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KUALA LUMPUR: UEM Land Holdings Bhd, the master developer of Nusajaya in Johor is wooing investors from countries other than the Middle East.
Its managing director and chief executive Datuk Wan Abdullah Wan Ibrahim said it will send a team to the US next week to present its flagship Nusajaya project to an investor.
"From the recent economic crisis, we have learnt that we can't depend on just having investors from the Middle East. We are looking at investors from other countries and we have received interest from a Chinese investor as well.
"However, they want a big parcel at a cheap price and we are not going to sell cheap... we are selling value," he added.
He was speaking at a press conference on Thursday, Nov 4 after the signing ceremony of two supplement agreements with Bandar Raya Developments Bhd (BRDB).
One of the supplement agreements was a supplement subscription & shareholders' agreement between UEM Land, Ardent Heights Sdn Bhd (a unit of BRDB) and Haute Property Sdn Bhd (a 60:40 JV company between BRDB and UEM Land), while another agreement is a supplement development agreement between Bandar Nusajaya Development Sdn Bhd, UEM Land and Haute Property.
The agreements follow BRDB's acquisition of a 60% stake in Haute Property last July from Dubai World's Limitless Holdings Pte Ltd. As the acquisition was completed on Nov 2, Ardent Heights has replaced Limitless Holdings Pte Ltd's, a unit of state-owned conglomerate Dubai World, entire stake in Haute Property for a nominal sum of RM1.
Ardent Heights will also pay Limitless Holdings RM75 million which the latter had advanced to Haute Property towards partial payment by Haute Property for the development rights of a building project in Johor.
The agreements involve the development of Residential North in Puteri Harbour, Nusajaya. It will be developed in six phases over seven years, with the construction of Phase 1 scheduled to commence in 3Q2011.
Based on a preliminary feasibility study, the proposed 111-acre development is expected to generate a gross development value (GDV) of about RM2.3 billion and a gross development profit of about RM700 million. The GDV was estimated at RM1.5 million on Dec 2007 when the agreement was first signed with Limitless.
BRDB is well known for its developments in Kuala Lumpur's Bangsar enclave, particularly Bangsar Shopping Centre and its township development Bandar Baru Permas Jaya in Johor.
BRDB chief executive officer Datuk Jagan Sabapathy said with its reputation as a premier luxury developer in Kuala Lumpur, it looks forward to replicating its success in Johor with a truly world-class marina development.
"Our collaboration with UEM Land represents a strategic partnership with an organisation that shares our vision and values of creating iconic communities of enduring value. The project will be funded via both internal funds and bank borrowings," he added.
Spanning over 24,000 acres, the freehold Nusajaya is now 35% developed. It is expected to come alive by 2012, Wan Abdullah said.
He added that the property value in Nusajaya has seen impressive appreciation over the last three years. He noted that an industrial lot in Southern Industrial And Logistics Clusters (SiLC), which was sold at RM18 psf in 2007, is now valued at RM35 psf.
Its managing director and chief executive Datuk Wan Abdullah Wan Ibrahim said it will send a team to the US next week to present its flagship Nusajaya project to an investor.
"From the recent economic crisis, we have learnt that we can't depend on just having investors from the Middle East. We are looking at investors from other countries and we have received interest from a Chinese investor as well.
"However, they want a big parcel at a cheap price and we are not going to sell cheap... we are selling value," he added.
He was speaking at a press conference on Thursday, Nov 4 after the signing ceremony of two supplement agreements with Bandar Raya Developments Bhd (BRDB).
One of the supplement agreements was a supplement subscription & shareholders' agreement between UEM Land, Ardent Heights Sdn Bhd (a unit of BRDB) and Haute Property Sdn Bhd (a 60:40 JV company between BRDB and UEM Land), while another agreement is a supplement development agreement between Bandar Nusajaya Development Sdn Bhd, UEM Land and Haute Property.
The agreements follow BRDB's acquisition of a 60% stake in Haute Property last July from Dubai World's Limitless Holdings Pte Ltd. As the acquisition was completed on Nov 2, Ardent Heights has replaced Limitless Holdings Pte Ltd's, a unit of state-owned conglomerate Dubai World, entire stake in Haute Property for a nominal sum of RM1.
Ardent Heights will also pay Limitless Holdings RM75 million which the latter had advanced to Haute Property towards partial payment by Haute Property for the development rights of a building project in Johor.
The agreements involve the development of Residential North in Puteri Harbour, Nusajaya. It will be developed in six phases over seven years, with the construction of Phase 1 scheduled to commence in 3Q2011.
Based on a preliminary feasibility study, the proposed 111-acre development is expected to generate a gross development value (GDV) of about RM2.3 billion and a gross development profit of about RM700 million. The GDV was estimated at RM1.5 million on Dec 2007 when the agreement was first signed with Limitless.
BRDB is well known for its developments in Kuala Lumpur's Bangsar enclave, particularly Bangsar Shopping Centre and its township development Bandar Baru Permas Jaya in Johor.
BRDB chief executive officer Datuk Jagan Sabapathy said with its reputation as a premier luxury developer in Kuala Lumpur, it looks forward to replicating its success in Johor with a truly world-class marina development.
"Our collaboration with UEM Land represents a strategic partnership with an organisation that shares our vision and values of creating iconic communities of enduring value. The project will be funded via both internal funds and bank borrowings," he added.
Spanning over 24,000 acres, the freehold Nusajaya is now 35% developed. It is expected to come alive by 2012, Wan Abdullah said.
He added that the property value in Nusajaya has seen impressive appreciation over the last three years. He noted that an industrial lot in Southern Industrial And Logistics Clusters (SiLC), which was sold at RM18 psf in 2007, is now valued at RM35 psf.
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