Gabungan AQRS to launch The Peak 2 by end-2015

JOHOR BARU: Builder and niche lifestyle property developer Gabungan AQRS Bhd plans to launch the second phase of its luxury condominium project in Johor Baru, which has a gross development value (GDV) of RM500 million, by end-2015.

Jerry Lau Hing Kiet, the senior general manager of the group’s property development division, said The Peak 2, which comprises 400 residential units, has received the go-ahead from the local council for the new launching.

“We expect to launch Phase 2 by the third or fourth quarter of next year as we want to wait for Phase 1 to be completed first,” he told reporters after a presentation of “The Peak” yesterday.

He said the third phase, known as The Peak 3, will feature a mix of residential and commercial units, shopping space, hotel and offices. It has yet to be approved for the launch by the local authority, and its GDV will be determined at a later stage.

Gabungan AQRS has increased the foreign ownership quota from 30% to 50% for The Peak, which has a GDV of RM660 million, as the response from foreign buyers has been overwhelming.

“Foreign buyers were responding faster than the locals,” said Lau.

The Peak comprises two serviced apartment towers totalling 668 units and construction is slated to be completed next year. Previously, half or 334 units were reserved for local buyers.

However, Lau said local buyers are spoilt for choice as there are various property launches now in Johor.

“[The locals] don’t know which [property project] is the best, as they didn’t go through the details as closely as the Singaporeans,” he said.

With the increase of the foreign ownership quota, Gabugan AQRS expects the take-up rate for The Peak to continue to pick up in the coming months.

Currently, the group has sold about 50% of Tower A, which comprises 334 units.

Presently, half of The Peak’s total sales come from local buyers, while foreigners — from Singapore, Indonesia, Europe, India, China and Myanmar — make up the remaining half.

Lau said the group will now concentrate on selling the remaining units in Tower A, before it proceeds to open up the sale of Tower B by the end of this year.

“We launched The Peak in April last year and we expect it to be fully sold out by the third quarter of next year,” he said.

This article first appeared in The Edge Financial Daily, on September 4, 2014.