KUALA LUMPUR (March 6): Property developer Lagenda Properties Bhd has ambitions to grow beyond its mostly Perak presence, group managing director Datuk Jimmy Doh Jee Ming (pictured) told The Edge Malaysia.
“To me, this is only the beginning. Today, our presence is mostly in Perak. We still have so many other states to go into,” said Doh.
“Kedah is next. We hope to launch a few township projects there. The B40 (bottom 40% income group) market is huge. Our numbers can get even better in the coming years.
“Our sales target is RM1 billion for this year, and we hope to achieve 20% to 30% more on a yearly basis. We are quite certain that we can sell about RM300 million each for our three township projects,” he added.
According a report by the weekly, Lagenda Properties is one of the most profitable property developers listed on Bursa Malaysia.
“With a market capitalisation of RM1.24 billion, it is in the ranks of high-end developers such as Eco World Development Group Bhd and Tropicana Corp Bhd,” wrote The Edge.
Lagenda Properties was formerly known as DBE Gurney Resources Bhd.
“Based on our projects in the pipeline, Lagenda should be able to generate profit growth for years to come. On average, we are talking about RM50 million in operational profit on a quarterly basis. Due to the accounting standards disclosure requirements, there may be some variance,” Doh revealed.
Lagenda Properties residential units are reported to be mostly affordable ones, with all of its homes in Perak selling at less than RM200,000 each.
“Our main objective is really to provide a roof over people’s heads. If you compare us with other high-end property developers, they tend to have different identities for different projects. They need different people to execute different ideas.
“But for us, our team is focused on doing almost the same thing, executing the same designs and themes for different projects,” said Doh.
He explained that Lagenda Properties cost has to remain low so that they can “maintain its pricing at a range that is within the reach of most Malaysians”.
“We need to work harder than our competitors to stay ahead of the curve. We are doing mass production, we are ‘manufacturing’ properties, and we have the economies of scale to drive costs down. The idea is that we just keep doing the same thing again and again, but get better and better,” Doh added.
He admitted that not many people have heard of Lagenda Properties but added that “, as the group expands its presence outside Perak, it should be able to gain better exposure”.
Read the full report in this week’s The Edge Malaysia
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