THE new growth centre of Pulau Indah looks set to develop into a popular recreational hideout for Klang Valley folk if the developer's plans to tap into the island's natural attractions are realised.
Development has certainly reached the shores of this once swampy mangrove land if the heavy traffic heading for the Westport access road that links the mainland and the island is any indicator.
The completion of Port Klang's West Port in the North-West of Pulau Indah in 1995 has spawned a rapid take-up of the industrial land and buildings offered for sale by Central Spectrum Sdn Bhd.
Development of the industrial park is an important component under the island's development masterplan to turn Pulau Indah into an integrated harbour city which will attract export-based manufacturers to set up their plants here.
Sand filling works using hydraulic pumps are fast under way for the Port Klang Authority's 1,000 acre free trade zone for its scheduled completion in two years. Construction of the Selangor Customs Complex is also under way and is expected to be ready in the middle of next year.
Another access linking the island to the Kuala Lumpur International Airport, Putrajaya and Cyberjaya – the South Klang Valley Expressway – has been proposed.
Central Spectrum general manager Roslan Ahmad said the Government's commitment to turn the island into a free trade and industrial zone would encourage participation of multinational corporations and service providers such as logistics companies and freight forwarders.
The tie-up with Dubai-based Jebel Ali Free Zone International to transform 400ha into a mega distribution hub is expected to spur more value-added activities in Port Klang and attract more investors and logistics service providers.
Development of the residential, commercial and recreational precincts also looks set to take on a faster pace now that LBS Bina Group Bhd is coming in to develop Section 2 and Section 11 of the island.
“There will be 20,000 residential units altogether. Central Spectrum is committed to build about 5,000 units, with LBS Bina building the remainder. We expect the population to grow to 100,000 once the households have moved in,” he added.
He said Central Spectrum's high-end range, comprising mainly condominiums, would only be launched if there was demand.
“We offer buyers a chance to own an island home, and the residents can capitalise on the water-front shores with water sports activities such as jet skiing and fishing activities. Tropical island homes are available under phase 1A and in Section 10 Laguna Park, with classical designs and spacious layout, sufficient for two cars to park. Another 136 units of double-storey terrace houses under Phase 1B will be launched early next month.
“We will preserve 100 acres of mangrove swamp in the island's commercial centre into a wetland, just like the Sg Buloh Woodlands Sanctuary in Singapore,” Roslan said.
So far, Central Spectrum has completed phases 1A and 1B on 800 acres in 1997, with 134 homes delivered to buyers.
The latest launch comprises double-storey link houses near the sea. A specially-designed jetty is being constructed, and would be completed in nine months.
According to LBS Bina managing director Datuk Lim Hock San, the company's involvement in the island's development is to take advantage of the progressive growth towards the south and west of the Klang Valley. “There is an emerging trend for development to spread beyond the immediate neighbouring areas covering Subang Jaya, Puchong, Cyberjaya, Putrajaya, Shah Alam. Klang and Port Klang,” he said.
On the Section 2 parcel, 8,649 properties with a gross development value (GDV) of RM1.18bil will be built and 6,047 units have been planned for Section 11, with GDV estimated at RM1.85bil.
Of the 14,700 properties to be built by LBS, 60% will be terrace houses (priced from RM145,000), 14% apartments (RM72,000), 12% low-cost apartments (RM42,000), 5% semi-detached houses (RM250,000 upwards), 7% bungalows (RM350,000 upwards) and 2% shop houses (RM288,000).
The launch of the initial phases, comprising low- to medium-cost properties, is set for the second quarter next year, while the higher-end sea-front houses in Section 11 will be launched in later phases. Development of the whole township will take seven to eight years.
“We are bullish about the project's potential. Preliminary analysis shows that our stock could be enhanced by RM2 to RM2.50 per share based on 12 times PE. The earnings enhancement potential is conservative given our base case assumption,” Lim said.