In December 2021 the Law was published in which the Legislature of the Autonomous City of Buenos Aires approves the Regulations for the development of the approximately 70 hectares property, owned by the Company since 1997, formerly known as “Solares de Santa María” and located in front of the Río de la Plata in the Costanera Sur of the Autonomous City of Buenos Aires, southeast of Puerto Madero.
The published law grants New Standard, designated: “U73 – Public Park and Urbanization Costa Urbana”, which enables the combination of diverse uses such as housing, offices, stores, services, public spaces, education and entertainment.
The Company will have a construction capacity of approximately 895,000 m², which will drive growth in the coming years through the development of mixed-use projects.
IRSA will allocate 71% of the total area of the site, i.e. 50.8 hectares, to the development of public green spaces and will contribute three additional plots, two for the Sustainable Urban Development Fund (FODUS) and one for the Innovation, Science and Technology Trust of the Government of the Autonomous City of Buenos Aires, to which it will also contribute USD 2 million in cash and the amount of 3,000,000 sovereign bonds (AL35).
In addition, the Company will be in charge of the infrastructure and road works on the site and will carry out the public space works contributing up to a total of USD 40 million together with the maintenance of the public spaces assigned for 10 years or until completing the additional amount of USD 10 million.
Eduardo Elsztain, President and CEO of the Company, commented, “It is a great milestone, after more than 20 years, to have the approval of the Company’s largest project that will drive its future growth. We hope to contribute to the generation of employment and development of the city with an innovative, modern and sustainable project, which implies a great opportunity and, at the same time, a responsibility. We are convinced of the potential of the real estate industry and its role in the country’s economic reactivation.
“Costa Urbana” will change the physiognomy of the City of Buenos Aires, giving life to an undeveloped area and will be located in an exceptional site due to its size, location and connectivity, giving the City the possibility of expanding and recovering access to the coast of the Río de la Plata with areas for walking, recreation, green spaces, public parks and mixed uses.
