PETALING JAYA (Feb 3): Saudi Arabia’s Alrajhi family has acquired the 16-storey Wisma Mont Kiara office building that is part of a larger integrated mixed-use development in the posh high-rise enclave for an estimated RM122 million from Singapore-based ARA Asset Management Ltd, reported The Edge weekly.
The purchase is understood to have been undertaken by R J Seven Sdn Bhd, which has 10 shareholders – all of them bearing the Alrajhi surname.
The acquisition of this property may be the first of more investments by the family in Malaysia, reported the publication.
“This is a long-term investment for the family and their first real estate investment in the country,” said JLW executive director Rohan Padmanathan. The property consultancy, valuation and real estate agency advised and represented ARA in the transaction.
Wisma Mont Kiara offers 241,682 sq ft of gross floor area and 181,992 sq ft of net lettable area (NLA). Based on the NLA, the transaction works out to RM670 psf, which a real estate agent who spoke to The Edge calls a good deal, in comparison with the going rate of similar properties in the vicinity.
“Offices at Pavilion Damansara Heights are going for RM1,400 psf while in KL Metropolis, it is RM900 psf. At RM670 psf, it is even cheaper than the condominiums in the Mont Kiara area. It is a good purchase for the buyer. As for ARA, in its overall scheme of things, this (Wisma Mont Kiara) is a small play,” he said.
The publication said Wisma Mont Kiara is believed to be 98% tenanted, with 60% of the NLA secured until 2020 while 30% is taken up by ServiceSource International (M) Sdn Bhd. Rents are said to be between RM4.50 and RM4.80 psf, including service charges.