KUALA LUMPUR: Bandar Raya Developments Bhd’s (BRDB) wholly-owned subsidiary, Raintree Forest Sdn Bhd has entered into a joint-venture (JV) agreement with Garuda Mega Sdn Bhd for the proposed residential development on Sungai Long land on a JV basis.
In a filing with Bursa Malaysia, BRDB said the estimated gross development value of the proposed residential development on Sungai Long land, measuring 25.97 ha, was RM600mil.
Phase one of the proposed development was targeted to be launched in the second quarter of 2014, it said. “The proposed JV represents an opportunity for BRDB to participate in viable development projects without having to bear the substantial upfront costs of acquiring land and to replenish its development landbank,” BRDB said.
The company also said the proposed JV would contribute positively to its future earnings.
The company intends to fund the proposed JV and the proposed development costs through internal generated funds and/or bank borrowings.