GIC, Singapore’s sovereign wealth fund, has entered into a joint venture agreement with Indonesian developer Intiland Development for a phase one mixed-use development in Jakarta, according to a statement from GIC.
The pair have created a venture for the shared ownership and development of the first phase of Fifty Seven Promenade, comprising two condominium towers occupying an area of 1.3 hectares.
The share ownership composition of the first phase of the Fifty Seven Promenade project comprises 36.63 percent owned by the Intiland subsidiary, Raharja Mitra Familia; 33.40 percent owned by GIC; and the remaining 29.97 percent owned by Indonesian property developer Galang Gema Pradana.
Financial details of the partnership were not disclosed and GIC declined to comment outside of the statement. Intialand did not respond to a request for comment by press time.
“We believe Fifty Seven Promenade, which is well-located in the heart of Jakarta’s CBD, will be a significant residential development,” commented Lee Kok Sun, chief investment officer, GIC Real Estate.
“We have worked with Intiland on the South Quarter project and are looking forward to more opportunities to work together as we tap the long-term potential of Indonesia’s real estate market.”
Back in April, GIC and Intiland formed a 60:40 joint venture that owns and manages the integrated mixed-use complex in Jakarta, South Quarter.
Intiland has completed South Quarter Phase I which comprises three 20-floor office towers with a building floor area of 1.3 million square feet and retail facilities occupying 135,000 square feet.
Together with GIC, Intiland will develop South Quarter Phase II, which comprises two condominium towers and is expected to launch later this year.
GIC, which has well over $100 billion in assets under management, has made investments in more than 40 countries across real estate, private equity, equities and fixed income since its inception in 1981.