Source: Google Street View

Land 33 Berhad, formerly known as ACME Holdings Berhad, is acquiring a 4,287 sq m freehold property along Cantonment Road in George Town, for RM32.3 million as part of its plans to expand its property development portfolio.

In an announcement to Bursa Malaysia yesterday, the company said its wholly-owned subsidiary, Pacific Horizon Sdn Bhd, had entered into a sale and purchase agreement with Julian Lim Chung Yi, together with Pamela Ong Siew Im and Christy Toh Siew Teng as administrators of the estate of the late Lim Chung Ching, to acquire the property for RM32,301,418.80.

The property, located at No. 3, Cantonment Road, comprises a two-storey bungalow on freehold land measuring approximately 4,287 sq m.

According to the announcement, the property is currently rented out for use as a pre-school education centre operating under the name Tadika Sains Kreatif.

Land 33 said the acquisition would add the property to its existing land bank for future property development. The company cited the site’s location within an established residential area, with access to amenities such as schools, colleges, hospitals and shopping malls, as factors supporting its potential for future development.

The proposed acquisition is also expected to diversify the group’s income streams and potentially contribute to its future earnings and long-term growth, subject to prevailing market conditions and successful implementation.

The purchase consideration will be funded through a combination of internally generated funds and bank borrowings, with the final proportion to be determined later. A 10% deposit of RM3.23 million has been paid to the vendors’ solicitors as stakeholders, while the remaining RM29.07 million is payable in accordance with the terms of the sale and purchase agreement.

The transaction is subject to court approval for the sale and transfer of the deceased’s half share in the property. Land 33 expects the acquisition to be completed within six months, barring unforeseen circumstances.

The company said the acquisition is not expected to have a material effect on its earnings, net assets or gearing for the financial year ending March 31, 2027, although it is expected to contribute positively to the group’s earnings over time.