Week 22 - 2024
MITI SECURES RM1.45 BILLION POTENTIAL INVESTMENTS, RM550 MILLION POTENTIAL EXPORTS FROM JAPAN
The Edge, 25/05/2024
The Ministry of Investment, Trade and Industry (Miti) has secured RM1.45 billion of potential investments, and RM550 million of potential exports, from meetings with Japanese companies. Several of the projects will be implemented within a three-year time horizon and will help Malaysia create a strong ecosystem for semiconductors, renewable energy and green technology. A few of these projects are key towards achieving Malaysia’s carbon-neutrality target by 2050 and among the companies involved were IHI Corp, Nisshin Oillio Group, Tokuyama Corp, Sumitomo Corp, Eneos Holdings, Mitsubishi Corp and Tokyo Gas.
TWO NEW DIRECT FLIGHTS FROM CHINA TO SABAH TO BE LAUNCHED IN JUNE 2024
The Star, 28/05/2024
Two more direct international flights to Sabah will be launched in June 2024. The thrice weekly Xiamen-Kota Kinabalu flight and Shanghai-Tawau flights are expected to commence on 27th June 2024 and 28th June 2024 respectively.
RM350 MILLION SMART TUNNEL PLAN FOR PJ
The Star, 29/05/2024
An underground passageway based on the SMART Tunnel concept has been planned under the Draft Special Area Plan (RKK) of Sections 19, 51 and 51A in Petaling Jaya, Selangor. The 1.98km tunnel would traverse Sections 51, 51A, Federal Highway Route 2 and New Pantai Expressway (NPE). The total cost for the tunnel is estimated at RM350 million and will be funded through the city’s development trust account, with funds collected from developers.
NCT LAUNCHES FINAL PHASE OF ION BELIAN GARDEN
The Edge & NST, 28/05/2024
NCT Group (NCT Platinum Sdn Bhd) recently unveiled the final phase of its Ion Belian Garden project, Precinct B-Phase 2, featuring single-storey terrace houses. Up to 40% of the 128 units in Batang Kali were booked within a day of the launch. Precinct B of Ion Belian Garden comprises 186 units of single-storey terrace houses, targeted for completion by 2026. The freehold units are priced from RM356,000, and offer a land size of 20ft x 65ft.
FIRST PHASE OF SIME DARBY PROPERTY'S ELMINA RIDGE 1 FULLY SOLD
The Edge, 29/05/2024
All 122 units of Sime Darby Property Bhd's Elmina Ridge 1 (phase one) residential development in the City of Elmina, Shah Alam have been fully sold. The entire Elmina Ridge 1 development comprises 228 units of superlink, cluster and semi-detached homes. The superlink houses were priced from RM1.2 million while the cluster homes were priced from RM1.5 million. The semi-detached houses were priced from RM2 million. Each residence is equipped with solar panels and batteries, electric vehicle (EV) charger isolator points and digital locks, among others.
PARAMOUNT PROPERTY LAUNCHES UPTOWN RESIDENCES 2 SHOW UNITS
Starproperty.com.my, 29/05/2024
Paramount Property has unveiled the show units of the new phase of Berkeley Uptown located in Klang. The upcoming launch, Uptown Residences 2 consists of freehold serviced apartments and park villas. It offers a variety of layouts to cater for first homebuyers, young families and larger households with senior family members. The development was conceived for different generations to flourish together in a secure environment that includes a verdant central park, an indoor community social space for residents only, a recreational podium deck and a private rooftop garden.
KIP REIT TO ACQUIRE DPULZE SHOPPING CENTRE FOR RM320 MILLION
The Edge, The Sun & The Star, 28/05/2024
KIP Real Estate Investment Trust, which mainly manages retail properties, it plans to acquire seven-floor DPulze Shopping Centre for RM320 million. The acquisition, which will enlarge its total assets by nearly 34% to RM1.29 billion, will be funded by combination of bank borrowings and proceeds from a planned private placement. KIP signed the sale and purchase agreement for the acquisition with DPulze Ventures Sdn Bhd. DPulze Shopping Centre, located in Cyberjaya, is fully occupied and generated RM22.84 million in net property income as of April 2024. Its anchor tenants are Jaya Grocer and TGV Cinema and other well-known retailers occupying the retail centre are Celebrity Fitness, Starbucks, Sushi King, Guardian, The Body Shop, MPH Bookstores, Yamaha Music School and Skechers.
MAHB-WCT JOINT VENTURE GRANTED EXTENSION TILL 2069 TO OPERATE GATEWAY@KLIA2
The Edge, 29/05/2024
Malaysia Airports Holdings Bhd or MAHB denoted it has granted Segi Astana Sdn Bhd a further 22-year concession extension till 2069 to operate gateway @ klia2. Segi Astana is 30% owned by MAHB, with the remaining 70% stake held by WCT Holdings Bhd. The mall which opened to the public in May 2014 is 95% occupied, as at end of 2023. It comprises the transportation hub for the Express Rail Link (ERL) and other modes of transportation, a commercial complex and car parks.
ENCORP AND TOUCH GROUP TO DEVELOP COMMERCIAL MIXED-USE PROJECT WORTH RM545 MILLION IN KUANTAN
The Edge, 29/05/2024
Encorp Bhd and Touch Group Holdings Sdn Bhd are jointly developing Balau Residences, a commercial mixed-use project in Teluk Cempedak of Kuantan, Pahang. The project has an estimated gross development value of RM545 million. Situated on 4.97 acres of freehold land surrounded by the Teluk Cempedak beach, Balau Residences comprises 945 serviced apartments and 21 commercial units, offering approximately 2,179 car park bays across its premises. The project is slated for launch in 4Q24, with completion expected by 4Q28. The development offers a range of facilities, including playgrounds, an infinite edge sky pool, gym rooms, multipurpose halls, a BBQ pit area, a meeting room, and a multipurpose court. It also features solar panels to harness renewable energy, and an optimal window-to-wall ratio to maximise natural daylighting.
KERJAYA PROSPEK AIMS FOR RM300 MILLION SALES IN FY25
The Star, 29/05/2024
Kerjaya Prospek Property Bhd is targeting to achieve RM300 million in sales for its property developments during its financial year ending 31st March 2025 (FY25), supported by two developments to be launched in 2H24. One is a residential development on 2.3 acres of land in Jalan Sentul Pasar, Kuala Lumpur and a serviced-apartment development on 2.2-acre site in Shah Alam. The group also plans to launch a residential development on a 6.5-acre site in Damansara Damai in early 2025.
Its ongoing mixed development project, Bloomsvale at Old Klang Road has seen a good response. The retail component of Bloomsvale has hit 85% tenant commitment and the group is targeting a grand opening in September 2024 with a goal of reaching 90% occupancy by then. Over 60% of the office space within the development is already committed. Out of 35 floors, 7 floors have been designated for the group purpose. The hotel, Courtyard by Marriott KL South, within the Bloomsvale development, will open in June or July 2024.
MGB WINS RM189.35 MILLION PROPERTY DEVELOPMENT PROJECT IN RELATED-PARTY DEAL
The Edge, 28/05/2024
MGB Bhd has secured a contract worth RM189.35 million to undertake a multi-phase property development project in the Kuala Selangor district. The project was awarded by Anuar Aziz Architect on behalf of Kemudi Ehsan Sdn Bhd. Kemudi Ehsan is an indirect subsidiary of LBS Bina Group Bhd, which is a major shareholder of MGB with a 58.65% stake, thus making the contract a related-party transaction. The contract is for the development of a five-phase property development project in Ijok, with the first phase comprising 38 single-storey low-cost industrial terrace units and 96 two-storey terraced factories. Subsequent phases will involve a total of 116 units of three-storey semi-detached factories, six units of electrical substations, as well as 64 units of single-storey low-cost industrial terrace units. The project is expected to be completed within 18 months by 26th November 2025.
CYL CORP TO DIVERSIFY INTO PROPERTY
The Star, 30/05/2024
Plastic packaging manufacturer and supplier CYL Corp Bhd is proposing to diversify its business to include property development. The property development business is to be undertaken through CYL Group’s wholly owned subsidiary, CYL Land Sdn Bhd, by undertaking a property development project on vacant freehold industrial land measuring 1.28 acres at Jalan Teluk Gadung 27/93, Section 27, Shah Alam, which is near the group’s main factory.
MELAKA RECORDS 5.12 MILLION TOURIST ARRIVALS AS OF APRIL 2024
The Edge, 28/05/2024
Melaka recorded 5.12 million tourist arrivals between January and April 2024 in conjunction with the Visit Melaka Year 2024 (VMY2024). This achievement placed Melaka ahead of other states that also implemented the campaign this year. Tourist destinations include the Melaka Zoo, Taming Sari Tower, Melaka River Cruise, Panggung Bangsawan and the Prison Museum.
MITRAJAYA GETS RM87 MILLION DATA CENTRE CONTRACT
The Edge & The Star, 30/05/2024
Mitrajaya Holdings Bhd (MHB) has accepted and executed a works contract with Lendlease Projects (M) Sdn Bhd for the foundation works of the NEXTDC KL1 data centre project in Petaling Jaya, worth RM86.63 million. The contract will commence on 13th June 2024 and is expected to complete by 15th December 2025.
KERJAYA PROSPEK BIDS FOR DATA CENTRE, SEMICON FACTORY PROJECTS WORTH RM3 BILLION
The Edge & The Star, 30/05/2024
Kerjaya Prospek Group Bhd, is bidding for the construction of data centres and semiconductor factories worth over RM3 billion in 2024. The company partnered with Samsung C&T Corp in the bid.
GOOGLE TO INVEST US$2 BILLION FOR DATA CENTRE AND CLOUD REGION IN MALAYSIA
The Edge, The Star, NST & The Sun, 31/05/2024
The Ministry of Investment, Trade and Industry (Miti) had secured a commitment by Google to invest US$2 billion (RM9.4 billion) to house the first Google data centre and Google Cloud region in Malaysia. The site will be located at Elmina Business Park, in Greater Kuala Lumpur. The data centre will power Google's popular digital services, such as Search, Maps, and Workspace, while also playing an essential role in enabling Google to deliver the benefits of artificial intelligence (Al) to users across the country. When operational, Malaysia will join the 11 countries where Google has built and currently operates data centres to serve users around the world. The Google Cloud region, on the other hand, will deliver high-performance and low-latency cloud infrastructure, analytics, and AI services to large enterprises, start-ups, and public-sector organisations, while maintaining the highest security and regulatory compliance standards. The initiative by Google will support 26,500 jobs across various sectors in Malaysia including in healthcare, education, and finance with the total economic impact valued at RM15.04 billion.
MAH SING LAUNCHES MAH SING DC HUB@ SOUTHVILLE CITY WITH BRIDGE DATA CENTRES
The Star, 31/05/2024
Mah Sing Group Bhd makes its maiden entry into the data centre sector by launching Mah Sing DC Hub@Southville City, partnering with Bridge Data Centres (BDC). The developer has earmarked 150 acres of land bank at Southville City for further expansion into a leading Data Centre Hub with planned capacity of up to 500MW. The collaboration with BDC is on 17.55 acres of land for a data centre with planned capacity of up to 100MW. Mah Sing envisions Mah Sing DC Hub@ Southville City as a holistic digital infrastructure ecosystem, meticulously designed to accommodate the demands of AI, hyperscale, retail, and enterprise service providers. This state-of-the-art facility specifically engineered to support cutting-edge applications like AI computation and large-scale data storage. Mah Sing DC Hub@Southville City is less than 50km from Telekom Malaysia’s (TM) upcoming new cable landing station in Morib, Selangor for the SEA-ME-WE-6 submarine cable system which will provide TM with one of the lowest latency routes connecting Malaysia with the rest of the world. Expected to be completed in 1Q25, TM’s Morib landing station will be a key landing site for Malaysia.
DUTCH LADY INAUGURATES NEW RM540 MILLION MANUFACTURING FACILITY IN BANDAR ENSTEK
NST & The Star, 31/05/2024
Dutch Lady Milk Industries Bhd (DLMI) has inaugurated its new RM540 million state-of-the-art manufacturing hub in Bandar Enstek, Negeri Sembilan. The Halal manufacturing facility is integrated with Industry 4.0 technology to meet Malaysian and regional demand for the long-term. The new manufacturing hub with export capacity will introduce new skills relevant to the new generation of Malaysians to spur new opportunities for growth in terms of innovation, improved efficiencies and overall sustainability.
MAH SING’S M MINORI REACHES NEW MILESTONE, STRENGTHENS ITS POSITION IN SOUTHERN REGION
The Edge, 28/05/2024
M Minori, a serviced apartment development comprises three blocks of serviced suites, Towers A, B and C, with a gross development value (GDV) of RM469 million. M Minori has a total of 1,526 residential units with built ups of 570 to 880 sq. ft. and 2 retail lots. The units are priced from RM288,000 with the unit configuration being 1-bedroom, 1+1-bedroom, 2-bedrooms and 3-bedrooms. M Minori has received an overwhelming response with Towers A and B are 88% and 65% sold respectively and due to the strong demand, Tower C is now open for sale.
The developer acquired another 75.7-acre tract of prime land in Mukim Pulai, Johor Bahru in June 2023. This land is planned for M Tiara, a landed residential development. M Tiara is a 75-acre development with a lush green landscape located in the heart of Johor Bahru. M Tiara comprises double-storey terraced houses with four bedrooms and land sizes from 20ft by 70ft for urban families. In April 2024, Mah Sing acquired 100.4 acres of freehold land in Mukim Pulai, for the development of M Tiara 2, located 400m from M Tiara. M Tiara 2 will house landed homes, a serviced apartment development and double-storey shops. M Tiara 2 is envisioned to comprise terraced and cluster homes priced from RM771,600 while that of the serviced units is RM253,000. Registration of interest for these projects is targeted to commence in 1Q25.
EQUINIX OPENS IBX DATA CENTRES IN JOHOR AND KL
The Edge, 29/05/2024
Equinix Inc, a global digital infrastructure company, has opened two International Business Exchange (IBX) data centres in Johor and Kuala Lumpur respectively. These carrier-neutral facilities establish a robust digital infrastructure in Malaysia to support its digital economy ambition, particularly as a regional digital hub. Malaysian-based businesses will gain access to a global ecosystem of over 10,000 enterprises, networks and cloud service providers, while global businesses can seize the digital opportunities presented by the nation.
NAPIC: SOUTHERN SURGE IN HOUSING DEMAND
The Star, 29/05/2024
Projects to strengthen economic and transport links between Johor and Singapore are fuelling a housing boom in parts of the southern state. According to data from the National Property Information Centre (Napic), Johor Baru in 2023 became Malaysia’s most popular location for home buyers, overtaking property hotspots in the Klang Valley. There were 23,406 residential property transactions in Johor Baru in 2023, with Selangor’s Petaling district second at 15,963 and Kuala Lumpur third at 13,752. The implementation of the Johor-Singapore Special Economic Zone and Financial Special Zone by the state government had helped boost the growth of the property market in Johor. The number of residential property transactions in Johor in 2023 (23,406) grew by 8,688 compared with 2022, the highest growth among all districts in the country. Two other Johor districts were second and third. Kota Tinggi recorded a growth of 1,477 transactions, followed by Kulai with 1,270. In terms of price, Johor Baru was the most popular location nationwide for buyers looking to purchase homes in the RM300,000 to RM900,000 range. It was also the second most popular location for affordable housing, after Kinta, Perak, at prices ranging between RM100,001 and RM300,000. Most of the houses sold in Johor Baru were priced at RM500,000 and below, at 13,559 or 58% of transactions, while the rest were above RM500,000.
HISTORIC PENANG TURF CLUB TO SELL OFF ICONIC PIECE OF LAND FOR UP TO RM6 BILLION
The Star, 25/05/2024
The iconic 160-year-old Penang Turf Club (PTC), the oldest of the three horse-racing clubs in Malaysia is likely to sell its 200 acres land for up to RM6 billion. An extraordinary general meeting has been set for 10th June 2024 to obtain approval from the club’s ordinary members for the sale of the land. Given that the present market value of commercial land in George Town is about RM700 per sq. ft., the site is expected to fetch around RM6 billion upon conversion to commercial status. Founded in 1864, the PTC received a free land grant on Macalister Road for its course. It moved to its current location in 1939. The prime land is located next to the posh Taman Jesselton Heights.
In 2007, the Penang Global City Centre (PGCC) project was proposed on the site of the PTC. PGCC would have comprised two five-star hotels, a Penang performing arts centre, a retail complex, two office towers, residential properties, a world-class meeting and convention centre, an observatory tower, parking space, monorail transportation, as well as a public arena. However, the grand plan was stalled in March 2008 as it could not get the approval of local authorities.
SCIENTEX ACQUIRES PENANG LAND FOR RM462.50 MILLION FOR FUTURE DEVELOPMENT
The Edge, 26/05/2024
Property developer Scientex Bhd is acquiring land in Seberang Perai, Penang for RM462.50 million to expand its land bank for future development. The plan is to develop the 709 acre land into a mixed-property development. The proposed acquisition is in line with the company’s goal to build more affordable homes towards its objective of completing 50,000 affordable homes throughout the nation by 2028. The proposed acquisition is expected to be completed in 1H25.
E&O TO LAUNCH PROPERTIES WITH ESTIMATED RM1.63 BILLION GDV IN PENANG
The Edge, 29/05/2024
Eastern & Oriental Bhd plans to launch three new projects in the state with an estimated gross development value (GDV) of RM1.63 billion in 2024 and 2025. The planned launches consist of The Lume, a 261-unit residential condominium with a GDV of RM689 million, Marina, a serviced apartment project with an estimated GDV of over RM600 million and phase two of Senna and Fera, a 68-unit landed home project with an estimated GDV of nearly RM300 million. The sales rate for phase one of Senna and Fera’s has reached 90% since its launch in 2024.
TAIWAN’S SPIL BREAKS GROUND ON RM6 BILLION SEMICONDUCTOR FACILITY IN PENANG
The Sun, NST & The Edge, 27/05/2024
Taiwan based semiconductor packaging and testing company Siliconware Precision Industries Co Ltd (SPIL) broke ground on its RM6 billion P1 plant to be built on 20 acres in Bandar Cassia Technology Park, Penang. The plant is projected to create nearly 3,000 skilled jobs, introduce advanced packaging and testing technologies such as wafer bumping, and offer a comprehensive turnkey solution over the next 15 years.
