In July the Government cancelled five development projects close to the Shwedagon Pagoda, a key landmark in Myanmar. Then in August, the Myanmar Investment Commission (MIC) said the government would provide alternative sites for development before the year end.
Negotiations have been ongoing. On schedule, details are now emerging of alternative sites approved for development. Developers will be notified and requested to resubmit their development plans for these alternative sites.
Initially, the development was on land owned by the Ministry of Defence, alongside The Shwedagon Pagoda, the most famous religious site in Myanmar. However, there was considerable concern that the proposed tall buildings would deter from the magnificence of the pagoda and also introduce local structural issues, leading to damage to the foundations of the pagoda. So the development companies were stopped. The highest profile project is Dagon City One, which when announced had a budget of $300m.
Reports indicate that 33 acres on three sites has now been identified and discussions are ongoing as to rental prices. These include plans relating to Dagon City One as the developers have expressed their desire to restart development on the new allocated site, as soon as possible.
It is also understood that clients, who had placed orders and payments on units in the various developments, will be compensated and or offered first opportunities at the new sites.
