Developer: “Ecotun” LLC
“Ecotun” LLC has been carrying out its activity since 2016, during its activity it has built three 6-16 storey eco buildings in the city of Yerevan and 110 private houses in the territory of the RA.
The eco-buildings, that have been built, include the right combination of quality, efficiency and price. Simple solutions in a minimalist style, with a luxurious design, compact, energy-saving and environmentally friendly. Eco-buildings are built based on durability standards of high-rise buildings with an average service life of 80 years, corresponding to world standards.
Eco-building construction plan
Short description of the plan
“Ecotun” LLC plans to build 8 multifunctional residential eco-buildings in Yerevan. The total area of one residential building is 11220 sq. m.The main goal of eco-buildings is to take into account the modern requirements andneeds of citizens, providing significant energy savings in contrast to other buildings and, if possible, to protect and preserve the environment, making it more efficient to use. During the construction of these buildings, exclusively environmentally friendly materials will be used, and energy-saving systems will allow to reduce utility costs by 80%. The structure of the building consists of external non-load-bearing walls, and internal structural elements consist of monolithic beams and columns. The floor covering is a monolithic reinforced concrete. We offer reliable and profitable solutions that will save electricity and water, minimize the environmental impact on the construction project.
Goals and objectives of the projectThe project proposes to solve an important project for Yerevan city-building and social task; reconstruction / renovation of the emergency and old living fund, relocation of the residents to new modern comfortable apartments. The result of the construction project on the site is the commercial benefit: free electricity, as photovoltaic panels will be installed on the external walls of the buildings, with the help of which one building will produce electricity worth up to 180,000 USD annually, which in turn will be distributed among the residents of residential buildings in accordance with the area of the apartment they are purchasing, by approximately 40% of the tariff for the electricity used. The annual income from electricity will be from 5,000 to 10,000 drams per 1 m2 of living space. The second important distinguishing feature is the right pricing strategy - we offer a high-quality luxury building at an affordable price.
Contributions made / investments /“Ecotun” LLC has made a contribution of 4,000,000 US dollars for the implementation of the project so far for the purchase of land, drafting projects, and obtaining building permits.
Expected loanThe budget for the proposed 15 buildings is about 73million US dollars, the organization will implement everything through a long-term loan. The organization plans to repay the debt within up to 4-7 years upon completion of the project and making a profit.
Marketing planBased on existing market prices, the organization has chosen the following pricing method: to sell 1 sq. m. apartment for 1000-1800 US dollars. Full organization of the sale of apartments by modern marketing methods is more than realistic. Affordable and low-interest apartments will be provided - with and without mortgages. In accordance with the requirements of residents, mortgages will be provided at a rate of 9% per annum.
Advantages and features of the project implementation¢ Installation of modern LED economical lamps is envisaged in all buildings.¢ The building will be partially automated.¢ The structure of the building will consist of external non-load-bearing walls, and internal design elements will consist of monolithic beams and columns, or metal quick-assembled structures.¢ The floor covering is a monolithic reinforced concrete.¢ The most efficient modern energy-saving technologies will be used in heating, cooling, ventilation and water supply systems in buildings.¢ Heating and ventilation systems of apartments will provide high energy saving (COP (heat coefficient) - up to 4 heat pumps), which will be installed between the external walls of buildings. And sound insulation will be provided by high-quality windows with buffer properties and the property of reflecting infrared rays. These windows will also contribute to an eco-saving system.
High energy savingIn the event of a water or electricity outage in the area, the residents of the building will not be deprived of water and electricity.
High-quality and affordable apartments.Requirements include improved ventilation, minimal noise, providing a view from the apartments and maximum amount of natural light.
The building is warm and soundproofed.In order to reduce the cost of heating the building, it will be completely covered with a thick layer of heat insulator with a high degree of thermal insulation (a fireproof basalt wool consisting of fibers will be installed between the walls with a thin layer).Affordable apartments with a low interest rate will be provided with and without a mortgage.In accordance with the requirements of residents, a mortgage with a rate of 7-8% per annum will be provided.All apartments will be rented to residents in basic renovated condition. Analysis of opportunities and dangers
|1 Society~Expansion of the sales market|
~ Changing political situations
|2 Market Development Trends Sales Managers||~ Adoption of new standards|
|3 Competitors ~Deterioration of the positions of some competitors due to insufficiently developed management (This phenomenon is often observed in any area of the market)||~ Price cuts from competitors|
Analysis of the competitive fieldбDue to the analysis of the competitive field with the help of numerous social and personal surveys, we managed to find out that the market has many underdeveloped sides, which the organization is trying to eliminate by improving its services and the market as a whole. We tried to identify the advantages and disadvantages of companies engaged in the construction of buildings. The obvious advantages are the strength of buildings, geographical location, availability of the required information to the consumer. Weaknesses are the lack of parking in constructed buildings, low percentage of landscaping, high pricing policy of services, loss of sound and thermal insulation, materials used for building construction. The pricing policy of the companies ranges from 950-1700 US dollars.
Market AnalysisIn February 2019,13,2023 transactions on state registration of real estate rights were carried out in the Republic, compared to February last year, this indicator increased by 4.1%. In the city of Yerevan in February 2022, according to estimates, the average market prices for 1 sq. m. of the area of a residential apartment in multi-apartment residential buildings increased by 9.1% compared to February last year. The sale of the company's apartments will be carried out through advertising campaigns of servicing banks or independent sales offices.
Risk assessment and insurance
1Type of risk
3Methods of risk insurance
Periodic implementation of in-depth
marketing research of the service market.
Application of modern methods.
The reaction of
Compliance with market conditions
The possibility of changing the pricing
policy (flexible pricing policy)
Reasonable pricing policy
Force majeure situations
Creating a stable financial potential
12) Ashtarak Street of the Ajapnyak administrative districts of the city of Yerevan. Purpose of the project: The purpose of the project is to build 6 eco-buildings on Ashtarak Street in Yerevan city, the number of storeys of buildings is 17 floors (at least 138 000 sq. m. of the total area is subject to sale). The first floors of the buildings are intended to be used as a commercial public area. The roof is residential, semi-open, with landscaping.
Project timeframe The project implementation period is about 3-5 years.Project cost is $ 138 142 785 USD. Below is the cost of construction of one building (Table 1)
Articles of expenditure on the site
|Number of Eco buildings||15|
|Sale of usable area sq. m.||138 000|
|Project cost||$ 138 142 785|
|Elevators, stairs, corridors||$ 1 449 420|
|Reinforced concrete or prefabricated metal structures||$ 14 494 230|
|Eco wall||$ 1 449 420|
|Putty / Screed||$ 2 319 075|
|Door/Window||$ 1 594 365|
|Communication / Outdoor||$ 2 029 185|
|Communication/Internal||$ 1 449 420|
|Cosmetic Ice (heating and cooling system)||$ 1 159 545|
|Land plot||$ 5 797 695|
|Package of documents||$ 4 831 215|
|Real cost||$ 2 898 840|
|Income tax -20%||$ 39 472 410|
|VAT-20% 16.67%||$ 16 444 410|
|VAT-16.67%+ Income tax -20% _-23%||$ 16 448 355|
|Unexpected expenses||$ 32 892 750|
|Cost price + VAT + Income tax -20%_ -% 55||$ 72 365 160|
|Final profit % 45||$ 65 777 625|
The main article of consumables and components for the entire project
|Elevators, 17 floors, pieces||30|
|Prefabricated metal structures for 17 floors, tons||13 500|
|Eco walls, BIPV, eco facades, sq.m.||70 950|
|Finishing materials for interior decoration, sq.m.||180 000|
|Door/Window, sq.m.||9 990|
|Communication and engineering network, set||30|
|Heating / Cooling complex / set||60|
|Metal seismic isolators, cup type, pieces||360|
|Formwork kit for monolithic structures, sq.m.||18 000|
|Construction equipment, Tower cranes, construction. elevators, etc., pieces.||15|