Bahrain Bay Development has announced the signing of an agreement with CapitaLand Commercial and Integrated Development Company - a subsidiary of CapitaLand Limited - which will see the latter acquiring land and developing a $600 million residential and retail zone within the Bahrain Bay development project.

Reclamation work on Bahrain Bay has already commenced, and building work on the infrastructure and the lead developments is expected to commence in January 2007. 
The Bahrain Bay is a joint venture between Arcapita Bank and a Bahrain-based investment group. The MOU relates to the District Centre, the largest single zone available within Bahrain Bay, and covers an area of 45,500 sq m. On completion, the District Centre is expected to comprise a built-up-area of 230,000 sq m, which is 20 per cent of the total Bahrain Bay project. 
CapitaLand intends to draw on its international expertise as it leads a consortium in developing entertainment, retail and mix-use developments to transform this part of Bahrain Bay into a vibrant, family entertainment-based development with unique retail and residential offerings. The company joins luxury hotelier Four Seasons Resorts and Hotels and Arcapita, a leading investment firm with headquarters in Bahrain, as the third anchor developer in this $1.5 billion project off the northeast shore of Manama in Bahrain.