RDIF-led consortium to build $1.6 billion real estate project in Moscow
The International Investor Consortium of the Russian Direct Investment Fund (RDIF), Russia-China Investment Fund (RCIF, established by RDIF and CIC), the leading Middle Eastern investment funds and Vi Holding announce the investment in the complex real estate development of the former airfield Tushino in the North-West of Moscow.
The project with the total area of more than 1 million square meters will cover the construction of a Class A office park and residential property. It will also include the construction of sports and social infrastructure facilities as well as recreational and park zones. The term sheet was signed today during the Belt and Road Forum in Beijing.
The total investments in the project will amount more than RUB 90bn($1.6 billion).
The project is located within close proximity of major Moscow transportation routes. Rostec State Corporation will be a significant tenant of office space as part of the announced project.
The parties have obtained all required permits to start design works.
Kirill Dmitriev, CEO of RDIF and Co-CEO of RCIF, noted:
“The participation of leading Chinese and Middle Eastern investors with superior expertise in comprehensive development of territories as well as Rostec being an anchor tenant makes the project especially attractive. Such a large-scale project will create additional demand and opportunities in a range of associated sectors.”
Bing Hu, Co-CEO and President of RCIF, noted:
“Tushino real estate project is a land mark project given its scale and quality of participating international and Russian investors. As bilateral relations between Russia and China continue to flourish, and cross border trade is expected to increase significantly in the next couple of years, many Chinese companies and financial institutions are coming to Russia to service growth in economic cooperation. We also witness that Russian real estate market has become very attractive for Chinese investors. We would expect further interest from Chinese investors to Russian real estate market and RCIF will continue to play an active role in the sector going forward.”
Karima R. Nigmatulina, CEO of Vi Holding, commented:
“We welcome the participation of international institutional investors of such high-quality and their strong interest and appreciation for the potential of the Project. The Tushino airfield development is one of the most landmark projects within the boundaries of Moscow. The unified master plan of the territory provides for the creation of a unique urban environment in Moscow, comprising both of residential and commercial real estate, as well as socially significant infrastructure with an emphasis on sports and recreation.”
Tushino project – the Project successfully passed public hearings in 2015 to approve the master plan of the site and in 2016 received city permitting documents. Sports and social infrastructure facilities comprise a significant portion of the development. The development will consist of the following components:
– Sports facilities (ice rink arena, artistic gymnastics center, motor sports center), and recreational facilities (fully landscaped river-side park);
– “Rostec-City” – the largest Class “A” business park in Russia with 263,000 sqm of above-ground area (offices, multifunctional expo center, and related infrastructure);
– Residential: c. 510,000 above-ground sqm of comfort-, business-class, and serviced apartments units. Designed to accommodate c. 15,000 people with frontage on the Moscow river, with ground-floor high-street retail and river-side park;
– Social infrastructure facilities (2 kindergartens, 2 schools and a clinic with a total space of 32,000 square meters);
– Road networks and landscaped boulevards.