| NEW YORK
NEW YORK Feb 18 Tishman Speyer and China Vanke
Co, one of the world's largest real estate
developers, have formed a joint venture to develop two high-rise
residential condominium towers in San Francisco.
The planned development is to be managed by Tishman Speyer
and will be China Vanke's first foray into the U.S. real estate
market, the companies said in a press statement on Monday.
The project will cost about $620 million, with China Vanke
contributing $175 million and Tishman Speyer $75 million, a
source familiar with the deal said. Debt financing will cover
the rest of the cost. China Vanke will have a 70 percent stake
in the joint venture and Tishman 30 percent, the source said.
The project at 201 Folsom Street will consist of two
connected residential towers, one 37 stories and the other 42
stories high, and have a total of 655 residences.
The site is located across the street from The Infinity, a
pair of residential towers developed by Tishman Speyer. The
Infinity's residences carried price tags ranging from $600,000
to $6 million.
Rob Speyer, president and co-chief executive, led the deal
for Tishman Speyer.