UEM Sunrise stays optimistic on sector

Wong said UEM Sunrise’s projects have a much younger appeal in terms of the name, features and the way the group branded themselves.

PETALING JAYA: UEM Sunrise Bhd is optimistic about the property market as Malaysians continue to purchase property, especially among the younger generations.

UEM Sunrise chief marketing officer Kenny Wong made a comparison saying that in Western countries, people prefer to rent a home compared to buying. However in Malaysia, people opt to purchase a house instead.

He said from at least four different projects that have been undertaken by UEM Sunrise, a large majority of its buyers are below 40 years old.

“I dare to mention that on average, 70% are below 40 years old. For some projects like The Connaught One, 20% to 30% are below 30 years old,” he told StarBiz after the launch of the second phase of Kiara Bay.

Wong said UEM Sunrise’s projects have a much younger appeal in terms of the name, features and the way the group branded themselves.

“We feel we are very poised to take on the market, which is Generation Z and Alpha. Based on data collected, our buyer profile is very young, so we are actually very encouraged by it,” he said.

He added UEM Sunrise had surpassed its original launch target for the year of RM2.5bil in sales and achieved RM2.7bil, which was primarily contributed by its Australian launches.

UEM Sunrise also hit its sales target of RM1.5bil in August 2023, of which Wong said 33% came from central locations, 9% from the southern region and the remaining 58% from Australia.

He said from all three major projects for 2023 combined, namely, The Minh, The Connaught One and Kiara Bay, UEM Sunrise expects a contribution of over RM2bil to RM2.4bil to its revenue.

“We are well on our way to recording another stellar year for UEM Sunrise. Since we have already met our year’s target, for the rest of the year, it’s really to see how much more we can exceed that,” he said.

UEM Sunrise unveiled its next phase for its flagship township in Kepong, named Residensi ZIG, a biophilic-themed residence targeted for multi-generational families.

The 1.36-ha leasehold residence has a total of 1,126 units with three main zones, consisting of a studio unit, a three-bedroom unit, as well as a four-bedroom unit, catering to its buyers’ needs.

Under the RISE series, Residensi ZIG homes are designed as a flexible and agile space for homeowners to shape and shift the space to suit their lifestyles.

With an estimated gross development value (GDV) of RM646.2mil, Residensi ZIG is scheduled to be completed around the fourth quarter of 2027.

UEM Sunrise, together with its joint-venture partner, Melati Ehsan Holdings Bhd, plans to echo the liveability concept of Kiara Bay with a focus on connectivity, community and sustainability.

As for the replanning of Kiara Bay, it will consist of 13 plots of developable land among others and is currently under review by the authorities.

On Sept 11, 2023, UEM Sunrise had announced two transactions involving the Kiara Bay and Iskandar land for a total of RM173.5mil.

Hong Leong Investment Bank (HLIB) Research said the transaction of the two plots of land will help UEM Sunrise to partially fund the development cost and conserve its capital outlay in order to ensure its net gearing remains healthy.

This is due to UEM Sunrise launching several big projects in the Klang Valley in the second and third quarters of 2023 with a collective GDV of RM2.37bil.

HLIB Research is positive on the transactions and sees it as a creative and tactful strategy for the group to minimise capital outlay and maintain a healthy balance sheet, while continuing its expansion activities. It maintained a “sell” call on UEM Sunrise with an unchanged target price of 51 sen per share.

Follow us on our official WhatsApp channel for breaking news alerts and key updates!


Next In Business News

Surging dollar pressures Asian FX; S.Korean won leads losses
China set to keep lending benchmark LPRs unchanged in April
Gold rises as safe-haven appeal boosted by Israel's attack on Iran
MKH Oil Palm IPO oversubscribed by 8.4 times
Bank Negara adds four companies to Financial Consumer Alert list
Nissan cuts annual operating profit estimate by 14.5% on lower sales
Oil surges as reports of Israeli strike on Iran roil markets
Bitcoin slides below US$60,000 on reports Israel strikes Iran
Stocks sink, oil jumps after Israeli attack on Iran
Yinson Production successfully places US$500mil bond issue

Others Also Read