April 27, 2005
YIT founds a joint venture for residential construction in Moscow
On April 27, 2005, YIT Construction Ltd signed an agreement to found ZAO YIT Citystroi in Moscow. The company's field of business is the developer contracting of housing in the City of Moscow.
YIT's holding in the new company is 65 per cent, and that of Russian private shareholders is 35 per cent. The Russian shareholders have managed a local construction company, which they own, and have long experience of cooperating with the City of Moscow in housing construction. They will take up management of the new company. Other employees will be recruited from the Moscow area. ZAO YIT Citystroi will use the YIT Dom housing brand, which has been developed for use in Russia and encompasses the whole of the residential construction service chain.
The population of the City of Moscow is about 11 million. About 75,000 residential units are built in Moscow each year, and annual growth in production has been estimated to amount to over 2 per cent.
YIT Construction Ltd is Finland's largest residential construction company. YIT's St Petersburg-based subsidiary ZAO YIT Lentek has been building residential units in St Petersburg on a developer-contracting basis for four years. ZAO YIT Ramenje started building housing in cities in the Moscow region at the beginning of 2004. YIT also builds housing in Estonia, Latvia and Lithuania. At the end of last year, YIT had a total of 4,154 residential units under construction in St Petersburg, the Moscow area and the Baltic countries, and 2,984 in Finland.
Vice President, Corporate Communication
For additional information, contact:
Head of Division Timo Lehmus
YIT Construction Ltd
tel. +358 204 33 2474,
YIT is a versatile service company that offers technical infrastructure investment and upkeep services for the property and construction sector, industry and telecommunications. In all sectors of operations, the Groups services cover the entire life cycle of projects. YITs main market areas are the Nordic countries, the Baltic States and Russia. The group has about 22,000 employees in eight countries. YIT's share is listed on the Main List of Helsinki Exchanges under the Other Services heading.