The Ukrainian Association of Developers, which unites the largest construction companies, has reported systematic obstruction of the industry by several politicians and "pseudo-activists."
In an official statement, they highlighted that the aggressor has destroyed housing for over 1.5 million Ukrainian families, and construction volumes have halved compared to pre-war levels. According to minimal estimates, under current conditions, it will take at least 25 years to provide housing for these families. Creating conditions for the development of the construction industry and providing housing for Ukrainians must be one of the government's top priorities.
"However, the construction industry is not only lacking support but is also under constant pressure and obstruction. Developers, who represent millions of Ukrainian families and hundreds of thousands of workers, are currently being taken hostage economically by some politicians and pseudo-activists, officials, and judges. Together with certain representatives from some structures, they are illegally blocking the work of an entire sector of the economy. In many cases, the authorities either tolerate this or simply pretend that the problems do not exist," the statement reads.
The Association conducted a study of the situation from 2017 to 2024, surveying 13 out of 22 participating companies and analyzing 193 criminal proceedings. On average, there are five cases per project, with 52% of cases involving violations by government officials, and 84% of cases accompanied by account and property seizures, interrogations, and searches. Only 17% of cases have been resolved. Meanwhile, 74% of respondents reported that norms regarding the limitation of pre-trial investigation periods and statutes of limitations for prosecuting offenses are not being followed. For instance, the oldest case that has been opened dates back 17 years.
"After a year of construction, an official can, under public pressure, annul their own legally issued decision. Some security officers can open a criminal case simply based on a desire to invite businesses to 'discuss financial matters.' As a result, pseudo-activists and security forces profit, the economy suffers, and citizens do not receive their housing," the Ukrainian Association of Developers explains in the statement.
The authors emphasize that the construction industry is under constant pressure and obstruction. Even with all necessary permits and documents, builders have no guarantee that central government or local self-government bodies will not change the rules on the fly and block construction.
The Association warns that continued neglect of the industry's problems by the government will lead to catastrophic consequences. The industry will halt, and housing prices will skyrocket, making it even more inaccessible to most citizens.
The largest Ukrainian construction companies are appealing to the president, the Cabinet of Ministers, and other government bodies, urging them to intervene in the situation.
"We demand fair rules! Restore compliance with laws in the construction industry for all participants! Stop the arbitrariness of pseudo-activists and security forces! Hold extortionists and blackmailers accountable! Address cultural heritage issues exclusively within the legal framework, not under public pressure! Prohibit retroactive application of laws and norms! Stop rewriting the rules in the construction industry on the fly!" the statement emphasizes.
If these measures are not taken today, the Association concludes, there will be no one left to rebuild the state tomorrow.
Founded in November 2023, the Ukrainian Association of Developers (UA Developers) brings together leaders of the domestic real estate market. Currently, it includes KAN Development, RIEL, Stolitsa Group, SAGA Development, Koval’ska, Intergal-Bud, Perfect Group, DIM, TARYAN Group (Pozniakyzhytlobud), the Association of Western Ukrainian Developers, ENSO, BudCapital, BUD Development, IB Alliance, Futura, Liko-Holding, GEOS, Citex Development, Ave New Development, Caspian Service, UDP, and Consulting Development. Together, the members represent 92% of the primary real estate market in Kyiv and 24% of the market in Ukraine.
