Mirax Group, jointly with Altius Development, intends to construct more than 500,000 m² of commercial and residential real estate at the location of the First Moscow Instrument Manufacturing Plant, Kazakov.
The amount of investment is estimated at €1.45 billion ($2 bln.) Recently, the companies completed a deal to acquire the plant located at the intersection of the Third Ring Road and Kutuzovsky Prospect. The amount of the deal has not been disclosed; however, specialists at Knight Frank say the cost of one hectare could exceed €14,50 ($20).
According to Mirax Group, the company will enter the outskirts of the city during 2007-2009 and plans to begin construction on a mixed-use complex by 2011. The complex concept has not yet been designed; however, according to Mirax Group, investors will place the main emphasis on building an elite residence, high-end hotel and retail facilities. Mirax Group also reports that there will be a minimum of office space in the complex, as the facility is located close to Moscow-City. It is believed that construction will take place in two stages, with developers planning to complete the first phase in five years from the start of construction.
At this time the management company structure for the complex is being formed, with representatives of both companies set to be part of the team.
Source: Commercial Real Estate