Multi-national developer Marga Landmark and its Myanmar-based partner Thu Kha Yadanar unveiled plans for a 22-acre (8.9 hectares) multi-use complex located at U Htaung Bo Circle between Shwedagon Pagoda and the Yangon Zoo at a media briefing on June 23.
The majority shareholder Marga Landmark owns 70 percent of shares and is set to invest USD $300 million (K293.1 billion) in the development named ‘Dagon City 1.’
Myanmar-based developer and local partner for the project Thu Kha Yadanar owns the remaining 30 percent of shares.
The development, which begins in September, is expected to be completed by 2019 and will include retail zones, offices, a five-star hotel and luxury apartments.
Thu Kha Yadanar is sole shareholder of ‘Dagon City 2,’ a 7.5-acre (3 hectares) development in the same plot, which stretches from Shwe Dagon Pagoda Road to Zoological Garden Road.
Dagon City 1 is the flagship project of Marga Landmark, a partnership between international real estate development syndicate Marga Group, Hong Kong-based architectural firm The Wong Tung Group of Companies and Myanmar-based architectural and design firm SPiNE.
Marga Landmark chairman, Mr Stephen Suen said his company is leasing the land from the Myanmar government for a base period of 50 years.
Asked about acquisition of the plot, Mr Suen said the Marga Landmark application for development was in accordance with the foreign investment law, and Myanmar Investment Commission and Yangon City Development Committee regulations.
“This is a country that requires foreign capital investment; the MIC [Myanmar Investment Commission] has very strict rules about this,” Mr Suen told media.
Marga Landmark has promised to allocate two percent of annual profits to YCDC for “social welfare” including the construction of schools, he said.
Asked about the inclusion of low-cost housing in future projects by Marga Landmark, Mr Suen said: “Unfortunately our expertise is in high-end [development].”
Source: Mizzima Myanmar