Water supply to for 761 Selangor projects delayed
Water supply approval for 761 new projects in Selangor involving 467 million litres of water are still held back as at January. Urban Wellbeing, Housing and Local Government Minister Tan Sri Noh Omar said from the total, 40% or 305 projects were related to apartments and terrace houses. Apart from housing, Noh said urban development, commercial and industrial projects were also affected by the Selangor water crisis. (Malay Mail Online)
Bina Puri enters JV to develop 11.2-acre Brickfields land
Bina Puri Holdings Bhd and Titijaya Land Bhd have entered into a new joint venture to develop a residential and commercial project on an 11.2-acre land adjacent to the monorail depot in Brickfields. Under the JV, BP Properties and Titijaya will cooperate to develop the land via BP Development which they would own on a 30:70 basis. Syarikat Prasarana Negara Bhd, who is the owner of the land, has agreed that BP Development be made the special purpose vehicle to undertake the project. (NST Online)
MRCB gets RM7.5bil management contract for Kwasa Damansara job
The JV company between MRCB and EPF, which is undertaking the town centre development of the massive Kwasa Damansara township in Sungai Buloh, has appointed MRCB Land Sdn Bhd as the project’s management contractor for RM7.46 billion. Among the services it will provide are constructing the financial models as the basis to plan the development; sales and marketing; project management services; and plan, design, construct, test and commission the works. The estimated gross development cost of the 26ha land is RM8.55bil, while the GDV is RM10.55 billion. It is estimated to be built over 12 years starting this year. Some 60% of the development is expected to consist of a commercial hub, while the remaining 40% will be residential. (The Edge Markets)
LBS steps up to meet affordable housing demand
LBS Bina Group Berhad says it is able to meet the demand of first-time home buyers for affordable housing. Group managing director Tan Sri Lim Hock San said it was a matter of balancing between several factors when meeting the demand. These factors include the company’s profit margin, pricing of properties, and location. LBS is participating in the Rumah Selangorku affordable housing scheme. Its latest launch is Zenopy Residences, which consists of 398 serviced units priced between RM413,000 and RM604,000. (Malay Mail Online)
Millenials opt for “alternative townships” due to affordability concerns
Trends are showing that millennials who are just starting their careers opt for alternative townships on the outskirt of big city due to affordability concern, said Savills Malaysia. These new townships must be well-connected to the big city with sufficient amenities and most importantly equipped with reliable infrastructure for daily commuting. Millennials prefer to live in a ‘liveable’ community at an affordable rate. “They can’t live in the city centre due to higher cost of living. You will see they live in areas that have accessibility for transport, retail, food & beverages in a smaller community,” said Savills South East Asia CEO, Christopher Marriott. (NST Online)
Elite Pavilion Mall (Photo from The Star Online)
Pavilion REIT to finalise mall deal by year-end
Pavilion REIT expects to complete the acquisition of Elite Pavilion Mall this year. The trust manager, Pavilion REIT Management Sdn Bhd, is buying the mall with related assets and rights for RM580 million cash from Urusharta Cemerlang (KL) Sdn Bhd (UCKL). The acquisition is in line with Pavilion REIT’s strategy of acquiring yield-accretive income producing properties. Besides completing the Elite Pavilion Mall acquisition, Pavilion REIT would continue to evaluate potential properties and recommend to the board if it was yield-accretive. The REIT’s portfolio includes Pavilion Kuala Lumpur Mall, Intermark Mall, DA MEN Mall and Pavillion Tower. (NST Online)
Trive disposes property in Kedah for RM4mil
Trive Property Group Bhd’s wholly owned subsidiary ETI Tech (M) Sdn Bhd has sold a piece of leasehold land in Kulim Hi-Tech Park, Kedah, together with a three-storey detached factory building erected thereon for RM4 million to the Frisian Biosciences Sdn Bhd. the transaction provides an opportunity for ETI-M to realise the property which has not been utilised and to utilise the proceeds for working capital. The transaction is expected to be completed within nine months. (The Malaysian Reserve)
Berjaya Land swings into net loss in 3Q
Berjaya Land Bhd swung into a net loss of RM8.98mil in 3QFY18, compared to a net profit of RM33.77 million a year ago on unfavourable foreign exchange loss and lower group’s share of profit from Berjaya Kyoto Development (S) Pte Ltd. Its quarterly revenue, however, grew marginally to RM1.56 billion, mainly due to higher revenue contribution from new and used car sales, and higher average occupancy rates from hotels and resorts business segment. These offset lower revenue from both the gaming business segment and the lower progress billings of the property development and investment business segment. (The Edge Markets)
