Kenanga Wholesale City secures 50% tenancy for leased units

KUALA LUMPUR: Kenanga Wholesale City in Jalan Kenanga, Kuala Lumpur, has secured more than 50% tenancy for its 400 retail units available for lease, according to the developer Kenanga Wholesale City Sdn Bhd on Thursday, July 1.

The fashion mall is scheduled to open in mid-2011.

Speaking to a press conference here after the complex's leasing launch, its managing director Bernard Bong said that there are 800 retail units in Kenanga Wholesale City, with a total net lettable retail space of 500,000 sq ft. Out of the 800 units, half were for sale and the take-up rate was 100% since the ground-breaking ceremony in December 2008.

"For the 400 units sold, 80% of them are owner-occupiers while the remaining are investors. Besides the 400 units for lease, we also have offices and warehouses at Level 16 and Level 17 for lease. We will give priority to the tenants of the retail unit," he added.

The Kenanga Wholesale City comprises a 22-storey building on a 3.2-acre tract with 20 loading bays, eight cargo lifts, a convention area, 1,800 parking bays as well as F&B, banking and logistic outlets.

It has a gross development value of RM1 billion. The development is expected to boost Jalan Kenanga's current estimated collective revenue of RM1 billion per annum to RM2.5 billion per annum.

The developer plans to make Kenanga Wholesale City similar to Korea's popular wholesale fashion mall Dongdaemun is in Seoul. Bong added that wholesale shopping allows tourists and locals to buy more up-to-date products at lower prices.

The leased units are sized from 300 sq ft to 2,500 sq ft, and are priced between RM5 and RM30 psf. Among the tenants the developer has secured are Big Mart Retail & Office Depo Sdn Bhd (authorised distributor of Disney stationery), The Chicken Rice Shop, Factory Outlet Store, Fate Fashion, The Gadgets Shop Sdn Bhd, H&J Fashion Sdn Bhd, Hot & Roll, NAC Collection Sdn Bhd, Old Town White Coffee, RHB Bank Bhd and Wong Kok Char Chan Teng.

The offices and warehouses, meanwhile, have built-up spaces from 505 sq ft.

Kenanga Wholesale City Sdn Bhd is part of the Kha Seng Group, a conglomerate of companies that includes Central market and Viva Home, Malaysia's first one-stop centre for homes.