Natalia Dotsenko-Belous speaks on the topic of financial pyramids in construction
07/08/2008
On August 5, 2008, the scheduled legal press-club session took place in the LIGABusinessInform press-center. The topic of the session featuring Natalia Dotsenko-Belous, Vasil Kisil & Partners’ senior associate as main presenter and moderator was dedicated to legal trends related to financial pyramids in construction.
Ms. Dotsenko-Belous, an asset management and stock trading specialist certified by the State Committee on Securities and Stock Market (SCSSM), assessed buyer’s risks when purchasing real estate in construction and analyzed the reasons for these risks to appear. A special emphasis was placed on the hidden ricks for the buyer that emerge when real estate is being purchased through acquiring a property bonds package and the participation in the construction financing funds.
“The most unpredictable construction financing instruments today are property bonds taking in consideration that they are not secured by the goods there are issued for and that they are issued based on the unit area construction costs,” – Natalia Dotsenko-Belous stated. “In order to minimize financial risks of construction it is recommended to ensure buyer’s financial risks, mortgage the property being constructed and analyze developer’s good faith,” – she pointed out.
Among the attendees of the legal press-club session, there were leading Ukrainian lawyers and analysts in the area of real estate and construction. The experts had a chance to discuss investor risks and guarantees pertaining to the situation on the initial construction financing market, the crises and the default of property bonds, new ways of attracting funds into construction projects and other legal aspects of real estate market operation.
The topic of this particular session was determined by legal press-club members, lawyers and journalists alike who took in consideration the most burning questions of real estate market in recent months. More than 50 journalists participated in the event, including the representatives of five leading TV channels.
Ms. Dotsenko-Belous, an asset management and stock trading specialist certified by the State Committee on Securities and Stock Market (SCSSM), assessed buyer’s risks when purchasing real estate in construction and analyzed the reasons for these risks to appear. A special emphasis was placed on the hidden ricks for the buyer that emerge when real estate is being purchased through acquiring a property bonds package and the participation in the construction financing funds.
“The most unpredictable construction financing instruments today are property bonds taking in consideration that they are not secured by the goods there are issued for and that they are issued based on the unit area construction costs,” – Natalia Dotsenko-Belous stated. “In order to minimize financial risks of construction it is recommended to ensure buyer’s financial risks, mortgage the property being constructed and analyze developer’s good faith,” – she pointed out.
Among the attendees of the legal press-club session, there were leading Ukrainian lawyers and analysts in the area of real estate and construction. The experts had a chance to discuss investor risks and guarantees pertaining to the situation on the initial construction financing market, the crises and the default of property bonds, new ways of attracting funds into construction projects and other legal aspects of real estate market operation.
The topic of this particular session was determined by legal press-club members, lawyers and journalists alike who took in consideration the most burning questions of real estate market in recent months. More than 50 journalists participated in the event, including the representatives of five leading TV channels.