PRESS RELEASE
July 18, 2008
St Petersburg

Colliers International conducted the biggest deal in the history of the St Petersburg real estate market. British fund Raven Russia purchased a warehouse complex, AKM Logistic, with a total area of 164,000 sq. m located in Shushary. The project's developer is AKM Logistics. Colliers International is the exclusive consultant and broker of Raven Russia.

The deal was a forward transaction worth USD 216 million, at the capitalization rate of 12 %. Phase I of the complex, with an area of 52,000 sq. m, will be commissioned in Q4 2008, and the whole project is to be completed in 2010.

AKM Logistics Complex is located in the front building line of the Russia Federal Highway, where the main cargo flow passes between St Petersburg, Moscow and other Russian cities. Good transport accessibility of the future complex is provided by its proximity to the Eastern Semi-ring of the KAD (Ring Road), the Shushary railway station and the airport. The key advantage of AKM Logistics is its location close to Toyota, GM, and Suzuki: the emerging automobile cluster will aid the start-up of auxiliary production and service facilities, which create demand for warehouse premises around Shushary.

"The deal closing, in spite of the world liquidity crisis, is very significant and indicates that the market has changed. The number of players has declined, but at the same time investors with 'long money' are still here, and they are interested in Russia and St Petersburg, that is why we can expect more major deals on big professional projects in the future," commented Boris Yushenkov, General Director of Colliers International (St Petersburg).

"The good transport accessibility of this complex as well as the attractiveness of its location to major international car parts manufacturers will ensure a gradual formation of an automobile cluster in this area. This is because many companies consider the location in the proximity of such car giants as Toyota, GM, Suzuki to be a strategic advantage. The new owner of the complex, Raven Russia, can expect to have a high occupancy rate for the property, attract high-quality tenants, sign long-term lease agreements and provide a sustainable requisite level of cash flow," notes Maхim Shakirov, Regional Director of Industrial and Warehouse Real Estate Department, Colliers International (Moscow, St Petersburg).

According to Colliers International (St Petersburg), the market of high-quality warehouse premises keeps growing. In the first half 2008, 142,000 sq. m of premises were commissioned, and in the second half of 630,000 sq. m are scheduled for commissioning. The biggest number of projects has been announced for development in the area of the Moscow Shosse in the south part of the city. Rental rates for Class A warehouse premises are on average USD 120-140 per sq. m per year, and rental rates for Class B premises vary from USD 110 to USD 120 per sq. m per year. The occupancy rate of currently operating warehouse premises totals 97%.

About Colliers International

Colliers International is the leading international real estate consultant with over 11,000 employees in 61 countries. Its network of 293 offices spans the globe, delivering superior service to clients in North and Latin America, Europe, Middle East and Asia Pacific.

Colliers International started its operations in the CIS countries in 1994 by establishing an office in Moscow. Over the next several years, regional offices were opened in St. Petersburg, Kiev, Riga, Vilnius and Tallinn and the company firmly secured a leading position in the commercial real estate market of the CIS and the Baltic States.
Combining its international expertise and state of the art solutions with local experience, Colliers International remains committed to providing a superior level of service to its clients in the Office, Retail, Industrial and Hotel Sectors of the commercial real estate industry.
Colliers International is a member of the American Chamber of Commerce and the International Council of Shopping Centers (ICSC).

For further information, please visit www.colliers.spb.ru, www.colliers.com

For additional information, please contact

Alina Karpichenko
Head of Marketing and PR Department
Colliers International (St Petersburg)
Tel.: (812) 718-36-18, 962-35-82
E-mail: a.karpichenko@colliers.spb.ru

Oksana Zavyalova
PR manager, Colliers International
Tel.: (495) 258-51-51
fax: (495) 258-51-52
E-mail: O.Zavyalova@colliers.ru