Sutera Damansara garden community

Sutera Damansara will have linked homes, apartments, condominiums, superlinks, and semidees

LOCATED in Sungai Buloh, close to Sierramas, Valencia and Bandar Sri Damansara is OSK Property Holdings Bhd’s (OSK Property) first landed development in Petaling Jaya.

Sutera Damansara takes up 100 leasehold acres, and according to Stanley Wong (pix), senior sales and marketing manager of OSK Property, about 80 out of the 100 acres has been planned with a gross development value (GDV) of RM400 million.



A joint venture (JV) between OSK Property and Permodalan Negeri Selangor Bhd (PNSB). the
project’s first phase, Sutera Ria comprises 431 units of 2-storey linked homes. The 22ft by 75ft
homes have built-ups of 2,305 sq ft and are tagged at RM438,000. Since its soft launch early this month, the project has received more than 200 registrants. “Our target market are the upgraders from the Petaling Jaya, SS2 and Damansara Jaya areas,” said Wong.

“The concept here is to create a garden development with a green environment featuring a linear park with ponds, gazebo, jogging paths and extensive landscaping. We want to create a garden community that is cozy and nicely landscaped with a modern tropical feel,” he said.

Aside from its first phase of linked homes, Sutera Damansara will also offer apartments, condominiums, superlinks, semidees and 24 units of 22ft by 75ft shops.

According to Wong, the next phase would comprise 40ft by 80ft semidees and 24ft by 85ft superlink homes. “We’re finalising the designs for these units and targeting to launch the superlinks at the end of this year,” said Wong.

“We have already started piling work on the first phase, and we’ll officially launch it soon, when
the works have further progressed,” he said. Sutera Ria would be completed within 18 to 20 months while the entire Sutera Damansara would occupy them for the next five to six years, with another 20 acres yet to be planned.

Apart from Sutera Damansara, OSK Property has another project in the pipeline.

“We have a high-end development planned on Jalan Yap Kwan Seng, for which we have submitted the plans for approval,” said Wong, adding that the development will be a high-rise luxury condo within the KLCC area. The GDV is yet to be finalised.

One of OSK Property’s ongoing developments, Taman Sri Banyan has recently been completed. “We are applying for Certificate of Fitness (CF) now and will handover in April,” said Wong. Located in Country Heights, Kajang, the luxury bungalow project was launched in July 2007.

Out of 16 bungalow units, eight have been sold, while all 10 semidee units have been sold. The bungalow units are tagged at RM2 million each while the semidees are tagged at RM1.2 million each. According to Wong, the freehold project attracted buyers from the Klang Valley, Bukit Jalil and Kuala Lumpur areas and most of them are professionals and local businessmen.

He attributes this to the accessibility of Country Heights to Kuala Lumpur via the KL-Seremban Highway.

There will be a promotional event tomorrow at Taman Sri Banyan between 5pm and 9pm.

OSK Property’s other projects include Mont’Jade, a series of hillside bungalows in Seremban and Seremban 3, a freehold township where it recently launched 36 units of 1-storey shoplots early this month.

OSK Property’s flagship project, said Wong, is the 2,500-acre township named Bandar Puteri Jaya in Sungai Petani, Kedah.

Launched in 1999, the development is approximately 50% developed.

By theSun (by Yeong Ee-Wah)

SoHo development comes to Subang Jaya

Artist's impression of Subang SoHo

The Small office Home office (SoHo) concept has hit Subang Jaya in a big way with the upcoming
launch of Titijaya Group’s RM90 million Subang SoHo development in May.

Titijaya director Charmaine Lim Puay Fung told Propertyplus that while the SoHo concept is a current trend elsewhere in the Klang Valley, it is a relatively new one for Subang Jaya. “We thought of the concept when we were developing our other projects nearby as we saw that there were not many projects with the SoHo concept. We believe that Subang SoHo is the first project of its size and kind in SJ,” said Lim.

The 19-storey Subang SoHo sports a radical and ultra-modern façade with 448 units designed in a duplex layout. The units with split level and double volume 16 ft ceiling height have sizes from 563 to 1,086 sq ft and are priced from RM217,000. Maintenance fees are at 35 sen psf.

The 1.6-acre freehold project is open for registration of interest and Lim said the response has been good. “Since January, we have received over 800 registrants for the project and most are young professionals who can relate to the idea. They also like the location’s easy accessibility to highways and amenities,” she said.

The project is located in SS19 and is down the road from the shopping belt of Subang Jaya town centre consisting of Subang Parade and Subang Carrefour. It is also nearby to the Subang Jaya Medical Centre and educational institutions such as INTI College, Taylor’s College and Metropolitan College.

Lim said the project attracts young single people because it offers them greater privacy than renting a room. “The units can be used for work as well.

With the advances in computer software, big storage areas are not needed as a laptop is enough for everything. This appeals to entrepreneurs and businesspeople,” she said.

Further aiding the live cum work environment, is the building’s wi-fi facility for common areas and broadband ready feature.

Another attraction for buyers is that Titijaya has furnished all intermediate units. “This is an added convenience we offer. In our previous development of Tiaraville Serviced Suites development in Jalan Kemajuan, we found out that buyers favour furnished packages. They can bring their luggage and move in.

Investors can also rent the units out upon completion. It saves time and effort,” said Lim. Among the furnishings and fittings are plaster ceiling, two-seater sofa sets, kitchen cabinets, wardrobes, fridges and washing machines with dryers.

The project, which is slated for completion in 2011, will have three levels of car parking bays and a “sky club” on the rooftop. The “sky club” comprises swimming and wading pool, sky garden, tai
chi and yoga zone, reflexology path, BBQ function deck, garden deck and children’s playground.

Accessibility is via the North Klang Valley Expressway (NKVE), New Pantai Expressway (NPE), Lebuhraya Damansara-Puchong (LDP), Kesas Expressway, Federal Highway, Elite Highway as well as the Subang-Kelana Elevated Highway currently under construction.

For more details, call 03- 5637 3331/ 03-5637 4377 or visit www.titijaya.com.my


Click to enlarge...

By theSun (by Allison Lee)

Property expo for the super rich

More than 3,000 local and foreign potential investors and buyers are expected to attend the inaugural Malaysia International Luxury Properties Exhibition 2008 which begins today.

More than 40 developers are putting up some 100 development projects around the world, valued at more than RM1 billion for sale during the expo which ends on March 23 at the Kuala Lumpur Convention Centre.

Each unit on sale at the expo is priced from RM1 million onwards, and among the potential buyers are those from the Middle East and Europe, said organising chairman Moey Sai Yee. The exhibition is organised by Exhibition Guide (M) Sdn Bhd.

Moey said the bulk of the units on sale include luxury condos while the rest are bungalows and exotic holiday homes.

“Most properties are valued in the range of RM1 to 5 million while the rest are super luxury homes, above the RM10 to 16 million mark. The most expensive property is valued at RM30 million,” he added.

“Our expo essentially provides a platform for those who can afford the price tags of these luxury homes to spend time and view the property which is best suited to their taste,” said Moey.

“We have set up a VIP Lounge at the expo site where potential investors can sit in comfort and carry out their transactions in privacy,” he said.

“Two massage therapists have also been stationed in the lounge for our VIP guests.” Moey said the current economic climate is still positive for the property sector and this is the time for developers to lure foreign buyers.

“Traditionally, properties above RM1 million are only affordable to the upper class Malaysians and foreigners and there are plenty of choice properties available in this category,” he added.

“Our exhibition is open to all and anyone can walk in regardless of their financial standing.”

Among the participating developers are SP Setia Bhd, Sime Darby Property Bhd, Bolton Bhd, PJ Development Holdings Bhd, UEM Land, Dijaya Corporation Bhd, Glomac Bhd, IOI Properties Bhd, TH Properties Sdn Bhd, Country Heights, Metricon Homes (Australia), Hedgeford Sdn Bhd, Great Vision Group (Financial Investment) UK, and various other developers.

The participating financial institutions are AmBank, Bank Rakyat, HSBC Bank, Al-Rajhi Bank, Kuwait Finance House and Affin Bank.

For more related information about " Malaysia Luxury Property Exhibition 2008 "

By theSun (by Tim Leonard)

LBS Bina to transform into high-end property developer

SHAH ALAM: LBS Bina Group Bhd plans to transform itself into a medium- and medium high-end property developer to leverage on the current strong demand for this particular sub-segment and to improve profit margins.

The property developer, which used to focus primarily on low- to medium-income families, would launch new phases in its flagship property project, Bandar Saujana Putra, which has a gross development value (GDV) of RM5.2 billion.

Its managing director Datuk Lim Hock San said the interchange for the township, which will improve accessibility, was opened to the public on March 5 and was expected to improve Bandar Saujana Putra’s appeal.

“The next asset value for LBS is Bandar Saujana Putra,” he said, adding that LBS would build and launch “unit by unit” in order to optimise its profit margin.

Lim added that the development on the South Klang Valley Expressway (SKVE) was also underway and would enhance the value of its property projects when it was fully completed.

“Our area will become a strategic area, so we have to be careful with our launches. We will re-plan our concept to create value for shareholders and enhance the value of LBS,” he said.

The property firm still had more than 202 hectares of undeveloped landbank in the flagship project, Lim added.

“In terms of this land, we are aiming at the higher end market and sell high in order to get more value, more profit for the group,” he said.

LBS, which has a total landbank of 1,092 ha, including in China, decided to add medium-high and high-end properties in its development plan due to weak consumer sentiment and higher cost of buildngs materials such as steel and cement, he said.

Meanwhile, Lim said LBS expected to launch its more than RM5 billion GDV high-end property development project in Zhuhai, China by the end of this year and expected the project to boost the group earnings in the long run.

Speaking to reporters after LBS’s EGM here on Wednesday, he said revenue from its China property development project, which would be developed over eight years, was expected to start contributing to its topline by 2009.

“We are very confident about this project (Zhuhai property development project), it will be a boost to the group,” he said.

The project, targeted at the high-end market, was located within the proximity of a light railway station in Zhuhai and was expected to receive good response, judging from the overwhelming response to other property development projects launched within the vicinity, he added.

By The EDGE MALAYSIA (by Yantoultra Ngui Yichen)

Amarin plans villas, resorts in Malaysia, Indonesia

PROPERTY developer Amarin Wickham Sdn Bhd plans to build high-end residential villas and resorts in Malaysia and Indonesia.

It is scouting for land in Bali, the Klang Valley, Langkawi and Cherating, to build the properties this year, said director Lee Vun-Tsir.

"We are not interested in developing and operating typical resorts or city hotels. The ones we build must be private-based, personalised and exclusive," Lee said in an interview recently.

"Malaysia still lacks boutique developments. What we want to do is bring Bali and Europe here, instead of locals and foreigners going there," Lee said.

It plans to build 20 to 30 boutique-style villas as well as resorts at any one location, complete with a club house, spa and restaurant.

For the villas in Bali, it plans to sell them for between RM2.53 million and RM2.84 million per unit, while those in Malaysia will be priced at more than RM800,000 per unit.

"We are looking at modern indigenous designs and offering niche lifestyle concepts. We may lease some of the units for recurring income, Lee said.

This would be the first venture for the company to build boutique-style villas and resorts.

Its flagship is the RM80 million Amarin Kiara project in Mont' Kiara launched in mid-2006.

It comprises 30 units of three-storey semi-detached villas with private pools, priced between RM1.98 million and RM2.6 million, and one three-storey semi-detached villa, priced at RM3.8 million.

All units have been sold and will be handed over to their buyers next month.

Lee said the company is open to working with major developers, and forming joint ventures with landowners, turning their site into an exclusive enclave.

"We want to be a luxury boutique developer under the Amarin brand," he added.

The company's private finance initiatives are expected to pay off when it launches its second luxury project in Kuala Lumpur in May.

Dubbed Amarin Wickham, the project, which is situated along Jalan Wickham in Ampang Hilir, is a low density five-storey super luxury condominium development consisting of 21 units of duplexes and triplexes.

"The project is valued at RM130 million and comprises four types of units ranging from 3,000 sq ft to 9,000 sq ft. We are pegging the units at RM1,300 per sq ft, which will translate to prices ranging from RM3.8 million to RM8.5 million per unit," Lee said.

There are seven super penthouses that will have a private roof-top pool, garden and jacuzzi, while the remaining standard units will have a private outdoor jacuzzi by the terrace and common pool area.

"We are targeting at least 60 per cent to be foreign buyers," added Lee.

By New Straits Times (by Sharen Kaur)

Mahkota Medical poised for growth

NEW FACILITY: Artist's impression of the lobby (right) and ward at the Regency Specialist Hospital

The Mahkota Medical Group, which has a hospital in Malacca and will soon open one in Johor, is eyeing Sabah and Sarawak next.

"We have our radar screen on other towns, especially those in Sabah and Sarawak. We would like to go where there is no heavy concentration of private hospitals," Mahkota Medical Centre Sdn Bhd chief executive officer Francis Lim told Business Times in an interview.

"We have taken a look at some sites, (but) nothing has been decided," he said.

"We have to look at our shareholders' interest. We do not want to rush into it."

Lim said that the group may consider accepting management contracts without an equity stake.

Given that Malaysia is pushing for medical tourism to bring in foreign exchange, Lim hopes that the tax incentives given to those in Nusajaya, Johor, and set-ups in the Port Dickson Wellness Zone in Negri Sembilan will be extended to all private hospitals.

"Healthcare requires heavy investment," he said.

The Mahkota Medical Centre in Malacca started operations in 1994 under the Lion Group.

Lion, which restructured and sold its non-core businesses during the 1997/98 financial crisis, sold the hospital in September 2001.

The Mahkota Medical Group is now owned by Health Management International Ltd of Singapore (48.95 per cent), Bumiputera group Maju Medik Sdn Bhd (38.42 per cent) and 12.36 per cent by doctors located all over Malaysia.

In the financial year ended June 30 2007, the Malacca hospital recorded RM98 million revenue, of which 30 per cent came from medical tourism.

"For the half-year ended December 31 2007, we have already exceeded RM50 million revenue. For the full year, we expect to hit RM100 million," Lim said.

"We are a leader in Malacca in terms of market share. We probably command 45 per cent of the private-hospital business here," he added.

The Mahkota Medical Centre in Malacca, which is big in medical tourism with 80 per cent share of the foreign-patient market in the state, treated 50,000 Indonesians last year.

"We plan to grow medical tourism further through accreditation from the Malaysian Society for Quality in Health (in August), and are preparing for the Joint Commission International (JCI) in two years for both the Malacca and Johor hospitals," said Lim.

JCI is a global leader in healthcare accreditation and, since 1999, has accredited more than 140 hospitals in 27 countries.

With the accreditations, the group hopes to penetrate new markets, including Bangladesh and Europe.

By New Straits Times (by Vasantha Ganesan)

RM120m Johor hospital to open in June

The Mahkota Medical Group will open a RM120 million hospital in Bandar Seri Alam, Johor, in June.

The 218-bed Regency Specialist Hospital expects to tap medical tourism in a big way. It projects contribution from domestic and foreign patients to be split equally within the next three years.

It will be the group's second hospital.

"The building is completed. The certificate of occupancy has been issued. We are waiting for the operating licence. The hospital should be operational mid-2008," Mahkota Medical Centre Sdn Bhd chief executive officer Francis Lim told Business Times.

The RM120 million investment includes land, building and equipment.

"We expect to break even in three years and be profitable from the fourth," Lim said.

"We are targeting patients, particularly from Singapore, and generally from Indonesia. We anticipate that we will have 50 per cent local patients and 50 per cent foreign in three years."

Lim said that Johor's potential for medical tourism is good as it has an international airport.

Health Management International Ltd of Singapore holds 48.95 per cent of the Mahkota Medical Group. Bumiputera-owned Maju Medik Sdn Bhd owns 38.42 per cent, while 12.36 per cent are held by doctors located all over Malaysia.

By New Straits Times

Emkay marks 25 years and growing

The Emkay group of companies, controlled by property tycoon Tan Sri Mustapha Kamal Abu Bakar, is set to earn stable and sustainable income for years to come, arising from strong sales and rental payments from its property projects.


From 2005 onwards, it will be the investment stage during which we will build specific buildings and then lease them out to earn recurring income for the group. Tan Sri Mustapha Kamal Abu Bakar - Emkay founder

Mustapha Kamal is also the chairman and dominant stakeholder of associate company MK Land Holdings Bhd, a property developer listed on the main board of Bursa Malaysia.

He holds 48.7 per cent of MK Land via privately-held MKN Holdings Sdn Bhd, which in turn is one of 15 companies owned by Mustapha grouped under the Emkay stable.

Emkay will be celebrating its 25th anniversary tomorrow. The event will be attended by former prime minister Tun Dr Mahathir Mohamad.

Mustapha Kamal said Emkay already had a three-phase plan when it started out in 1983.

Under the first phase, 1983-1993, it wanted to go all out to develop new property projects.

"Between 1994 and 2005, we went through the expansion phase.

"From 2005 onwards, it will be the investment stage during which we will build specific buildings and then lease them out to earn recurring income for the group," he said.





In Cyberjaya, for example, some international firms, especially information technology (IT), find it cumbersome to buy land and build their operational offices, he added.

Emkay and associate company Setia Haruman Sdn Bhd, the master developer of Cyberjaya, are embarking on a new initiative for Cyberjaya - constructing the buildings and then renting or selling them to investors.

Emkay chief operating officer Peter Teh Heng Poh said the RM100 million Bangunan Mustapha Kamal in Cyberjaya is a case in point.



The building is expected to be issued with its certificate of fitness this month, with tenants to come in soon after.

"This building, along with Emkay's other projects, will generate recurring income for the Emkay group of companies for the long term," said Teh.

Other ongoing projects include the Menara Mustapha Kamal in Damansara Perdana, Petaling Jaya, the RM350 million MKN Embassy Techzone in Cyberjaya and the RM300 million NeoCyberjaya mixed development, also in Cyberjaya.

Emkay started out with a landbank of 6,072ha, with gross development value of RM29 billion, enough to keep it busy for the next 10-15 years.

It has built 45,000 homes (some projects are carried out together with MK Land) on part of the 6,072ha. The homes, commercial and office blocks have a combined gross development value of RM13 billion.

Emkay is expected to open its RM77 million Belum Rainforest Resort on Pulau Banding in Grik, Perak, as early as this month.

By New Straits Times (by Zaidi Isham Ismail)

Mah Sing lines up RM1.4bil project

Ng Heng Pahi (right), Mah Sing general manager Tan Hun beng (left) abd marketing and sales manager Vevus Ho viewing a scale model for Southbay Penang.

PENANG: Mah Sing Group Bhd is launching its largest project, a whopping RM1.35bil mixed development called Southbay Penang on a 35ha freehold site in Batu Maung soon.

Group chief operating officer Ng Heng Phai said the plans for the first and second phases of the project had been submitted to the local authorities.

“We plan to launch the first phase in the first half of 2008, as soon as we get the green light. The second and third phases will be launched in late 2008,” he told StarBiz.

Southbay Penang, comprising 376 units of landed residential properties and an integrated commercial hub, is scheduled for completion within seven years.

The commercial component will make up 70% of the project. And of that, about 50% will be serviced condominiums and the rest retail and fine-dining outlets.

Ng said the group would unveil the first phase of Southbay Penang this weekend.

”So far, we have received over 2,000 registrations for the preview,” he said, adding that Southbay Penang was the group’s largest project to date.

Mah Sing’s RM858mil Aman Perdana in the Klang Valley and the RM530mil Austin Perdana in Johor Baru are the group’s two other projects with sizeable gross sales value. Both projects are currently under construction.

The two township projects have landed residential and commercial components.

The first phase of Southbay Penang comprises 288 units of three-storey link homes with built-up areas of over 3,000 sq ft.

“The salient features are the six bedrooms and six bathrooms in each unit, high ceiling and a garden located on the second floor. There will also be clubhouse and a recreational park,” Ng said.

He said the second phase would comprise 88 bungalows with built-up areas of 3,800 to 8,000 sq ft.

“High-level security will be provided for in the first and second phases. We will also have patrolling guards and intrusion devices installed in the individual properties,” he said, adding that the landed residential properties were also targeted at overseas buyers.

The three-storey link homes are tentatively priced from RM755,000 onwards, while the bungalows will cost at least RM2.5mil each.

On the integrated commercial hub, Ng said the group would model it after seaside resorts such as the Darling Harbour in Sydney, the Canary Wharf in London, and well-known Mediterranean resorts in Spain.

“We are also interested in incorporating certain features of Xin Tian Di, the popular entertainment precinct in Shanghai, into our commercial scheme.

“The commercial hub will also have at least two hotels. We hope to finalise and submit the plans for the commercial component for approval before the end of the year,” he said.

“The whole development will be integrated via a landscaped boulevard which will be perfect for retail outlets, including alfresco dining and boutiques.

“We are targeting the commercial properties at foreign, notably institutional, buyers,” he said, adding that the group spent about three months to obtain input from potential house buyers in Penang.

By The Star - StarBiz - (by David Tan)

Living in sunshine - Malacca's latest resort offers gateway homes from RM145,000

The past, the present and the future have come together to provide an interesting opportunity for investors and those looking for holiday homes in Malacca.

Banking on the state's rich 600-year-old cultural history, Empire Properties Ventures Sdn Bhd (EPV) is currently developing the 203-acre Malacca Empire Marina Theme Park (MEMTP) and offering for sale the first phase of units that will be ready by 2010.


Set amid a resort, the Soho units are designed to provide a fitting environment for work and play

EPV general manager Quah Eng Hock said the entire multibillion-ringgit development taking shape on the Klebang Beach foreshore as well as on 87 acres of reclaimed land will comprise four components: Empire Sunshine Villas, Empire Theme Park and Service Resorts, Empire Marina Villas and Empire Global Wonder Village.

"We plan our development to be the first to integrate facets of history with tourist elements and lifestyle features demanded by buyers investing in tomorrow," he said.

Now available for sale are 510 Small Office Home Offices (SoHos) in Empire Sunshine Villas.

Situated from the eighth to top-most floor of a 24-and-half-storey tower that will sit atop a three-level shopping mall, Quah said investors have a choice of four layouts.

"Some will also come with roof gardens," he said.

To support the use of the SoHos as holiday homes, recreational facilities including a gym, spa, swimming pool and landscaped gardens will be designed into the phase "to provide a fitting environment for work and play".

Buyers will also have access to commercial outlets such as a business centre, convenience store and the three level shopping mall that will have 22 lots on the ground floor and 48 on each of the upper two levels.

These can be bought for between RM650psf and RM1,000psf.

Piling work for Empire Sunshine Villas commenced last December and so far, 55 per cent of the SoHo units, which carry a gross development value of RM135 million, have been sold.

When Malacca Empire Marina Theme Park (MEMTP) is fully completed in four years, it will be a comprehensive resort with a marine theme park, water villages modelled after the Dubai Palm Resort, a five-star hotel, historial gallery and 10,000-seat international conventional centre.

For more detail information, please visit www.empirepropertyventure.com or contact: 03-2166 3026

By New Straits Times (by P.Rajan)

OSK goes high end in Damansara

A landscaped linear park and jogging trails will be some of the facilities in the guarded precinct.

Guarded enclave offers terraces from RM433,000

Once upon a time, not too long ago, actually, the area in Selangor between the North Klang Valley Expressway's Sungai Buloh toll plaza and the Lebuhraya Damansara-Puchong intersection with the Middle Ring Road II was known as a place for mass affordable homes.

Such was the stereotype because of townships such as Damansara Damai and Bandar Sri Damansara.

How times have changed. With the arrival of the Sierramas and Valencia residential enclaves, the area has moved perceptibly upmarket and the latest project to reinforce this trend is Sutera Damansara.

A joint venture between Permodalan Negeri Selangor Bhd and OSK Property Holdings Bhd, this guarded development with a landscaped recreational park and jogging trails will feature 431 units of double-storey terraces and three-storey corner lots in its first phase called Sutera Ria.

Its standard unit with dimensions of 22ft by 75ft will have four-plus-one bedrooms and three baths in 2,305sq ft of space, while the three-storey version will have an extra bedroom and bath.

Priced from RM433,350 to RM1,193,400 , the tropical-designed units will be specified with column-free porches to allow two cars to be parked side-by-side and high ceilings on the ground floor.

The price range means the likely buyers will be those who can afford monthly repayments starting from RM2,300.

The leasehold phase is slated for completion by January 2010 and is accessible from Jalan Sungai Buloh via Damansara Damai.

For more information, please call 03-7726 7577 or visit website www.osk.com.my

By New Straits Times (by Zuhaila Sedek)

LBS to launch projects worth RM5bil in China

PETALING JAYA: LBS Bina Goup Bhd expects to launch property development projects in Zhuhai, China, with an estimated gross development value of more than RM5bil by year-end.

Managing director Datuk Lim Hock San said the projects would include high-end bungalows and apartment units and he expected a good take-up due to strong demand for such properties.

Datuk Lim Hock San

“Zhuhai is a good location. Our site for the projects is near the LRT station and this has increased the value of our land,” he told reporters after the company EGM yesterday.

A bridge linking Hong Kong, Macau and Zhuhai was also in the process of being firmed up by the relevant governments, he said, adding that the Macau tourism industry was also expected to have a spill-over effect on its property projects.

Yesterday, LBS shareholders approved the proposed renounceable rights issue of 175.03 million new warrants.

Lim said demand for property in China was still high and consumer spending had remained firm. He was confident that the group's revenue would be boosted by its China property development by end-2009.

Locally, LBS was focusing on medium-to high-end properties due to higher building materials costs, including steel bars and cement, he said, adding that it planned to launch more mixed development projects this year in Bandar Saujana Putra and Taman Tasik Puchong, as well as industrial properties in Puchong.

On RAM Ratings' move to put LBS RM65mil secured serial bonds and RM100mil commercial papers programme on Rating Watch, with a negative outlook, on concerns about the company's deteriorating business and financial profiles, Lim said the company's projects had been delayed due to higher building material costs.

He added that other companies' outlook had also been affected by the weak consumer sentiment and uncertainties after the recent general election.

“However, in the medium to long term, the property outlook is still good and we expect things to stabilise in another month or two,” he said.

RAM had on Tuesday placed the A2(s)/P1(s) ratings on LBS due to its deteriorating business and financial profiles, arising from its continuous poor performance and persistent deferment of planned launches in the last few years. According to the rating agency, LBS had been supplementing its income with land sales over the past year – a measure that was not deemed sustainable and further highlighted the group's weakened fundamentals.

By The Star

Investors adopt 'wait and see' approach in Penang

PROPERTY transactions in Penang appear to have come to a standstill as investors wait and see how the state's economic landscape will unfold.

"We have received many concerned calls from our foreign investors, counterparts and clients, who are anxious to get a better feel of the ground on the implications for the property market," Henry Butcher Malaysia (Penang) Sdn Bhd director Dr Teoh Toh Puat told Business Times yesterday.

He said that improving living conditions in Penang would help to attract foreign investment in properties and those looking for a second home.

"Attracting investments, tourism arrivals and residents, however, will be a greater challenge today in view of the growing Asia-Pacific real estate market offering alternative opportunities for investors in 2008," Teoh said.

Henry Butcher Malaysia (Seberang Prai) senior manager Fook Tone Huat expects investors to take a few months to observe the new political developments before making any decision to continue their investments.

"Right now, I believe they will wait and see before they decide on their next move, and this will definitely slow down investments.

"However, if the new state government implements the 'transparency and fair to all' administrative strategy, it may create more market confidence," Fook said.

He noted that the residential sector in Seberang Prai was expected to be the main player in the state's property market.

"The opening of the Jusco Mall at Bandar Perda in Bukit Mertajam will spell a new era for the retail sector in Seberang Prai.

"We also expect 2008 to see further consolidation if the development corridors and the projects under the Ninth Malaysia Plan proceed as planned," Fook said.

The opening of the Butterworth Outer Ring Road is expected to have a positive impact on the property market in the surrounding areas of Bagan Lallang and Bagan Ajam.

"Other popular residential precincts in Seberang Prai are Juru, Bukit Tengah, Jalan Song Ban Kheng and Bukit Minyak."

By New Straits Times (by Marina Emmanuel)

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

Ireka lines up office blocks for launch

Artist's impression of Tiffani by i-Zen

KUALA LUMPUR: Aseana Properties Limited has slated two blocks of office towers for launch in downtown Mont’Kiara by year end.

The project is pending approval from the local authorities, said Ireka Development Management Sdn Bhd COO Lim Ech Chan. Ireka Development, a wholly-owned subsidiary of Ireka Corporation Bhd, is the development manager for Aseana Properties, a property investment and development company listed on the London Stock Exchange with a market capitalisation of approximately US$250 million (about RM800 million).

“The office towers are set to be a new landmark in Mont’Kiara with our hallmark i-ZEN inspired designs,” said Lim. The towers will be 28- and 16-storeys in height.

Each floor will have an average floor space of 12,000 sq ft. “We are keen on selling off the entire floors to buyers. We are also looking at interested parties to purchase the offices en-bloc,” he said.

The average price for the office towers is at RM850 psf. “We believe the property value will appreciate in time to come,” said Lim, after a signing ceremony with LG Electronics Sdn Bhd at the Tiffani by i-ZEN show gallery in Mont’Kiara yesterday.

LG will supply 2,200 units of LG ArtCool air-conditioners in a deal valued at US$4 million. The new-age, sleek-designed airconditioners will be installed in all 399 units of Tiffani by i-ZEN condominiums. Also present was T.Y. Ko, the managing director of LG Electronics Sdn Bhd.

Almost 90% of Tiffani by i-ZEN has already been sold and completion is expected by year-end. Meanwhile, Lim said the second phase of Seni Mont’Kiara is expected to be launched in June.
“The first phase of the condominium, comprising 300 units have been sold out and we are now launching the second phase comprising another300 units,” he said. The units are sized from 2,500 to 3,500 sq ft with prices ranging from RM750 psf.

Lim also disclosed that Aseana Properties has entered into a 40:60 joint venture partnership with Malaysian Resources Corporation Bhd to develop a four-star hotel in KL Sentral, details of which are expected to be annouced middle of this year.

He added that the company is also working on several development proposals in Vietnam and is expected to launch an integrated mixed development comprising offices, apartments and a hotel by year-end.

“Vietnam is a very attractive market and we are keen on working with the right joint venture partners there,” said Lim.

By theSun (by Tim Leonard)

Melati moving into property development

KUALA LUMPUR: Having made its name in the construction services industry, Melati Ehsan Holdings Bhd intends to move into property development to diversify its earnings.

“Construction services are currently the group's main contributor. However, we are always on the look-out for ways to enhance our income stream,” managing director Datuk Yap Suan Chee told StarBiz in an interview.

Datuk Yap Suan Chee

Listed on the Bursa Malaysia main board last March, Melati will be developing its sole plot of land in Pandamaran, Klang soon. The 100-acre land was purchased from Bank Negara unit, TPPT Sdn Bhd, for RM32mil cash, Yap said.

The development, which has an estimated gross development value of RM500mil, will comprise about 500 gated residential units, 320 shop lots with 8.97 acres of commercial units and 6.92 acres of industrial units.

Executive director Tan Hong Hing said apart from diversifying its income base, venturing into property development would enable the group to command higher margins.

“We will be able to reap the profit twice. The first being the developer of the project and second, for construction of the property,” he added.

Tan said Melati would continue to accumulate strategic land bank with residential and commercial property development potential.

Yap said the group was currently at the planning stage and had not started developing the land.

To a question, he said he foresaw a slight delay in the project due to the transition of power in the Selangor government but added that it would not be a major problem.

“We will be having meeting with the state government in due course,” Yap said.

Melati's construction division had been growing steadily over the years, even during the financial crisis, because of its ability to complete projects on time and within budget.

Melati's order book now stands at RM1.7bil, which will keep the company busy for three to five years. To sustain growth, it has tendered for projects amounting to over RM1bil.

“We are still aggressively bidding for more contracts and are confident of increasing our order book.

“The bulk of our projects are local, but if the opportunity arises and the projects overseas are commercially viable, we would consider them,” Yap said.

Recently, the group clinched the job for the construction of Carrefour hypermarket for Magnificent Diagraph Sdn Bhd in Kota Damansara, Selangor.

The company, which has one flood mitigation project in hand, has bid for similar jobs in Johor Baru.

On its financial performance, Yap said the company hoped to perform better in the financial year ending Aug 31.For the year ended Aug 31, 2007, Melati posted a net profit of RM27mil on turnover of RM173.4mil.

By The Star - StarBiz - (by Leong Hung Yee)

SunCity in RM380m India condo venture

PROPERTY developer Sunway City Bhd (SunCity) said a joint venture agreement has been sealed with Hyderabad-based MAK Projects Private Ltd to develop a RM380 million condominium project in Hyderabad, India.

SunCity will initially invest RM4 million to secure the project and subsequently increase it to RM17 million for a 60 per cent stake in the 5.67ha project.

The project will feature 1,500 condominium units that will be completed in several phases over the next three years.

The average size of the units is about 1,500 sq ft with an average selling price of RM208 per sq ft.

Located 8km away from the newly opened Rajiv Gandhi International Airport and 21km away from the Hyderabad city centre, Phase One of the development is targeted for launching by early 2009.

This is SunCity's second investment in India; the first being Sunway Opus Grand Residency which was signed in July 2007, another high-end condominium development on a 14.18ha located in the suburb of Ameenpur, about 15km northwest of Hyderabad.

SunCity said it is on target to launch the RM1.5 billion Sunway Opus Grand Residency next month.

SunCity also hopes to expand to other countries in the region such as China and Vietnam. Currently, it has presence in Australia, Cambodia and India.

By New Straits Times

SP Setia shares go on roller-coaster ride

SHARES of SP Setia Bhd, Malaysia's most valuable developer, went on a roller-coaster ride yesterday after the firm gave investors mixed signals on potential sales.

The company initially told analysts that it is lowering its year-end sales target by 20 per cent to RM1.5 billion from RM1.8 billion.

Based on the new guidance and other factors, analysts lowered their target price on the stock. The stock fell 3.5 per cent or 12 sen to RM3.32 in the morning session yesterday.

The company then issued a statement to Bursa Malaysia during lunch, saying it is confident to hit a year-end target of RM1.8 billion.

SP Setia shares rebounded in the afternoon, erasing all of the morning's loss to gain five per cent or 18 sen, to close at RM3.62.



The company explained that its lower target was based on a "worst case scenario". This is if local councils in Selangor and Penang, states that have new governments, are formed late.

"Given the company's October 31 year-end, a delay of one to two months would have resulted in a timing difference of sales being made in FY2009 instead of FY2008," it said.

SP Setia said sales for the first four months of fiscal 2008 have been strong.

It more than doubled to RM646 million, compared with the same period a year ago.

"In view of the recent developments pertaining to the successful transition of state governments in Penang and Selangor and the pro-business stance which have been expressed by both chief ministers in interviews published in the press yesterday and today, the company is confident that its original sales target of RM1.8 billion can still be met," SP Setia said.

Although 14 out of 23 analysts maintained their "buy" recommendation on SP Setia, most of them revised SP Setia's target price and earnings forecast downwards.

JP Morgan, CIMB and Kenanga Investment Bank reduced SP Setia's target price by as much as 36 per cent.

By New Straits Times (by Goh Thean Eu)

AP Land makes foray into Japanese real estate

PETALING JAYA: Asia Pacific Land Bhd (AP Land) is making its foray into the Japanese real estate by acquiring a piece of land in Hokkaido, measuring 3,082 sq m, for RM18.9mil to build apartments.

Based on the price, the freehold land is estimated to cost RM6,132 per sq m, it told Bursa Malaysia yesterday.

The acquisition from Caymans Island-registered Tancho Investments will enable it to broaden its income into the property development sector in Japan.

“The venture is expected to enhance not only the group’s future earnings but also its profile as a regional players in property development,” it said.

AP Land had proposed to use part of the disposal proceeds of RM680mil from the disposal of City Square Centre as well as from borowings to finance the deal.

By The Star

SP Setia expects to meet original sales target

PETALING JAYA: SP Setia Bhd is confident of achieving its original sales target of RM1.8bil for the year ending Oct 31 after it gets a clearer picture of the stance of the new state administrations in Selangor and Penang towards business.

In a statement made available to StarBiz, group chief executive officer Tan Sri Liew Kee Sin said the property developer “should not face any problems adjusting to the new administration, which stated their commitment to uphold good governance, transparency and equal opportunity”.

The statement came on the heels of a downward revision by SP Setia last week of its sales target to RM1.5bil from RM1.8bil due to worries over administrative uncertainties after the opposition took control of Selangor and Penang, where most of the group's projects are located.

Liew said the revision of the group's sales target last week was made on the assumption of a worst-case scenario in the event of a one- to two-month delay in the establishment of local councils.

“Such a delay could result in a timing difference in sales being made in FY09 instead of FY08,” he said in the statement.

Knowing the authorities' commitment to a pro-business policy, Liew said the concerns could be excessive.

“We are pleasantly surprised at the speed with which the newly established Penang and Selangor governments have gotten down to business,” he added.

SP Setia's share price rebounded sharply in the final trading hour yesterday. The stock put on 18 sen, or 5.2%, to RM3.62 after sliding to a 14-month low of RM3.12.

The property group's shares succumbed to heavy selling last week after the group cut its sales target. The drastic fall in share price from the RM5 level wiped out roughly RM1.5bil of its market capitalisation in the past one week.

The cautious macro-economic outlook due to the subprime loan crisis in the United States also weighed on the property stock.

Citi Investment Research, which has downgraded SP Setia shares to a “sell'', cited concerns over the macro economy and higher inflation risks this year, which could reduce consumers' disposable income.

“We expect private consumption (growth) to slow to 8% this year from 11.7% last year. As a result, potential buyers, especially in the mass market segment, could adopt a wait-and-see attitude,” Citi said in a research note on Monday.

Liew, however, believes that the outlook for the property sector is “positive”, adding that consumer sentiment remained “supportive of property purchases''.

He said SP Setia had recorded sales revenue of RM646mil for the first four months in FY08 compared with RM290mil in the previous corresponding period.

By The Star (by Kathy Fong)