Mykolaiv budget has already received ₴62 million from the sale of municipal property

The budget of Mykolaiv has already received 62 million hryvnias from the sale of municipal property.

This was announced by Tetiana Dmytrova, deputy head of the municipal property department of the city council, during an online meeting of the session on 28 August, NikVesti reports.

«We have already held 31 auctions. We are to receive 81.4 million hryvnias from the auction. Compared to the starting price of these objects — 15.2 million hryvnias — the value of the property has increased 5 times. As for the funds received, we have already received 62 million hryvnias, including VAT. 19.5 million hryvnias was transferred to the budget in July and 49.5 million hryvnias in August. The process is ongoing. Four more auctions have been announced. Two more are on the way. The process of privatisation is actively underway,» said Tetiana Dmytrova.

The deputy head of the department answered a clarifying question from Mayor Oleksandr Sienkevych about who wins the auctions: «To date, only 5 tenants have won the auction».

«This is the best indicator that we do not have any contractual arrangements. We will continue to do this transparently, publicly and with maximum benefit for the city. This is money from the development budget. Perhaps next year we will plan to use this money for defence. So far, we have not touched this money,» said Oleksandr Sienkevych.

Read also the article NikVesti «Large-scale privatisation in Mykolaiv: what is behind the city authorities' plans to sell more than 100 objects and why this decision is worthy of attention».

As you know, the first auctions for the sale of municipal property were scheduled for 15 July — eight objects were put up for auction. Soon, one or two more lots may be added to this list if all the necessary documents are processed promptly, adds Tetiana Dmytrova.

As a reminder, in May, the City Council approved a list of 114 municipal property objects to be privatised. This list was approved at the second attempt. According to the draft decision, the proceeds from the sale are to be used to strengthen the defence capability of Mykolaiv and the region.

The already approved list includes:

• 46 municipal property objects that are not in use;
• 65 objects with tenants (they will be sold under existing lease agreements);
• 2 objects with inherent improvements for which the tenants are to be compensated;
• 1 property under construction with a starting price of 2 million hryvnias.