ECER aims to draw more investments

The East Coast Economic Region (ECER) will focus on bringing in more domestic and foreign investments in 2010 while increasing private sector participation within the region.

ECER Development Council chief executive Datuk Jebasingam Issace John said ECER has already attracted a total of RM26 billion in expressed and committed investments, from both local and foreign sources.

"There are several existing projects within the ECER Special Economic Zone (SEZ) that investors might find highly lucrative yet safe for investment such as Malaysia’s first fully integrated plastics and polymer park, the Kertih Polymer Park (KPP) which is now ready for occupancy within its 140-hectare land area," he said in a statement today.

Set up to promote a plug-and-play concept, Jebasingam said KPP will tap into the potential synergies from integration with the nearby Kertih Integrated Petrochemical Complex in Terengganu.
The park, which has drawn immediate commitments of RM565 million in investments, is expected to be fully operational in 2015.

Another area that ECER is focusing on is the Pekan Automotive Industrial Park, with planned upgrades in infrastructure and landscaping as well as the setting up of a central marketing centre in 2010.

"As a whole, the Pekan Automotive Industrial Park is expected to generate over RM4 billion in investments throughout its four stages of development and create a total of 10,580 jobs," Jebasingam said.

Meanwhile, efforts have been made to attract investors to participate in key viable projects outside the SEZ, which would act as suppliers of feedstock and to support the development of projects within SEZ.

This includes projects for the tourism and agriculture clusters.

For agriculture, the Muadzam Shah Cattle Research and Innovation Centre will be built in May 2010 to accommodate 1,300 breeders and bulls as a means to reduce dependency on imported cattle stock.

Meanwhile for tourism, ECER has designated some 106 hectares in Teluk Bidara, Dungun to be built with high-quality hotels, resorts and chalets.

To boost the city’s tourism pull, Kuala Terengganu city centre’s construction as an integrated waterfront heritage city will begin within the second half of 2010.

To enhance the region’s natural tourism resources, Gua Musang and Kuala Krai will be developed as an eco-tourism destination, forming a part of the Lanchang - Kuala Lipis adventure trail and Kuala Gandah Elephant Sanctuary in Pahang into a world-class elephant conservation and education facility.

By Bernama

Gold Coast Resort developer to invest RM50m in Kenyir project

The STG Group, developer of the Gold Coast Resorts projects, will be investing RM50 million in a lake holiday resort in Kenyir, Terengganu.

This development is the Gold Coast Resorts developer's second project in the East Coast Economic Region (ECER). Its first is the RM10 million Gold Coast Kuantan resort, consisting of 99 apartment suites with views of the South China Sea .

"The Gold Coast Kenyir development will be unique. The project will be made up of a hotel mall with shops, long houses and bungalows built over Lake Kenyir's serene waters," Datuk Dr Alex Tan Siong Seng, chairman of STG Group, said in a statement.

"We are optimistic this project will help draw more tourists to Lake Kenyir to enjoy its natural scenic beauty and water sport," he added.

Lake Kenyir is Asia's largest man-made lake. It contains about 23.6 million cu m of water and covers an area of 369 sq km. Under the ECER's master plan, the lake has been designated for agro-tourism where it will be boosted by aquaculture and tourism.

The Gold Coast Kenyir project will be rolled out in March 2010, kicking off with the construction of 88 bungalows nestled over Lake Kenyir , followed by 188 units of long houses and a hotel mall.

The STG Group is targeting to be listed by 2012.

Other Gold Coast properties include Gold Coast Morib Resort, Nottingham International apartments, located near the Nottingham University in Klang Valley; and Gold Coast Pulau Pangkor.

By Business Times

STG Group plans RM50m resort in Kenyir

KUALA TERENGGANU: The STG Group, which develops the Gold Coast Resorts projects, will invest RM50 million in a lake holiday resort in Kenyir, making it the second project in the East Coast Economic Region (ECER).

The Gold Coast Kenyir project, will be built over 53 acres, and will start in March 2010. The first phase is 88 bungalows built over Lake Kenyir, followed by 188 long houses and a hotel mall.

“The Gold Coast Kenyir development will be unique. The project will be made up of a hotel mall with shops, long houses and bungalows built over Lake Kenyir’s serene waters,” said STG Group chairman Datuk Dr Alex Tan Siong Seng.

“We are optimistic this project will help draw more tourists to Lake Kenyir to enjoy its natural scenic beauty and water sports,” he said.

Lake Kenyir. which is Asia’s largest man-made lake, contains about 23.6 million cubic metres of water and covers 369 sq km. Under the ECER master plan, the lake has been designated for agro-tourism.

“This Lake Kenyir development, like other Gold Coast projects, offers good investment value as well as unrivalled lifestyle and leisure activities,” said Tan.

“Purchasers own a luxury holiday property built over the lake which is run like a hotel and enjoy nature’s scenic beauty. At the same time, they can also choose to have their property managed and rented out on a nightly occupancy basis by a professional company when they are away.

“This rental programme gives owners 8% returns per annum on their investment for up to 15 years, without sacrificing their ability to use the property or any other Gold Coast property for up to 60 days if they chose to.”

While the Gold Coast’s projects are bought off the plan, Dr Tan said owners can expect capital appreciation of 40% after five years from the date of purchase.

“Our buyers are equally split up between domestic and foreign purchasers. Some 80 per cent of them have signed up for the investment plan while the balance will be owner occupied,” he said.

The Kenyir project is the second for the STG Group in the ECER. The first is the RM10 million Gold Coast Kuantan resort, consisting 99 apartment suites.

Other Gold Coast properties include Gold Coast Morib Resort, Nottingham International apartments, located near the Nottingham University in Klang Valley; and Gold Coast Pulau Pangkor.

By The EDGE Malaysia (by Joseph Chin)

STG unit to invest RM10m in ECER project

GOLD Coast Kuantan Resort Sdn Bhd, a subsidiary of the STG Group that aims to be listed on the local bourse by 2012, will invest RM10 million in its first property development in the East Coast Economic Region (ECER).

The development will consist of 99 apartment suites with full hotel service and will be located with a full view of the South China sea.

"Over 60 per cent of the freehold Gold Coast Kuantan apartment suites have been sold," said STG Group chairman Datuk Dr Alex Tan Siong Seng in a statement yesterday.

"Some 80 per cent of them have signed up for the investment plan, while the balance will be owner- occupied," Tan said, adding that the buyers are equally split up between domestic and foreign purchasers.

The Gold Coast Kuantan project is expected to be completed by 2010.

Gold Coast Kuantan follows in the footsteps of another Gold Coast development, Gold Coast Morib Resort, which is expected to be completed by December this year.

"The group has plans for properties with different characteristics from those with ocean and lake views to islands' hills," said Tan.

He added that the new property in Kuantan will be built with high standards in mind, with the building material and furnishing being fitted out like a hotel.

"You can enjoy your own personal spa in the bathroom while looking out at the ocean or enjoying the east coast's famous sunsets," he said, adding that Gold Coast Kuantan will also provide good return on investment.

"While purchasers own a luxury holiday property by the beach, which is run like a hotel, and enjoy the property's leisure facilities, they can also choose to have their properties managed and rented out on a nightly occupancy basis by a professional company when they are away.

"This gives owners an 8 per cent return per annum on their investment for up to 15 years, without sacrificing their ability to use the property or any other Gold Coast properties for up to 60 days if they chose to," he said.

Owners can also expect a capital appreciation of 40 per cent after five years from the date of purchase.

Facilities at Gold Coast Kuantan include a club house, a cafe, seafood restaurants, water sports, a healthcare centre, karaoke, a bar, 24-hour security and hotel management services.

By Business Times (by B. Suresh Ram)

Mideast's Damac mulls mega resort venture

DAMAC Properties LLC, the largest private property developer in the Middle East, is considering building a multi-billion-ringgit integrated resort development in the East Coast Economic Region (ECER), sources said.

It is understood that Damac is in discussions with the ECER implementation authority for approval of the plan.

"It has expressed interest to further invest in Malaysia and has indicated its intention to move into the ECER," a source familiar with the matter said.

If the deal were to materialise, it would be Damac's second investment in the country after the one in Iskandar Malaysia, Johor, where it is pumping RM397 million to develop commercial and residential properties and a private marina.

The ECER, managed by state-owned Petroliam Nasional Bhd, encompasses Pahang, Kelantan and Terengganu. It is associated with oil, gas and petrochemicals; tourism; manufacturing; agriculture; and education.

It is also learnt that the ECER has attracted Chinese investors who want to build resorts because of the region's proximity to South China.

"There is a Chinese group which wants to cultivate about 10,000ha of padi in the ECER, and is currently in discussions with the implementation authority," the source said.

The development period for the ECER will stretch till 2020. Total investment planned is estimated at RM112 billion.

Under the master plan, 227 projects will be implemented. Most will come from the federal government (39 per cent), followed by private finance initiatives (27 per cent), private sector (20 per cent) and government-linked companies (14 per cent).

By New Straits Times (by Sharen Kaur)

Iskandar Malaysia woos RM33m investments

ISKANDAR Malaysia has attracted RM33 billion investments so far or 70 per cent of the RM47 billion needed to develop the region, the Dewan Rakyat was told today.

Deputy Minister in the Prime Minister’s Department SK Devamany said the government had provided “adequate and comfortable” infrastructures to woo more foreign investors to invest in the area.

The government had allocated RM4.3 billion to finance infrastructure projects in Iskandar, he said when tabling the Supplementary Supply Bill 2008 at committee stage.

Devamany also said projects approved for implementation at the East Coast Economic Region (ECER) have started operations.

Among them are agropolitant projects to eradicate poverty in the agriculture sector and setting up of the Centre for Academic Excellence at Universiti Malaysia Kelantan to stimulate human capital development.

Projects at other development corridors were still at planning stage, he said.

Devamany said the government would ensure development plans for all the corridors were implemented well to generate economic activities and woo investments to the areas.

The government had set aside RM173.2 million to meet the operational expenditures of the Iskandar Regional Development Authority, Northern Economic Development Council and East Coast Economic Regional Development Council besides financing the Managed Portal Services project, expanding rukun tetangga sectors and voluntary patrol scheme, added the Cameron Highlands MP.

By Bernama

SPNB to build 10,000 affordable homes in growth zone

SYARIKAT Perumahan Negara Bhd (SPNB) is targeting to build 10,000 low- to medium-cost houses by 2010, to meet housing needs in the East Coast Economic Region (ECER).

SPNB, a wholly-owned subsidiary of the Minister of Finance Incorporated, was set up to provide affordable quality homes for Malaysians in line with the government's national housing objectives.

SPNB managing director Datuk Mohd Amin Mohd Salleh said it will build more affordable homes to cater to the needs of low- and medium-income groups, under its Rumah Mesra Rakyat (RMR) and Rumah Mampu Milik (RMM) schemes.

Applicants with household income below RM1,500 a month are eligible for the RMR schemes while applications under the RMM schemes for affordable low- to medium-cost homes, are subject to guidelines determined by respective states.

Some 52 per cent of the 48,134 families classified as hardcore poor live in the east coast. About half of the families that live in the east coast make less than RM1,500 a month.

"SPNB is planning to build 9,638 units of houses in the ECER under RMM scheme in the next five years,"Mohd Amin said in a statement.

Under RMM, some 3,335 homes will be built in Pahang, while SPNB will build 3,335 homes in Pahang, 3,000 in Terengganu and 3,303 in Kelantan.

"While providing comfortable and practical RMM homes at reasonable prices, our panel of end financiers also offer attractive financial packages," he added.

The RMR scheme is aimed at helping the low-income groups such as fishermen and farmers to own homes with monthly payments as low as RM150, where a third of the development cost of RM60,000 to RM76,000 will be subsidised by the federal government's special fund. For those without fixed income or are self-employed, a Loan Guaranteed Scheme is available.

Mohd Amin said construction has begun on 2,349 RMM homes in Pahang and Kelantan while potential sites for development have been identified in Terengganu.

SPNB has handed over 1,846 RMR homes and is in the midst of building 848 more units in the East Coast.

By New Straits Times

Terengganu all out to woo 3.5m tourists this year

Tourist Attraction: Perhentian Island off the coast of Kuala Besut, Terengganu, boasts some of the best dive sites in Peninsular Malaysia

TERENGGANU is mounting an aggressive drive to gear up its tourism industry. Boosted by East Coast Economic Region (ECER) tourism initiatives, the state aims to target 3.5 million tourists under its Visit Terengganu Year (VTY 2008) campaign.

According to Tengku Mohd Arifin Tengku A. Rahman, head of Terengganu's secretariat for VTY 2008, the 3.5 million target is an increase from 2.8 million last year which contributed RM1.47 billion to the state's economy, up from RM1.28 billion in 2005.

To woo visitors in VTY 2008, Terengganu has lined up 25 major events, including the Monsoon Cup Yacht Racing.

"We are also pitching for our own Federation of Equestrian International horse-racing event," Mohd Arifin added in a statement.

At the same time, Terengganu is giving more emphasis to its "Crystal Mosque". Made of crystal shine glass with steel foundation, the Crystal Mosque is a part of the RM250 million Islamic Civilisation Park situated on a 23ha site.

Malaysia Association of Hotels chairman Raja Kamarul Bahrin Shah Raja Ahmad said the uniqueness in Terengganu tourism is that there is consciousness to conserve nature, despite shooting for growth.

He said the state's proactive approach to take control of development, conservation and perpetuation of handicraft as well as the environment, will create something different for Terengganu.

"The West Coast is slowly losing its culture and heritage to pave the way for development without much proper control and guidelines. I feel that Terengganu should maintain what they have done now and this should be Terengganu's trademark for the near future," he added.

To serve tourist growth, the Sultan Mahmud Airport which is located 15km from the town, will also be upgraded to an international aviation hub under ECER.

Meanwhile, chairman of the Terengganu chapter of Malaysian Association of Tour and Travel Agents (Matta) Wan Supian Wan Ishak said the state government had encouraged further developments of hotels and resorts which will in turn result in substantial increase in tourist volume from 2008 onwards.

By New Straits Times

KFH plans financing initiatives for ECER

KUWAIT Finance House (Malaysia) Bhd is in discussions with Terengganu's state investment company, Terengganu Inc, and its related companies on financing initiatives within the East Coast Economic Region (ECER).

"We have looked into specific financing opportunities for some of the related companies, ranging from infrastructure, oil and gas, shipping, plantation/agriculture and IT (information technology)," said its managing director Datuk Salman Younis.

"So far, all of the discussions are focused on financing," he said in a statement yesterday.

On plans for retail branches within the ECER, Younis said the Islamic bank will evaluate the feasibility based on the success of its corporate, investment and commercial businesses there.

He said the bank was currently involved in the financing of a flight training school and garment manufacturer, both in Kota Baru.

Kuwait Finance House, one of the largest Islamic banks in the world, has embarked on several projects, including establishing a find investing about US$330 million (RM1 billion) for projects in the Iskandar Development Region.

The ECER master plan envisaged Terengganu as a tourism gateway, hub for oil, gas and petrochemical industries, centre of educational excellence and agriculture focused on goat rearing and as a citrus valley.

Kelantan will become centre of trading, human capital development, educational excellence as well as poultry and herbal cultivation.

Pahang will focus on manufacturing and becoming a port city with integrated logistics distribution centre and palm oil industrial cluster as well as cattle and pineapple, while Mersing in Johor will be developed for tourism.

By Bernama

UDS Capital: Five corridors to spur construction and housing

MUAR: UDS Capital Bhd sees the five economic growth corridors in the country spurring development activities, especially in the construction and housing sectors.

The five are the Iskandar Development Region, Northern Corridor Economic Region, East Coast Economic Region, Sabah Development Corridor and Sarawak Corridor of Renewable Energy.

Executive chairman Datuk Koh Kim Toon said these activities would augur well for the company’s furniture manufacturing and trading businesses.

Datuk Koh Kim Toon (right) and Datuk Tan Khoon Hai.

Its wholly-owned subsidiary Syarikat U.D. Trading Sdn Bhd is involved in the dealing of furniture, plywood, small hardware, parts, equipment and construction materials.

Koh said the inflow of local and foreign investment to these growth corridors would create demand for residential and commercial properties.

“Domestic demand for furniture and building materials is likely to increase in tandem with activities taking place in the corridors,” Koh told StarBiz after the company AGM on Monday.

As such, local furniture manufacturers should not be unduly worried about the subprime problem in the US that had slowed demand for Malaysian-made furniture, he said.

Koh said the company exported 60% of its furniture, with the US market accounting for 15% of its exports. The rest goes to Europe, Middle East and Japan.

Meanwhile, executive director Datuk Tan Khoon Hai said the company wanted to strengthen the trading activities of hardware and laminated chipboard for projects in the local construction industry.

He said US demand for made-in-Malaysia furniture was expected to pick up when the US economy improved.

“The anti-dumping move by the US against Chinese-made furniture will see more orders come to Malaysia,” said Tan.

With the US also likely to impose the same ruling against furniture from Vietnam, buyers would have to look at other sources including Malaysia, he said.

Tan said the Vietnamese authorities now required foreign investors to have deposits or bank guarantees before setting up operations to protect the welfare of local workers.

He said the move had caused foreign investors to relocate their operations from Vietnam and more investors were coming back to Malaysia.

Tan said 35% of the company’s furniture now catered to the middle and higher-end market segment, and 65% to the lower to middle-end bracket.

“We are targeting to have equal contribution from both segments in the next one or two years,” said Tan.

For the financial year to Aug 31, 2007 (FY07), UDS cut its pre-tax loss to RM2.13mil on improved turnover of RM135.89mil compared with RM9.2mil and RM116.11mil respectively in FY06.

By The Star - StarBiz (by Zazali Musa)

Properties to get boost from growth region

The East Coast Economic Region (ECER) can boost the property sector and property prices in the long term, industry experts and real estate consultants say.

"It's a long term game and the higher impact would be on industrial development in buildings and land for industrial," Henry Butcher Malaysia's property research director Fahariah Abdul Wahab said.

It is learnt that Kuantan can sustain another 150,000sq m of retail space, Kota Baru some 110,000 sq m and Kuala Terengganu some 135,000 sq m.

Fahariah said although the ECER hold about 14.8 per cent of Malaysia's population, it only recorded up to 9.1 per cent of residential, 6.5 per cent of commercial and 8.3 per cent of industrial property transaction in the country in 2006.

In terms of value, the residential sector in ECER only constituted 4.2 per cent of the national total.

"The ECER has the capability to create the needed mass and demand to propel property development in the region," Fahariah said.

She said if all ECER's initiatives are implemented smoothly, it would also give an advantage to the tourism industry and prospects for new hotel and resorts in the region.

"There are a lot of players interested in investing in hotels in the region.

"I believe before investing they will be looking at land prices and viability, because in terms of hotels, the region still lacks good quality hotels on the mainland where you need five to six star hotels to attract foreign and business tourists," she said.

Meanwhile, Ho Chin Soon Research Sdn Bhd director Ho Chin Soon said even though he sees some constraints in land sales and the impact skewed towards the oil and gas and agriculture sectors, the ECER will have positive spillover effects to property prices and property development activity in the region.

DPZ Asia's urban design consultant Kamal Ariffin Zahrain said he believes there is good development potential for the region as ECER's masterplan is structured to take full advantage of it.

"We see good viability as the master plan is well integrated and flexible enough to allow new ideas and changes to be made in future," he said.

By New Straits Times (by Azlan Abu Bakar)

Investment outlook to remain positive in 2008

MALAYSIA'S investment outlook in 2008 is expected to remain positive despite the challenges from rising inflation and external risk, said Alliance Finance Group’s chief executive officer Datuk Bridget Lai.

In a statement today, Lai said given the sustained economic growth and the government’s initiatives such as promoting the growth corridors — Iskandar Development Region, Northern Corridor Economic Region and Eastern Corridor Economic Region — the investment environment was expected to be optimistic.

“Growth for the coming year will be broad-based with the services sector expected to remain the key driver on the supply side, on the back of strong sub-sectors like business services, real estate, finance and insurance.

“On the demand side, private investment is expected to cushion the moderation in consumer spending, while the announcement of corridors and implementation of Ninth Malaysia Plan should sustain the public spending momentum,” she said.

Lai, however, said rising inflation risk remained a key risk to the current robust picture.

“While Malaysia has been building up it resilience over the years, we are still susceptible to external environment.

“Inflation will also be a key concern in 2008 amid expected administrative price increases. High inflation may curb consumer spending,” she said.

She said Malaysia, as one the largest producers of crude palm oil in the world, was expected to benefit from the high prices of crude oil and crude palm oil underpinned by robust demand from China, India and Europe.

Lai said the global market was expected to face a challenging time with sub-prime worries expected to linger into next year.

“The global credit market is experiencing a credit squeeze arising from the sub-prime crisis to force more prudent lending by financial institutions and an increased risk premium on financial instruments,” she said.

By Bernama

Al-Rajhi to help woo Mideast investors to east coast

The first foreign Islamic bank in Kelantan wants to be the catalyst in pulling in more Middle Eastern investments to help spur the East Coast Economic Region (ECER).

At the launching of its 19th branch in the country at Wisma Aminah Zain in Kota Baru, Kelantan, on Wednesday, Al-Rajhi Bank Malaysia (ARBM) officials were confident that its Syariah-compliant products, services and facilities would facilitate the flow of capital from the Middle East.

At the launching of the bank by Tengku Mahkota of Kelantan Tengku Muhammad Faris Petra, ARBM chief executive officer Ahmed Rehman said the bank's products adhere to the strictest of Syariah principles as practised in Saudi Arabia.

"This provides confidence to clients when dealing with Al-Rajhi Bank," he said.

"Our arrival in Kelantan follows the launching of the ECER. Al-Rajhi hopes to play a prominent role in attracting investors from the Middle East, as well as strengthening Malaysia as a regional Islamic hub," he said.

Ahmed said the bank has 14 other branches in the Klang Valley, and one each in Johor Baru, Malacca, Penang and Kuching. ARBM plans to have a network of 50 branches by 2010.

By New Straits Times (by Syed Umar Ariff)

Astral Asia to start on high-tech park

By The Star

Firm hopes project will be endorsed by Federal Government

KUALA LUMPUR: Astral Asia Bhd is ready to embark on the development of its proposed Kuantan High-Tech Park after Prime Minister Datuk Seri Abdullah Ahmad Badawi launches the East Coast Economic Region (ECER) next week.

The company hoped that the project, a joint venture with a Pahang state agency, would be endorsed by the Federal Government as a component of the ECER, Astral Asia deputy executive chairman Datuk Lim Kang Poh told StarBiz yesterday.

Abdullah is expected to launch the ECER in Kelantan and Terengganu on Monday and in Pahang the next day.

The Federal Government would back projects in the ECER with tax incentives, and new or upgraded infrastructure such as highways, utilities and expansion of ports and airports costing billions of ringgit. Such stimuli would kick-start the projects.

Astral Asia is keenly awaiting the range of incentives for the ECER before it starts marketing the land in the high-tech park to manufacturing companies.

Datuk Lim Kang Poh with a map of the proposed joint-venture Kuantan High-Teck Park

The firm told Bursa Malaysia last week that its subsidiary, Syarikat Ladang LKPP Sdn Bhd (SLLKPP), had received approval in principle from Lembaga Kemajuan Perusahaan Pertanian Negeri Pahang (LKPP) for its proposed high-tech park project. LKPP is chaired by Pahang Mentri Besar Datuk Seri Adnan Yaakob while its board comprises several senior state government officials.

Astral Asia's architect was drawing the park's layout plans for submission to the state authorities within a month, Lim said.

The company will use SLLKPP's oil palm estate to develop the proposed high-tech park in phases over the next 15 years. The estate is leased from LKPP.

Broadly speaking, the Kuantan High-Tech Park would be similar in concept to the Kulim High-Tech Park where, Lim noted, all the industrial land had been sold.

The project is particularly feasible for Astral Asia because the group already holds the land. “We don't have to go out to buy the land that can cost millions,” Lim said.

Astral Asia would be able to finance the development of the project as it had RM26mil in cash and its borrowings were less than RM600,000, he added.

The proposed high-tech park would be sited on the 1,873-acre estate in the mukim of Kuala Kuantan. “That is one of our estates. All in, Astral Asia has about 10,000 acres of oil palm plantations, and we manage further 5,000 acres on a profit-sharing basis,” Lim said.

The estate to be developed into a high-tech park was valued in the company's books at about RM20,000 per acre. When the land use is converted from agricultural to industrial, it is believed that the land value could appreciate by more than 10 times.

The project's planners have noted that Pahang has a couple of clusters of specialised activities. The Pekan area, for instance, is focused on the automotive industry and the Gebeng area concentrates on the petrochemical industry.

The planners have, therefore, proposed to attract companies in the medical and pharmaceutical equipment industry to locate their plants in the high-tech park, which would become a medical industrial hub.

They would also seek Multimedia Super Corridor status for the high-tech park as it would attract some companies in the medical industry that could qualify for the status, Lim said.

He said the high-tech park project was timely for Astral Asia as the oil palm trees on the estate involved were about 25 years old, and if the company did not convert the estate into an industrial venture, it would have to incur a lot of cost to replant the trees, Lim said.

There has been some interest in Astral Asia shares following its announcement of the high-tech park project, with its share price rising 17 sen on Tuesday and gaining a further five sen to RM1.55 yesterday.

UDA plans housing projects in ECER

By The Star

KUALA TERENGGANU: UDA Holdings Bhd subsidiary UDA Land (East) Sdn Bhd will invest RM200mil to develop housing projects on 60ha in the three East Coast states over five years.

UDA Land general manager Zainal Ismail said the projects would comprise low and medium-cost and luxury houses and would be developed in stages.

“With the launch of the East Coast Economic Region (ECER) at the end of this month, infrastructure like roads will be built and this will have an impact on the property sector,” Zainal said at UDA's Hari Raya do here.

“We are confident these housing projects will see good demand as the economic lot of the people improves in Kelantan, Terengganu and Pahang.”

Zainal said that as a national property development agency, UDA was prepared to work closely with the Local Governments to make ECER a success. - Bernama