Sunway plans RM1.6bil property launches

Cheah says Sunway’s property arm is approaching this year ‘cautiously and steadily’ due to the challenging market sentiment.

KUALA LUMPUR: Sunway Bhd plans to launch properties with a gross development value (GDV) of RM1.6bil in the Klang Valley, Iskandar Malaysia, Ipoh and Penang.

Last year, the group clinched RM1.2bil in sales, while unbilled sales stood at RM2.3bil as of end-2015.

Managing director of the property development division for Malaysia and Singapore Sarena Cheah said that despite the challenging market, Sunway had enjoyed an average take-up rate of 80% for four of its property launches over the last four months.

She also said that Sunway’s property arm was approaching this year “cautiously and steadily”, due to the overall challenging market sentiment.

“As a long-term developer, we will continue to look out for strategic landbank, and new joint venture opportunities with partners,” she said, adding that Sunway would not launch any new products in Singapore or China as it was focusing on the domestic market at the moment.

Currently Sunway has landbank of 3,304 acres, with a total GDV of RM47.7bil and a development period up to 15 years.

For this year, she said 70% of the launches will be focused in Klang Valley, totalling RM1bil.

Its launches for the central region included 420 units of condominium in Sunway Geo Residences 3, with a GDV of RM400mil, a block of office suites at Sunway Velocity with a GDV of RM200mil, 288 condominium units at Brook Residences, Mont Kiara with a GDV of RM200mil and 259 units of serviced apartments at Sunway Gandaria, Bangi with a GDV of RM200mil.

For the southern region, Sunway planned to launch RM400mil of mixed development in Iskandar, Johor while in Ipoh, the group aimed to launch the Lost World Residences, comprising 262 units of serviced apartments with a total GDV of RM100mil.

In Penang, the developer would be launching 48 units of two-storey semi-detached homes in Sunway Cassia, Batu Maung Phase 3 worth RM100mil.

The Sunway Group is involved in property, leisure and entertainment, hospitality and healthcare.

It maintained property development and construction as its two core businesses and key contributors to profitability.