The last quarter of 2015 saw 15 major land transactions worth a total of RM 11.284 billion, according to the latest Malaysia market research conducted by real estate firm Savills.
It noted that the purchasers were predominantly local developers, with seven sites in Kuala Lumpur, five in Selangor, two in Penang and one in Johor.
The largest transaction was the sale of a 60 percent stake in Bandar Malaysia by TRX City for RM 583 per sq ft (a total value of RM 7.41 billion) to a consortium comprised of China Railway Engineering Corporation and Iskandar Waterfront Holdings during December 2015.
Bandar Malaysia is the proposed re-developement of the Sungai Besi Airport, home to KL’s first international airport, spanning 486 acres in Sungai Besi, Kuala Lumpur and includes the end terminus for the proposed KL to Singapore high speed rail project.
Other major transactions included MRCB being awarded a RM 1.632 billion mandate to regenerate the Bukit Jalil National Sports Complex into a fully-integrated sports hub with sports training facilities, a Sports Museum, Youth Hostel, Convention Centre and retail centre; WCT purchasing a 1.65 acre piece of commercial land in Tun Razak Exchange for RM 223 million; and KWAP, the civil servant retirement fund, purchasing a 0.72 acre parcel of development land at Jalan Changkat Kia Peng for RM 87.92 million.
In Selangor, the largest land deal was the sale of 680 hectares of agricultural land in Sepang by Guocoland (Malaysia) to Putrajaya Holdings in October 2015 for RM 475 million. Around the same period CSB Development Sdn Bhd acquired 53.37 acres of land for a mixed-development site known as Cyberjaya City Centre Development Area No. 1, transacting for a sum of RM 348.75 million or RM 150 per sq ft. CSB Development Sdn Bhd is a joint-venture between MRCB Land Sdn Bhd and Cyberview Sdn Bhd that will undertake the development of Cyberjaya City Centre (CCC) which comprised residential units, retail, hotels and a convention centre.
In Penang, Hunza Properties Berhad acquired 9.7 acres of residential land in Bayan Baru for RM 57.02 million in October 2015, reportedly for an affordable residential development. Ewein Zenith II Sdn Bhd proposed to acquire 4.43 acres of land in Section 1 Bandar Tanjong Pinang in Penang for the sum of RM 162.00 million.
In Johor 33.6 acres of development land in Zone C of Medini, Iskandar Malaysia was acquired by BCB Berhad for a sum of RM 58.53 million or RM40 per sq ft during early October 2015 for the development of commercial shop-offices.
Savills reported the property investment market was also active in Q4 2015. During November AXIS-REIT acquired four units of single-storey detached factories along with some office space (all currently tenanted at a net yield of 7.1 percent per annum) within i-Park Industrial Park, Indahpura, Johor for RM 61 million. In December AmFirst REIT disposed of the 13-storey AmBank Group Leadership Centre to Techvance Properties Management for RM 36 million or RM 623 per sq ft on net lettable area, while Blackrock’s Intermark Mall, part of the Intermark integrated development, was sold to Pavilion REIT for RM 160 million or RM 711 per sq ft on NLA. The mall enjoyed an occupancy rate of 74 percent as of September 2015, and was the second shopping mall acquired by the Pavilion REIT in 2015, da:men USJ shopping centre being the other.
