KUALA LUMPUR: UEM Sunrise Bhd has revised its sales target to RM1.5bil from RM2bil for 2016 in light of the current scenario in the property market.
“It’s rather conservative but we want to be realistic and not over-promise.
“If there would be a strong recovery in the market this year it would likely happen in the fourth quarter driven by strong sales growth in the Klang Valley,” managing director and chief executive officer Anwar Syahrin Abdul Ajib told StarBiz recently.
The property developer was eyeing land for acquisition in the Klang Valley worth up to RM3bil.
UEM Sunrise was ready to fork out RM500mil this year to enlarge its land bank, and was looking for suitable joint venture partners for township projects.
Anwar said the company could handle the smaller developments but it would prefer to develop the bigger projects with a suitable partner.
“We don’t need to own 100% of the deal,” he said.
“We are looking at building a township like a new Mont Kiara.”
Although buying power is strong in the Klang Valley, houses within the price of RM400,000 to RM500,000 such as Melia Residences in Gerbang, Nusajaya would sell, he added.
UEM Sunrise, the property development arm of UEM Group Bhd, is the master developer of the 9,661ha Nusajaya, which is Malaysia’s first economic growth corridor in Johor and one of the flagship zones in Iskandar Malaysia.
The group owns around 4,200ha in Nusajaya and is currently building homes, waterfront properties, offices, hotels, factories, hospitals and campuses, in a joint venture with several other developers.
Meanwhile, UEM Sunrise is planning to launch an affordable housing project under the Rumah Selangorku scheme in Bangi with average price of RM250,000 this year.