S1 REIT has begun selling certificates for its new S1 Pozniaky fund, allowing retail investors to enter the Kyiv property market from 1,000 Ukrainian hryvnias.
The investment fund is financing 80 apartments inside a 24-storey residential building currently under construction near Lake Sribnyi Kil in Kyiv. Project managers are targeting an annual yield of 9 per cent in US dollars, with participants permitted to expand their investments in increments from 100 hryvnias.
During the initial construction phase, the financial model depends on the capital appreciation of the building, which will be reflected in certificate valuations. S1 REIT confirmed that no dividend payments will be made while building work remains ongoing.
Regular dividend payouts will start only after the building is commissioned and tenant rentals begin, drawing revenue directly from leasing agreements. Beyond earning rental yields and building long-term capital, certificate holders also have the choice to gradually build up their holdings and exchange them for completed apartments.
Investment returns and market timing
Ihor Hifes, the chief executive officer of S1 REIT, said real estate has always served as a safe haven for capital, particularly during turbulent times. He noted that property remains a proven instrument for safeguarding savings against the pressures of inflation and currency devaluation.
Addressing the question of when to enter the market, Hifes stated that investors should not simply wait for crises to pass, markets to recover, and prices to rise. He argued that the most lucrative commercial openings frequently appear in periods of uncertainty.
Hifes explained that backing apartments under construction enables participants to enter the property sector today and capture future valuation growth. He added that investors should act when an opportunity first appears rather than waiting until it becomes obvious to everyone.
Building specifications and site amenities
The fund's 80 apartments represent a collective floor space of 2,828 square metres within the wider 29,500-square-metre structure. Situated two minutes from the Pozniaky metro station, the tower is planned to include roughly 1,500 square metres of communal infrastructure.
Resident facilities will feature a co-working office, a gym, a lounge area, a cinema room, a dedicated children's playroom, and a protective shelter. Another 7,000 square metres across the ground and lower levels will be dedicated to retail services and commercial units.
Project completion and property management
Developers plan to commission the building in late 2028, after which day-to-day oversight will pass to income property management specialist S1 Property. Prospective investors can buy certificates by submitting an application form online through the S1 REIT website.
S1 REIT operates as an investment company within S1 Group, developing collective investment funds focused on income-generating real estate across the capital. The business combines the expertise of developer Standard One with property management firm S1 Property.
This operational model is designed to allow individuals to invest through collective funds without having to purchase an entire property outright or manage tenants independently.
