RM2.5b Pantai Sentral Park township to be launched end-June

KUALA LUMPUR: IJM Land Bhd, the property development arm of IJM Corp Bhd, together with its joint-venture partner Amona Development Sdn Bhd, will launch a 58-acre (23.4ha) township project called Pantai Sentral Park in Bukit Kerinchi here by the end of this month, which has a gross development value (GDV) of RM2.5 billion.

IJM Land chief executive officer Datuk Soam Heng Choon said the project will be divided into 13 phases, out of which seven will be residential and six commercial.

“Upon completion in 10 years to 15 years, the township will accommodate a population of 15,000. Phase 1 of the development known as Inwood Residences, will be completed in 3½ years,” he told a media briefing at the unveiling of Pantai Sentral Park yesterday.

Inwood Residences will feature 211 condominium units in a 38-floor block.

To make the project more attractive, the IJM Land-Amona joint venture will invest some RM50 million to build a 1km direct access ramp from Pantai Sentral Park to the New Pantai Expressway (NPE) and other connecting roads.

“A ramp will be built to connect the development with NPE to ensure ease of accessibility. The investment of RM50 million will be internally generated,” Soam said.

Apart from Pantai Sentral Park, Soam said IJM Land’s current ongoing projects include The Light in Penang, Shah Alam 2 in Selangor, Seremban 2 in Negeri Sembilan, and Nusa Duta in Johor, which are expected to drive the group’s sales and revenue growth for the current financial year ending March 31, 2015 (FY15).

“With an unbilled sales of about RM2 billion, we expect to deliver satisfactory performance for the new financial year (FY15) based on current projects,” he said, adding that the group’s current landbank of 4,700 acres has a GDV of RM30 billion.

On market talk that IJM Land may be privatised by IJM Corp, Soam said: “The rumour has been circulating for quite sometime. Ultimately, the decision lies with our parent company and the board.”

He added that his main focus now is to deliver value to shareholders.

IJM Corp holds a 64.16% stake in IJM Land.

For FY14, IJM Land saw its net profit increase 2½ times to RM533.23 million from RM215.06 million, on higher revenue contribution from its property development segment of RM2.01 billion.

Meanwhile, Amona Development is the property and construction arm of conglomerate Amona Group of Companies.

According to its executive chairman Datuk Othman Ahmad, the group — which has interests in maritime, telecommunications, energy, green technology, and infrastructure — has delivered more than RM600 million worth of property developments in the country.

This article first appeared in The Edge Financial Daily, on June 6, 2014.

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