THE state government may reject applications by housing developers to pay premium in the event they could not build low medium-cost (LMC) and low-cost (LC) units.

State Town and Country Planning, Housing and Arts Committee chairman Wong Hon Wai said the state might reject such applications if they were to involve squatters and relocation issues which were yet to be resolved.

He said the option for developers to pay premium if they could not build the LMC and LC units was stipulated under the new housing guidelines.

The new guidelines, which came into force in May, state that developers will have to pay RM30,000 for each LMC unit and RM40,000 for each LC unit, in lieu of not building them in new housing developments.

“Whether or not a developer can just pay the premium is subject to the state’s approval.

“We need to look into the public’s interest as well,” he said in a statement yesterday.

He added that under the new guidelines, developers also had the option of ‘buying’ the quota from other developers who had built more than the required LMC and LC units.

“However, developers still have to pay the premium to the state but at a 25% discount,” he said.

Wong said the payment by the developers would be used by the state to finance public housing projects.

It was reported on Aug 9 that Penang Gerakan chief Datuk Dr Teng Hock Nan, who is also Penang BN Working Committee chairman, had queried whether the state was collecting premium from developers for not building LMC and LC houses.

Wong said since May, the state had not approved any housing projects under the new guidelines.

He also said a total of 11,596 LMC and LC units had been approved in the state since Pakatan Rakyat took over the government in March 2008.

Source: The Star

GEORGE TOWN: A PKR assemblyman, alleging fraud in the allotment of low-medium cost units, wants assemblymen from Pakatan Rakyat to be involved in the selection process.

Kebun Bunga assemblyman Jason Ong Khan Lee said this was because those who were not entitled were given approval by the State Housing Unit.

“The recipients later sell off the units to make profits. This is causing the price of the units to rise,” he said.

Ong, who is Bukit Bendera PKR division head, claimed the present process of selecting recipients by the State Housing Unit had led to corruption and incompetency.

“The prices of properties are shooting to a record high due to land shortage in Penang.

“The assemblymen are in the forefront when dealing with complaints from the public who can no longer afford to buy properties. So they know best who should get the units,’’ he added.

Ong proposed the selection panel include the 39 Pakatan assemblymen and 11 constituency coordinators overseeing the 11 seats held by Umno assemblymen.

He is the third Pakatan representative to voice complaints over the selection of unit recipients, following reservations expressed by Jelutong MP Jeff Ooi and Balik Pulau MP Yusmadi Yusoff.

Ooi was recently quoted as saying that he had evidence of “black market activities” in the allocation process.

SOURCE: The Star

Bandar Raya Developments Bhd has residential property developments worth about RM6bil in recognisable gross development value (GDV) over the next three to five years, according to the group’s chief executive officer Datuk Jagan Sabapathy.

The group is aiming to deliver property developments worth RM1bil in GDV every year, starting from its financial year ending Dec 31, 2012.

In the Klang Valley, the group’s first phase of the Verdana residential development, consisting of two condominium towers in north Kiara, was launched in July with a take-up rate of more than 70% within a month.

The second phase will be launched in 2012 and the two phases are on 4.6 ha with a combined GDV of RM1bil.

Meanwhile, BluWater, a gated and guarded landed community development in Seri Kembangan, Kuala Lumpur, will be launched in four phases through 2011 and 2013.

Spread over 19 ha of waterside land, BluWater has a GDV of RM700mil.

Also set to launch at the end of this year is a residential development in Medang Serai, Bangsar.

Located on 2.4 ha of prime land in Bukit Bandaraya, this development is limited to 121 units and will net RM900mil in GDV for BRDB.

Plans are also in the pipeline to launch luxury residences in Taman Duta, Kuala Lumpur late next year with a projected GDV of over RM900mil.

“Having been established as a leading developer of luxury developments, primarily in the Bangsar neighbourhood, we are now diversifying into newer locations and different target markets. Our vision is to bring forward this unique cosmopolitan Bangsar lifestyle that we have been closely associated with and further strengthen our brand via intelligent design and inspiring aesthetics,” says Jagan.

Earlier this year, BRDB also entered into a joint venture agreement with Multi-Purpose Holdings Bhd (MPHB) to develop land in Penang as well as Mimaland and Rawang in Selangor.

The joint venture in Penang consists of 32 ha of freehold land to be developed near the Penang International Airport with a projected GDV of RM600mil.

The 130 ha Mimaland project is envisioned as a community set amongst natural water features and has a projected GDV of RM2.2bil while the106 ha Rawang development, with a GDV of RM1.4bil, will consist of landed residential homes and a commercial village. These three joint ventures will be launched at the end of 2012.

Another project to look out for is the 10 ha mixed development in Subang with commercial, retail and residential components, which is due to be launched in 2012 with a projected GDV of RM2bil.

In Johor, the third to sixth phases of The Straits View Residences in the Permas Jaya township will be launched over the next two years, with a GDV of RM188mil.

The area will also see the launch of three-storey shop offices with a GDV of RM61mil later this year.

Elita, the final phase of The Straits View Condominium, was recently launched with a GDV of RM89mil.

BRDB also has an agreement with UEM Land Holdings Bhd to jointly develop Puteri Harbour in Nusajaya, Johor as a prime waterfront destination for the region.

To be developed in six phases over seven years, the 44ha development in Nusajaya is expected to have a GDV of RM2.3bil with the first phase scheduled to commence next year.

SOURCE: The Star

KUALA LUMPUR: Mah Sing Group Bhd won big at the NST Property Awards last night.

Group managing director/group chief executive Tan Sri Leong Hoy Kum was named Property Man of the Year and the group bagged the Best Lifestyle Developer award.

Held for the second time, the NST Property Awards saw the newspaper's property section, Property Times, honouring five nation builders at the Editor's Choice Awards.

The categories were Best Economic Redevelopment Zone, Best Broadband Utility, Best Property Management Company, Best Project Management Company and Best Real Estate Investment Trust. The recipients were Sepang Gold Coast, Telekom Malaysia Bhd, Sunrise Bhd, Andaman Property Management and Sunway Bhd respectively.

Meanwhile, the second S.C. Cheah Choice Awards, named after the veteran property journalist and NST Property Eyes columnist, saw 12 awards given out.

Recipients included Nadayu Melawati for Best Boutique Bungalow Development; K Residence KL for Best Luxury Residential Highrise Development; Ivory Properties Group Bhd for Best Penang Developer; Sagajuya (Sabah) Sdn Bhd for Best Sabah Developer; Superboom Projects Sdn Bhd for Best Perak Developer; Platinum Park for Best Iconic Development (by Naza TTDI Sdn Bhd); and The Haven Lakeside Residences for Best Resort Condominium (by The Haven Sdn Bhd).

SOURCE: Business Times

EWEIN Berhad is buying Menara IJM Land for RM50mil from IJM Properties Sdn Bhd, a subsidiary of IJM Land Berhad.

In its announcement to Bursa Malaysia yesterday, Ewein said the expected total gross income per annum from the renting of the units and car parks comprising Menara IJM Land was about RM4mil per annum.

“The proposed acquisition will widen and diversify the business activities as well as provide an additional recurrent regular income stream for the group,” according to the announcement.

Menara IJM Land, located on Lebuh Tunku Kudin, next to e-Gate commercial centre and Tesco hypermarket along the Tun Dr Lim Chong Eu Expressway in Penang, has a net lettable area of 94,413sq ft.

Of the total, 91,496sq ft is currently occupied, representing an occupancy rate of 97%.

Menara IJM Land, comprising a 16-storey building and a seven-storey car park, is located on a 46,823sq ft freehold site.

The acquisition is proposed to be funded through a combination of internally generated funds and bank borrowings.

The acquisition of the property is expected to be completed within three months from the unconditional date of the agreement as stated in the announcement.

Upon completion of the acquisition, Ewein will rent to the vendor the office units currently occupied by IJM Properties, as stated in the agreement, for a period of 10 years.
SOURCE: The Star