarter New Tushino (10%). The average purchase budget for FGC Leader projects is 4.9 million rubles. (against 4.3 million rubles last year). Residential complex "Nekrasovka" with a cost per square meter of 105 thousand rubles. became the most popular among all Moscow facilities outside the Moscow Ring Road.

At the same time, the average purchase budget in the "standard" and "comfort" segments, according to analysts at FGC "Leader," in Moscow amounted to 6.4 and 8.9 million rubles. respectively, in the Moscow region - 3.6 and 4.6 million rubles, in New Moscow - 4.2 and 5.2 million rubles.

Transactions with 100% prepayment accounted for 23% of total demand (against 19% in 2017), the volume of mortgage transactions at the end of the year - 71% (against 75% in 2017). Two-room apartments were very popular (in addition to studios and one-room apartments), the demand for which increased significantly compared to previous periods and amounted to about 35% of the total demand.

The outgoing year was very good for developers in terms of demand. Current market changes explain this purchasing activity: talk about the possible abolition of DDUs, the introduction of escrow accounts, seriously cheaper mortgages and experts' forecasts about the following increase in the cost of housing following the change in legislation - all this explains the desire of buyers to purchase real estate in 2018.

2016: Acquisition of DSK-1

In 2016, the acquisition of DSK-1, the leader of panel house building in the Russian Federation, took place. Launch of 5 new projects in the regions of presence: Generation residential complex (Moscow), Scandinavsky residential complex (Moscow region), Rimsky residential complex (Moscow region), Moskovsky UP-quarter (St. Petersburg), Komendantsky UP-quarter (St. Petersburg).