Sunland enters JV with Becfar for Dubai developmentSunland Group Limited (SDG) today announced its wholly owned subsidiary Sunland International has entered into a joint venture with the Becfar Group to develop the recently acquired Dubai Waterfront site. The group said the site will host a mixed use development comprising luxury residential and serviced apartments and retail with a proposed end value of $860 million.
The company noted under the terms of the new joint venture agreement Sunland International would sell a 50% interest in the joint venture to Becfar Group, an investment entity of UK’s Balli Group, for $33 million.
Managing director Sahba Abedian said the Dubai Waterfront land, at the beachfront entry of Palm Jebel Ali, represented a prime site in the emerging precinct and directly adjoined a 2.15 hectare beachfront park.
“Sunland is extremely pleased to strengthen and expand its relationship with Becfar and is keen to commence construction on the site early next year,” he added.
The property development and management company advised the joint venture agreement provides for Sunland to be responsible for design, project management, construction and sales which will be carried out under the Sundland Project and Property Services divisions in the Middle East.
The group noted they would receive fees for all of these services throughout the development phase of the project.
Sunland reiterated they acquired the land in February 2007 for $107 million from Nakheel, a government owned property development entity in Dubai.
Following this transaction, the company said they have decided not to create a specialist development vehicle to raise funds for the waterfront project.
“The partnership with Becfar is strategic because it allows Sunland to focus upon its core business in the region of development and project management,” Mr Abedian said.
Source : egoli.com.au