MAKHACHKALA, April 8 – RIA Dagestan. More than one million square meters of housing—over 19,000 apartments—are currently being built in Dagestan under escrow accounts pursuant to Federal Law No. 214. About 400,000 square meters of that total are expected to be completed by the end of 2026.
In Makhachkala-Kaspiysk agglomeration, construction under the law includes 4,537 apartments in Kaspiysk and 5,766 in Makhachkala. After a long slowdown, Makhachkala has recently picked up the pace. In a single month, two new residential complexes with 1,100 apartments entered the market, boosting supply by 24%. For the first time in years, Makhachkala has overtaken Derbent and Kaspiysk in new housing development.
According to analysts, Dagestan's new-build market is experiencing a "closed" sales phenomenon—even for projects governed by Federal Law No. 214. Roughly 57 percent of the housing area under construction is not being officially marketed for sale. This obscures genuine demand and actual pricing, analysts say.
The official DOM.RF square meter price of RUB 96,000 falls far short of real market values. Meanwhile, this volume helps to create an alternative primary housing market, often described as "conditionally transparent".
Additionally, 28% of the housing projects scheduled for 2026 remain unsold, alongside the units sold during construction. These factors are expected to impact the development of Dagestan's secondary real estate market in the coming years.