AIG in Furama joint venture

New York-listed American International Group (AIG) has joined forces with Singapore-based Pidemco Land to acquire a 65 per cent stake in the Furama Hotel in Central.

AIG said it had entered into a 50-50 joint venture with Pidemco Land for the $1.88 billion purchase.

The venture plans to redevelop the 24,427 square foot site into a prime office building.

Under the joint-venture agreement with Pidemco Land, AIG is to retain naming and signage rights of the redeveloped building.

It will occupy a portion of the office building to serve as the regional headquarters for its insurance and financial-services operations.

Mark Fogle, the regional director of AIG Global Real Estate Investment, said that the Furama deal was a good investment.