The Ukrainian real estate market is undergoing a fundamental transformation dictated not only by economic but also by geopolitical realities of 2026. In a situation where classic bank mortgages have become difficult to access for early-stage projects, and military risks make investments in eastern regions extremely dangerous, developers are seeking new growth points. The epicenter of this new wave has become Western Ukraine, and specifically the Carpathian region, where a market for income-generating real estate — aparthotels and investment houses — is taking shape.
Growth Statistics: From Niche to a Separate Segment
If income-generating real estate was considered a marginal segment just a few years ago, by mid-2026 it has turned into a full-fledged diversification tool. According to data from LUN (Land Ukraine Network), by the end of 2025, there were already 105 such projects in Ukraine. The growth dynamics are impressive: if only 12 projects entered the market in 2023, this figure rose to 30 in 2024. In 2025, the pace did not slow down: 20 new objects were launched, and another 18 were planned to be released by the end of the year.
The market is being formed by both specialized operators, such as S1 (Standard One), Apartel Resorts, and Ribas Group, and classic developers who are beginning to test new business models. A bright example is the largest construction company in Ivano-Frankivsk, "Blaho," which is building its first aparthotel, "Son Daven," in Yaremche. The handover of the facility is scheduled for 2028, which testifies to the long-term investment plans of regional players.
Safety Factor and Geography of Capital
The key driver for the concentration of construction in the West is safety. According to LUN, 86% of all income-generating real estate projects are concentrated in three western regions. As representatives of Ribas Group note, the Carpathians attract investors precisely with the possibility of minimizing military risks compared to other regions of the country.
However, geopolitics is not the only factor. The geography of capital plays an important role: a significant part of investors live in the central and southern regions of Ukraine. For them, cooperation with professional management companies allows the asset to become fully autonomous. The operator takes over all operational aspects, allowing investors from Kyiv or Odesa to manage real estate in Bukovyna or Zakarpattia remotely, without visiting the site.
Seasonality and New Formats of Leisure
Under wartime conditions, the seasonality of tourism in the Carpathians has undergone changes. The ski season remains the leader with occupancy levels of 85–95%. However, the summer season has become more dependent on the situation at the front: the number of tourists in the Carpathians in summer often correlates with the intensity of shelling in the south of the country. Nevertheless, the development of summer activities and the shift to a year-round leisure format allow developers to count on a stable flow of guests and, accordingly, on the return on investment.
Banking Deadlock and the Search for Alternatives
Financing remains the main pain point of development. Classic bank mortgages cannot meet developers' need for startup capital, as banks are extremely reluctant to lend to projects at the "excavation" stage. Elena Dmitrieva, First Deputy Chairman of the Board of Globus Bank, explains this by the fact that early-stage objects remain the most risky. Bankers have introduced accreditation for developers and specific objects, preferring to work with real estate that is already handed over or is at a stage of readiness of at least 50%.
In this regard, developers are forced to seek alternative ways to attract capital, and income-generating real estate becomes one of such paths. Selling apartments with guaranteed income or creating investment funds (REITs) allows attracting funds from private investors who are looking for ways to preserve and grow capital in conditions of instability.
