Revenue Group to sell KL industrial property for RM23m

• The property currently generates a monthly rental income of RM20,000.

PETALING JAYA (June 5): Revenue Group Bhd, a provider of cashless payment solutions based in Malaysia, is selling an industrial property in Taman Bukit Maluri Industrial Park, Kuala Lumpur, for RM23 million.

In a filing with Bursa Malaysia yesterday, the sale involves a leasehold parcel whose tenure will expire on Nov 27, 2079 (54 years left). It comprises a single-storey detached factory and a double-storey office building.

An independent valuation by IPC Island Property Consultants Sdn Bhd placed the market value of the property at RM22 million. The assessment applied both the Cost Approach and Comparison Approach, with the Cost Approach serving as the primary method. The valuation report is available for public inspection at the company’s registered office for three months.

The land portion, comprising two lots measuring 10,991 sq ft and 50,052 sq ft respectively, was valued at around RM19 million based on comparisons with similar industrial properties. The building value was determined using the Depreciated Replacement Cost Method, referencing construction cost data from JUBM Group and Arcadis (Malaysia) Sdn Bhd. Combined, the factory and office building have a total gross floor area of approximately 23,000 sq ft.

The property has been rented out to Line Clear Express Sdn Bhd since 2022. The current tenancy runs from July 2024 to June 2025, with an option to renew.

It generates a monthly rental income of RM20,000. Revenue Group said the disposal will not impact its business operations.

The company expects to record a gain of about RM1 million from the sale, based on the property’s audited net book value of RM22 million as at Sept 30, 2024.

Proceeds will be used to reduce bank borrowings, with the group anticipating savings of approximately RM0.83 million in annual interest expenses.

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