Mirland waiting on Russian recovery

18th Nov 2009 14:04

Russian residential and commercial property developer Mirland Development Corporation (MRC) is still waiting for a sustained recovery in the Russian property market.The company posted a pre-tax loss of $16.4m for the nine months ended 30 September, a substantial improvement on the $37.1m lost in the corresponding period of last year.Rental income and property management fees also fell, however, sliding to $13m from $15.3m the year before, largely as a result of lower occupancy levels and rents.Total assets at the end of September were valued at $590m, up from $550.8m at the end of June.Nigel Wright, chairman of MRC, said the company has taken 'all feasible steps to position the company for future economic recovery including the assurance of the succession of our management team through the renewal of key senior management contracts.' Although there were some further signs of stabilisation of the Russian economy in the third quarter as oil and commodity prices recovered, market conditions remain uncertain. 'It is too soon to forecast a thaw in financial market conditions but we remain cautiously optimistic for the long term,' Wright said.