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St. Petersburg Considers Increasing Rent for Large Non-Residential Properties

St. Petersburg deputies have approved a bill in its first reading to raise rent for large non-residential properties owned by the city. The bill, developed by the city government, aims to change the rental assessment method for premises exceeding 1500 square meters.

Currently, rent for large premises is determined using a mass assessment method. The proposed law seeks to implement individual assessments for premises larger than 1500 meters, which is expected to boost the city’s budget revenue. According to Governor’s Representative Konstantin Sukhenko, there are 21 such facilities in the city, with one example being a property on Vasilyevsky Island where a private school is located. The rent for this 1800-meter facility is projected to increase 1.5 times, from 1.7 to 3 million rubles per month.

However, the bill has faced criticism from deputies. Yabloko member Alexander Shishlov argued that an individual approach could create opportunities for corruption. Deputy Chairman of the KIO (Committee for City Property Management) Maxim Pokhil assured that the individual assessment method would still be based on market prices.

Deputy Alexander Rassudov raised concerns that the city could combine premises of one tenant, potentially bringing more entrepreneurs under this new regulation. While the Deputy Chairman of the KIO acknowledged this possibility, he noted that different contracts could lead to different assessments.

Legislative Assembly Speaker Alexander Belsky also voiced concerns, stating that the document raises many questions from deputies and even more from entrepreneurs. He emphasized the potential for corruption and questioned how the city would address these issues. Despite the criticism, the bill was approved in the first reading, with two months allocated for amendments.