Week 5 - 2024
YNH PROPERTY PLANS TO SELL 163 RETAIL PARK TO SUNWAY REIT FOR RM215 MILLION CASH
The Edge, 29/01/2024 & The Star, 30/01/2024
YNH Property Bhd plans to sell its Mont Kiara shopping mall, 163 Retail Park, to Sunway Real Estate Investment Trust (Sunway REIT) for RM215 million in cash. The sale is part of a previously proposed deal with ALX Asset which was terminated, leading YNH to enter a new agreement with Sunway REIT.163 Retail Park is part of the Kiara 163 mixed-integrated development. The 7-storey retail centre has a gross floor area of about 819,628 sq. ft. and a net lettable area of about 255,535 sq. ft. The mall, anchored by Jaya Grocer, is 94% occupied and has over 100 tenants and brands.
HAILY BAGS RESIDENTIAL CONSTRUCTION PROJECTS
The Edge, 29/01/2024 & The Star, 30/01/2024, The Edge, 01/02/2024
Haily Group Bhd has been awarded contracts by Gunung Impian Development Sdn Bhd build 76 double-storey cluster houses and a double chamber TNB substation in Johor Bahru and by RDC Arkitek Sdn Bhd on behalf of Property Village Bhd (a subsidiary of IOI Properties Bhd), to construct 120 double-storey houses in Kulai, Johor.
KIMLUN BAGS RM134 MILLION CONTRACT FROM SUNWAY UNIT TO BUILD HOUSES IN JB
The Edge, 01/02/2024
Kimlun Corp Bhd has successfully secured a construction project in Johor Bahru from Sunway Parkview Sdn Bhd, a subsidiary of Sunway Bhd. The project encompasses the main building works for houses, ancillary buildings, and amenities within a development located in Johor Bahru.
GDB CLINCHES RM360 MILLION HOSPITAL PROEJCT IN BUKIT JALIL
The Edge & NST, 31/01/2024
GDB Holdings Bhd has secured a RM306 million project to develop a private hospital in Bukit Jalil, Kuala Lumpur from KL International Hospital Sdn Bhd, a subsidiary of KL Wellness City Sdn Bhd. The project involves the construction, completion, commissioning of machinery and equipment, and maintenance of the private hospital building. The construction is set to span 25 months, starting on 16 March. The hospital, part of KL Wellness City, aims to become a world-class hub for domestic and international healthcare services, featuring specialized centers in areas such as cardiology, spine health, neuro health, sports medicine, cosmetic surgery, and fertility.
LAND ACQUISITION FOR MRT3 EXPECTED TO BE COMPLETED IN TWO YEARS
The Edge, 30/01/2024
The land acquisition process for the Mass Rapid Transit 3 (MRT3) Circle Line project is projected to be completed in two years. The focus is currently on acquiring over 1,000 lots, mostly private, for the project. The timeline for the MRT3 tender process will depend on government decisions. MRT3 aims to connect various mass rapid and light rail transits (LRTs) through 10 interchange stations.
AIR ASIA REINSTATES PENANG TO KOTA KINABALU AND KUCHING DIRECT FLIGHTS
The Star, 30/01/2024
Air Asia will reinstate direct flights from Penang to Kota Kinabalu and Kuching from 31 March. Apart from travellers from Penang, the route was convenient to travel for those from the peninsula’s northern states, such as Kedah, Perlis and Perak.
INDONESIA KEEN ON BATAM-JOHOR FERRY ROUTE FOR CARGO TRUCKS
The Star, 30/01/2024
Indonesia aims to launch a roll-on, roll-off (RORO) ferry route for cargo trucks between Batam and Johor this year to boost trade. Talks are ongoing to implement the plan, which involves transporting shipments and is expected to benefit small and medium enterprises by offering a cost-effective alternative to containers. The proposed route connects Batam’s Batu Ampar Port and Johor’s Tanjung Belungkor Ferry Terminal. Initial plans target accommodating up to 70 cargo trucks per trip. If successful, the next phase may involve allowing cars on the RORO ferry to promote tourism in both regions.
PROJECT TO WIDEN KL-KARAK EXPRESSWAY TO BEGIN THIS YEAR
The Edge, 01/02/2024
The federal government has approved a project to widen the Kuala Lumpur-Karak Expressway (KLK) in an effort to alleviate traffic congestion. The initiative, set to commence in 2Q24, will be undertaken by Anih Bhd and includes widening the alignment from Gombak Toll Plaza to Lingkaran Tengah Utama, Bentong. The project encompasses the construction of a new tunnel, enhancements to the road shoulder, and installation of street lights for safety. The 42km stretch from Bentong Toll Plaza to Gombak Toll Plaza is prone to congestion, especially during holidays.
TRANSPORT HUB AT FOREST CITY
NST, 01/02/2024
Country Garden’s Forest City in Iskandar Puteri, Johor, is reportedly making preparations to allocate land for the infrastructure required for the West Line of the light rail transit system and the Kuala Lumpur-Singapore high-speed rail (KL-Singapore HSR). Forest City plans to establish stations for both the LRT West Line and the KL-Singapore HSR. There are indications of a plan to align the KL-Singapore HSR line with Forest City serving as the border crossing to Singapore. The Forest City transport hub is envisioned to be a tourist-centric model, attracting tourists and hosting MICE activities. The project’s success may depend on factors like affordability, a championship golf course, duty-free island status, ferry services, and increased international flights to Senai International Airport. Developers have advocated for an HSR station in Forest City to boost the project’s development. Forest City, spanning 7,000 acres and billed as a paradise, is part of a USD 100 billion project expected to be completed in 2035. Upgrades are underway in anticipation of the launch of the Special Financial Zone (SFZ), announced by Prime Minister Datuk Seri Anwar Ibrahim in August 2023. The SFZ initiative aims to boost investment, growth, and economic activities in Johor. The memorandum of understanding for SFZ was signed between the Prime Ministers of Malaysia and Singapore on January 11, 2024. Upgrades in Forest City include the construction of a new inspection center for the Royal Malaysian Customs Department, upgrading internet network services, and implementing various technologies to position Forest City as one of the best financial zones in the region.
ELMINA LAKESIDE MALL SECURES 85% CONFIRMED TENANTS
The Star, 29/01/2024
Sime Darby Property Berhad has achieved 85% tenancy rate for its upcoming Elmina Lakeside Mall before its anticipated opening in 3Q24. Spanning 17.2 acres with a floor area of about 400,000 sq. ft., the mall will feature various retail outlets, including drive-through restaurants, home and living stores, services, health and wellness facilities, and boutique lifestyle retailers. Confirmed brands include Jaya Grocer, Harvey Norman, The Coffee Bean & Tea Leaf, and others. The mall, positioned as the first neighborhood mall in the City of Elmina, boasts an al fresco retail concept and is expected to be a lifestyle community hub for residents. The development is conveniently connected through major expressways. Sime Darby Property expresses gratitude to its partners for contributing to the creation of a vibrant retail environment.
MAH SING INKS AGREEMENT FOR INDUSTRIAL LAND IN SEPANG, FIRST PARCEL OF 185-ACRE MAH SING BUSINESS PARK TO YIELD RM728 MILLION GDV
NST, 31/01/2024 & The Edge, 01/02/2024
Mah Sing Group Bhd is set to develop a 185-acre prime industrial development named Mah Sing Business Park, Sepang, with an estimated gross development value (GDV) of approximately RM728 million. Fusion Heights Development Sdn Bhd, a subsidiary of Mah Sing South Sea Industrial Development Sdn Bhd, will spearhead the project. The landowner, Premier Land Resources Sdn Bhd, has granted Fusion Heights Development an option to purchase an additional 376.65 acres, potentially bringing the total GDV for the entire 561.65 acres to up to RM2 billion. The development will include customized factories, industrial lots, cluster, semi-D, and detached factories, targeting medium and light industrial businesses. The project, strategically located near Kuala Lumpur International Airport (KLIA) and logistics hubs, is expected to commence in the second half of 2024, with a development span of three to four years.
TELEKOM MALAYSIA SAID TO BE EXPLORING PLANS TO BUILD NEW HYPERSCALE DATA CENTRE
The Edge, 29/01/2024
Telekom Malaysia Bhd (TM) is reported as considering constructing a new hyperscale data centre (HDC) in Malaysia, expanding beyond its existing Klang Valley Data Centre (KVDC) and Iskandar Puteri Data Centre (IPDC). Hyperscale data centres offer at least 40 Megawatts of IT power capacity and are often used by large cloud service providers and internet companies. Leveraging its extensive networks, TM may attract strategic international partners to co-invest in the HDC. These partners could help fund the project and provide expertise in HDC design and operation, including efficient cooling solutions and advanced server monitoring platforms. The first phase will be potentially ready for service by 1H26 if initiated in 2H24. While there may be a limited boost to earnings in 2024 and 2025, investors are expected to be excited about TM’s aggressive expansion in the data centre business.
TROPICANA SELLS COURTYARD BY MARRIOTT PENANG FOR RM165 MILLION
The Sun, 29/01/2024
Tropicana Macalister Avenue (Penang) Sdn Bhd, a subsidiary of Tropicana Corporation Bhd, has signed an agreement with IOI PFCC Hotel Sdn Bhd for the sale of Courtyard by Marriott Penang for RM165 million in cash. The deal, based on a willing buyer-willing seller basis, will generate around RM80.8 million in surplus cash for Tropicana.