KUALA LUMPUR: Sime Darby Property Bhd
has launched its second real estate development fund, the New Economy Venture (NEV), securing 100% capital commitment at its first close.
The Shariah-compliant closed-end discretionary investment platform has a fund size of up to RM1.25bil and a five-year fund life.
In a statement, Sime Darby Property said the fund will invest in build-to-suit-to-lease data centres as well as industrial and logistics development projects within Sime Darby Property's key townships in Malaysia.
Institutional investors backing the fund include the Employees Provident Fund (EPF), Lembaga Tabung Angkatan Tentera (LTAT) and Great Eastern Life Assurance (Malaysia) Bhd.
Sime Darby Property will act as the general partner and sponsor of the fund, and has committed RM500.1mil as a co-investor at the first close.
Group managing director and chief executive officer Datuk Seri Azmir Merican said the launch marks a key milestone in the group's growth plans.
"The launch of the New Economy Venture marks a significant milestone in our transformation journey under the SHIFT32 strategy.
“As general partner and manager to the Fund, it will enable Sime Darby Property to diversify its recurring income streams through investment yield and fee-based income from the development of new economy assets such as data centres and warehouses, which are much in demand in the Malaysian real estate market,” he said.
To date, the fund has secured two seed assets located within Elmina Business Park and the City of Elmina. The seed assets account for about 85% of the target fund size and are supported by long-term lease arrangements.
Construction for both assets has commenced and is expected to be completed in the second half of 2027, reflecting the fund’s immediate deployment visibility.
Sime Darby Property said the establishment of NEV aligns with its SHIFT32 strategy, which aims to expand its investment management capabilities and grow recurring income while leveraging third-party institutional capital.
Its investment & asset management division currently manages about RM4.4bil in assets under management, supported by a long-term hyperscale data centre lease that commenced in April 2026.
"The launch of NEV marks an important step in expanding Sime Darby Property's investment and fund management business. We remain focused on delivering long-term value for our investors and stakeholders," Azmir said.
Trading in Sime Darby Property shares was suspended from 9am on Tuesday and will resume at 10am following the announcement.
