Land auctions in May: the cost of plots increased threefold, the budget received over 8.7 million UAH

During the period from May 19 to 23, 22 online auctions for the sale of land were held in Ukraine within the framework of the "Land Bank" project on the Prozorro.Sales platform. According to the results of these auctions, the budget received over 8.7 million UAH including VAT, which indicates a significant increase in interest in leasing land plots.

Excluding value-added tax, the amount of proceeds amounted to 7.2 million UAH. The total area of ​​subleased land plots reached almost 800 hectares - 799.4 hectares, located in five regions of Ukraine: Odessa, Zhytomyr, Sumy, Kharkiv and Khmelnytskyi regions.

The average cost of renting one hectare of land according to the auction results was 9,084 UAH. During the auctions, participants submitted 60 offers, and the starting price of the plots increased by an average of 3.4 times. The most expensive lot of the week is located in Khmelnytskyi region. The area of ​​this plot is 112.4 hectares, and its final value after the auction reached 3.1 million hryvnias, which is 16 times more than the starting price. The cost of one hectare on this plot reached 27,568 hryvnias.

Particular attention this week was attracted by land plots suitable for growing perennial plantings. The first three of them are located in Zhytomyr region. The winners of the auctions received the right to sublease these lands for 25 years with the prospect of developing horticulture, which opens up new opportunities for the agricultural sector of the region.

Separately, on May 23, nine auctions for the sale of land were held in the Prozorro.Sale system in Khmelnytskyi, Sumy and Zhytomyr regions. The total area of ​​these lots was 252.56 hectares. The starting total cost of subleasing the plots was 375 thousand hryvnias, but during the bidding it increased ninefold, which indicates active demand and competition between the participants.

As a result, these auctions brought the budget more than 3.3 million hryvnias excluding VAT, or about 4 million hryvnias including tax. The average cost of one hectare according to the results of this day was 13,459 hryvnias. The most expensive lot was the same hectare array in Khmelnytskyi region with an area of ​​112.44 hectares, for which five participants competed and the final bid reached 3.1 million hryvnias, setting a record among all land plots of this period.

Thus, the results of the May land auctions demonstrate a significant increase in land rental prices and indicate the activation of the land relations market in Ukraine, which is a positive signal for filling the budget and developing the country's agricultural sector.