Sunway and IIB in JV on RM1.2b project

SUNWAY Bhd has entered into a joint venture with Iskandar Investment Bhd (IIB) to undertake a mixed-use development in Pendas, Johor, worth RM12 billion in gross development value.

Harmony Impulse Sdn Bhd, a 60:40 JV vehicle owned by Sunway and IIB, has agreed to purchase two parcels from IIB — a 412.73-acre plot in Pulai called Pendas North Land valued at RM221.28 million and a 366.32-acre plot in Tanjung Kupang called Western Pendas South Land for RM191.45 million.

The project is expected to generate an estimated GDV of RM12 billion over 17 years, Sunway said on Dec 4. With the acquisition, Sunway's landbank in Iskandar Malaysia will increase to 1,558 acres.

IIB, which is a 60%-subsidiary of Khazanah Nasional Bhd, is the master developer of Iskandar Malaysia.

This story first appeared in The Edge weekly edition of Dec 10-16, 2012.