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KUALA LUMPUR: Mainstay Properties Sdn Bhd and US-based Horizon Group Properties announced on May 10 a joint-venture to develop The Outlet Shoppes in Sepang, within a 5km radius to Kuala Lumpur International Airport (KLIA).
The 300,000 sq ft project in the first phase will be the premier outlet destination and construction is expected to begin in 2014. The grand opening is scheduled for 2015. Both Horizon and Mainstay Properties will co-develop the project with Horizon responsible for leasing and management, according to the statement by the developer.
Horizon Group’s president and CEO Gary J. Skoien said: “Kuala Lumpur is a major international tourist and retail market and we have the best location for the development of what will be Malaysia’s premier outlet centre. Mainstay is a fantastic partner and we look forward to building the same success in Asia as our centres in the United States.”
Its managing director for Asia, David Nelson, added: “This agreement is a major milestone for Horizon Group Properties. It is the company’s first investment in the Malaysian market and we are proud to have formed a strategic partnership with a respected property developer in Malaysia.”
Mainstay Properties deputy chairman Terry Teo said: We are quite excited about this joint venture as Horizon is a renowned expert in the Premier Outlet business. We plan to turn the Premier Outlet into a tourist destination as it is strategically located within a 5km radius to KLIA and a convenient drive from Kuala Lumpur.”
The outlet is expected to contribute significantly to the area’s local economy with an estimated 1,000 new jobs for the community upon completion.
Horizon Group is a leading owner and developer of factory outlet shopping centres in the United States and Asia and is the developer of a master planned community in suburban Chicago.
Mainstay Properties Sdn Bhd is a subsidiary of Mainstay Holdings Sdn Bhd. It is the developer of the RM200 million Space U8 mall in Bukit Jelutong, with a net lettable area of 600,000 sq ft.
