KUALA LUMPUR: IOI Properties Group Bhd is acquiring Tropicana Gardens Mall in Petaling Jaya for RM680 million.
The seven-storey Tropicana Gardens Mall has a total gross floor area of 2.95 million square feet and a net lettable area (NLA) of 1.05 million square feet with an occupancy rate of 77 per cent.
The mall is connected directly to Surian MRT station and it is accessible via four major highways.
The company said the acquisition aligns with its growth strategy and enhances its footprint in the retail sector.
The acquisition will expand IOI Properties' mall operations within the Klang Valley region, complementing its two existing malls in the area namely IOI Mall Puchong and IOI City Mall, Putrajaya, currently the largest mall in the country at 2.5 million square feet NLA.
The other two malls listed in its property investment segment are IOI Mall Kulai at 264,000 NLA and IOI Mall Xiamen, China at 639,000 NLA.
The group's total retail NLA will balloon to 5.4 million square feet with the addition of Tropicana Gardens Mall.
"The group believes that it will provide a strong recurring income as it follows the successful model of IOI Malls and leveraging onits brand in providing a vibrant lifestyle experience filled with dynamic offerings," said group chief executive officer Lee Yeow Seng in a statement.
The company also completed two major acquisitions namely the 150-room W Kuala Lumpur for RM270 million and the 199-room Courtyard by Marriott Penang for RM165 million.
These two hotels will add 349 room keys to the existing 2,355 (including the joint-ventured JW Marriott Hotel Singapore), totaling 2,704 room keys of all eight hotels under the IOI Properties's hospitality & leisure segment.
IOI Properties said the acquisition of the freehold land in Pantai Kok, Langkawi at RM90.1 million is intended for a proposed hotel development.