KUALA LUMPUR: Sunway Bhd has signed a privatisation agreement with the Selangor State Development Corp (PKNS) to develop a mixed development on a prime 9.5-acre parcel of leasehold land in Kota Damansara, Seelangor.
The project will be undertaken through a 60:40 joint venture Sunway PKNS Sdn Bhd, with Sunway holding the majority stake.
Sunway property division managing director Sarena Cheah signed the agreement today on behalf of Sunway PKNS Sdn Bhd with PKNS chief executive officer Datuk Mohd Azizi Mohd Zain on behalf of PKNS.
Sunway said the proposed development would comprise serviced apartments and lifestyle retail units with an estimated RM544 million in gross development value (GDV).
It is targeted to be completed in 2025.
The project is surrounded by a host of retail amenities including Sunway Giza, Sunway Nexis and IKEA Damansara, education institutions including Sri KDU and SEGi University as well as healthcare institutions.
Sunway has also targeted to open a healthcare centre in the vicinity in 2022.
The project will add 9.5 acres of land to Sunway’s land bank, providing further visibility to its future earnings.
Sunway’s landbank will now stand at 3,294 acres including land bank in Malaysia, Singapore, China and India with a GDV of RM 56.6 billion.
Sunway’s unbilled sales were RM2.2billion as of March 2019.
Year to date, Sunway has rolled out Sunway Onsen Suites, Sunway Avila, and Sunway Velocity Two. The developments have been well-received, averaging 80 per cent take-up rate.
For 2019, Sunway will look to RM 2 billion of launches.