(EW Bhd) and the Employees Provident Fund Board (EPF) will jointly develop 375 acres of prime land in Batu Kawan, Penang into two townships.The combined gross development value of both townships is about RM7.76bil.
EW Bhd, which had inked a conditional subscription and shareholders’ agreement (SSA) with the EPF on Monday said: “The lands will be developed by Eco Horizon Sdn Bhd into two complementary townships, known as Eco Horizon and Eco Sun.”
Eco Horizon Sdn Bhd (EHSB or JVCo) is currently a unit of EW Bhd. Under the agreement, the EPF will subscribe for four million shares or 40% in Eco Horizon and will provide shareholders advances to the JVCo to fund the proposed developments.
EW Bhd will continue to own 60% of the JVCo and Eco World Project Management Sdn Bhd (EWPM), a unit of EW Bhd, will be appointed as the development manager for the projects.
The JVCo will also enter into a brand license agreement with EWPM to enable both Eco Horizon & Eco Sun to be marketed as Signature EcoWorld developments.
EW Bhd chairman Tan Sri Liew Kee Sin, said: “We are truly gratified for EPF’s support as we take on the challenge of transforming the development landscape of the Penang Mainland together.
“This will be our third venture together after two successful projects in the Klang Valley, namely the iconic Bukit Bintang City Centre at the heart of Kuala Lumpur’s shopping & tourism district and Eco Grandeur + Eco Business Park V in Ijok in the North-Western Klang Valley emerging corridor.”
Among those present at the signing of the agreement were EPF CEO Datuk Shahril Ridza Ridzuan, Tan Sri Liew Kee Sin, Eco World Development executive director, Datuk Voon Tin Yow, EPF deputy CEO for investment Datuk Mohamad Nasir Ab Latif and Eco World Development president and CEO Datuk Chang Khim Wah.
Recall that on Nov 15, 2016, EWB and EPF formalised an agreement to jointly develop 2,198 acres of land in Mukim Ijok in Selangor into a mixed residential and commercial development known as Eco Grandeur and an integrated business park known as Eco Business Park V.
EcoWorld’s first JV with EPF was in early 2015 for Bukit Bintang City Centre, a fully integrated inner-city high-rise urban regeneration project which is jointly developed between EW Berhad, UDA Holdings Berhad and EPF.
The 300-acre Eco Horizon is just off the primary interchange linking the Second Penang Bridge to the North-South Highway right opposite the proposed IKEA.
Eco Sun covers 75 acres and it is along Lebuhraya Bandar Cassia close to the Penang State Stadium.
President & CEO of EW Bhd Datuk Chang Khim Wah, said the latest venture in Penang would be its first opportunity for the group to showcase the full spectrum of its development capabilities in Penang.
“The lands’ size and location present a unique competitive advantage - at approximately 375 acres in total, it will allow the Group to offer our Signature EcoWorld gated & guarded strata townships as well as integrated commercial components, which to date has yet to be seen so close to the island,” he added.
Eco Horizon and Eco Sun are accessible from the Batu Kawan Interchange of the North-South Highway via expressway linking to the Second Penang Bridge and thence onto Lebuhraya Bandar Cassia.
Alternatively, it is accessible from the Bukit Tambun Interchange of the North-South Highway via Jalan Bukit Tambun, Jalan Batu Kawan and thence onto Lebuhraya Bandar Cassia.
“EPF’s confidence and trust in EcoWorld will spur us to further improve on our development concepts to create ground-breaking twin townships in the Batu Kawan growth corridor that will capture the hearts of not just the Penang market but also those of aspiring homeowners and upgraders in the Northern Region of Peninsular Malaysia,” Chang said.
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