As demolition of the Furama Hotel nears completion, work will soon begin on the construction of a 39-storey grade-A office block, AIG Tower.
Designed by Skidmore, Owings and Merrill, AIG Tower is modelled on the sail of a junk, reflecting Hong Kong's trading-port heritage. Facing the harbour on a 24,424-square foot site at 1 Connaught Road, Central, it is expected to be completed in 2005.
American International Group (AIG) senior vice-chairman and co-chief operating officer Edmund Tse said the office tower would cost HK$4 billion, including land value, construction and interest charges. The 185-metre building will be AIG's Hong Kong headquarters.
Project partners are Singapore developer CapitaLand and Hong Kong's Lai Sun Development. The building provides a total floor area of about 450,000 sq ft, with a typical floor area at 14,000 sq ft to 18,300 sq ft.
CapitaLand vice-president Cheng Shin-how said he expected a satisfactory return. Part of AIG Tower will be pre-leased in 2004. He is not concerned about demand because AIG will take up a substantial portion and there will be no new office supply in core Central during 2004 and the first half of 2005.
AIG and CapitaLand will each hold a 35 per cent stake and act as project managers while Lai Sun will own the remainder.