City&Country: Briefs

S P Setia acquires 265.7-acre land in Johor
S P Setia Bhd is purchasing a 265.7-acre piece of land in Johor Baru for RM125.78 million, it announced on Jan 28. On the same day, its unit Setia Indah Sdn Bhd entered into a conditional sale and purchase agreement with Kenyalang Property Development Sdn Bhd for the land, which will be developed into a mixed residential project. The parcel is located in the Tebrau corridor and about 10 minutes from the group’s mature Setia Indah Johor township.

S P Setia has about 1,500 acres of undeveloped landbank in Johor Baru following its latest acquisition. The group has been present in Johor for more than 13 years, and has four ongoing projects — Bukit Indah Johor, Setia Indah Johor, Setia Tropika and Setia Eco Gardens.

Kompleks Sukan PKNS to be redeveloped
Kompleks Sukan PKNS in Kelana Jaya, Selangor, will be redeveloped jointly by Melati Ehsan Holdings Bhd and PKNS Holdings Sdn Bhd into a RM1.623 billion mixed commercial development.
In a Jan 28 filing with Bursa Malaysia, Melati Ehsan said its unit Bayu Melati Sdn Bhd had entered into a joint venture to develop three pieces of freehold commercial land, with the sports complex on it, totalling 75,473 sq m.

The proposed development entails the construction, completion and sale of two blocks of serviced apartments, a block of SoHo offices, a sports complex, two blocks of office towers, a shopping mall, a hotel, a performing arts centre and car park. The gross development cost is estimated to be RM1.07 billion.

Sunway REIT to grow asset size
Sunway Real Estate Investment Trust (Sunway REIT) is looking to expand its asset size through the acquisition of third-party properties, its manager Sunway REIT Management Sdn Bhd chief executive Datuk Jeffrey Ng said.

The manager of the largest Malaysian REIT in terms of asset size is on the lookout for suitable asset acquisitions to grow the trust, Ng added on Jan 28. However, he declined to reveal further details. “We have a reference point, that is for the later enlarged Sunway REIT’s portfolio to be made up of at least 60% retail assets,” he said.

For 2QFY2011 ended Dec 31, its net profit stood at RM46.94 million, a 15.7% jump from RM40.56 million the previous quarter. Revenue also increased 17.8% to RM85.33 million from RM72.45 million. The distribution per unit to date is 3.26 sen per unit.

Tambun Indah buys land in Butterworth for RM11 mil
Tambun Indah Land Bhd has acquired two pieces of land in Butterworth, Penang, measuring a combined 347,625 sq ft for a total of RM11 million. The company said on Jan 26 that its wholly-owned subsidiary, Epiland Properties Sdn Bhd, had entered into a sale and purchase agreement with Hussain Imam Md Ismail and Ayesha Mohamed Ismail, as executors of the Estate of KSM Ismail @ Mohamed Ismail (deceased), for the two pieces of land measuring about 280,144 sq ft and 94,481 sq ft respectively.

“The land is adjacent to the Butterworth Outer Ring Road, with easy access to industrial parks and highways. The said land is strategically located and is suitable for property development,” says the company.

This article appeared in City & Country, the property pullout of The Edge Malaysia, Issue 844, Feb 7-13, 2011