Ireka expands property development portfolio

KUALA LUMPUR: Ireka Corp Bhd has acquired parcels of land in Kajang and Nilai measuring a total of 48.4 acres for RM47.2 million to build houses and mixed-use industrial properties with a gross development value (GDV) of RM700 million.

Its group managing director Lai Siew Wah said on Thursday, Sept 22 that the 27.8 acre land in Nilai worth RM24.8 was earmarked for a housing project worth RM260 million in GDV.

Meanwhile, the 20.6 acres in Kajang worth RM22.4 million has been earmarked for the purpose of mixed-use industrial development and has a GDV of RM250 million for the land in Bukit Angkat and RM180 million for the land set to be developed in the centre of Kajang.

Lai said the company remained optimistic of the prospect of Malaysia's real estate market in general.

"We see strong growth opportunities in certain sectors like modern industrial parks and the mid-market residential and commercial, where Ireka can leverage on its current development expertise of providing unique and innovative products" he said.

Lai said the projects would commence next year with expected earnings to come in after 2013.

Ireka's order book as at end of Aug 2011 stood at RM1.2 billion of which RM370 million remains outstanding, he said.

Ireka's total land bank is 65 acres including the newly acquired lands in Kajang and Nilai.

Lai said the company had not worked out the total value as it plans to phase out a few of the lands.