12MP TARGETS ANNUAL GDP GROWTH OF 4.5%-5.5%; GNI OF RM57,882 BY END OF 2025

The 12th Malaysia Plan (12MP), a roadmap for the country’s development from 2021 to 2025, has set a target annual Gross Domestic Product (GDP) growth of between 4.5% and 5.5% for the five-year period. Under the 11MP (2016-2020) the country had achieved GDP growth of 2.7% per year. The ‘transformational’ 12MP also set a Gross National Income (GNI) target of RM57,882 or US$14,842 by the end of 2025. Under the 11MP, Malaysia had achieved GNI of RM42,503 by the end of 2020.

(The Edge, NST, The Star & The Sun, 27/09/2021)


MALAYSIA’S AUGUST EXPORTS UP 18.4% ON ANNUAL BASIS

Malaysia’s export performance saw a 12th straight month of year on year expansion, growing 18.4% to RM95.6 billion in August 2021, supported by domestic exports and re-exports. According to the Department of Statistics Malaysia, domestic exports stood at RM79.1 billion, thereby contributing 82.7% to total exports (18.7% expansion) while re-exports were valued at RM16.5 billion (16.7% year on year growth). The rise in exports was attributable mainly to higher shipments to Singapore (+RM2.4 billion), Japan (+RM1.8 billion), the US (+RM1.2 billion), Indonesia (+RM1.1 billion), Hong Kong (+RM1.0 billion), Australia (+RM825.8 million) and China (+RM814.8 million).

(The Sun, 29/09/2021)


WORLD BANK CUTS GROWTH FORECAST FOR MALAYSIA TO 3.3% FOR 2021

The World Bank has made a downward revision to its economic growth projection for Malaysia to 3.3% in 2021, from an earlier estimate of 4.5% in June 2021. World Bank had previously predicted a growth forecast of 6% but downgraded it to 4.5% to reflect a slower pathway towards suppressing the Covid-19 pandemic and a slower than expected vaccine rollout.

(The Edge, The Sun, NST & The Star, 29/09/2021)


MRCB GETS RM2.3 MILLION FINAL AWARD ON COSTS

Malaysian Resources Corp Bhd (MRCB) has received the final award on costs from the Asian International Arbitration Centre (AIAC), which mediated in the MRCB-George Kent (M) Bhd (MRCBGK) dispute involving both companies’ shareholders’ agreement dated 8th June 2015. In the final award on costs, the arbitrator has ruled that George Kent (Malaysia) Bhd will pay MRCB RM2.08 million, plus S$70,458.50 (approximately RM217,935). The shareholders’ agreement relates to MRCBGK, a 50:50 Joint Venture between the two listed companies, which is the project delivery partner for the RM11.4 billion Light Rail Transit 3 (LRT 3) project linking Bandar Utama to Klang, Selangor.

(The Edge, 27/09/2021)


AIMING FOR REDUCED CONGESTION

Traffic congestion on MRR2 (Kuala Lumpur Middle Ring Road 2) will soon end upon completion of the Sungai Besi-Ulu Kelang Elevated (SUKE) Highway, which is expected to be operational by 1Q22. SUKE highway is being constructed as an effective traffic dispersal system to cope with current mobility problems and is expected to reduce congestion on MRR2 by 24%, Jalan Ampang by 36% and Jalan Loke Yew by 12% during peak hours.

The 24.4km highway is built by Projek Lintasan Sungai Besi Ulu Klang Sdn Bhd, a wholly owned company of Projek Lintasan Kota Holdings Sdn Bhd (Prolintas), with an estimated cost of RM10 billion. SUKE will connect with the Shah Alam Expressway (Kesas), Kuala Lumpur-Seremban Expressway, Sungai Besi Expressway, Cheras-Kajang Expressway, MRR2, Ampang-Kuala Lumpur Elevated Expressway (Akleh) and Duta-Ulu Kelang Expressway (DUKE). The two-way SUKE Highway starts from the Sri Petaling junction and goes up to Ulu Kelang. The project, which commenced in 2016, has four construction packages which include CA1, CA2, CA3 and CA4. CA1 is the beginning of SUKE which connects Kesas or Bukit  Jalil National Sports Complex via the Kuala Lumpur-Seremban Highway and Besraya towards Ulu Kelang. It will improve accessibility and link northbound traffic through Kuala Lumpur city centre without the need to face congestion on the MRR2. CA2 is an alignment with a multi-storey structure along the MRR2. Meanwhile, CA3 on Jalan Len Seng (Zone 2) offers new scenery with attractive sidewalks and street lights. CA4 is set to be the tallest bridge in the Klang Valley standing at 57m above ground level and crosses the MRT Line 1 and Grand Saga Highway.

(The Star, 28/09/2021)


WIDAD SECURES RM244.3 MILLION JOB FOR KOTA BARU-KUALA KRAI EXPRESSWAY PROJECT

Widad Group Bhd’s wholly owned subsidiary, Widad Builders Sdn Bhd (WBSB), has accepted a Letter of Award (LoA) from the Public Works Department (JKR) for a RM244.3 million project to build Package 3C of the Kota Baru–Kuala Krai Expressway (KBKK) in Kelantan. Works will commence on 27th December 2021 and is slated to be completed in 4Q24.

(The Edge, NST, The Star & The Sun, 30/09/2021)


CYBERVIEW OBTAINS DEVELOPMENT RIGHTS TO CYBERJAYA FLAGSHIP ZONE

Tech hub developer, Cyberview Sdn Bhd (Cyberview), has taken over the development rights of the 453 acre Cyberjaya Flagship Zone (CFZ), previously held by Setia Haruman Sdn Bhd. The exercise was in accordance with the Government’s mandate for Cyberview to lead Cyberjaya’s development. The move will enable Cyberview to focus on the revitalisation of Cyberjaya as part of its new master plan to position Cyberjaya as the main catalyst in driving technology and innovation for Malaysia. Cyberview will focus on the development of technology clusters within the Cyberjaya ecosystem, including smart mobility, smart healthcare and digital creativity which supports the national agenda in driving the digital economy forward.

(The Edge, 30/09/2021)


SDB PLANNING TO LAUNCH TWO NEW KLANG VALLEY PROJECTS

Selangor Dredging Bhd (SDB) has announced plans to launch two new Klang Valley developments in the near future as the company believes the domestic property market will gradually recover. SDB’s projects from other developers stem from the company’s commitment and proven track record of delivering quality premium projects which include high-rise and landed developments.

(NST, 30/09/2021)


OSK PROPERTY UNVEILS MIRA AT SHOREA PARK SERVICED APARTMENT PROJECT IN PUCHONG

OSK Property has unveiled the first phase of Shorea Park in Puchong on 25th September 2021. Dubbed MIRA at Shorea Park, the serviced apartment project is the first phase of the 27.77 acre Shorea Park integrated development which is located near Bandar Bukit Puchong 2 and Bandar Puteri Puchong. Sited on 4.98 acres of freehold land, MIRA at Shorea Park comprises 908 units with built-up areas ranging from 550 sq. ft. to 1,011 sq. ft. and prices starting from RM250,000. The gated and guarded residence will feature water-inspired facilities and co-working spaces.

(The Edge, 27/09/2021)


MR DIY TO OPEN 35 MORE STORES ACROSS SEVEN STATES IN OCTOBER 2021

MR DIY Group (M) Bhd (MR DIY) will be opening 35 new stores in seven States, bringing the total number of stores across the country to 830. The new stores comprise 14 MR DIY, 3 MR DIY Express, 6 MR TOY and 12 MR DOLLAR stores.

(The Edge & The Sun, 01/10/2021)


KAMDAR CLOSES SMALLER OUTLET NEAR JALAN TAR HEADQUARTERS

Kamdar Group (M) Bhd has closed its Jalan Tuanku Abdul Rahman outlet in Kuala Lumpur with effect from 30th September 2021 to consolidate the business of two branches situated within close proximity. The family brand now has 31 branches in the Klang Valley, Penang, Kedah, Perak, Johor, Melaka, Pahang, Terengganu, Kelantan, Sabah and Sarawak.

(The Edge, 01/10/2021)


SRI SELTRA LAUNCHES TWO SKYSCRAPERS IN KL

Sri Seltra Sdn Bhd has launched two skyscraper projects known as Alfa Bangsar and Bukit Bintang Gateway with RM2 billion in gross development value. The launch was executed within a six month period in Kuala Lumpur. Sri Seltra has skewed its portfolio towards township development, landed and condominium projects. On the other hand, Alfa Bangsar is a 42-storey mixed development tower while the Bukit Bintang Gateway project will be the single highest complex (51-storey) with hotel, serviced apartments and commercial podium along Bintang Walk.

(The Sun, 01/10/2021)


TANCO IS STEPPING UP ITS GAME IN TERMS OF REAL ESTATE DEVELOPMENT AND LAND RECLAMATION

Tanco Holdings Bhd is upping the ante in terms of property development and construction to boost its performance. The company is expected to commence construction on a boutique hotel in Pahang in 2H21. The 20-storey hotel known as Kuantan Hotel Suites has 365 rooms and suites fronting Beserah beach, which is just 15 minutes from Kuantan. Its current project is Splash Park in Port Dickson, Negeri Sembilan which is a water theme park, hotel and serviced apartment project in Dickson Bay, which in turn is a 160-hectare sea-fronting integrated resort development located along Jalan Pantai in Mukim Pasir Panjang. Dickson Bay has an estimated total gross development value of RM13.4 billion and is expected to be developed in various phases over 10 years.

It will be the largest integrated resort in Port Dickson with several themed attractions including an 18-hole golf course, STEM EduPark, wellness zone, spa village, hotels and serviced suites, retirement village, retail, and entertainment facilities. Tanco has received a Letter of Award (LoA) for the proposed reclamation of land in Melaka. The LoA was awarded by Onine Alliance (M) Sdn Bhd (OAMSB) to Tanco’s indirect wholly owned subsidiary Tanco Builders Sdn Bhd (TBSB). The land, measuring a total of 120 acres is located at Mukim Tanjung Kling, Daerah Melaka Tengah, which is ancillary to the operation of  Tanjung Bruas port,  a joint venture between OAMSB and Kumpulan Melaka Bhd (KMB). Tanco noted that the contract sum for the works to be undertaken by TBSB is RM99.47 million and the terms will be set out by the Melaka State Government. Phase 1 is expected to be completed within two years from the project commencement date, with the entire project expected to be completed in three years.

(NST, 27/09/2021)


WCT INTENDS TO RETAIN ITS MALLS AND HOTELS AND IMPROVE PERFORMANCE

WCT Holdings Bhd will retain all its assets including the group’s hotels and retail malls, as there are currently no plans to sell any of the properties. WCT Malls Management, a wholly owned subsidiary of WCT, is constantly revising its asset strategy to bring in new stores, new concepts, and new experiences. Paradigm Mall Petaling Jaya, Paradigm Mall Johor Baru, Bukit Tinggi Shopping Centre in Klang, gateway@klia2 in Sepang, and Skypark Terminal (formerly Terminal 3) at the Sultan Abdul Aziz Shah Airport, are among WCT’s malls. WCT also owns the New World Petaling Jaya Hotel and the Première Hotel in Klang.

Paradigm Mall Petaling Jaya and New World Petaling Jaya Hotel form part of the RM1.8 billion Paradigm integrated development in Kelana Jaya. The Ascent corporate office tower is the other component of this development. Paradigm Mall Petaling Jaya is currently 97% occupied, whereby new tenants include Pop Meals, Nyonya Cendol, Home World, Empire Sushi, Realme, Vivo, Case, Original Classic Sneakers, and Melaka ABC. WCT has no intentions to sell or convert the hotel rooms at the New World Petaling Jaya Hotel into SoHo (small office, home office) units, as the hotel will continue to function as a five-star establishment. New World Petaling Jaya Hotel, jointly owned by WCT and the Employees Provident Fund (EPF) opened in January 2018 and is managed by New World Hotels & Resorts, which is one of the brands under Rosewood Hotels & Resorts and is owned by Hong Kong-based New World Development. During the opening, WCT revealed that the hotel had a RM300 million investment and is one of Petaling Jaya’s tallest hotels with 300 guestrooms. The hotel shares a single 30- story tower with Azure Residences, whereby the hotel rooms are located on the higher floors.

(NST, 27/09/2021)


FIRST-TIME BUYERS CONTINUED TO SUPPORT HOUSE PRICES IN 1H21

First-time buyers of affordable residential property continued to support house prices in Malaysia in 1H21 despite the housing market reversing improvements observed in 2H20, as the effects of the positive response to various homeownership incentives introduced by the Government subsided. According to Bank Negara Malaysia’s Financial Stability Review report for 1H21, sustained demand from first-time house buyers for affordable property is expected to mitigate risks associated with a significant house price correction that could undermine  household balance sheets and increase potential losses for banks. Limited exposure of banks to loans for the purchase of property by household investors further contained such risks. Despite interest rates being at record low levels, existing macro prudential measures have also continued to reinforce prudent lending behaviour among banks, thereby containing a build-up of future risks from a credit-induced residential property price boom such as those experienced in some other jurisdictions.

(The Edge & NST, 30/09/2021)


IMPIANA HOTEL TO DEVELOP IMPIANA CHERATING WITH A GDV OF RM380 MILLION

Regional hospitality operator Impiana Hotel Bhd will commence the development of Impiana Resort & Residences in Cherating (Impiana Cherating), Kuantan, which carries a Gross Development Value (GDV) of RM380 million. Sitting on a 30-acre beach front land, Impiana Cherating will be developed in three phases and is expected to be completed by 2023. The development has seen strong interest as Phase One (with an estimated GDV of RM154.4 million) has been entirely purchased whereby 126 units were purchased by Silver Max Asia Pacific Labuan Ltd while the remaining 18 units and 8 villas were taken up by an unnamed buyer. Additionally, Impiana Hotel will collaborate with Artha Global Sdn Bhd to develop phase two and three of Impiana Cherating, which has an estimated GDV of RM225 million.

(The Edge & NST, 30/09/2021)


GLENMARIE TO BE ‘BETTER POSITIONED’

One of Klang Valley’s more popular golf destinations has changed its name to Glenmarie Hotel & Golf Resort. The move comes amid a change in the management of the property with the golf club and hotel formerly known as Glenmarie Golf & Country Club and Holiday Inn Glenmarie, which will now be combined as one under Tradewinds Corporation Bhd. The golf club has two 18-hole courses that have over the years picked up several awards. The switch in management and rebranding of the golf facilities is seen as a move in the right direction as Tradewinds unveils their latest hotel, a resort-styled sanctuary situated in Shah Alam, Selangor. The hotel has 260 rooms and overlooks several sections of the Garden course, which is considered the main layout at Glenmarie.

(The Star, 28/09/2021)


MELAKA TOURISM SECTOR SET TO OPEN ON 1ST OCTOBER 2021 FOR LOCALS ONLY

The tourism sector in Melaka will be re-opened from 1st Oct 2021, following Melaka’s transition to Phase Three of the National Recovery Plan (PPN). Among activities allowed are tourism and culture, while adhering to the Standard Operating Procedures (SOP) that have been put into place. Among the tourism products that would be opened to the public are zoos, farms, aquariums, snorkelling, scuba diving, fishing, edutainment centres, recreation parks, extreme sports and natural parks. Additional products that are allowed to operate include art, culture and heritage premises such as museums, libraries, Hang Tuah Village, art galleries, cultural heritage art centres and villages, as well as cultural performance stages, theme parks and family entertainment centres.

(The Edge, 01/10/2021)


THEME PARKS MAY REOPEN TO PUBLIC IN NOVEMBER

Theme parks nationwide will be allowed to open after the country’s vaccination rate among its adult population has reached 90%, which is scheduled to be achieved at the end of November 2021. According to the Tourism, Arts and Culture Deputy Minister, the potential reopening would be subject to approvals by the National Security Council Health Ministry as this Ministry is currently studying Standard Operating Procedures (SOP) that are relevant to the reopening of theme parks.

(The Edge, 26/09/2021)


CSSB SELLS PULAU INDAH LAND

The master developer of Pulau Indah Industrial Park (PIIP), Central Spectrum (M) Sdn Bhd (CSSB), has signed a sale and purchase agreement with Transcargo Worldwide (M) Sdn Bhd for 5.4 acres of land in Pulau Indah Industrial Park. With this, a total of 11 acres have been earmarked for expansion of its facilities due to PIIP’s strategic location and proximity to Ikea Regional Distribution and Supply Chain.

(The Star, 29/09//2021)


SIME DARBY PROPERTY UNIT JV’S FIRST INDUSTRIAL DEVELOPMENT FUND EYES RM850 MILLION FROM INVESTORS

Sime Darby Property Bhd’s wholly owned subsidiary Sime Darby Property (Capital Holdings) Pte Ltd (SDPCH) has formed a Joint Venture (JV) with LOGOS Property Group Ltd’s 100% owned subsidiary LOGOS SE Asia Pte Ltd under an industrial development fund collaboration. The collaboration aims to initially raise US$200 million (about RM850 million) in seed money from accredited and institutional investors to finance the planned development of industrial property in Klang, Selangor. SDPCH and LOGOS SE incorporated a JV company called Industrial Joint Venture (Holdings) Pte Ltd in Singapore on a 51:49 shareholding basis. Sime Darby Property has allocated a 177-acre site within its prime Bandar Bukit Raja Township in Klang for the purpose of this JV. The fund’s primary focus is to develop and invest in build-to- suit to lease or sell assets, primarily for clients in the logistics sector.

(The Edge, NST, The Star & The Sun, 30/09/2021)


FEASIBILITY STUDY FOR PENANG UNDERSEA TUNNEL PROJECT COMPLETED

The feasibility study for the undersea tunnel project has been completed and will be presented at the State Executive Council meeting after receiving feedback from the relevant Federal and State Technical Agencies. The undersea tunnel project is part of three major road and undersea tunnel projects in Penang, whereby the cost for the feasibility study and detailed design of the four packages (three highways and an undersea tunnel) was RM305 million. However, only RM208 million has been paid via the land exchange method to the Zenith Construction Consortium (CZC) contractor, only for the feasibility study and detailed design of the three highways. No payment has been made for the undersea tunnel because the feasibility study has not been received and approved by the State government.

(The Edge, 27/09/2021)


IVORY PROPERTIES OPTIMISTIC ON 2022 PERFORMANCE

Ivory Properties Group Bhd remains optimistic on its performance for 2022 underpinned by support from the Government’s stimulus plans to spur the property market. Its ongoing projects in the State include the Crown Penang in Straits Quay, The Millennium in Batu Uban and The Wave at Penang Times Square. The RM340 million Crown Penang is a soaring 40-storey serviced suite located on two acres of prime land whereas The Millennium is a mixed development sprawling over 5.9 acres of prime land with an estimated gross development value of RM950 million. The Wave at Penang Times Square is located in the central business district with easy access via all major roads and amenities and is expected to be completed in 1Q22.

(The Edge, 30/09/2021)


KPKT PLANS TWO PPR IN PENANG

The Housing and Local Government Ministry (KPKT) plans to implement two People’s Housing Projects (PPR) in Penang under the 12th Malaysia Plan. The number of PPR houses in Penang remains relatively low, whereby the last PPR project by the Ministry in Penang was the Tok Suboh PPR in Bukit Minyak, Simpang Ampat. The State Government has submitted five proposed locations whereby one will be built on the mainland and the others on the island.

(The Edge, 25/09/2021)


BOUSTEAD PLANTATIONS SELLS LAND TO SIPP POWER

Boustead Plantations Bhd has entered into a sale and purchase agreement with SIPP Power Sdn Bhd for the proposed disposal of its Kulai Young Estate in Kulai, Johor, comprising five parcels of land totalling 1,641 acres for RM429 million cash. Boustead Plantations also secured a five-year plantation management agency agreement from SIPP Power, which is a 70% subsidiary of YTL Power International Bhd and intends to develop a large-scale solar power facility with a generation capacity of up to 500MW.

(The Sun, 29/09/2021)


RM160 MILLION SUNWAY HOTEL BIG BOX TO BE UNVEILED IN SUNWAY CITY ISKANDAR PUTERI, JOHOR

 Sunway Bhd’s Sunway Hospitality has announced that it will be launching its RM160 million Sunway Hotel Big Box in phases starting from 1st October 2021, following Johor’s transition towards Phase 2 of the National Recovery Plan. Sunway Hotel Big Box will be situated in Sunway City Iskandar Puteri, Johor, which is a 1,800-acre integrated township with residential, hospitality, retail, educational and upcoming medical elements.

(The Edge, NST & The Star, 01/10/2021)


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