Saturday, January 28, 2012

Stalled project in Business Bay to be re-launched under Tanmia initiative

The Tanmia initiative by the Dubai Land Department is likely to begin the once-stalled Santevill project in Business Bay.

A semi-government entity has agreed to invest money towards completion of Santevill project. The paperwork is already in progress. When completed, the investors will be called to discuss the matter, the sources informed.

Developed by Sungwon Corporation, Santevill is a 25-storey tower, worth Dh.400mn in Business Bay. The work on the tower comprising construction of 195 apartments were halted since March 2011, as Sungwon filed for court receivership, and requested help from court for re-scheduling its debt with creditors.

Launched in September 2011, the Tanmia initiative aims to re-vitalize the Dubai property market, by focusing on incomplete projects. The department appointed several audit firms to take up technical and financial audits on several stalled projects.

According to the Director General of Land Department, Sultan bin Butti bin Mejren, the initiative will cover 100 projects a year.

The property owners and investors in stalled projects can approach the land department and seek inclusion of their project under the Tanmia scheme, said Majida Ali RAshed, Senior Counsel Strategy - Land Department.

She further said that the Tanmia scheme targets both government and private sector, and will look at all legal, technical and financial aspects, before permitting another developer/investor to take over the project.

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