Foreign briefs

Retail rents dive in glamour streets
Rents have plunged along the world’s priciest shopping streets, reports Bloomberg. Manhattan’s Fifth Avenue is still the most expensive retail address, although rents dropped 8.1% in the year ended June to US$1,700 (RM5,894) psf. Rents in Hong Kong’s Causeway Bay slid 15% to US$1,525. In third place, rents on Paris’ Avenue des Champs-Elysees held at US$1,009. The average rent in the 274 shopping streets monitored across 60 countries by Cushman & Wakefield fell 23% to S$213 psf from S$276 a year earlier. Rents dipped in 147 locations, were little changed in 76 streets and increased in 51. Mumbai had the steepest decline at 64%.

Caribbean dream for US$4.75 million

      
An exquisite beachfront property in Grand Cayman in the Cayman Islands, called Tara’s Dream (above), is up for sale for US$4.75 million. The five-bedroom house features a marbled reception room, a professional-grade chef’s kitchen with built-in appliances, a private study, high ceilings, ornate pillars and an infinity pool. The property is marketed by Knight Frank.

Taubman wants out of Atlantic City shops
Taubman is planning to turn over to its lender an underperforming mall on the boardwalk in Atlantic City, New Jersey, according to a Bloomberg report. The company says the shops at the Caesars Atlantic City hotel aren’t producing enough cash to pay the US$135 million mortgage. Atlantic City’s gambling revenue slumped 16% in August. Taubman’s 282,000 sq ft mall is built on a pier off the boardwalk, and is said to be 80% occupied with shops including Tiffany & Co and men’s clothier Hugo Boss.

LaSalle co-invests with pension fund
LaSalle Investment Management has signed an agreement with the Teacher Retirement System of Texas (TRS) to invest an initial allocation of US$205 million in real estate opportunities in North America and, eventually, around the world. The fund will invest in real estate co-investment opportunities presented to LaSalle by specialist private equity general partners (GPs). Initial focus will be on existing relationships within TRS’s stable of GP fund managers.

Wynn not fazed by Singapore casinos
Wynn Resorts says Singapore’s two upcoming casinos will not be a threat to its Macau business, reports Reuters. Wynn says the Chinese and Macau governments would protect the gambling market. Las Vegas Sands’ Marina Bay Sands and Genting Singapore’s Resorts World at Sentosa will pay around 10% taxes on net gambling revenue, while Wynn pays around 39% tax in Macau. Wynn aims to raise US$1.6 billion from a spin-off of its Macau unit in what would be Hong Kong’s second-largest IPO so far this year, behind Metallurgical Corp of China’s US$2.34 billion Hong Kong offering.
 
London’s Sanctuary Buildings for sale
Savills has been appointed to sell the Sanctuary Buildings in London. The 227,100 sq ft of offices over 10 levels is let to the Secretary of State for the Environment for 26 years (ending 2017) for £10.3 million a year (£45 or RM251 psf). Close to the Houses of Parliament, the property is on a prominent corner of Great Smith Street, in the heart of Westminster. Recently, the government spent £15 million refurbishing the building. The owners are seeking more than £163 million.

Hong Kong heritage makeover
The soon-to-be-launched Hullett House (right) is predicted to become one of Hong Kong’s favourite destinations. The landmark heritage building will include an intimate heritage hotel, five restaurants and bars, a souvenir store and a performance area. Hullett House — conceived by David Yeo, founder of the aqua restaurant group — is one of the four oldest government buildings in Hong Kong and used to house the Marine Police Headquarters. The hotel features spacious 600 to 800 sq ft suites, each with a private balcony. The décor has been influenced by Hong Kong’s history and includes references from imperial China in the 1870s, through to the English countryside and contemporary Chinese pop art.



This article appeared in City & Country, the property pullout of The Edge Malaysia, Issue 775, Oct 5-11, 2009.