What ever happened to Thomas Cremer’s multi-billion-dollar plan to build the world’s tallest tower in Karachi?
Payments
Asked by Question Bot10/Apr/20151 answer
1 Answer
F
Faisal Khan
Answered 10/Apr/2015
The economic realities are harsh when it comes to Pakistan and tall buildings.
Various projects have been shelved because feasibility studies have shown ownership rental of such building is out of whack when it comes to ROIs etc.
In the absence of commercial mortgages, one would be hard pressed to own real estate in such a building and then rent it out x4 to x7 the cost of average rentals in the vicinity.
Most models collapse after 30 stories or so. Cost of borrow and project financing is too high.
Various projects have been shelved because feasibility studies have shown ownership rental of such building is out of whack when it comes to ROIs etc.
In the absence of commercial mortgages, one would be hard pressed to own real estate in such a building and then rent it out x4 to x7 the cost of average rentals in the vicinity.
Most models collapse after 30 stories or so. Cost of borrow and project financing is too high.