PETALING JAYA: MKH Bhd and PR1MA Corp Bhd will jointly undertake a mixed-development project with a gross development value of RM464mil on 8.22 acres in Kajang, Selangor.
In a filing with Bursa Malaysia, the property development, construction and plantation group said PR1MA had allowed its unit, Metro KL City Sdn Bhd, to develop 1,202 units of stratified residential units together with a commercial area on PR1MA’s freehold land over four years.
Metro KL, which will have a 70% share of profit and cost, is expected to make an initial capital and investment outlay of RM38mil, to be incurred for start-up costs and preliminary works.
This will be funded through internally generated funds and/or bank borrowings.
MKH said the project would be completed within 36 months after the fulfillment of all the conditions precedent in the joint-development agreement signed between Metro KL and the statutory body yesterday.
The start of the project, meanwhile, is subject to the conditions precedent being met within six months. Among the conditions is Metro KL must submit to PR1MA a bank guarantee of RM18mil.
MKH said that in view of its strategic location, the project land had a good development potential for housing and commercial units.
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