PETALING JAYA: Property developer Mah Sing Group Bhd is back on the acquisition trail after a two-year break.
The company is proposing to acquire five pieces of adjoining freehold land fronting the Titiwangsa Lake Garden for up to RM60mil from a private individual.
The property developer whose gearing is almost zero, described the Klang Valley as a market on which it remains bullish.
Mah Sing group managing director Tan Sri Leong Hoy Kum said in a press statement that demand in the Klang Valley remained resilient.
This is due to population and economic growth.
“By stepping up land acquisitions in the Klang Valley with the focus on affordable pricing, we will be in a better position to meet market demand,” he said.
Leong added that the company would be increasing landbank to 75% of overall remaining gross development value (GDV) within the next two to three years from the current 62%.
The company said in a stock exchange filing that a conditional sale and purchase agreement had been signed with Saw Shiuo Shyong@Sonny Saw, the vendor of the land parcels totaling 3.56 acres located along Jalan Beserah, off Jalan Tun Razak and accessible via Jalan Tembeling off Jalan Kuantan.
It said the total purchase consideration of up to RM60mil would be dependent on the development order from Mah Sing obtaining a density of 350 units per acre or more.
“The purchase consideration shall be adjusted accordingly in the event the density obtained based on the development order is lower than 350 units per acre,” the company said.
The company added that a further announcement would be made when the density and the purchase consideration had been determined.
It said the acquisition would allow the company to scale up development in locations with strong growth potential, easy accessibility and ready amenities as well as infrastructure.
Mah Sing said the preliminary plans for the land parcels include a condominium as part of an approximately RM650mil proposed transit-oriented development located 250 metres away from the upcoming Hospital KL MRT station and 1.8km away from the Titiwangsa LRT, monorail and MRT interchange.
It said the indicative price for the condominium units would be from RM485,000 with built-ups from 850 sq ft.
The company said the project would cater to first-home buyers, working professionals, young families and home upgraders seeking to live in the vicinity of Kuala Lumpur’s city centre and close proximity to public transportation.
The proposed acquistion will result in Mah Sing increasing its landbank to 2,328 acres, with total remaining GDV and unbilled sales of RM30.9bil.
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