ulaanbaatar city
real estate market
annual report: 2023-2024
Invescore Property LLC, 2024
Contents
- Inflation
- Economic Growth
- Foreign Trade
- Loans issued by banks
- Construction industry
- Real estate brokerage industry
- The Challenges
- Project financing and investment in 2023
- Apartment Sector 2023
- Office Sector 2023
- House Sector 2023
- Featured Markets: Almaty city, USA, and Vietnam
4. The real estate industry outlook in 2024
- Ulaanbaatar city market: As envisioned by domestic project developers
- Global Markets 2024 : JLL Research Summary
- Ability to Rent > Ability to Buy
- There is a growing need for entertainment projects
- The need for senior-oriented facilities will increase
- Needs beyond HOA= Property Management
- There is a lack of storage and logistics facilities
6. Urban expansion and new planning
- History of Ulaanbaatar city
- Expansion of Ulaanbaatar city
- Engineering infrastructure planning of Ulaanbaatar region
7. Law amendments effective starting from 2024
- Property tax law
- Income tax law
- Construction law
- Law of state registration of property rights
Invescore Property LLC
Comprehensive management of real estate
Developer • Manager • Investor
Invescore Property LLC is a subsidiary of “Invescore Financial Group” and was founded in 2017. It is currently operating in Ulaanbaatar with more than 80 employees.
Expanding based on market demand and business opportunities, we are currently responsible for the comprehensive management of 3 office projects and 1 serviced apartment project in UB city.
Business operations
We engage in and manage all stages of the product life cycle of our projects as a comprehensive, fully-integrated real estate management company.
Functions we cover as part of comprehensive real estate management:
I. PRE-DEVELOPMENT PHASE
Stage 1
Stage 2
Stage 3
Stage 4
20%
20%
40%
20%
20%
Market research and analysis
Concept development of the project
Develop a structure of project participants
Marketing and communication of the project
II. DEVELOPMENT PHASE
Stage 5
Stage 6
Stage 7
Stage 8
30%
40%
15%
15%
15%
Project financing and capital raising
Project development and contracting with contractors
Comprehensive project management
Perform client control
III. POST-DEVELOPMENT PHASE
Stage 9
Stage 10
Stage 11
Stage 12
Stage 13
15%
30%
40%
15%
15%
Real estate sales and brokerage
Facility
Management
Lease
Management
Investor
Relations
Asset management
Available investment offers
for individual investors
Buy-to-Let property with Existing tenants
“IC Tower” office
"Ambassador Residence" serviced-apartment
“Khoimor” office
Sales area: 135.60 sq.m
Selling price: $280,496
Annual rent: $21,000
Location: SBD, Parisian street
Tenant: Moved in.
Property Management: Invescore Property LLC
Commissioned: 2022
Size of property for sale: Furnished 100.35 sq.m
Price for sale: $325,100
Annual rent: $19,700
Bedrooms: 1
Bathrooms: 1 /Separate bathroom/
Location : SBD, Embassy Street
Tenant: Moved in.
Furniture: Included in the sale price.
Sales area: 94 sq.m
Selling price: $102,294
Annual rent: $8,655
Location: SBD, Green Lake Street
Tenant: Moved in.
Property Management: Invescore Property LLC
Commissioned: 2017
Consumer behaviour of house buyers
survey by Invescore Property
Invescore Property LLC has conducted a consumer behavior survey of more than 200 households, including target consumers who want to buy a house in November 2023 and is publishing the highlights and interesting parts of the survey results.
General
About 70% of the target households were families with 1-4 members and 1-2 children. Most of the apartments we live in now are 80-150 sq.m., 3-room apartments. Families usually have one car, and their children use private vehicles to go to school or walk. Monthly household income is up to ₮10 million.
Comment on current housing
They believed that "being able to raise their children in a clean environment with greenery and parks" is the most critical value of the apartment they live in now. Most of the households require the residence to be near their kids’ school and parents’ work place as well.
What value does your current apartment bring to you?
Source: ”Identifying targeted customer behaviour” survey, Invescore Property LLC, 2023
Also, these residents expressed a real need for the HOA's next-level services beyond the main activities of the HOA such as maintenance, cleaning, and security of the residential building.
Specifically, the need for school buses for children, package and mail storage services, etc., shows that a professional property management company with legal entity rights is needed rather than the current form of HOA.
What services do you need from your HOA?
Source: ”Identifying targeted customer behaviour” survey, Invescore Property LLC, 2023
Regarding the house to buy in the future
43% of the households participating in the survey answered that they would choose a house for their next real estate purchase, and 24% responded that they would choose a serviced apartment.
When choosing a house, the families preferred the location near Bogd Uul and Baga Tengeriin Am. Also, the majority of the respondents did not consider it suitable to have a house with an area of more than 250 square meters.
What size house is right for your family?
Source: ”Identifying targeted customer behaviour” survey, Invescore Property LLC, 2023
TO REACH management team
Uyanga.O
Chief Executive Officer
uyanga@invescore.mn
Tsolmon.B
Project & Engineering
Head of Projects
tsolmon.b@invescore.mn
Tsolmon.Ts
Investment Consultant
tsolmon@invescore.mn
for general inquiry
Invescore Property LLC
Ste 1201, IC Tower building, Parisian street 42, UB, Mongolia
info@invescoreproperty.mn
(976) 7507-5454