Posted May 06, 2019 08:03:24The $100 million Melbourne mansion which was the inspiration for The Avengers, was sold to Chinese conglomerate GIC on Thursday.
Key points:The GIC house was built in the late 1970s by Melbourne builder Paul Mitchell and sold in 2016 to Chinese billionaire Wang JianlinThe house is being renovated to include modern amenities and an underground walkwayThe sale of the home to Wang is a landmark in Chinese history and could potentially lead to new international investment and foreign direct investmentThe Gic house was designed by architect Paul Mitchell who had a long-running relationship with GIC, which was a key investor in the firm’s recent expansion into the Australian market.
Key Points:The new $100M GIC mansion in the CBD is the first of its kind in the worldGIC chairman Wang Jianling was a major investor in Mitchell’s company, Mitchell and WebbMaintaining the iconic look of the GIC-designed mansion will require major investmentThe property is being converted to a “multifamily” structure to house up to 20,000 apartments, with an underground pedestrian walkway linking the residential and retail parts of the property.
The development, which is expected to be completed in 2021, will also include a new residential street, new retail space, office space and a hotel.
It is one of only a handful of such properties built in China, with the vast majority being built in Hong Kong.
It was sold for $100million and was designed to house 20,00 to 25,000 residential units, with up to 30,000 commercial units.
The $10.8 million, 12,000-square-metre (1,250-square foot) mansion is one block from the famous Griffith Park, the site of Griffith Park Lions football team training ground.GIC said the mansion’s transformation would include new public art, new entrances, new bathrooms and the addition of a “multi-functional” walkway.
The renovation is expected have been completed by the end of 2021.
“This new property will have the most modern amenities in Melbourne, including modern lighting and lighting fixtures,” it said.
“The transformation will take place in stages, with new design, amenities and a multi-functional walkway connecting the residential, retail and office areas.”GIC is the biggest developer in the Chinese city of Shenzhen, which has the world’s biggest manufacturing industry and is home to a significant number of multinational companies including Apple, Dell and Oracle.
Its overseas sales increased 11 per cent in the last year, while China’s manufacturing sector is estimated to account for a quarter of all foreign direct investments in Australia.
“In this period we have been able to support our existing domestic manufacturing sector in China and export a strong and healthy manufacturing industry,” it added.
“We have also been able expand our export pipeline to China by partnering with a number of leading manufacturers in China.”
Gianni De Marchi, GIC’s head of product development, said the new development would make the Gic property “a world class destination”.
“Our partnership with Gichuang International Properties is part of our strategy to grow our domestic manufacturing base, expand our supply chain and diversify our export markets,” he said.
He said the Gichuan International Property Group had built the property on a “low risk” basis with the intention of selling it at a “reasonable price” to Chinese investors.
“It’s a huge opportunity for Gichunians in the city of Melbourne and across Australia,” Mr De Marchie said.
Gichuan is a Chinese company that manages an array of infrastructure projects, including the Sydney Harbour Bridge and the Sydney Airport.
The company is known for its high-end properties including the $500m Sydney Opera House and the $1.4 billion Sydney Opera Centre.
It also owns the Melbourne Cricket Ground, the Sydney Opera Palace, and Melbourne Olympic Park.
Gic is not the only property developer in China that has recently come under fire for poor infrastructure, land deals and lack of transparency.
Last month, Chinese real estate company Jia Yueting said it was under investigation by authorities over land deals in Sydney’s CBD.