Tshuva storms Singapore with partner from Dubai
The real estate mogul teamed up with investors from Dubai and Singapore to win a huge $1.1 billion Singapore government tender to develop a combined office, residential and hotel project.
Israeli tycoon Yitzhak Tshuva is bursting onto the Singapore scene, with an investment group that includes a government company from the Gulf state of Dubai.
Tshuva is carrying out his investment through his privately-owned company Elad Group, named after his son. The real estate mogul teamed up with investors from Dubai and Singapore to win a huge $1.1 billion Singapore government tender to develop a combined office, residential and hotel project, according to Forbes magazine.
Elad Group Singapore, a subsidiary of Elad led by Miki Naftali, is part of the group that will be building the prestigious project in the very heart of Singapore.
The group will be paying $1.1 billion for the land alone. It will be investing about $1 billion more in actually constructing the project.
The commercial part of the project will be established on an area of 146,827 square meters. The area includes four structures designated as historic preservation sites.
The mixed-use project will comprise about 150,000 square meters of floor space, including hotels, exclusive apartment residences, commercial areas and office space. The area is located in the vicinity of the famous Raffles hotel and Singapore's main congress center. At least 40 percent of the project is apparently designated for office space, and at least 30 percent for commerce and hotels.
With this latest deal, Tshuva has once again astonished the business world, just as he did when he acquired the iconic Plaza Hotel in Manhattan in order to convert it into exclusive apartments. He paid $675 million for the hotel, and that was before the costs of compensation and renovation, which are running at more than another $400 million. His group is carrying out the Plaza renovation with such secrecy that buyers of the converted apartments cannot get to see them, even when signing a contract. They have to settle for models.
In the Singapore project, Tshuva beat out four other groups that competed in the Singapore government tender.
One of his partners in this venture is the publicly traded Singapore real estate firm City Development Limited, chaired by Kwek Leng Beng, one of the owners of the Plaza hotel in New York. City Development is the leading luxury residence development firm in Singapore.
The third partner is the Dubai company Istithmar, owned by Dubai World, a Dubai government investment firm. The three companies - from Israel, Dubai and Singapore - are equal partners in the group.
Elad Group Singapore submitted the winning offer of 1.68 billion Singapore dollars. Elad's group won the tender in spite of two higher offers, including one for 2 billion Singapore dollars, by virtue of Elad's distinct advantage in the planning and design parameter.
The Elad Group's assets include 84 properties in Canada and Florida that contain 18,000 residential units; a commercial assets portfolio in Canada that includes 24 properties located for the most part in neighborhood shopping centers; two commercial properties in New York and Florida; eight projects to build 9,000 residential units in Canada, New York and Florida; and projects throughout New York, Florida and Canada.
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