KUALA LUMPUR (Oct 24): Titijaya Land Bhd is to receive compensation totalling RM65.25 million over the temporary occupation and usage of its land in Shah Alam for the upcoming third light rail transit (LRT3) project.
The property developer said the compensation will be awarded to its wholly-owned subsidiary, Shah Alam City Centre Sdn Bhd, which is the registered owner of the 65,216-sq m land.
The compensation package comprises rental (RM7.95 million), subsequent rental (RM39.73 million), preliminary costs (RM16.42 million) and land holding costs (RM1.15 million).
In a filing with Bursa Malaysia, Titijaya said the rental will be paid every six months for a period of three years starting from Nov 1.
The company said the compensation was pursuant to the Land Acquisition Act 1960, which allows the government to acquire land from private owners for any public purpose that would be beneficial to the economic development of the country.
The LRT3 is a 37km rail line undertaken by Prasarana Malaysia Bhd. Featuring 26 stations, it is expected to cut travelling time from Bandar Utama in Petaling Jaya to Johan Setia in Klang to 58 minutes.
This article first appeared in The Edge Financial Daily, on Oct 24, 2017.
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