A global property boom Russian style

The place to be for booming commercial property development right now is Moscow. According to international property analyst Knight Frank, new developments of high-grade office space in the Russian capital have doubled since 2003, with a further 1.5m square feet of space becoming available before 2011. Yields at the top end of the sector now average 10 per cent, mirroring a similar boom in the residential sector, where prices for new-build homes rose by 92 per cent last year alone. Rents are rising at 30 per cent a year.