daily menu » rate the banner | guess the city | one on oneforums map | privacy policy | DMCA | news magazine | posting guidelines

Go Back   SkyscraperCity > Asian Forums > Asian Skyscraper Forums > South Asia > Sri Lanka > Construction Projects

Construction Projects Updating construction projects be it proposed, u/c or completed



Global Announcement

As a general reminder, please respect others and respect copyrights. Go here to familiarize yourself with our posting policy.


Reply

 
Thread Tools
Old January 29th, 2013, 10:51 AM   #21
kukumarx
Registered User
 
kukumarx's Avatar
 
Join Date: Oct 2012
Location: Colombo 5
Posts: 367
Likes (Received): 144

Quote:
Originally Posted by jimpappa View Post
Majestic towers, duplication road ?
Labour ministry building narahenpita?
Kew cove apartments
GS towers kotahena
Where about duplication road are the proposed Majestic Towers? And where are the proposed Kew Cove Apartments?

About the GS Apartments (After Gaiety- Sellamahal cinemas block of land it is being built on) I was told that after the project was floated, approval was given for only a limited number of floors because the building would overlook the port. This made the project unviable.

With the security situation having improved, things may have changed. But the company (CT Land) lost money on their Empire project. So they will probably make very sure there is enough demand before they launch this project.

Anyone aware about what happened to Pioneer Homes project in the Shaw Wallace land on Duplication Road?
kukumarx no está en línea   Reply With Quote

Sponsored Links
Old January 29th, 2013, 11:02 AM   #22
Popthepuff
Registered User
 
Join Date: Nov 2012
Posts: 862
Likes (Received): 547

They really need to restart those projects on Duplication Road, with Havelock city going up, these can help improve Havelock Town (The Area).
Popthepuff está en línea ahora   Reply With Quote
Old January 29th, 2013, 07:40 PM   #23
jimpappa
Registered User
 
Join Date: Nov 2010
Posts: 77
Likes (Received): 17

Quote:
Originally Posted by kukumarx View Post
Where about duplication road are the proposed Majestic Towers? And where are the proposed Kew Cove Apartments?

About the GS Apartments (After Gaiety- Sellamahal cinemas block of land it is being built on) I was told that after the project was floated, approval was given for only a limited number of floors because the building would overlook the port. This made the project unviable.

With the security situation having improved, things may have changed. But the company (CT Land) lost money on their Empire project. So they will probably make very sure there is enough demand before they launch this project.

Anyone aware about what happened to Pioneer Homes project in the Shaw Wallace land on Duplication Road?

for kew cove: look in the middle part of this page. I can't find the other advertisements and articles about it now.
http://www.skyscrapercity.com/showth...393643&page=13
jimpappa no está en línea   Reply With Quote
Old January 30th, 2013, 07:33 AM   #24
kukumarx
Registered User
 
kukumarx's Avatar
 
Join Date: Oct 2012
Location: Colombo 5
Posts: 367
Likes (Received): 144

Quote:
Originally Posted by jimpappa View Post
for kew cove: look in the middle part of this page. I can't find the other advertisements and articles about it now.
http://www.skyscrapercity.com/showth...393643&page=13
Thanks! Read up about Kew Cove and also found It was an interesting thread to read!

Looks like signing a BOI agreement doesnt mean that the project will get off the ground. The Havelock City Mall project (not the apartments) seems to have signed the BOI agreement twice. Once somewhere in 2005/6 and once again last year. Probably because the first agreement lapsed.

For instance there is the much touted Mohamed Mustafa project in Kotahena. What's become of that? There was so much hype when that was launched & and the BOI agreement signed.
kukumarx no está en línea   Reply With Quote
Old January 31st, 2013, 03:05 AM   #25
Shakeel
Registered User
 
Join Date: Jan 2008
Posts: 947
Likes (Received): 115

Quote:
Originally Posted by kukumarx View Post
Thanks! Read up about Kew Cove and also found It was an interesting thread to read!

Looks like signing a BOI agreement doesnt mean that the project will get off the ground. The Havelock City Mall project (not the apartments) seems to have signed the BOI agreement twice. Once somewhere in 2005/6 and once again last year. Probably because the first agreement lapsed.

For instance there is the much touted Mohamed Mustafa project in Kotahena. What's become of that? There was so much hype when that was launched & and the BOI agreement signed.
The Kew Cove was abandoned due to low demand and the Malaysian investors pulling out. The Havelock City Mall and so many other projects do not start within an agreed period and once it lapses for publicity they re-sign. The Mayfair on Shaw Wallace land has the piling steel rods erected with no sign of recovery.
The Mohamed Mustafa Centre can be easily revived with a JV. Abans could easily enter the market with a JV and set sail faster. The list of projects above are few of the well known but there are so many others which were just burst of bubble.
Appeal to the moderator of these threads to remove the abandoned projects and have regular updates on the status of the U/C.
Shakeel no está en línea   Reply With Quote
Old January 31st, 2013, 06:09 AM   #26
kukumarx
Registered User
 
kukumarx's Avatar
 
Join Date: Oct 2012
Location: Colombo 5
Posts: 367
Likes (Received): 144

Quote:
Originally Posted by Shakeel View Post
...The Mayfair on Shaw Wallace land has the piling steel rods erected with no sign of recovery...
.
Any idea why this project is on halt? After all the developer (Pioneer Homes)has sucessfully completed lots of projects before. The first one was on Pedris Road, The second one was Kings Court on Havelock Road, Then Queens Court on Queens Road, And then Prince Alfred Tower, St Michaels and one other on Alfred House Gardens.

A seasoned developer who now cannot complete his Mairfair project and had to even sell some land from the project.

Anyone has any feedback on this?
kukumarx no está en línea   Reply With Quote
Old January 31st, 2013, 06:24 AM   #27
kukumarx
Registered User
 
kukumarx's Avatar
 
Join Date: Oct 2012
Location: Colombo 5
Posts: 367
Likes (Received): 144

Quote:
Originally Posted by Shakeel View Post
...Appeal to the moderator of these threads to remove the abandoned projects and have regular updates on the status of the U/C.....
I know it's is a bit of a double posting on some projects but there are lots of abandoned /suspended projects which do not have threads. Examples would be Mayfair & GS towers. It would be pointless to start a thread for an abandoned project at this point.

Also it will be useful to have a seperate thread so that we could discuss why the project has been suspended/abandoned. Of all the proposed projects, only a fraction go into completion. Perhaps common reasons would emerge.

One thing I have realised by reading this blog is just because a BOI agreement is signed it doesn't mean the project is going to see the light of day.

Last edited by kukumarx; January 31st, 2013 at 07:41 AM. Reason: Expanded for clarity.
kukumarx no está en línea   Reply With Quote
Old January 31st, 2013, 06:56 PM   #28
Ashok
Moderator
 
Ashok's Avatar
 
Join Date: Jul 2004
Location: Montreal/New York City
Posts: 5,342
Likes (Received): 2879

yeah, sure. You guys can decide what you want, and let me know. So for now, I guess we will keep this thread.
__________________
Follow me on my instagram: https://www.instagram.com/asok.thiruna/
Ashok no está en línea   Reply With Quote
Old January 31st, 2013, 07:03 PM   #29
Popthepuff
Registered User
 
Join Date: Nov 2012
Posts: 862
Likes (Received): 547

I kind of liked NEB towers, it was a commercial/residential development in Kotte to help develop the area and had a unique design. Oh well.
Popthepuff está en línea ahora   Reply With Quote
Old February 1st, 2013, 06:01 PM   #30
Shakeel
Registered User
 
Join Date: Jan 2008
Posts: 947
Likes (Received): 115

Quote:
Originally Posted by kukumarx View Post
I know it's is a bit of a double posting on some projects but there are lots of abandoned /suspended projects which do not have threads. Examples would be Mayfair & GS towers. It would be pointless to start a thread for an abandoned project at this point.

Also it will be useful to have a seperate thread so that we could discuss why the project has been suspended/abandoned. Of all the proposed projects, only a fraction go into completion. Perhaps common reasons would emerge.

One thing I have realised by reading this blog is just because a BOI agreement is signed it doesn't mean the project is going to see the light of day.
I think there is a bit of misunderstanding here. I meant the thread of those abandoned projects and NOT this thread. Its pointless discussing them since they wont be revived.
Shakeel no está en línea   Reply With Quote
Old February 4th, 2013, 06:50 AM   #31
kukumarx
Registered User
 
kukumarx's Avatar
 
Join Date: Oct 2012
Location: Colombo 5
Posts: 367
Likes (Received): 144

Two more abandoned projects

http://www.skyscrapercity.com/showthread.php?t=421588 Originally posted by Amal

Colombo | GHKD | U/C
The website doesn't seem to have much info.....

Under construction:

Global Residences

This is the development in a very good residential area at distance of not more that 30 feet from Galle road, having another link to Havlock road and having 45 high-grade apartments comprising 2 – 3 Bed Rooms floor area ranging from 705 Sq.ft to 1990 Sq.ft. with luxury facilities and common amenities to meet Market requirements. The total floor area of the building is 57,211 Sq.ft. The conveniences and common amenities include Roof top Garden, Swimming Pool, CC TV, MA TV, Intercom System, Health Club, 24 Hour Security, Air conditioned Rooms, Standby Generator, Vertical transportation etc apart from the basic utilities. The existing old houses have already been demolished & ready for construction, to start any moment, subject to final plans’ clearance by CMC.

Exp. Start: Feb 2006

Completion: Sept 2007






Future project:


Casa Isipathana

This development comprises a configuration of 08 storeys containing 31 luxury apartments, having same facilities & features as above in a prestigious residential location of Colombo 05 i.e. Isiapatana Mwt, close to all important places: Reputed schools like: Isipatana college, hospitals: Apollo, Park etc. & various shopping centers etc. The project is about to begin physically after expected demolition of old house latest by Feb. 2006 & finish by May 2007.
kukumarx no está en línea   Reply With Quote
Old March 8th, 2013, 12:53 PM   #32
Estateprowler
Registered User
 
Estateprowler's Avatar
 
Join Date: Mar 2013
Posts: 14
Likes (Received): 0

I think more will be added to this list judging by the amount of apartment complexes that are coming up
Estateprowler no está en línea   Reply With Quote
Old December 16th, 2013, 05:32 AM   #33
Nuwan Malala
Registered User
 
Nuwan Malala's Avatar
 
Join Date: Apr 2011
Location: Kandy
Posts: 338
Likes (Received): 219

Quote:
Originally Posted by jimpappa View Post
for kew cove: look in the middle part of this page. I can't find the other advertisements and articles about it now.
http://www.skyscrapercity.com/showth...393643&page=13


link
Nuwan Malala no está en línea   Reply With Quote
Old December 16th, 2013, 06:53 AM   #34
Shakeel
Registered User
 
Join Date: Jan 2008
Posts: 947
Likes (Received): 115

Quote:
Originally Posted by Nuwan Malala View Post
This was a JV with a Malaysian entity in Slave Island (kompaniveediya). Another country that have not been successful in property development in SL is Malaysia.
Shakeel no está en línea   Reply With Quote
Old December 16th, 2013, 08:55 AM   #35
dramirez
Registered User
 
Join Date: Jan 2009
Posts: 315
Likes (Received): 29

Quote:
Originally Posted by Shakeel View Post
This was a JV with a Malaysian entity in Slave Island (kompaniveediya). Another country that have not been successful in property development in SL is Malaysia.
You mean Malaysian companies...? AFAIK Malaysian govt has not invested in SL property. There is a difference between private entities and state-run or state-backed ventures.
dramirez no está en línea   Reply With Quote
Old December 16th, 2013, 09:44 AM   #36
Rajasinha
BANNED
 
Join Date: Jan 2013
Location: Colombo
Posts: 600
Likes (Received): 170

Quote:
Originally Posted by dramirez View Post
You mean Malaysian companies...? AFAIK Malaysian govt has not invested in SL property. There is a difference between private entities and state-run or state-backed ventures.
A lot of people have that confusion all throughout Asia, especially in indians.

indian like to pride in things private companies have done, when they have no contribution to it whatsoever.

I sort of get it if it's a state run company, as in you pay tax, the tax pays for professionals to develop the products. So you could infer some contribution you made towards the development.

But a private company, backed by its independent shareholders. Takes no contribution whatsoever from the common man, in its development.
Rajasinha no está en línea   Reply With Quote
Old December 18th, 2013, 02:27 PM   #37
Shakeel
Registered User
 
Join Date: Jan 2008
Posts: 947
Likes (Received): 115

Indian projects are slow. Probably they need to pool their capital from different sources. Furthermore, the GOSL mandates are not very clear which makes it hard for investors as they keep altering them whenever they feel like.
Shakeel no está en línea   Reply With Quote
Old January 5th, 2014, 04:53 AM   #38
alabonda1
Registered User
 
Join Date: Jan 2013
Posts: 322
Likes (Received): 268

Re-claiming the skyline: Saga of high-rise developments in Colombo

The Sri Lankan real estate market has been through a few stumbling blocks over the years but it is now showing signs of stability and sustained growth. However, the turbulence of the past has had its casualties and turning these projects around is no easy task, according to the latest research by the Colombo-based Research Intelligence Unit (RIU).
The Sri Lankan property market experienced a peak in 2005, sparking-off higher demand for real estate at all levels including high-rise and high-end condominiums. Since then, steady economic growth has spurred this market as the island has propelled itself towards middle-income status on the back of a period of peace and stability. Key developments that triggered the upturn in the real estate market over the past decade may be described as follows;
• Comparative decline in interest rates during the period of 2002 to 2005 that encouraged investment in properties as opposed to comparatively low income yielding securities and deposits.
st

• Rapid rises in income in the private sector.
• Tax benefits extended to borrowers effectively further reducing cost of borrowings.
• Migrant workers pursuing the middle-income housing market as a ‘safe-bet’ investment.
• Slow return of expats who, with a peaceful environment prevailing, sought to pick-up high-end properties including condominium apartments in Colombo.
The demand for investment in the property market changed many aspects of the supply chain from a financial sector perspective with commercial banks expanding their activities. In 2005 the annual demand for housing in Sri Lanka was estimated at around 80,000 to 100,000 units per year according to statistics offered by the Central Bank of Sri Lanka. In 2005 analysts commented on a rapid rise in demand due to the above mentioned factors as well as changing demographics and life-style patterns. The demand for luxury condominium units in the Western Province served to spur the construction industry as investors backed high-rise developments, which started to silhouette the Colombo skyline. The entry of large groups of companies in collaboration with international conglomerates continued to stir optimistic sentiments in the property industry of Sri Lanka, the RIU report indicated.
Enter the Financial Crisis




Whilst the positive sentiments prevailed in the Asia region’s property market the overall global economy and financial stability was changing and exposing the economic volatility of iconic global-giants. The first shock to the system was a crash in the US sub-prime housing market. The aftermath of this had severe ripple effects that resulted in a slump in the world economy that was described as the worst since the great depression of 1930s.
Trillions of US$ were instantly wiped off from the global financial markets overnight. With the US housing bubble bursting, banks and financial institutions around the globe imposed strict policies and conditions on their credit policies as risk appetites gave way to conservative practices. Overall, people lost confidence in the system and many even started withdrawing their money from institutions. The public lost confidence in the system which resulted in large precautionary withdrawals of funds from institutions around the world.
Whilst for the most part, the Sri Lankan financial services sector was insulated from the global crisis, larger investors, including foreign players operating in the domestic market faced negative prospects.
Consequently, the continuity of several projects that were initiated in the 2003-06 period and under construction faced a number of challenges due to funds drying out.
Abandoned projects in Sri Lanka
In retrospect, we can observe that the aftermath of the global economic crisis had a significant impact on the local real estate market with many ambitious projects getting stalled due to liquidity issues and some being fully abandoned. Herein, we take a closer look at some of these projects;
a) Dawson Grand
This project was handled by an internationally acclaimed organization, Keangnam, in collaboration with Capital Maharaja. The project started in December 2006 and the proposed building is located at No 7, Braybrooke Place, Colombo 02. The project consists of two towers (Tower A 42 levels & Tower B 38 levels) the size of the land use for the project is 1.3 acres (208 perches). The overall proposed investment of this ambitious project was $60 million. The expected target market for this development was as a high-end luxury condominium.
The project was halted in May 2008 due to a severe downturn of the commercial real estate market during 2008-2011 global financial crisis. Developers had invested approximately $17 million on construction, development, design, consultation and marketing efforts at the point of halting the project. Pilling had been totally completed whilst the structure of Tower A up to level three and Tower B up to ground level has been completed.
In the current improved environment, the company management has been seriously considering the re-commencement of this project and adequate progress has been made towards this objective. It has been estimated that approximately 30 months of work will be equired to complete this development.
b) Frances Residencies
The project was initially owned by the Ceylinco Group and was initiated in June 2005. The proposed building is located at Frances Road, Colombo 6 and the size of the land used for the project is 51.22 perches. The overall proposed investment of the project was at Rs.800 million. The expected end result of the project was eight floors of high end luxury condominium for high net worth individuals, mainly targeting expatriates.
However, the widely publicized controversy that engulfed the Ceylinco Group at the time led to the project being suspended. At the point of suspension, the company had spent, Rs.200 million for the construction of 5 ½ floors, including the basement floor, ground floor and the mezzanine floor. Further investments include Rs.50 million on marketing efforts, employee salaries and consolation related activities. The land investment is valued at Rs.150 million.
The remaining work of the project (3 ½ floors and other work) can be completed within 12 months, according to RIU’s research. The current owners of the project ‘The Finance Company PLC’ are negotiating with several investors to recommence the project as a result of improved market conditions.
c) Mayfair City Project
The project was initially under the ownership of Shaw Wallace & Company Ltd. The development of the project was undertaken by Pioneer Properties and Lee Hedges Ltd, the fully owned property development subsidiary of Shaw Wallace & Hedges. The project was initiated in August 2010 and the land for the project is located at Colombo 3 and constitutes 542 perches extending from Galle Road frontage to the edge of the parallel R.A. de Mel Mawatha. The project was proposed to be two towers, each holding 30 floors with 307 luxury condominiums.
The project was halted in June 2012. At the time of suspension, the piles supporting the project had fully completed with the contagious piles, the capping beam and the parameter grouting. Financial difficulties led to the project suspension.
The developers intended re-designing Stage I of Mayfair City and continued construction as a commercial development with a joint venture partner. They are now moving away from the previous residential focus. Reports suggests that the company has sold part of its Colombo 3 land to Avic International Hotels Lanka Ltd which is a locally incorporated unit of Chinese state-owned aviation company CATIC (China National Aero Technology Import and Export Corporation). It can be assumed that the funds obtained through the transaction will be used to finance the Mayfair City project. The land has been sold for Rs. 1.85 billion.
d) The Summit
The land for the project was owned by Chandra Senanayke Holdings and it was leased to an undisclosed investor. The land was situated at the main junction in Colombo 3. The project was initiated in mid-2009 and it involved an ambitious $20 million proposed investment project. The final outcome of the project was a commercial building with ample office space and up-market retail space.
The project was halted in mid-2012. The company has invested $750,000, mainly on piling and other related charges (consultation, employee salary etc…) at the point of halting the project. Piling has only been partially completed at 30 per cent.
According to the owners of the project, full completion is set to take a period of 36 months. Negotiations with a prospective investor are also under way at this point.
Outlook and forecast
While recent Budgets and policy initiates had focused on reducing the tax burden of the banking sector, the Budget proposals for 2014 have introduced the National Building Tax (NBT) into the banking sector with the intention of improving government tax revenue which has remained below targeted levels. The government has also signalled that it would like to consolidate the stability achieved in this sector by merging smaller finance companies and encouraging the local sector to collaborate with foreign funds and financing institutes. These measures will help the financial sector to facilitate the inflow of foreign investment into local projects in the real estate sector.
In many emerging markets similar to Sri Lanka, financial flows and real estate bubbles do go hand in hand, as global investors are assured of quick returns on their financial investments through real estate speculation. Over the past four years, Sri Lanka had the advantage of being branded as a post-war economy, which added to the euphoria and drew more of the capital flowing to the “emerging markets” through foreign sources.
The real estate industry in Sri Lanka has benefited immensely in the post war environment sans security issues in the Colombo city. Leading this revival, the expat Sri Lankans who had not considered Sri Lanka as a viable real estate investment options during the war era, took a completely different view as the island economy offered good prospects as an investment and a second home. In the context of recession in the West, and the high income levels enjoyed by this segment the demand for luxury living continued to increase. In this connection, there can be considerable optimism regarding a swift and profitable turn-around for the abandoned projects. However, there are also concerns on the sustainability of investment into property in Sri Lanka based on the investment environment. A case-in point was the new initiative in the 2013 Budget proposals to add a 15 per cent upfront tax on the lease of state or private land to non-nationals. The previous Budget had already imposed a ban on the outright sale of land to non-nationals and this additional measure may prove to dampen the appetite of foreign investment according to some commentators.
On balance, as we welcome 2014, cautious optimism maybe the order of the day and the abandoned projects may yet reclaim their place in the city skyline.
(Any clarifications on this research study should be addressed to [email protected])
alabonda1 no está en línea   Reply With Quote


Reply

Thread Tools

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off

Related topics on SkyscraperCity


All times are GMT +2. The time now is 04:55 PM.


Powered by vBulletin® Version 3.8.11 Beta 4
Copyright ©2000 - 2018, vBulletin Solutions Inc.
Feedback Buttons provided by Advanced Post Thanks / Like (Pro) - vBulletin Mods & Addons Copyright © 2018 DragonByte Technologies Ltd.

vBulletin Optimisation provided by vB Optimise (Pro) - vBulletin Mods & Addons Copyright © 2018 DragonByte Technologies Ltd.

SkyscraperCity ☆ In Urbanity We trust ☆ about us | privacy policy | DMCA policy

tech management by Sysprosium