KUALA LUMPUR: Melati Ehsan Holdings Bhd plans to undertake a mixed development project on three parcels of land in Bandar Baru Selayang, Selangor, that it bought on Friday for RM77.74mil.
In a filing with Bursa Malaysia, the turnkey contractor and property developer said its unit Bayu Melati Sdn Bhd (BMSB) had signed a conditional agreement to buy the commercial development land, with a combined area of 37,078 sq m, from Aturan Utama Sdn Bhd.
The company said the purchase price would, however, be reduced to RM70mil in the event that the requisite planning approval for BMSB’s proposed commercial development on the land included a condition requiring it to build low cost and/or affordable homes, such as under the affordable housing scheme known as “Rumah SelangorKu”.
The land is currently vacant and is proposed to be developed into a mixed development. The development plans and gross development value is still not finalised as the project is still in the initial planning stage.
“The proposed acquisition is in line with the group’s intention to build up its land bank in strategic locations with high development value,” said Melati Ehsan.
“The proposed acquisition demonstrates the board’s initiative in pursuing growth and sustainability in its business.”