The construction firm told Bursa Malaysia that the land had good development potential and prospects and the proposed acquisition was in line with the TSR group’s future expansion plan to strengthen its presence in property development in the Klang Valley.
TSR Mix Sdn Bhd, a unit of TSR, on Tuesday entered into a conditional agreement with Meer Sadik and Datin Sri Zarida Noordin to acquire their entire paid-up share capital of Satu Kahwin Sdn Bhd (SKSB), which owns the 5,078 sq m freehold land on which the proposed commercial project will be sited, for RM48.1mil.
The amount includes the redemption of the outstanding term loan facility of RM11.39mil, which was obtained by SKSB to part finance the initial purchase of the land.
TSR Capital said the land had secured a development order approval from the Petaling Jaya City Council for a proposed development of two blocks of office tower comprising 19 storeys and 11 storeys together with four storeys of basement carparks.
“TSR currently intends to partially sell/ or lease the buildings to be developed on the land, where 70% of the lettable space is targeted to be sold and the remaining may be kept for rental income and capital appreciation,” it said.