News by M

Hong Leong IB Research said the Johor region remain oversupplied in near term with incoming supply and planned supply amounting to 47% of existing stock.

Numerous projects in Kepong will likely see a boost in rental demand with the MRT Sungai Buloh-Serdang-Putrajaya line due in 2022. 

Sentoria Group Bhd 75%-owned subsidiary will co-develop residential and commercial properties with a private property investment company on 120 acres of land in Kuala Muda, Kedah, which marks the property developer and resort operator's first venture in the north.

In a statement, 1MDB said under the share sale and purchase agreement (SSA) executed between 1MDB and the IWH-CREC consortium, the consortium had agreed to pay RM7.41 billion (of which 10% or RM741 million is payable upon execution of the SSA) for its 60% share in the Bandar Malaysia project, based on the land value of RM12.35 billion.

Out of the total land bank, 6,275 acres (or 84%) are still undeveloped with remaining GDV of RM74.96 billion (or 92% of total GDV).

Despite the price surge, Kepong is still a very affordable neighbourhood. In the 12 months to 1Q2015, some 47.8% of secondary transactions were for properties priced between RM201–RM400 psf. 

A news report in Singapore's The Straits Times, quoting a ministry spokesperson, said that both governments were discussing the possibility of having two services — a non-stop express service linking Malaysia and Singapore, and a transit service in several locations in between.

For 2016, the company will be launching 15 projects with a total GDV of RM2.5 billion; these are spread out over the Klang Valley, Pahang and Batu Pahat, Johor.

The sales target of RM1.4 billion is 40% higher than its expected sales of RM1 billion for FY15.

Despite the expectation of a slimmer margin, IOI Properties chief executive officer Lee Yeow Seng said the group is confident of achieving its RM2 billion sales target for FY16.