South Beach – a synergistic and dynamic collaboration of unique diversity
Dubai World signed in Singapore an agreement with City Developments Limited (CDL) and Elad Group to jointly develop South Beach, a landmark residential, commercial, retail and hotel complex in the Civic District.
The tender price for this multi-billion dollar South Beach development project was S$1,688,888,000 and is estimated to be completed by 2012.
Possibly the first of such an internationally dynamic collaboration of this scale in this part of the world, South Beach has elevated Singapore’s position in the global arena with City Developments Limited’s invitation to and successful bringing together of two prominent international conglomerates, Dubai World and Elad Group, in their largest Singapore investment to-date in a consortium led by City Developments Limited (CDL).
The equal partnership between these three unique conglomerates is made more dynamic by the extensive experience and contacts each has in the hotel, real estate and retail segments.
Likely to be the last major iconic site in the Civic District, South Beach will stand out on the city skyline with its revolutionary modern and environmentally sustainable architecture which is also sensitive to the preservation of the conserved buildings that it will encompass. As the Singapore economy grows from strength to strength, South Beach will be a beacon signalling exciting times ahead – with the introduction of prominent global investors and corporations making their mark in Singapore.
South Beach will house premium office space, two luxury hotels, exclusive city residences and exquisite retail space with a total gross floor area of 146,827 square metres in two tower blocks of up to 45 storeys and four conserved blocks. Designed by prominent architectural British firm, Foster + Partners, South Beach is designed to become a revolutionary New Eco-Quarter in Singapore, perhaps even establishing itself as a green icon in the region.
The strategic partnerships between these three global powerhouses has led to dramatic, vibrant and refreshing concepts such as South Beach, which will undoubtedly propel Singapore into its next lap of economic development and evolution to become a truly global city. In leveraging on the strengths of each partner to bring the best global brands to Singapore, South Beach will stand tall as an emblem of economic and business possibilities for Singapore.
His Excellency Sultan Ahmed Bin Sulayem, Chairman of Dubai World, the holding company for Istithmar Group, said:
‘In our quest for excellence, we always seek to partner with the best and the most reputed business partners in different business arenas worldwide. By joining hands with global conglomerates, we are sure to utilise our collective expertise in developing a state-of-the art project that would be pivotal in the development and growth of the Singapore economy, particularly in the tourism, real estate and hospitality sectors and in creating numerous employment opportunities. This project, like any other venture by Dubai World, would clearly reflect our strategy of making the places we operate in better environments for living and working. Meant to be an Iconic eco-friendly structure, the South Beach will be a testament of our commitment to promoting green initiatives around the globe.’
The South Beach Joint Venture Consortium will remain open to evaluating other premium international brands and operators outside their combined portfolio. The consortium will jointly decide on the best combination and most appropriate brand and concept that would complement the overall concept and enhance the value of the project.
The Consortium intends to unveil South Beach on the global stage at MIPIM in March next year, as a key development under the Singapore Pavilion. The consortium will be leveraging on the opportunity to engage with international investors at MIPIM, and has confirmed its participation in this premier international real estate summit that is held annually in Cannes, France. In 2007, MIPIM saw the participation of over 2,500 companies in the exhibition, with a visitorship of more than 26,000 delegates from over 80 countries across the globe.
Mr Kwek Leng Beng, Executive Chairman of CDL, said, ‘The Government has strategically positioned Singapore as a global city to live, work and play. We are now starting to enjoy the fruits of this foresight and have successfully attracted high profile events such as the upcoming Formula One Grand Prix next September and the rolling out of the two mega-scale integrated resorts. With continued growth of the economy, vigorous job creation and attraction of foreign talent, Singapore is indeed making a dramatic transformation into an energetic and dynamic city in Asia-Pacific. Naturally, this has attracted global investors to make serious investments in Singapore. Singapore’s investment magnetism is illustrated no better than by the investment of Dubai World and Elad Group in South Beach.’
Dubai World, holding company for Istithmar Group, has an extraordinary global portfolio such as luxury hospitality investments like MGM, Kerzner International Hotel, Atlantis, The Palm, Dubai, Mandarin Oriental, New York and IHI Europe PLC. Their commercial properties include 450 Lexington, New York and Trafalgar Square and Adelphi, London, with retail investments such as the famous Barneys New York and Loehmann’s among others. With such extensive and strong credentials in investments all over the world, Dubai World’s wide-ranging experience and resources will be invaluable to help shape South Beach into a spectacular development.
Similarly, the Elad Group, as one of the largest privately owned real estate companies operating in North America, has a track record of constructing, restoring and converting exclusive high-end properties. This broad spectrum of real estate experience will be invaluable as South Beach will necessitate similar expertise in all three areas.
High-profile projects by the Elad Group include the celebrated historical landmark The Plaza New York which is currently undergoing restoration and conservation. It will continue to house the seven-star hotel, exclusive residences as well as a retail segment offering only high-end boutiques and restaurants, making it a ‘must-visit’ destination for locals and tourists alike. Other key projects include the restoration of The O’Neill Building, the restoration and conversion of The Grand Madison and 21 Astor Place in New York.
‘We have come from different parts of the world to this global economic hub and tourist destination to join forces with the best talent in Singapore to create a landmark residential, commercial, retail and hotel complex at the strategic crossroads of the Civic District and Marina Centre,’ said Miki Naftali, President and CEO of Elad Group. ‘Our partnership is based on complementary strengths, rooted in an understanding of the region and driven by a passion to achieve excellence in design, a defining standard for ‘green’ architecture and unparalleled luxury and service. We are signing on for a journey that will build on the area’s great tradition and fulfil its limitless potential,’ he said.
