KFH puts Menara Prestige on market, eyes up to RM750m

PETALING JAYA (April 7): Kuwait Finance House (KFH) is putting up its Grade A, 36-storey Menara Prestige near KLCC up for sale, reported The Edge weekly.

Sources told the publication that KFH has set an asking price of RM700 million to RM750 million — or RM1,273 psf to RM1,363 psf — for the building, which is situated at the corner of Jalan Pinang and Jalan Ramlee.

“We have addressed the matter with our principals in Kuwait and await their further advice,” a KFH spokesperson said.

However, a Savills spokesperson has confirmed that they have been appointed the exclusive marketing agent of the property.

The office — which has a net lettable area (NLA) of 550,000 sq ft and over 800 car parking bays — is MSC-ready, though it does not carry MSC status.

The Edge weekly believes that KFH is selling the building due to its healthier occupancy rate — American Express Malaysia and oil and gas service provider Petrofac had signed leases with the building, boosting tenancies of the building to 80%, said sources.

The rent for the building’s lower floors is RM7.50 psf while the higher floors command RM8.50 psf, said the publication, citing sources.

The building is owned by Prestige Scale Sdn Bhd, which is wholly owned by Intrared Sdn Bhd.

Intrared in turn is 19% owned by Kuwait Finance House (M) Bhd and 81% held by Cayman Islands-registered GRE Investment Ltd, which is understood to be linked to KFH.

Prestige Scale had bought the entire building off-plan from Glomac Al Batha Sdn Bhd — 51% owned by Glomac Bhd and 49% owned by Al Batha Real Estate Co — in March 2008 for RM576.85 million.

Data sighted by The Edge weekly had listed the building’s NLA as 524,266 sq ft, rendering the price psf to about RM1,100 psf, though it is unclear why the building size figures had changed over the years.