KUALA LUMPUR: Mah Sing Group Bhd is buying five acres of leasehold land in Setapak, Kuala Lumpur, for RM89mil, marking the group’s second land deal this year.
The land has three frontages facing Jalan Usahawan 5, Jalan Kilang and Jalan Usahawan 6, and is 600m off Jalan Genting Kelang which is a major trunk road.
To be named M Astra, the new acquisition is about 3km from the group’s M Adora in Wangsa Melawati and is targeted for registration of interest in the third quarter of 2021.
M Astra, which has a gross development value (GDV) of RM618mil, will be a mixed development comprising two blocks of serviced suites.
The project plan is to include three-bedroom and four-bedroom units, with built-ups from 850 sq ft to 1,030 sq ft, and will be priced from RM399,000. It will also have retail lots and drive-through food and beverage outlets.
“M Astra is our first pocket land acquisition since we acquired M Oscar, M Luna and M Adora in 2019. All the projects were subsequently launched within seven to 12 months and we are targeting to do the same for M Astra.
“The land acquisition of M Astra is timely as we foresee that the recovery of property market is gaining momentum and we wanted to be ready to seize the opportunity to meet the home buyers’ need for affordably priced projects, ” said Mah Sing founder and group managing director Tan Sri Leong Hoy Kum.
M Astra is within the vicinity of mature neighbourhoods such as Danau Kota, Desa Setapak, Setapak Jaya, Wangsa Maju, Taman Melati, Titiwangsa and Setiawangsa. They are highly accessible via major highways and trunk roads.
Located just 6.6km from KLCC, the mixed development has excellent connectivity via Jalan Genting Kelang (600m), Middle Ring Road 2 (2.8km), Duke Expressway (3.1km), Jalan Tun Razak (4.8km) as well as the Setiawangsa Pantai Expressway (1.4km), which is under construction.
The project is only 2.1km away from Wangsa Maju light rail transit (LRT) station and 2.2km away from Sri Rampai LRT station.
“We believe that first-time home buyers and upgraders from the surrounding areas who want to stay near the central business district will find M Astra very attractive.
“It is surrounded by ready amenities such as primary and secondary schools, educational institutions, public transport, shopping malls, and hospitals. We are confident that M Astra will be another successful project, just like M Adora in Wangsa Melawati, which is about 3km away.
“M Adora has received a take-up rate of 73% for its two towers in less than 10 months from its launch last year. The group also had a successful commercial project named StarParc Point nearby, which was launched in 2009 and fully sold out, ” added Leong.
The land acquisition of M Astra will increase Mah Sing’s land bank to 2,081 acres, with total remaining GDV and unbilled sales of RM25.26bil.
In a statement, the group said it has a strong balance sheet with cash and bank balances and investment in short-term funds of RM1.16bil as at Dec 31,2020, and will continue to scout for more strategically located land parcels which suit its fast turnaround business model, with Greater Kuala Lumpur and Klang Valley being the focus areas.
As for Mah Sing’s 2021 sales target, 91% of the properties are priced below RM700,000 and 51% are below RM500,000.