EcoWorld hits RM3.95 bil sales in first 10 months of FY2017

PETALING JAYA (Sept 14): Eco World Development Group Bhd (EcoWorld Malaysia) and its international property arm EcoWorld International Bhd (EWI) announced that as at Aug 31, 2017, they have achieved a total sales of RM3.95 billion under the EcoWorld brand in the 10 months of the financial year ending Oct 31, 2017.

According to a statement by the developer, EcoWorld Malaysia and EWI have achieved RM2.39 billion and RM1.56 billion sales respectively.

EcoWorld Malaysia’s six Klang Valley projects have contributed RM1.8 billion while its seven Iskandar Malaysia projects and two projects in Penang contributed RM525 million and RM65 million respectively.

Meanwhile, EWI’s three London projects recorded sales of £237 million (RM1.31 billion) while its two Australian projects contributed A$73 million (RM249 million).

“The strong sales pick-up of 40% in the third quarter as compared to the second quarter is very encouraging. During the first half of the year, we were very busy handing over the first phases of properties sold and to date, we have delivered close to 4,500 units to our purchasers.

“We are delighted that the strong engagement with customers achieved during the handover process have resulted in positive word-of-mouth and increased referrals which boosted sales, especially for Eco Majestic in Semenyih and Eco Spring, Eco Summer and Eco Tropics in Iskandar Malaysia,” said EcoWorld Malaysia president and chief executive officer (CEO) Datuk Chang Khim Wah.

EcoWorld Malaysia has about 8,052.7 acres of landbank with a total gross development value (GDV) of RM87.5 billion. The developer has 20 ongoing projects in the Klang Valley, Iskandar Malaysia and Penang.

Commenting on the international front, EWI president and CEO Datuk Teow Leong Seng said the developer’s UK projects have continued to see steady sales and there are anecdotal signs of recovery in demand — not just for new home sales but also for office space, despite ongoing uncertainties surrounding the Brexit.

Meanwhile, the developer via its new subsidiary Eco World-Salcon Y1 Pty Ltd, in which it has an 80% stake, is building the residential Yarra One project in South Yarra, Australia.

EWI has five ongoing projects in the UK and Australia with a total GDV of RM13.97 billion.

For the remaining two months of the financial year, EcoWorld will be working towards achieving its sales target of RM4 billion from its Malaysian developments and RM2.5 billion from global projects.

The developer is also planning four “mega launches” before the end of its financial year in Oct 31, 2017.

These launches include Eco Forest and Eco Business Park V in the Klang Valley, Eco Horizon in Penang along with the second phase of landed homes in Eco Ardence.

“Last year, our EcoWorld’s Firsts Campaign where we launched four projects concurrently was a runaway success with more than RM1 billion worth of properties taken-up in a single day. This year, we aim to repeat this feat and we are truly excited to show our customers what we have in store for them,” said Chang.

On the other hand, EWI’s Yarra One will be officially launched in Melbourne before the year-end with marketing efforts focused on attracting local Australian buyers, taking advantage of the stamp duty incentives introduced recently by state governments, which took effect on July 1.

Yarra One comprises a 26-storey tower with 256 residential units complemented by a retail and office podium with the potential to deliver about A$243 million in GDV.

Following previews in early June 2017 to international customers in major cities including Kuala Lumpur, Singapore, Jakarta and Hong Kong, sales of A$64.8 million were recorded based on contracts exchanged as at Aug 31.

EWI also expects sales of its London projects to pick up in September and October on the back of international roadshows planned to promote its UK projects in tandem with local marketing campaigns targeting Londoners as they return from their summer vacations.

Given the encouraging sales in London and Australia, EWI will continue to seek well-located development sites in these markets, said EcoWorld.