Cagamas in partnership with HK corporation

Joint development of mortgage guarantee businesses

Cagamas Bhd has partnered Hong Kong Mortgage Corp (HKMC) in developing mortgage guarantee businesses in Malaysia and other countries.

It entered into an agreement yesterday with its Hong Kong counterpart to form a joint venture company in Malaysia, which will be equally owned by the two parties.

STRATEGIC PARTNERSHIP: Pang (left) and Ooi signing the joint-venture agreement in Hong Kong yesterday

Cagamas chairman Datuk Ooi Sang Kuang and HKMC executive director Peter Pang signed the agreement on behalf of their respective corporations in Hong Kong yesterday.

At the outset, the joint venture will pioneer a mortgage guarantee programme (MGP) for both conventional and syariah-compliant mortgage loans originated by financial institutions in Malaysia.

The plan is for the MGP to start operation in early 2008.

The strategic partnership will leverage on the synergy between Cagamas' knowledge of the Malaysian and Islamic markets and HKMC's expertise and track record in pioneering mortgage insurance business in Hong Kong.

In a statement issued in Hong Kong yesterday, Cagamas said by providing mortgage guarantee cover to loan originators on a portfolio basis, the MGP will offer an effective tool for banks and other financial institutions in Malaysia to better manage the credit risk exposure from their mortgage lending business.

This mortgage guarantee arrangement will also help to develop the secondary mortgage market and promote home ownership in Malaysia.

With the successful launch of the MGP in Malaysia, the joint-venture company will look for opportunities to develop mortgage guarantee businesses in other markets in Asia and the Islamic housing finance markets.

"The longer vision is that our partnership will stretch to more joint developments of other mortgage business possibilities for us in Malaysia and the Asean region," Ooi said.

"We recognise great opportunities for mortgage guarantee businesses regionally beyond Malaysia, particularly in the Islamic housing finance markets," Cagamas president and chief executive officer Steven Choy said.

Cagamas plans to capitalise on its forte in structuring Islamic financial solutions to develop mortgage guarantee products for these markets, in line to promote Malaysia as an international Islamic financial centre.

HKMC chief executive officer James H. Lau Jr said with its partnership with Cagamas, it will embark on broadening its business horizon beyond Hong Kong.

"As we diversify overseas, we will be gaining new experience that will help the corporation better serve the banking sector and home-buyers in Hong Kong," he added.

The HKMC, which is wholly owned by the Hong Kong Government through the Exchange Fund, pioneered the Hong Kong-based mortgage insurance programme.

By New Straits Times

Putrajaya Perdana on stronger footing

New investors may help builder secure more job orders, a research report says

Builder Putrajaya Perdana Bhd's new shareholders from the Middle East and Singapore are likely to help it clinch as much as RM3.34 billion job orders in Johor and the Middle East.

Aseambankers Malaysia Equity Research in a report on Wednesday said Swan Symphony Sdn Bhd, which comprised a consortium of influential Middle Eastern investors, will bring new growth to the company with strong likelihood of penetration into the Middle Eastern construction market and job orders from Johor's Iskandar Development Region (Iskandar).

Of the current RM1.2 billion job orders to be billed over the next two years, Aseambankers analyst Chu Wei Fen estimates that Putrajaya Perdana will reap a gross construction margin of between five per cent and 10 per cent.

Swan Symphony is 51 per cent owned by Abu Dhabi-Kuwait-Malaysia (ADKM) Investment Corp and 49 per cent owned by Autron Investment Co Ltd.

On August 29 2007, Putrajaya Perdana entered into a memorandum of understanding with Abu Dhabi-based Aldar Properties to undertake construction works in the 890ha Node 1 of Iskandar.

The three consortiums, led by Mudabala Development Co, Kuwait Finance House and Mellenium Development International Co, agreed to invest RM4 billion for land and infrastructure in clusters 1, 2 and 3 in Node 1.

While Aseambankers is not rating Putrajaya Perdana, it fairly valued the stock at RM4.95 based on 13 times of its 2009 forecast earnings.

Chu said Putrajaya Perdana's positive attributes are its clean balance sheet and it being a niche builder of three energy-efficient buildings.

Having just built the Energy Research Centre in Bangi, Selangor, it is now undertaking the construction of the Energy Commission's low-energy usage building.

Putrajaya Perdana is also undertaking sizeable projects like the RM343 million Kuala Lumpur Pavilion serviced apartments, the RM276 million One Menerung Condominiums in Bangsar, Kuala Lumpur, and the RM248 million Universiti Teknikal Malaysia in Malacca.

By New Straits Times

Qatar property firm signs US$700m loan

LONDON: Qatar's Barwa Real Estate Co has signed a US$700 million (US$1 = RM3.35), one-year revolving Islamic loan, which was reduced from US$800 million after the deal was undersubscribed in syndication, banking sources said.

A banker said lenders' appetite for the deal was hit because of the increased cost of funding prompted by the credit crunch.

Support for the deal was also hit partly because as a non-sovereign, regional property company, the borrower has a limited number of relationship banks to call upon, the banker added.

Initial mandated lead arrangers are BNP Paribas, Gulf International Bank, JPMorgan, Standard Chartered Bank, The First Investor and Unicorn Investment Bank.

Proceeds will be used to finance the expansion of Barwa and its ongoing projects. The murabahah facility, which includes a one-year extension option, pays a profit rate of 90 basis points (bps). The extension fee is 10 bps. Lenders were invited to join at one of three levels.

Mandated lead arrangers were offered a participation fee of 30 bps for a commitment of US$75 million, co-arrangers 22.5 bps for US$50 million and lead managers 15 bps for US$25 million.

In August, Barwa signed a US$600 million, one-year murabahah financing via lead bank Gulf International Bank. That deal, which was increased from US$500 million after raising US$725 million in the market, included a two-year extension option.

Islam bans lending on interest, and in a murabahah deal a lender purchases a commodity and sells it to customer at a higher price, locking in profit.

Government-owned Qatari Diar Real Estate & Investment Co owns 45 per cent of Barwa.

By Reuters

SPV to develop Johor waterfront project

KUALA LUMPUR: The master developer of Nusajaya in Johor, UEM Land Sdn Bhd, signed an agreement with Dubai World’s unit, Limitless Holdings Pte Ltd, on Wednesday to form a special purpose vehicle (SPV) to undertake the development of the Residential North Precinct in Puteri Harbour, Nusajaya.

The subscription and shareholders agreement and development agreement will see the SPV, Haute Property Sdn Bhd, undertake the 111 acres of development with an initial investment of RM241.8 million.

Under the SSA, Limitless will hold the majority share of 60% of Haute Property and UEM Land will hold the remaining stake.

Residential North Precint is positioned to be an exclusive high-end residential enclave located at the northernmost section of Puteri Harbour. It will feature a mix of distinctive landed canal front homes with individual berthing, and highend condominiums that will be the first premier waterfront real estate enclave for Nusajaya and in the country.

UEM Land’s managing director Wan Abdullah Wan Ibrahim said the venture will help Nusajaya achieve its objective of becoming a world-class integrated urban development.

By Bernama

Dubai World and UEM Land joint development of the Nusajaya's Residential North precinct in Puteri Harbour

Joint development of the Nusajaya's Residential North precinct is expected to be completed in five years which is in year 2013 . The design works are set to start on next month before physical construction begins after June next year.

Above picture was actually taken from Chinese Newspaper and i have translated it into English which highlighted in white.

For related information, please kindly refer here..

UEM, Dubai World unit in Johor project

Joint Venture: Ahmad Pardas (left) and Atkinson addressing a press conference on the Southern Johor project yesterday

UEM Group property arm, UEM Land Sdn Bhd, and a unit of the Dubai World company will jointly develop a 44.4ha site in southern Johor with an estimated gross development value of RM1.5 billion.

UEM Land and Limitless Holdings Pte Ltd yesterday formed a 40:60 joint venture company.

Limitless has global projects worth nearly US$100 billion (RM335 billion) in Dubai, Saudi Arabia, Vietnam and India.

The company is better known for its flagship Downtown Jebel Ali, an upmarket development spanning 200ha and stretching 11km along Dubai Sheikh Zayed Road.

The joint venture, called Haute Property Sdn Bhd, will undertake the development of the Residential North precinct within the bigger Puteri Harbour development with an initial investment of RM241.8 million.

"The RM241.8 million is the land cost," UEM Land managing director Wan Abdullah Wan Ibrahim said.

He said the entire project is expected to be completed in five years. Design works are set to start next month before physical construction begins after June next year.

UEM Group managing director and chief executive officer Datuk Ahmad Pardas Senin said the Puteri Harbour development itself is an integrated waterfront and marina development on 275ha.

Pardas and Wan Abdullah both spoke to reporters after the signing of a share sale and development agreements between UEM Land and Limitless in Kuala Lumpur yesterday.

Residential North, Wan Abdullah said, is an exclusive residential enclave featuring a mix of distinctive canal-front homes with individual berthing and luxury condominiums.

"It will be the first premier waterfront real estate development for Nusajaya and in Malaysia," he said.

Limitless regional director (Southeast Asia) Philip Atkinson said it is aggressively looking for more projects in Europe, the Far East and the Gulf region, among others.

"Several projects may come to fruition in 2008," Atkinson said.

The company now has five global projects including its first international project called Halong Star in Vietnam.

By New Straits Times (by Zuraimi Abdullah)

Glomac more than doubles net profit in Q2

Property developer Glomac Bhd has more than doubled its second quarter net profit as it made more money from the Suria Stonor project and launched other new projects.

Glomac made a net profit of RM10.2 million for the quarter to October 31 2007, compared with RM4.2 million in the previous corresponding period. Revenue was up by 16 per cent to RM84 million.

Suria Stonor is now close to 90 per cent sold, with remaining units being marketed at more than RM1,300 per sq ft.

This high-end project, located in the vicinity of Kuala Lumpur City Centre, is on track to be completed by the middle of 2008. It is expected to be one of the main earnings driver for Glomac in the current financial year that ends on April 30 2008.

Glomac group executive chairman Tan Sri Mansor Fateh Din said he expects to launch RM1 billion worth of projects in the current financial year. This includes new phases in existing townships and the maiden launch of new developments.

"It has been another good quarter for us. Sales across all projects have been buoyant, particularly for our township developments in Bandar Saujana Utama and Saujana Rawang, where we have successfully built up a strong branding and track record as a developer," Mansor said in a statement yesterday.

By New Straits Times

Courts Mammoth set to unveil new megastore

PETALING JAYA: Courts Mammoth Sdn Bhd is confident that its first large-format retail
store in the country, Courts Megastore Mutiara Damansara, will contribute between at least 15% and 20% to its total annual turnover.


The megastore marks the second phase of Courts' rebranding exercise

Located in the freehold Mutiara Damansara area, a stone’s throw away from home furnishing store Ikea, Courts Megastore takes up three levels of a six-storey, purposebuilt building on a 50,000 sq ft site.

Of the 100,000 sq ft total net lettable space, Courts Megastore leased 60,000 sq ft of space from land and building owner Bentley Music Sdn Bhd.

The group completed the fitting-out of the megastore in two months and has leased the
space for 10 years. The monthly rental for the first two years has been fixed at RM420,000 a
month.

Touted as the largest consumer electronics and furniture retailer in Malaysia with over 50 stores nationwide, the group has invested up to RM10 million on a rebranding exercise since 18 months ago.

At a media and business partners’ preview of Courts Megastore yesterday, chief executive and managing director James Friel said that the megastore marks the start of the second phase of its rebranding initiative, which would take two years to complete.

“We will be reformatting at least another 11 stores for the year ahead. The location is ideal for our megastore, which is also the second worldwide, as we are targeting the urban consumers’ evolving tastes and needs,” he said. Courts first megastore is in Singapore, also located nearby Ikea.

Courts executive vicechairman Terry O’Connor explained that both retailers, in fact, complement each other and the business synergies are greater than competition.

“When you take out the furniture, electrical and bedding, our business overlap is marginal... about 5%,” O’Connor said.

By theSun (by Loo Pik Kwan)

Mahajaya to launch RM440 million in products

KUALA LUMPUR: Mahajaya Bhd will be launching products with a combined gross development value of RM440 million for its 2008 financial year, said its managing director William Tan Ming Wai.

“Our focus for the next three years will be Bandar Damai Perdana in Cheras, Taman Damai Utama in Kinrara, Puchong and Taman Alam Indah in Shah Alam. We would be developing landed products in the medium-, medium-high, and high-end range,” he said after the group’s 11th annual general meeting yesterday.

For the financial year ended June 30, 2007, the group recorded a lower revenue of RM117 million compared with RM157 million in the previous year. On the group’s lower turnover, Tan said this was because there were less launches for the period.

“There were new rulings pertaining to hillside developments, thus we had to obtain approvals from the various government departments as two of our projects are hill projects,” he said, adding that the group has since obtained the necessary approvals.

The 430-acre freehold Bandar Damai Perdana comprises commercial and residential units. Its latest launch is the RM100 million Damai Gayana, which consists of 220 units of semidees and bungalows. There are two phases of 2½-storey semidees with the earlier 24 units launched last December already sold out while the second batch of 18 units, which was launched less than three months ago has achieved a takeup rate of 30%. Meanwhile, the 53 units of 2½- storey bungalows, which were also launched last December, have a take-up rate 40%.

U Centre Point, the first launch in Mahajaya’s 220-acre leasehold Taman Damai Utama in Kinrara, Puchong was unveiled three months ago. The project with 142 units of 2- and 3- storey shop offices has a take-up rate of 90%.

Upon completion in six years, Taman Damai Utama will have over 3,800 units of commercial
and residential properties.

Another project, the 115-acre leasehold Taman Alam Indah in Section 33, Shah Alam, has a take-up rate of 97% for its first phase of 50 units of 2-storey link houses sold under the build-then-sell concept.

Mahajaya has a landbank of over 1,000-acres in Tanjung Malim in Perak, Johor, Malacca and Sepang to sustain the group for the next six to seven years.

By theSun (by Allison Lee)

Kuala Lumpur City Corp’s Nomad to spend RM20mil on expansion

KUALA LUMPUR: Kuala Lumpur City Corporation Bhd’s wholly-owned subsidiary, Nomad Space Sdn Bhd, will spend about RM20mil on its expansion plan locally and regionally next year.

The business space outsourcing company has targeted to open eight to 10 service office centres in seven countries by the third quarter of next year, general manager of operations, Joan Lim-Choong said yesterday.

“By the first quarter, we will have four more centres in Kuala Lumpur and another two centres in Singapore while in the second quarter we will expand to Jakarta, Manila and Bangkok and by the third quarter, to Vietnam, Australia and even Shanghai,” she said.

Lim-Choong said Nomad Space’s parent company had earlier acquired a serviced office operator in Singapore as part of the plan to become a regional player.

Kuala Lumpur City is the first local public-listed company to manage serviced offices and offer business support solutions to international business travellers, multinational corporations and local enterprises.

Speaking at a media preview on its first office suites in the city centre here, Lim-Choong said the needs of today’s business professionals were speed, connectivity and flexibility.

“That is why we have come up with this concept with the right setting, environment and support services for the global nomads and small and medium entrepreneurs,” she said.

Lim-Choong said the company was seeing rapid growth for business space outsourcing in the Asia Pacific region.

This, according to her, was due to an increasing number of organisations looking to manage their business risks more effectively, maximise financial resources and increase flexibility.

Nomad Space occupies 13,259 square feet comprising office suites, meeting rooms, business lounge, virtual office and cafe.

Its support services include administration business support, translation services, video conferencing system, high-speed colour copier, printer, scanner, fax, communication system and broadband access.

By Bernama

Stronger presence for Tradewinds Corp Bhd (TWC)

KUALA LUMPUR: Tradewinds Corp Bhd (TWC) is looking to build a stronger presence in the hotel and property development markets after a proposed de-merger involving a restricted offer for sale of its 53% stake in Tradewinds (M) Bhd to TWC shareholders and an acquisition of 907 acres of prime development land in the Iskandar Development Region (IDR).

If approved by shareholders and the authorities, the exercise will help TWC, among others, to reduce its current debt of RM2.45bil to RM1.03bil, and give it sufficient financial resources for its hotels and to undertake major property development projects.

TWC chairman Datuk Seri Megat Najmuddin Megat Khas said the exercise would put the group in a much stronger financial position and pave the way for its future growth.

“At present, TWC has four major core businesses – plantations, sugar manufacturing, property investment and development, and hotels. Through the de-merger, TWC will emerge as a more focused entity.

“With greatly reduced debts, our property development and hotel businesses will become the major drivers of future group profits,'' Najmuddin told StarBiz.

TWC's chain of nine hotels stretches from Penang to Kuching and Hanoi in Vietnam. Some of its prominent hotels are Hilton Petaling Jaya, Crowne Plaza Mutiara Kuala Lumpur and Hotel Istana.

Tradewinds Hotels & Resorts Sdn Bhd chief executive officer Shaharul Farez Hassan said although occupancies and the average room rates at the group’s hotels had improved over the past few years, “the competition out there is still very tough.”

“The overall costs have gone up in tandem with room rates, and it's getting very hard to recruit good staff or keep existing experienced ones,'' Farez said..

Datuk Seri Megat Najmuddin Megat Khas

TWC also owns two prime investment properties in Kuala Lumpur – Menara Tun Razak in Jalan Raja Laut and Kompleks Antarabangsa in Jalan Sultan Ismail. The two buildings generate over RM24mil in rental income a year.

In previous years, TWC’s property development was limited to two joint ventures with a Johor developer. Recently, the group decided to expand its property development activities to take advantage of rising income among Malaysians and the various attractive incentives offered by the Government for the property sector.

Towards this end, the group has started to build up its own capability in this area.

P.K. Poh, who retired as group managing director of Dijaya Corp Bhd early this year after 15 years, was appointed TWC adviser and director.

According to Poh, the proposed acquisition of the IDR land was only the beginning of the group’s property development journey and plans were under way to develop more projects over the next few years.

“We will also be venturing into other major and iconic projects, particularly in Kuala Lumpur. We hope to take full advantage of the IDR land, which has a potential gross development value of more than RM2bil,” he added.

Another property veteran who joined TWC recently is Cheah Wing Choong, who has been appointed its chief operating officer.

“These are interesting times for the TWC group, and I’m truly excited about the prospect of helping the management team in the proposed transformation of TWC into one of Malaysia’s blue-chip developers,” said Cheah.

Poh said the new management team was looking forward to recruiting a more capable and experienced core staff over the next few months and, together with the existing TWC staff who are looking after the investment properties and hotels.

By The Star (by Angie Ng)

Saudi firm to tap Islamic debts to fund US$2.9b project

DUBAI: Saudi Arabia's Jabal Omar Development Co plans to tap the Islamic debt markets to help finance an 11 billion riyal, or US$2.9 billion (US$1 = RM3.35) project in Mecca that will be built by developers including Binladin Group.

Jabal Omar awarded Binladin, the country's largest contractor, and Saudi Oger, owned by the family of former Lebanese prime minister Rafiq Hariri, the contract to build the project, the Saudi developer said in a statement on Monday.

"A portion of the sum will be raised organically, while a portion will come from Islamic finance and conventional methods," Jabal Omar said, without giving details.

Jabal Omar raised US$537 million by selling a 30 per cent stake in a November initial public offering (IPO) that valued the company at around US$1.79 billion.

The remaining 70 per cent of the company is held by the owners of a 23ha plot of land in Mecca near the Grand Mosque.

The cost of land in Mecca, Islam's holiest city, has surged, with land selling for as much US$50,000 per sq m, according to government statistics.

That compares with US$14,522 per sq m in London and US$24,900 per sq m in Monaco, according to the Global Property Guide.

Jabal Omar said it expected to complete construction of the development in three years.

In addition to a prayer area accommodating 65,000 people, the development will have 39 buildings including hotels, residences and retail facilities, it said.

More than 1.6 million pilgrims have come to Saudi Arabia from abroad for this month's haj pilgrimage, the largest regular religious gathering in the world.

Islamic law bans the receipt of interest and operates on the principle of sharing risk and reward among all those involved in a business venture.

Investing in sectors such as alcohol, pornography and gambling is prohibited.

By Reuters

NCER to get RM5b more

KUALA LUMPUR: The government will provide an additional RM5 billion in the mid-term review of the 9th Malaysia Plan (9MP) for the Northern Corridor Economic Region (NCER), said Minister in the Prime Minister’s Department, Senator Datuk Seri Effendi Norwawi.

He said under the 9MP currently, the government had provided RM12.5 billion in financial provision for the implementation of various projects in the NCER.

“On the whole, about RM178 billion would be invested in the NCER until 2025 involving both the private and public sector,” he said in reply to points raised by MPs during their debate on the Northern Corridor Implementation Authority Bill 2007 (NCIA) in the Dewan Rakyat yesterday.

Effendi said under the 10th Malaysia Plan, RM13 billion would be allocated by the government for the NCER, with the private sector expected to invest another RM30 billion.

He said under 11th and 12th Malaysia Plan, the private sector were expected to invest another RM30 billion in the NCER.

He added a total of 179 projects would be implemented in the NCER until 2025 involving the agriculture, manufacturing and tourism economic sector. Effendi said this move would lead to the creation of 540,000 jobs.

He also said the NCIA would not usurp the powers and functions from any of the state governments or agencies which come under the corridor and this was clearly stated in the role the proposed authority would play in the corridor.

“For the avoidance of doubt, nothing in this Act shall be construed as reducing or limiting the rights, powers and functions of the State of Perlis, Kedah, Penang or Perak or any government entity,” he said.

Earlier in tabling the bill, Effendi said the NCIA was needed to ensure systematic development in the area. He said as the coordinating agency, NCIA would ensure the development policies for the region are commercially viable. The bill was passed by the House.

By The EDGE MALAYSIA (by B Suresh Ram)

More related information about Northern Corridor Economic Region (NCER), please cilck here

E&O’s villas by the sea

The spacious and airy interior of a bedroom in the Martinique show unit

PETALING JAYA: E&O Property Development Bhd has upped the ante on its flagship project of Seri Tanjung Pinang (STP) in Penang, launching 2-and 3-storey villas priced between RM2.75 million and RM7.50 million over the weekend.

According to KC Chong, Director of Marketing & Sales for E&O Property, there was a strong positive response from both locals and foreigners to the launch. “The recent opening of our Singapore sales and marketing office has attracted more Singapore-based investors and foreigners to Penang,” he told theSun.

Called Villas By-The-Sea, there are three different types — Martinique, Abrezza and Skye – stretching over 15 acres of freehold land with a total of almost 750 m of frontage facing the vast Andaman Sea and Straits of Malacca.

A total of 40 units were launched: 20 units of Skye, 16 units of Abrezza and four units of Martinique with a gross development value of about RM120 million.

The 3-storey Skye has 5+1 rooms and has a built-up of 5,283 sq ft for corner units and 5,193 sq ft for intermediate units. The villas are standalone bungalows and by intermediate units, the developer means there are two villas on each side of the unit.

The 3-storey Abrezza offers 6+1 rooms and has a built up of 5,332 sq ft, while Martinique, the largest of the three villa types, offers 9,043 sq ft in 2-storeys and has 5+1 rooms.

The Martinique villas are located by the sea, while Abrezza and Skye are located further back. The developer says the villas are designed to offer distinct spaces within the homes to cater to the diverse lifestyle needs of their occupants. Halls, rooms and corners of different sizes and characteristics are artfully planned to offer a different escape for different activities and moods.

“The unique layouts also encourage interaction between the indoors and outdoors with generous window openings, high ceilings, spacious terraces and verandahs, ,” added Chong.

The living/dining area and dry kitchen are laid with imported Italian Botticino marble while the luxurious bedrooms and guest rooms are covered with Burmese teak flooring. All rooms come with ensuite bathrooms, with the master bathroom clad in Arabescarto marble.

The Villas By-The-Sea at Seri Tanjung Pinang is a joint venture development between E&O Property with Al Salam Bank (of Bahrain) and CIMB-Mapletree Real Estate Fund 1 Sdn Bhd (a private real estate fund managed by CIMB-Mapletree Management Sdn Bhd.

Seri Tanjung Pinang features a headland and multi-island concept spanning 980 acres.

Currently, the 240-acre Phase One introduces landscaped parks, boulevards and seafront esplanades set amidst a guarded community of terraced, semi-detached and detached homes, condominiums and service apartments, as well as commercial and retail precincts surrounding a marina. In planning, Phase Two of 740 acres will see a cluster of islands emerging offshore, linked via a series of bridges.

By theSun (by Diana Chin)

Mah Sing eyes Vietnam as possible first overseas venture

KUALA LUMPUR: Property developer Mah Sing Group Bhd will make Vietnam its first destination if it decides to venture overseas, its group managing director Datuk Seri Leong Hoy Kum says.

“Our first preference will still be Vietnam because of its compelling growth story,” he told The Edge Financial Daily recently.

Leong said he liked Vietnam as the country’s gross domestic product (GDP) over the past three years had averaged an impressive 8.1% annually, while investment grew even faster at 18.6% and export at 25.4%.

“The strong economic growth rates and continuing inflow of investments into the country are expected to support the underlying property demand,” he said.

On the kind of property project Mah Sing would prefer to embark on overseas, Leong said its property ventures overseas would likely replicate the success of its lifestyle medium to high-end residential projects and Grade A office and retail spaces in the commercial segment.

“We will bring with us our premium products which are of a global standard, lifestyle elements and designs, and efficient operations and best practices that will allow a quick turnaround,” he added.

Nonetheless, he said Mah Sing would conduct a thorough study of the property market in the host country to ensure the right product offerings.

“Should we venture overseas, it is likely we will do it via a joint venture with an established local party as we need minimum capital outlay,” he said.

He noted that Mah Sing would only choose a JV partner that is reputable and have extensive knowledge of the local market. “If we can have that in place, we can concentrate on what we do best, introducing our lifestyle concepts and our branding in their market.”

Leong also said Mah Sing is less keen on China due to the tightening measures to cool the country’s overheated economy. “We are not in a hurry to venture into China, unless a good investment which meets the company’s investment evaluation comes along.”

However, sources said the property firm had begun preliminary talks with the authorities in China to develop a high-end real estate and hotel development in Haining city, Zhejiang Province.

According to the sources, Mah Sing officials had already visited the city several times to study the viability of the venture.

The property firm recently attained global recognition when its Damansara Lagenda development in Petaling Jaya won the “Best Development Malaysia” award at the CNBC-associated International Property Awards 2007.

The gated-and-guarded project, consisting of 116 semi-detached units and bungalows, was launched in 2004 and completed last year with a gross development value of RM192 million.

By The EDGE MALAYSIA (by Yantoultra Ngui Yichen)

Ekovest profits from Danga Bay in 2009

Acquisition of project will be completed by then

KUALA LUMPUR: Construction firm Ekovest Bhd says it will only see earnings from property development in the financial year ending June 30, 2009, when the acquisition of Danga Bay Sdn Bhd, the developer of Danga Bay in Johor, is completed.

Ekovest executive vice-chairman Datuk Lim Kang Hoo said the company expected to complete the acquisition of Danga Bay by the middle of next year.

“For the current financial year our earnings will still be from construction where we mostly do design and build projects for the government,” he told reporters after the company's AGM yesterday.

In July, Ekovest announced that it was acquiring Danga Bay, together with 240 acres of freehold land, for RM1.1bil from Lim, who owned the project in a personal capacity. “The land is near Johor Baru and is on the waterfront with a 3km stretch of beach,” he said.

Contribution from property development would depend on how the feasibility studies turned out and how fast the Danga Bay acquisition could be processed, Lim said.

The company's net profit for FY07 had more than doubled to RM17.42mil from FY06 due to higher turnover from its construction activities, he said. Revenue for FY07 came in at RM356.60mil.

Lim said once the acquisition was completed, there would be an initial launch, comprising serviced residences and villas. “The basic infrastructure is there, Ekovest will be taking over the project as it is,” he said.

On the company's landbank in the Klang Valley, Lim said announcements would be made when feasibility studies were completed. Ekovest has about 16 acres, both freehold and leasehold, located in various parts of the central Klang Valley. It also has 25 acres of freehold land in Pulai, near Johor Baru.

Lim said the company's current construction order book, comprising three projects, was enough to last it for three to four years. Ekovest's construction jobs in hand include the Duta Ulu Kelang Expressway, the second phase of Kolej Universiti Teknologi Tun Hussein Onn and a 60:40 joint venture with Faber Group Bhd to construct a National Institute for Natural Products, Vaccines and Biology complex in which it is the junior partner.

“We intend to bid for projects not only in the Iskandar Development Region but also elsewhere in the country. We're not interested in bidding for overseas projects unless there are very good offers,” he said, adding that the company had a highway construction project in India in 2002.

By The Star (by Fintan Ng)

75% take-up for Damansara Idaman phase 3

One of the Damansara Idaman phase 3 bungalows developed by TA Properties Sdn Bhd

PETALING JAYA: TA Enterprise Bhd has secured a 75% take-up rate for phase 3 of its Damansara Idaman residential project, said managing director and chief executive officer Datin Alicia Tiah.

Datin Alicia Tiah

“The houses are not cheap. With a starting price of RM3.2mil, the take-up has been good,” she said at a private viewing event of the phase recently.

Tiah attributed the promising take-up rate to the project's strategic location within a “mature neighbourhood with existing amenities and infrastructure''.

The township is located close to business and commercial centres such as the Kelana Business Centre and shopping malls that include 1 Utama, Centrepoint, The Curve and Ikano Power Centre and colleges such as Kolej Bandar Utama and Kolej Damansara Utama.

Damansara Idaman is also accessible through the NKVE, Bandar Utama, via the old Subang Airport road and Mutiara Damansara.

Tiah also said that the high-end township was targeted at the discerning, affluent market.

Damansara Idaman phase 3, launched in January, has a gross development value of RM110mil. It comprises 36 double-storey luxury bungalows with built-up of 5,435 to 6,123 sq ft.

The entire project is part of a four-phase housing development that would comprise a total of 136 bungalow houses on 42.8 acres of freehold land.

The project is being developed by TA subsidiary, TA Properties Sdn Bhd.

Tiah said that the group had already received bookings for phase 4, which was targeted for launch in the third quarter of 2008.

“Half of the lots of our phase 4 project has already been booked,” she said, adding that the houses would have a starting price of RM4mil.

By The Star (by Eugene Mahalingam)

Kuala Lumpur to become ' wireless city' from mid-2008

KUALA Lumpur is set to be a “wireless city” with free wireless Internet coverage for two years from the middle of next year, Datuk Bandar Datuk Abdul Hakim Borhan said today.

The WiFi facility, which laptops can readily access, will make it possible for 80 per cent of the federal capital’s 1.5 million residents to access the Internet via broadband, he added.

“This project is aimed at increasing broadband coverage in the Klang Valley to 90 per cent of the population by 2010,” he told reporters after signing a memorandum of understanding (MoU) on the KL Wireless Metropolitan project.

The MoU is between Kuala Lumpur City Hall (DBKL), Malaysian Communications & Multimedia Commission (MCMC) and Packet One Networks (Malaysia) Sdn Bhd.

MCMC chairman Datuk Halim Shafie and Packet One Networks chief executive officer Michael Lai were the other signatories.

Abdul Hakim said the three-phased project will be completed in 2010, with the first phase, costing RM60 million, to be carried out between January and September next year.

He did not mention the overall cost.

Phase One will see 1,500 WiFi zones being created, covering commercial centres, office buildings, public housing areas, community centres and public areas.

To be included will be the Golden Triangle and the Kuala Lumpur Convention Centre which will be the venue for the World Congress on Information Technology 2008 (WCIT 2008) in May, which will have 200 access points.

“This project will raise the quality of City Hall’s service delivery, reduce installation costs, help automate and coordinate in a systematic manner the work processes, improve productivity and overall, propel the e-government initiative,” Abdul Hakim said.

Earlier, he had read out the speech of the Federal Territories Minister at the function, in which Datuk Seri Zulhasnan Rafique expressed confidence the project will benefit the lower and middle income groups by providing them with unlimited access to ICT besides narrowing the IT gap among the city folks.

“This project will also contribute towards generating economic growth in the country and in the tourism industry besides creating job openings,” he added.

By Bernama

EPF announces details for housing loan monthly instalment withdrawal

KUALA LUMPUR: The Employees Provident Fund (EPF) on Dec 14 laid out details for the housing loan instalment monthly withdrawal that was first announced by Prime Minister Datuk Seri Abdullah Ahmad Badawi in Budget 2008 last September.

Effective Jan 1 next year, EPF contributors can withdraw from their Account II to finance home purchases, it said in a statement.

It said EPF contributors with a minimum balance of RM600 in their Account II could withdraw their savings to make monthly payments towards their housing loans, adding that the minimum monthly withdrawal is RM100 for a period of not less than six months, whilst the maximum amount for monthly withdrawal should not exceed the total monthly housing instalment

It said the savings in Account II allocated for this withdrawal cannot be used for other withdrawals. Members must also be below the age of 55, and do not have any housing loan arrears.

The EPF said the payments will be made directly to members’ personal bank accounts on monthly basis.

It said that the EPF will revoke this monthly instalment withdrawal and members will not be eligible to apply for a similar withdrawal in the future in the event of the following:

• Members have a non-performing loan with a financial institution.
• Loans have been revoked/redeemed.
• The house has been sold/auctioned/transferred to another party.
• Members who are convicted of cheating by submitting fraudulent documents/information for this withdrawal.

Currently, members are allowed to withdraw from their Account II for the purpose of building or purchasing a house and settling their housing loan.

EPF said the conditions for the withdrawal are as follows:

• Members must either be the purchaser or builder and the borrower as well as owner of the house or shop house with a dwelling unit.
• Members should have an existing housing loan from an approved financial institution.
• The house has been mortgaged and fully disbursed by the financial institution.
• Withdrawals are applicable for any houses subject to one house for each member, and it is not limited to the same house from previous withdrawals. However, subsequent withdrawals are only allowed for the same house.
• Other forms of refinancing besides housing are not allowed for this withdrawal.

“Members intending to withdraw for the first time are required to complete EPF 9P (AHL) form and provide certified true copies of their identity card with either their bank books or account statements which are still active, confirmation letter on balance of housing loan, sales and purchase or house construction agreement, housing loan approval letter, mortgage form and title deed or deed of assignment."

“For subsequent withdrawals, members need only complete the EPF 9P (AHL) form and submit copies of their identity card together with their bank books or account statements which are still active, and also the latest confirmation letter on balance of housing loan,” it said.

For more information, visit the EPF website at www.kwsp.gov.my.

By The EDGE MALAYSIA

Naim Cendera wins contractor award

PROPERTY developer Naim Cendera Holdings Bhd took home the "Contractor Award: Grade G7" at the recent Malaysian Construction Industry Excellence Award 2007 (MCIEA 2007).

Naim group chairman Datuk Abdul Hamed Sepawi and group chief executive officer and managing director Datuk Hasmi Hasnan received the award from Works Minister Datuk Seri S. Samy Vellu at the event in Kuala Lumpur on Sunday.

In a statement issued yesterday, Naim said it won the contractor award for successfully completing a bridge over Batang Balingian and its approaches in Mukah, Sarawak.

Built at a cost of RM22.6 million for the Sarawak State Government under the supervision of the state Works Department, the bridge provides the only link between Balingian and Kuala Balingian.

It was handed over to the government in May this year, 13 months ahead of schedule with cost savings, zero defects and numerous innovative design features.

MCIEA 2007's panel of judges was nominated by the various government departments, professional associations and the private sector representing the Malaysian construction industry.

By New Straits Times

Public Mutual launches Asia real estate fund

PUBLIC Mutual Bhd has launched its first Asia real estate fund, which invests in the region's property sector and real estate investment trusts (REITs).

The "PB Asia Real Estate Income Fund (PBAREIF)" has an initial fund size of RM450 million comprising 1.5 billion units of 25 sen each.

"PBAREIF is ideal for medium- to long-term investors as it enables them to invest in a diversified manner across the different types of properties and across multiple markets and economies in Asia," Public Mutual chairman Tan Sri Teh Hong Piow said in a statement yesterday.

He added that the property markets in Asia are supported by sustained economic growth, higher disposable income, stable interest rates and increasing liberalisation of foreign ownership regulations.

Up to 60 per cent of the new fund's net asset value (NAV) can be invested in selected regional markets, including Japan, Australia, South Korea, Taiwan, China, Hong Kong, New Zealand, Singapore, Thailand, the Philippines and Indonesia.

"The balance of the fund's NAV will be invested in domestic fixed income securities such as sovereign bonds, corporate debt and money market instruments," Teh said.

During the 21-day initial offer period between today and January 7 next year, the issue price/NAV of PBAREIF is 25 sen per unit with a promotional service charge of 5.45 per cent of NAV per unit.

By New Straits Times

South Beach Project building agreement signed

SINGAPORE: South Beach Consortium led by City Developments Ltd (CDL), which successfully bid S$1.69 billion (RM5.6 billion) for the 3.5ha Beach Road sale site, has signed the Building Agreement with the Singapore government. Apart from CDL, the consortium also includes Dubai World’s Istithmar and Elad Group. The project (pix), designed by world-renowned architect Norman Foster, includes four conservation buildings, which are to be restored, as well as office and hotel towers. The developer has adopted an environmental design approach and green technology suited to a tropical climate. A key feature is the large “environmental filter” canopy, which covers the open spaces and ties together the new and conservation buildings.

By theSun

CRSC finalising plans for Rampai Business Park II

KUALA LUMPUR: CRSC Property Sdn Bhd (CRSC) will be launching Rampai Business Park II in February next year, in a commercial joint-venture project between Pancaran Nilai (M) Sdn Bhd and Kuala Lumpur City Hall (DBKL).

The leasehold project takes up 1.7 acres and is located in Taman Sri Rampai, Setapak. “There will be two blocks of 8- storey shop offices,” said Sheryn Lim, assistant project director of CRSC.

“The ground floor and first floor will be shop lots, mainly for retail while the rest will be offices,” said Lim. There will be approximately 200 units in total. “We are currently finalising the plans for this project,” she said.

According to Lim, Rampai Business Park II will cater to the younger crowd, as there is a large student population in Setapak with the Tunku Abdul Rahman College located close by. “Coffee houses and Internet cafes will attract the youngsters,” said Lim.

Located opposite Rampai Business Park II is the RM100 million Rampai Business Park, which comprises seven rows of 2- and 3-storey shop offices set on 12.85 acres of leasehold land.

Launched in May 2006, there are a total of 106 units, 85% of which have been taken up.

“Rampai Business Park is more focused on retail compared with Rampai Business Park II,” said Lim. Currently priced at RM1.168 million onwards, standard units in Rampai Business Park are sized at 22ft by 80ft.

Other projects under the CRSC Group include Prima Tiara Apartments in Segambut. Block I and Block II launched in 2003 have been fully sold. Bumiputera units are now released for sale.
“There are 25 apartment units and nine shop units left,” said Lim.

Sized between 918 sq ft and 1,166 sq ft, the apartments are going for RM131,926 while the shops – sized between 622 sq ft and 692 sq ft – are going for RM154,717. For further details, call 03-4021 8811.

Above Article By theSun (by Yeong Ee-Wah)


Related information about " Rampai Business Park I " , please visit the related website here..

Lasseters plans to buy resorts, hotels in Malaysia

Gaming firm Lasseters International Holdings (LIH) Bhd said it plans to acquire resorts and hotels in Malaysia and integrate the business with its properties in Australia and New Zealand.

LIH is looking at investing in Malaysia for the first time, but it won't be through joint ventures, executive chairman Datuk Jaya J.B. Tan said.

"We plan to buy and operate up-market resorts and hotels in Sabah and Sarawak. Tourism in the two states is booming and we feel now would be the right time to invest there," Tan told Business Times in an interview in Kuala Lumpur.

LIH, listed in Singapore in 2004, has a strong asset base in Australia.

Tan said the combined net valuation of LIH and Singapore-listed Etika International Holdings Ltd, a food and beverage group, which he controls with his brother, is around S$145 million (RM332 million).

LIH currently owns Lasseters Hotel Casino in Alice Springs and 13 hotels and pubs with some 750 gaming facilities across four states in Australia.

The company, through Australian-listed Cypress Lakes Group Ltd, also owns Cypress Lakes Resort - Golden Door Spa, a Health Retreat - more than 200 villas and a destination convention centre.

Tan, a former executive chairman of Pengkalan Holdings Bhd, said LIH also operates an Australian-based tier-one online casino and spot betting.

In New Zealand, the company had acquired Wharf Casino by assuming all its debt.

"This was one of six gaming licences issued in New Zealand. The government has said it won't issue new ones so we decided to grab the chance after doing a due diligence," said Tan.

Tan said LIH is expected to spend close to RM18 million next year to refurbish some of the properties and uplift the profile.

Tan, through his privately-held company, Radiant Investments Ltd, also has a 51 per cent interest in Grand Imperial Saigon Hotel Ltd, which operates the Park Hyatt Hotel Saigon in Vietnam, established in 2005 for US$60 million (RM199 million).

According to Tan, there is a dispute with the shareholder of United Concord International Ltd who had mismanaged the hotel during construction, resulting in cost overruns of RM28 million, some of which were unauthorised.

He said the stakeholder, currently general director and chairman of the hotel, also refuses to relinquish the post despite an 81 per cent equity vote calling for him to do so.

"The first instance hearing where the 81 per cent equity vote was invalidated in favour of unanimous vote had shaken our convictions in Vietnam. We are now appealing to the supreme review court in Hanoi to give us a fair hearing of the case," Tan said.

By New Straits Times (by Sharen Kaur)

Ekovest to complete Danga Bay buy by June

Property developer Ekovest Bhd expects the acquisition of Danga Bay Sdn Bhd to be completed by June next year.

Ekovest’s executive vice chairman Datuk Lim Kang Hoo said the acquisition processs is on going and the group is now focusing on its projects in hand.

“We are no stranger to property development. We have many years of experience in construction. It’s nothing new for us to go into property,” he said.

Current projects Ekovest is handling are the construction, completion and maintenance of the National Institute for Natural Products Vaccines and the Biology complex, a joint venture project with Faber Group Bhd which has already commenced.

Ekovest is also into the construction of the Duta Ulu Kelang Expressway, which is expected to be completed by the end of next year or earlier.

Ekovest took over Danga Bay Holdings Sdn Bhd for RM1.1 billion and the purchase is through the issuance of a combination of new ordinary RM1 Ekovest shares and irredeemable convertible unsecured loan stocks.

For the financial year ended June 30, 2007, the group recorded a profit after tax of RM17.341 million from a turnover of RM356.601 million compared to a profit after tax of RM8.167 million from a turnover of RM229.59 million in the previous year.

By Bernama

First Rendezvous Hotels & Resorts International (RHRI) hotel here soon

Rendezvous Hotels & Resorts International (RHRI) will open its first hotel in Malaysia in 2009.

RHRI, a subsidiary of Singapore-based Straits Trading Ltd, was appointed by Bluestone Group Malaysia in March to manage Kuala Lumpur's newest four-star deluxe hotel. Construction is on going.

In a statement, chief executive Alan Featherby said the presence in Malaysia would build a strong alliance with the established hotel in Singapore.

Furthermore, there was no upcoming four or five-star hotel within the vicinity in the foreseeable future, he noted.

Tourism in Malaysia is expected to grow by an average 15% per annum, with corporate travel expected to generate more business in and around Kuala Lumpur city centre.

The Rendezvous Hotel is located at Cangkat Thambi Dollah within the golden triangle and will consist of two adjoining towers.

The hotel tower would offer 388 rooms on 26 floors with three additional floors devoted to hotel facilities and commercial spaces such as a recreation and spa area with a pool, gymnasium, spa, steam and sauna rooms; a restaurant and bar; business centre and a conference centre.

The adjoining tower of also 26 floors consisting of residential apartments would have its own entrance, parking, lobby, as well as health and services facilities.

The Malaysian hotel would bring the number of hotels and resorts in the Rendezvous group to 17, including 11 in Australia, two in China and one in Singapore.

The group also planned to have over 30 hotels in Asia and Australasia in the next five years.

“Our growth will be most prominent in China and Australasia with secondary areas being South East Asia, Middle East and India,” Featherby said, adding that 16 key cities in China had been identified.

Negotiations were underway with expected announcements of several new hotels for the group, he added.

By The Star

Kuala Lumpur in the list as southern Europe hub

It is among the cities being shortlisted by Jetstar

Kuala Lumpur, together with Ho Chi Minh City, Singapore, Hong Kong and Bangkok, are being considered by Jetstar to be the hub to fly to southern Europe, according to general manager of corporate relations Simon Westaway.

The planned two-stage flying to Southern Europe is expected to take off from mid-2009 with Athens and Rome as the two likely destinations.

Jetstar is also interested to fly to Munich, Germany later. Westaway said the review would evaluate airport cost, traffic rights, range of aircraft available and human resources.

The low-fare airline started its long-haul flights at the end of last year and so far, have carried more than one million passengers over eight destinations - Kuala Lumpur, Honolulu, Osaka, Nagoya, Ho Chi Minh, Bangkok, Phuket and Bali.

Owen Johnstone-Donnet (left) and Simon Westaway

He said besides the opportunity to increase the frequency of current flights, Jetstar was exploring opportunities to fly to Taiwan and South Korea.

Currently, only the Sydney-Osaka route has daily flights. Jetstar flies three times weekly from Sydney to Kuala Lumpur since its inaugural flight in September.

Without revealing the seat factor, Westaway said Jetstar's performance on the Sydney-Kuala Lumpur route “is currently meeting our expectations.”

The budget airline does not rule out future growth into Kuala Lumpur from other Australian cities.

“There is potential however for further international growth for our operations into Kuala Lumpur over the medium to longer term,” he added.

Jetstar, which is a wholly owned unit of Qantas Airways Ltd, complements its parent by covering leisure destinations while Qantas focuses on prime and business markets.

Last month, Qantas confirmed to buy up to 108 narrow-body planes, including 68 A320/321 aircraft and 40 options and purchase rights, to expand Jetstar size fleet.

Also, there is a provisional order of 17 A321s.

The low-fare airline has an existing fleet of 23 A320s and has previously announced an additional nine A320s for the Australian domestic operations to enter service between this month and March 2009.

Jetstar has remained profitable since it commenced operations in 2004. In the first half year, it posted a pre-tax profit of AU$23.3mil including international long-haul start up costs of AU$27mil.

By The Star (Stories by Yeow Pooi Ling)

Drawing the crowd

SUNWAY CITY EXPECTS 2.5 MILLION VISITORS TO SUNWAY PYRAMID

Sunway City Bhd expects visitors to its Sunway Pyramid shopping mall to hit 2.5 million this month when various retailers fully occupy its RM550mil new extension.

The new extension that was opened in October, has more than doubled the number of available retail outlets at the shopping mall to 800 from 300 previously.

Sunway Pyramid senior general manager H.C. Chan said in a statement: “The mall encapsulates two-in-one format with worlds of experience - the Oasis Boulevard that hugs the exterior like a necklace and the mall within that are seamlessly connected at four floors in a 360-degree loop corridor.”

The architecture aimed to “reflect contemporary retail design with elements that echo the prevailing Egyptian theme”, he said. The shopping mall has now been divided into four shopping precincts featuring distinct colours, cultures and products from well-known shopping zones around the world.

Known as Fashion Central, Oasis Boulevard, Asian Avenue and Marrakesh, these shopping precincts were to cater to the growing market of affluent and savvy shoppers.

Fashion Central precinct comprises a bridge and high street commercial fashion boutiques that showcase the latest season's creations.

Asian Avenue offers the latest trend in street wear and attitude wear for the young and hip.

“Two hundred specialty shops are expected to be offering specialist and designers products within this precinct,” he added.

The Marrakesh shopping precinct

The Marrakesh precinct is inspired by the souks and bazaars of Morocco. Here arches and decorative columns featuring traditional Moorish patterns, materials and finishes could be commonly found.

The management plans for unique souvenirs, knick-knacks and a host of specialty retail merchandisers to make up the retail offerings, in this zone.

The new Oasis Boulevard, is based on the two-in-one concept of having two distinctive shopping precincts that offer mainstream day shopping within the mall and another night-time shopping outside the mall.

“The idea is to allow shoppers to enjoy quality dining, clubbing and entertainment activities for both young, old and with families even after 10 pm.

“The already successful al-fresco precinct had been extended to envelope the mall exterior from the East-North belt to the West-South belt,” said Chan.

C.Chan (riht) and Ngeow Voon Yean

The al-fresco area now includes areas for street-fronting themed concept restaurants and clubs as well as shopping space for retail goods and services.

Among the brands now making their appearance in Sunway Pyramid were Jusco, Cerruti 1881, Dorothy Perkins, French Connection, Xixili, United Colours of Benetton, Calvin Klein, Guess, Lacoste, Principles, Springfield, Promod, Marks & Spencer, Colin's & Loft, Forever 21, Elle Homme, The Gap, Raoul, Aldo, Nike and Adidas.

The car park had also not been neglected in the renovations and was now equipped with state-of-the-art car parking guiding system to enable customers to reach the car park bay directly.

It informs how many vacant bays are available as a visitor approaches a particular floor.

According to Chan, the accessibility issue is also addressed with the creation of multiple entrance and exit points to the complex.

“Notably, the multi-million ringgit infrastructure development included direct flyovers and tunnel link from New Pantai Expressway fronting the mall, both for Kuala Lumpur bound and Subang Jaya bound traffic to have direct access to the mall.

“It represented the first time ever in Malaysia a major highway accessible from both sides,” he said.

Meanwhile, the Sunway Resort Hotel & Spa is undergoing a progressive RM80mil renovation.

Group general manager Jean-Jacques Kiefer said, the convention facilities had already been refurbished and access to the hotel has been greatly enhanced.

According to Sunway City Bhd managing director of property investment Ngeow Voon Yean, the hotel is expected to see double-digit revenue growth for financial year 2008 and 2009.

“The hotel's proper yielding strategy also sees average room rates increasing from RM231 in the last financial year to RM309 in the financial year 2008 and 2009,” Ngeow said.

Despite the five-star Sunway Resort Hotel & Spa being partially closed for renovations, a total of about 90,489 room nights at an average room rate of RM295 “were captured” in the peak months of June, July and August, he said.

This works out to an increase of 14% in room revenue compared to the same period last year.

Other hotel properties managed by Sunway International Hotels & Resorts are Sunway Hotel Georgetown in Penang, Sunway Hotel Seberang Jaya in Prai, Sunway Hotel Phnom Penh in Cambodia and Sunway Hotel Vietnam.

By The Star (by Loong Tse Min)

PJCC aims to emulate success of Mid Valley

Commercial properties in prime locations have been experiencing good take up rates for the past few years.

Besides a good location, competitive pricing is also an important factor.

The PJCC (Petaling Jaya Commercial City), an upcoming integrated three-phased commercial development comprising a Retail City (shop offices and service suites), Tower City (three to four-star hotel, office tower and shopping mall), Auto City and Lake City complexes, is one such development that boasts of location and pricing as its winning assets.

It is strategically located between the Old Klang Road and New Pantai Expressway (NPE) in the booming Bandar Sunway-Subang Jaya corridor. In fact, it is in one of the fastest growing locations in Petaling Jaya.

The developer, PJCC Development Sdn Bhd is building part of a slip road from the NPE to the development. When completed in eight years, PJCC can be seen from the NPE.

Vincent Tai Chu Shi with a model of the PJCC project

As for pricing, it is 30% to 40% cheaper than similar developments and that explains why 95% of the 34 units of the 3-storey shop offices in Phase 1 had been snapped up since its initial launch this March. There are also very limited units of the 5, 6 and 8-storey shop offices left.

Phase 2 comprising of more 3, 5 and 8-storey shop offices are now opened for sale. About 47% of the 34 units of 3-storey shop offices in Phase 2 have been sold.

The selling price of the Phase 2 strata title office units starts from RM199,900 while the price for the strata title ground floor shop lot with first floor office lots is RM660,900.

The individual title 3-storey, 22ft x 70ft shop offices are priced from RM868,900 while the individual title 5-storey shop office with lift is priced at RM2.5mil. The individual title 8-storey shop office with lift is priced at RM3.9mil. Both the 5 and 8-storey shop offices are limited corner lots with 40 ft wide frontages.

All shop offices will have wide back lanes of 40 to 50ft for easy loading and unloading of goods.

It has been noticed that when a location is “hot” and is in a prime area with a big population like in Subang Jaya and Bandar Sunway, there is no let up in the demand for more shop offices. The Taipan commercial centre in USJ is a good example where ready tenants usually move in soon after the ground floor shop lot has been vacated.

In PJCC's case, the developer has done the right thing in offering more than just shop offices. In fact, it has consulted extensively with landscape specialists and consultants to design an interactive lake in its Lake City featuring musical fountains, shallow wading pools, floating decks with retail kiosks and a stage for performances.

The interactive lake with surrounding greenery will have wide pedestrian styled promenades with extensive landscaping of imported and local trees and flowering plants. The lake will also feature cantilevered sitting areas leading down to the lake for relaxation.

Lake City in Phase 3, will have a bazaar with retail lots on the ground and first floor and a 3-level car park with about 500 bays.

PJCC Development Sdn Bhd sales & marketing manager Vincent Tai Chu Shi said PJCC would “mirror and parallel” the success of the Mid Valley City, about 10 minutes drive away.

“At PJCC, we have priced our commercial offerings at almost half of the current selling price of properties in Mid Valley City. Hence, the potential for high capital gains and rental returns for PJCC properties is very optimistic as PJCC believes in allowing its purchasers to enjoy a higher margin of capital appreciation,” he said.

Tai said the service suites called PJCC Avenue (550 sq ft to 850 sq ft) and PJCC Tower (1,200 sq ft to 1,800 sq ft) under Phase 2 were now opened for registration. Both would be priced around RM220 psf. The PJCC Avenue will have studio, 1, 2, and 3-bedroom layouts and SOHO (small office home office) units.

They will have facilities such as gymnasium, business centre, swimming pool and wading pool, 24-hour security, with guards and broadband and Astro ready.

He said the proposed 3-storey shopping mall in Tower City (Phase 3) would have about 267,000 sq ft of retail space.

“We are positioning PJCC which consists of four precincts, as a one-stop commercial city. It will be one of the biggest commercial developments in Petaling Jaya,” added Tai.

By The Star (by S.C. Cheah)