FINANCE MINISTRY SEES AID MEASURES HELPING TO ACHIEVE GOOD DATA

The Ministry of Finance Malaysia believes the implementation of various financial aid and support measures for the people and close monitoring can help the country to achieve good data, hence helping Malaysia towards achieving its Gross Domestic Product (GDP) target of between 6% and 7.5% in 2021. Among the various factors that will contribute to the projected GDP achievement is the current oil price of circa US$60 per barrel, high-tech and value-added investments with high multiplier effects, namely manufacturing activities focusing on electrical and electronics, medical equipment, aerospace and biotechnology. Other economic drivers that will contribute to growth in 2021 include ship maintenance and maritime transportation; e-commerce; logistics; educational technology; agriculture and petrochemicals.

(The Edge Markets, 21/04/2021)


INVESTMENT POLICY REFORMS TO BE ROOTED IN NIA

The Cabinet has approved the National Investment Aspirations (NIA), a forward-looking growth framework that will outline the basis for Malaysia’s investment policy reforms. The NIA would be central to revitalise Malaysia’s investment climate, attract high-quality investments into the country and create high-income jobs, particularly post-Covid.

(The Edge Markets, 21/04/2021 & The Star, 22/04/2021)


UNEMPLOYMENT HIKE DUE TO COVID-19

According to the Department of Statistics Malaysia, Malaysia’s uneven labour force situation in 2020 was caused by the health crisis and economic consequences, forcing the unemployment rate to edge up to 4.5%, compared with 3.3% in 2019. Throughout 2020, the global labour market was in uncertainty, resulting in job losses and reduction in working hours and source of income, following the Covid-19 pandemic and strict containment measures adopted by many countries.

(The Edge Markets, 22/04/2021 & The Sun, 23/04/2021)


MINERAL INDUSTRY SET TO CONTRIBUTE RM29 BILLION TO GDP

The Malaysian Government is targeting the mineral industry’s contribution to the country’s Gross Domestic Product (GDP) to increase to RM29 billion by 2030. The mineral industry’s contribution to the 2019 GDP was RM9.9 billion.

(The Edge Markets, 22/04/2021; The Star & The Sun, 23/04/2021)


BUSINESS CONDITIONS INDEX UP ON ECONOMIC RECOVERY

Malaysia’s Business Conditions Index (BCI) increased by 28.8 points year on year to 111.8 points in 1Q21, indicating that manufacturers had regained their confidence since the outbreak of the Covid-19 in 1Q20. According to the Malaysian Institute of Economic Research, the expansionary mode was also partly driven by the recovery in the domestic and global economy, the launch of the National Covid-19 Immunisation Programme and the provision of the economic stimulus packages to manufacturers.

(The Star & NST, 23/04/2021)


RM6 BILLION HOUSING PROJECT TO USE KENAF BUILDING SYSTEM

A long-term housing project worth RM6 billion using the Kenaf Building System (KBS) will be implemented under the Malaysian Government’s effort to introduce the technology nationwide. The KBS technology has the potential to speed up the construction period and even save energy consumption and construction costs between 20% and 30% compared to conventional methods.

(The Edge Markets, 19/04/2021; The Sun & The Star, 20/04/2021)


GOVERNMENT EXTENDS CBN LEASE FOR 60 YEARS

The Malaysian Government has agreed to extend the land lease for Sekolah Menengah Kebangsaan Convent Bukit Nanas (CBN) by 60 years on its expiry on 6th September 2021. Earlier, the Federal Territories Director of Land and Mines Office assured that the iconic school will not be demolished when the school’s land lease expires. The land would instead be reverted to the government to enable it to be gazetted as a fully aided school.

(The Edge Markets, 22/04/2021; NST, The Sun & The Star, 23/04/2021)


BOUSTEAD PROPERTIES DISPOSES 6.59-ACRE LAND TO SUNWAY

Boustead Properties Bhd has disposed of 6.59 acres of prime freehold land on Jalan Cochrane, Kuala Lumpur to Sunway Bhd for RM233.4 million. According to Sunway, the land was for a mixed development comprising serviced apartments and retail units.

(The Edge Markets, 19/04/2021; NST & The Star, 20/04/2021)


HIL INDUSTRIES IN JOINT VENTURES TO UNDERTAKE RESIDENTIAL DEVELOPMENT

HIL Industries Bhd has entered into four conditional joint venture agreements with Unik Sejati Sdn Bhd, Pembinaan Kesentosaan Sdn Bhd and Amverton Carey Golf & Island Resort Sdn Bhd to undertake residential development on five parcels of land, involving a total of 102.8 acres in Sungai Buloh, Klang and Jugra in Selangor.

(The Edge Markets, 20/04/2021 & The Star, 21/04/2021)


SAND NISKO ACQUIRES LAND IN MELAKA

Sand Nisko Capital Bhd has proposed to acquire 25.88 acres of freehold land in Alor Gajah, Melaka, for RM5.83 million. The group proposed to undertake a mixed residential development on the said land.

(NST & The Star, 22/04/2021)


BOUSTEAD PROPERTIES UNVEILS NEW GEM IN SEMENYIH

Boustead Properties Bhd launched the first phase of its new township, Mutiara Hills in Semenyih, Selangor on 10th April 2021. Occupying a 14.89-acre tract, “Balau Homes” comprises 230 double-storey terraced houses. With an indicative price of RM500,000 and below, the freehold project will have built-ups of 1,512 sq. ft., 1,677 sq. ft. and 1,743 sq. ft. on a land area of 20 ft. by 70 ft.

(The Edge Markets, 18/04/2021)


PICTURESQUE LIVING AMIDST LAKES AND PARKS IN A PRIME LOCATION

“Ellia”, the latest development by Worldwide Holdings Bhd is secured within a guarded neighbourhood. Scheduled for completion by February 2023, the 6.71 acres development comprises 92 double-storey terraced houses with built-ups from 1,438 sq. ft. Prices vary from RM518,000 to RM679,000, there will be five exclusive corner units with a land area between 2,486 sq. ft. and 3,067 sq. ft.

(StarProperty, 19/04/2021)


KWASA LAND IN RESIDENTIAL TIE-UP WITH YTL CORP

Kwasa Land, a wholly-owned subsidiary of the Employees Provident Fund Board and master developer of the Kwasa Damansara township, has tied up with YTL Corp Bhd to develop a residential project worth RM200 million. The 12.7-acre development, which is identified as plot R2-1 in the “Kwasa Damansara” township, will entail the construction of 1.5-storey townhouses and three-storey landed terrace houses enclaved within a lush green space that includes a 1.28-acre central park and 2.71-acre linear park. The built-up area ranged between 1,200 sq. ft. and 2,300 sq. ft.

(The Edge Markets, 22/04/2021 & The Star, 23/04/2021)


TUJU SETIA SECURES RM143.5 MILLION JOB FROM GLOMAC

Tuju Setia Bhd has secured a RM143.5 million contract from Glomac Bhd to build a high-rise development in Petaling Jaya, Selangor. The company would be the main contractor to provide construction works for “121 Residences” which comprises two tower blocks of 28-storey SOHO and serviced apartments, related facilities and a multi-storey car park. The contract is for 26 months, with construction works to commence in May 2021.

(The Sun & The Star, 20/04/2021)


INTAN BINA SECURES RM106 MILLION JOB

Intan Bina Group Bhd has secured a RM106 million contract from Vibrantline Sdn Bhd for the construction of serviced apartments in Klang. The contract is for Phase 2 of the project, which includes the main building works for the project. Specifically, the project entails a business complex that will house 25 shops, a seven-floor podium car park, 416 units of serviced apartments and a pedestrian bridge for the development, among others. Construction will take 28 months, starting from 26th April 2021.

(The Edge Markets, 20/04/2021 & The Star, 21/04/2021)


MENARA GREAT EASTERN 2 TARGETS MID-MARKET

Great Eastern Life Malaysia’s Menara Great Eastern 2 (MGE2), which is in its advanced stage of completion, is poised to attract potential tenants and investors given its attractive location, competitive rental rates at RM4.50 per sq. ft. and emphasis on health and safety. Located along Jalan Ampang, MGE2 is a 19-storey Grade A office building with a net lettable area of 211,698 sq. ft. Targeted to receive its certificate of completion and compliance by the end of 2Q21, the green building index-certified MGE2 was redeveloped with an emphasis on environmental sustainability and safety.

(The Star, 22/04/2021)


HUGE POTENTIAL FOR MALAYSIA’S DATA CENTRE REGION

Microsoft Corp’s first data centre region in Malaysia possesses huge potential for not only the domestic but also the global market. The data centre region, which would be developed under the Bersama Malaysia Initiative, would be connected to 60 data centre regions around the world. The new data centre region will be located in the greater Kuala Lumpur area and the company intends to extend the data centre in Johor as part of their regional data centre.

(The Edge Markets, 19/04/2021; NST, The Sun & The Star, 20/04/2021)


CUBE EXPANDS REACH IN MALAYSIA’S STORAGE SPACE MARKET

Cube Self Storage Sdn Bhd (UK-based chain), the climate-controlled storage space specialist, has ventured into Malaysia in 2018 and it has noticed other local and international players have also started offering storage space solutions in the Klang Valley, an indication of an upward trend for the industry. The company’s plans include a new concept in co-working, combining the benefits of self-storage to create more affordable and flexible workspace options for their customers. The company has set its eyes on e-commerce startups that need a small climate-controlled warehouse, alongside flexible working solutions for their team. Meanwhile, Cube’s co-working space is in the final stages of completion.

(The Sun, 23/04/2021)


STRONG INTEREST IN SECOND & THIRD-TIER GROCERY OPERATORS

At least two deals involving grocers in secondary towns have been executed with one deal in 2020 involving Pahang-based TF Value Mart and another in April 2021 involving Johor-based Songmart. Retail Group Malaysia believes that stores in Sarawak and Sabah could be the next targets for foreign funds, whereby established chains in Sarawak include Everrise, H&L, Choice and Emart, whereas, in Sabah, there are Servey supermarkets and mini markets.

(The Edge Property, 17/04/2021)


SUNWAY MALLS SEES TRAFFIC AND SALES RECOVERY IN MARCH 2021

Despite the challenges from the Covid-19 pandemic, Sunway Malls have seen improved traffic and sales since the easing of restrictions from the Lunar New Year period. According to the latest March 2021 figures, both traffic and sales had achieved 90% and 95% normalcy respectively in comparison to the same period in March 2019.

(The Edge Property, 19/04/2021)


MAGNA PRIMA TO DISPOSE OF COMMERCIAL PROPERTY IN KUALA LUMPUR

Magna Prima Bhd is disposing of a four-storey commercial building in Kuala Lumpur to Cowboy (KL) Sdn Bhd for RM56 million. The property, located in Mukim Batu has its lower ground floor designated for a supermarket.

(The Edge Markets, 19/04/2021 & The Star, 20/04/2021)


CHIN HIN, 10XCEOS TO BUILD SME HUB

Chin Hin Property Bhd has partnered with 10XCEOs Sdn Bhd to develop “10X Valley”, a RM5 million business and life transformation hub. Scheduled for completion in 3Q23, the hub comprises 660 units of office spaces, retail shops, duplex lofts and serviced apartments.

(The Star, 19/04/2021)


DUTCH LADY TO BUILD NEW FACTORY

Dutch Lady Milk Industries Bhd has contracted Royal HaskoningDHV to develop its new environmental-friendly and innovative production facility in Malaysia. The company’s scope will include design, procurement, construction management, commissioning and start-up of the facility and assistance in the transfer from the existing factory to the new facilities at Bandar Enstek in Negri Sembilan.

(NST, 20/04/2021)


HLT ACQUIRES LAND TO EXPAND GLOVE OUTPUT

HLT Global Bhd has proposed to acquire a 2.55-acre leasehold industrial land, together with an office-cum-factory in Kuala Langat, Selangor, from Sri Taming Sdn Bhd for RM16.25 million.

(The Edge Markets, 19/04/2021 & The Star, 20/04/2021)


PKNM-KENTEAM JV TO CREATE 7,000 JOBS IN JASIN

The development of the nitrile butadiene latex processing plant project for the production of gloves costing RM1.5 billion in Lipat Kajang, Jasin, has the potential to create more than 7,000 job opportunities for residents. The joint-venture (JV) project between Perbadanan Kemajuan Negeri Melaka (PKNM) and Kenteam Sdn Bhd would commence in May 2021 and expected to be completed by 2022. PKNM disposed of the land measuring 94.89-acre on Plot 14, Elkay Industrial Area, Lipat Kajang in Jasin, to Kenteam at RM10.7 million.

(The Sun, 21/04/2021)


PROTON INVESTS RM200 MILLION IN NEW FACILITY

Proton Holdings Bhd has spent over RM200 million for the construction of its new stamping facility in its Tanjung Malim plant, which is expected to be completed by 3Q22. The facility would house a new Superlarge press machine to further enhance the company’s stamping abilities.

(The Star, 23/04/2021)


MAH SING TO BEGIN GLOVE PRODUCTION IN MAY 2021

Mah Sing Group Bhd has completed the testing and commissioning of its first two glove production lines in its first glove factory in Kapar, Klang and is expected to start operation in May 2021.

(The Sun, The Star & NST, 23/04/2021)


MINISTRY, ASSOCIATIONS COOPERATE TO DRAW UP PLANS TO REVIVE TOURISM

The Ministry of Tourism, Arts and Culture Malaysia is collaborating with tourism associations in the country to draw up and implement plans to revive the local tourism sector in the wake of the Covid-19 pandemic. This cooperation was one of the short-term plans under the National Tourism Policy 2020-2030 and was important to ensure the sustainability of the national tourism industry.

(The Edge Markets, 22/04/2021)


SELANGOR AGRO PARK PROJECT FAILED TO SUBMIT EIA REPORT

The Selangor State Government-owned Selangor Smart Agro Park project appears to have hit a snag due to possible non-compliance of requirements. According to the Department of Environment, it has not received any Environmental Impact Assessment (EIA) report for the project located at Changkat Menteri, Sabak Bernam. The project will be the State’s food security hub and platform once completed.

(The Star, 17/04/2021)


MGRC TO DEVELOP AND PRODUCE PRIVATE LABEL PRODUCTS FOR EOSTRE

Malaysian Genomics Resource Centre Bhd (MGRC) has entered into a collaboration for RM7 million to develop and produce private label products for wellness products company Eostre Bhd. The design and fit-out of its cell laboratory in Kota Damansara is expected to be completed in May 2021.

(NST, 17/04/2021)


MAHB TO TRANSFORM SUBANG AIRPORT INTO REGIONAL HUB

Malaysia Airports Holdings Bhd (MAHB) is scrutinizing a total investment of RM1.3 billion for Subang Airport’s regeneration development that will transform it from an airport operator to an ecosystem master developer and aviation hub in the Asia Pacific. Expected to be completed by the end of 2025, the five-year comprehensive master plan will be mainly for lettable building facilities such as hangar, factories, aerospace manufacturing plants and maintenance, repair and operations (MRO). Currently, MAHB has developed circa 60 acres, representing 25% of the total 250 acres and secured a 40%-50% take-up rate within the entire development for both airside and landside, with the new facilities being able to accommodate 89 single-aisle aircraft and helicopters on a dedicated apron and common use apron. On progress, the initial development for the master plan will commence in early 2022 to establish two MRO facilities for helicopters, light aircraft and business jets, to be operationalised by 2023.

(The Edge Markets, 19/04/2021; The Sun, NST & The Star, 20/04/2021)


KEDAH RUBBER CITY ATTRACTED OVER RM2.2 BILLION INVESTMENTS

Kedah Rubber City (KRC) has attracted over RM2.2 billion committed investments in advanced latex product development, production of feedstock, manufacturing, storage warehousing and logistics despite the ongoing Covid-19 pandemic. Spanning nearly 1,250 acres, KRC is now ready to accept investors following the completion of Phase 1 basic infrastructure works. A logistics hub complete with a depot and warehousing facility will be established in KRC to complement the storage tank farm. Committed investors are expected to commence construction of their facilities by 4Q21 and commence operations by 2H23.

(The Edge Markets, 19/04/2021; The Sun & The Star, 20/04/2021)


JONES LANG WOOTTON: PROPERTY MARKET FAIRLY SUSTAINABLE

The Malaysian property market has been fairly sustainable as it underwent a consolidation mode despite the Covid-19 pandemic in the past 12 months. Jones Lang Wootton (JLW) deputy managing director, Prem Kumar said the pandemic is a blessing in disguise as it brought background issues of the market to the forefront to be given more focus by developers and the government.

One of the issues was the oversupply in the office segment. Now developers on the commercial side have taken few steps to back and stop any new office development at this juncture and focus on other types of products that can sell and be sustainable and not becoming a white elephant. Affordable housing is also given more attention as authorities and developers reassessed and refocused on what is required to ensure both consumers and developers could reach a balance in terms of product offering and expectations in the future. Although the National Property Information Centre reported a decline in the overall property sector in 2020, the market was already in a downtrend since 2017/2018 due to those prevailing issues. However, the reduction in the number of transactions does not show any significant indicators or having a huge potential of collapse. Covid-19 itself was not the main reason for the softer property market but more to the supply and demand factors and the market concentration that led to it. Covid-19 has opened the eyes of many stakeholders to how the market can be versatile and be sustainable. As the property market is readjusting itself, this will also lead to greater stability for the real estate market in the future.

(NST & The Star, 21/04/2021)


FACELIFT FOR JOHOR BARU AUTOHAUS

Cycle & Carriage Bintang Bhd, together with Mercedes-Benz Malaysia have unveiled the newly-upgraded Johor Baru Autohaus. The Johor Baru Autohaus is the largest in the southern region, with a built-up space of 142,000 sq. ft. over a land area of 224,000 sq. ft.

(NST, 23/04/2021)


INVICTUS INTERNATIONAL SCHOOL COMPLEMENTS PLACEMAKING IN HORIZON HILLS

Horizon Hills Development Sdn Bhd has collaborated with CES Horizon Sdn Bhd for the establishment of a built-to-suit school within the Horizon Hills township in Iskandar Puteri, Johor Bahru. The K-12 international school will be operated by CES Horizon under the “Invictus” international school brand and will offer kindergarten, primary and secondary-level instruction (up to year 12). The campus will occupy 4.14 acres in “Horizon Hills”, with a gross floor area of approximately 203,875 sq. ft. The construction of the first phase of the campus is expected to complete in 2022 and is set to open its doors in 2023, with a capacity of up to 1,500 students in phases.

(The Edge Property, 20/04/2021)


LIGHT CITY 1ST PHASE TO COMPLETE BY 2024

IJM Land Bhd is expected to complete the first phase of Light City, which represents the commercial component, located next to the Penang Bridge by 2024. Construction work for the first phase had commenced in October 2020 with piling works now 100% completed. The developer will commence piling works for the “Mezzo”, a sea-fronting condominium scheme comprising 456 high rise units priced from RM900,000, in June 2021. Since the soft launch in February 2021, the developer has already sold 25% of the “Mezzo” residence. The first phase will have a mall with a net lettable area of 680,000 sq. ft., the Penang Waterfront Convention Centre, a four-star hotel with 500 rooms, offices and the “Mezzo” condominium. The second phase will comprise a 340,000 sq. ft. mall, a five-star hotel with 250 rooms, offices and the “Essence” condominium.

(The Star, 19/04/2021)


DYNACIATE TO VENTURE INTO WAREHOUSING

Dynaciate Group Bhd plans to venture into industrial and commercial warehousing, which is noted to be one of the top-performing sectors for 2021. Subsequently, the company has come to a mutual agreement with MGudang Sdn Bhd to terminate a conditional sales and purchase agreement involving the disposal of two parcels of contiguous freehold land together with a detached factory situated in Penang.

(The Star, 19/04/2021)


THREE COMPANIES TIE UP TO DEVELOP SKY TRAIN PROJECT IN SABAH

Guancai (M) Sdn Bhd, China State Construction Engineering (M) Sdn Bhd and Vizione Development Sdn Bhd are keen to collaborate to develop the Sky Train project in Sabah to improve the public transport system in the State. Construction of the Sky Train would be a new attraction for the tourism industry in Sabah and at the same time, will attract more investors to the State.

(The Edge Property & The Star, 17/04/2021)


CHINA INVESTOR SHOWING INTEREST ON TANJUNG ARU DEVELOPMENT

The controversial “Tanjung Aru Eco Development”, Kota Kinabalu, Sabah might be getting a new Chinese investor. Mooted since 2013, the mixed development was to comprise beachfront resorts, a golf course and residential components. However, the project did not commence as it has received a great public objection, stemming from fear of losing public spaces and also concerns on environmental preservation.

(The Edge Property, 19/04/2021)


SABAH SECURES RM235 MILLION SUGAR REFINERY, AQUACULTURE INVESTMENTS

Sawit Kinabalu Group has signed a RM235 million agreement with Borneo Lestari Sdn Bhd to collaborate in a barramundi breeding aquaculture project on 35 acres in Langkon, Kota Marudu and Admuda Sugar Sdn Bhd to set up Sabah’s first sugar refinery plant on 79 acres of land in Kimanis, Papar.

(The Edge Markets, 19/04/2021)


NEW AIRPORT IN SMALL TOWN

Plans are afoot to build a short take-off and landing airport (STOLport) in Spaoh, one of the small towns in Betong. The Sarawak State Government has recently handed over the construction agreement document to the successful tenderer. Construction of the RM108.1 million airport, which will be a game-changer in strengthening Betong’s agriculture industry, is expected to be completed in 30 months.

(The Star, 20/04/2021)

 


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