A production complex of a subsidiary structure of Rostec in Volgograd is for sale

The Auction House of the Russian Federation (The AHRF) will hold bids on behalf of RT-Capital LLC (part of the Rostec State Corporation), on February 21.
In fact, a production and warehouse complex of 8 buildings with the total area of 7.9 thousand sq.m. and six land plots with the total area of 1.5 ha in Volgograd is put up for sale. 
The object is located in the industrial zone, near the exit from the city, 1.5 km. from the Aviatorov highway.
Currently, the complex is 80% leased out. Monthly rental income is 1 million rub.
The initial price is 76 million rub.
The cut-off price is 57 million rub.
The bids will be held on the electronic trading platform ETP The AHRF - Lot-online.
The object is sold through the sale of 100% of block of shares of JSC Volgogradhimreaktiv, which owns this production and warehouse complex.
According to the accounting reports for the last three years, the company's profit growth is observed.
The main source of the enterprise's income is leasing of its own real estate.
«In fact, profitable rental business is sold. The object is located in the existing production zone at the exit from the city to the airport. This location will always be in demand to accommodate warehouse complexes and production enterprises. At the moment the buildings of the Soviet period of construction are leased out and bring about 11 million rub. in revenue per year. Profitability from the rental business can be increased by optimizing costs and improving the quality of tenants, but this should be a professional management company», - says Julia Akimova, Head of Sales Department of The AHRF.