KUALA LUMPUR: Sabah-based integrated property developer KTI Landmark Bhd is bullish about the state's property market, with more residential project launches planned.
Executive director Wilson Loke told a press conference after the company's listing on Bursa Malaysia's ACE Market that a rebound in tourism also drove Sabah's growing property market.
KTI Landmark made a flat debut at 30 sen on the ACE Market of Bursa Malaysia today with 7.6 million shares traded at the opening gong.
Commenting on the flat share price during the debut, Loke said it would not affect the company as it was performing well for the past few years.
"We look at the market for the long run... we understand the property industry is a very challenging sector but the company has remained resilient for the past years, so we would remain steadfast," he said.
The company said in a statement that it had raised RM48 million from its initial public offering exercise to partly fund its acquisition of land for development amounting to RM18 million.
Of the proceeds, RM20.7 million will be allocated as working capital for project development and RM0.3 million to upgrade software and systems.
"A sum of RM2.2 million will be used to upgrade and expand its existing casting yard or industrialised building system (IBS) facility, followed by RM3 million for repayment of bank borrowings and the remaining RM3.8 million for its listing expenses," it said.
The property developer is poised to launch two residential projects with a combined gross development value (GDV) of RM599.6 million by 2028.
Group managing director and chief executive officer Dr Gordon Loke said these upcoming launches encompass a diverse range of offerings including three phases of affordable landed homes in Sandakan, and a mixed development at Ayuria Place, Alamesra in Kota Kinabalu.
He said the three phases of affordable landed homes in Sandakan, a design and build construction project with the Sabah Housing and Town Development Authority, comprises 310 double-storey terrace houses with an estimated GDV of RM107.9 million.
"The remaining RM491.7 million GDV mixed development, Ayuria Place, Alamesra would feature three blocks of 39-storey of 1,269 apartment units between 650 square feet (sq ft) and 1,000 sq ft," he said in a statement.