UEM Sunrise Bhd, one of the largest property developers in Malaysia, has received a letter from its shareholder proposing a merger with peer Eco World Development Group Bhd, the company said on Monday.

Its major shareholder UEM Group, in a letter on Friday asked for UEM Sunrise and Eco World to “consider the merits of a proposed merger and to commence discussions”.

“Given subdued macro-economic conditions and market headwinds, we believe that there is a pressing need for industry players to consolidate resources and capabilities to strengthen performance and sustainability,“ the letter said.

UEM Group is wholly-owned by Malaysian sovereign wealth fund Khazanah Nasional, which Refinitiv data shows owns 66.06% in UEM Sunrise.

Eco World also said in an exchange filing that it received a letter from UEM Group proposing the merger with UEM Sunrise. UEM Group does not own any stake in the company.

UEM Sunrise shares rose 12.5% in early trade, while Eco World shares surged 10.13%.

The proposed merger would be carried out via an exchange of shares and warrants in Eco World for new shares and warrants in UEM Sunrise.

If completed, Eco World would become a wholly-owned subsidiary of UEM Sunrise and will be delisted.

Eco World’s projects in Penang

Source: TheSunDaily.my

Sungai Pinang residents and those staying around the Karpal Singh Drive have additional joy when the ground-breaking ceremony of a three-acre neighbourhood park was launched at Lebuh Sungai Pinang 7 as part of a green project by the state today.

Chief Minister Chow Kon Yeow, who planted a Malayana sapling at the site during the ground-breaking ceremony, said the park would enable the residents there to enjoy its recreational facilities.

“The purpose of this project is to turn open space into an urban neighbourhood park equipped with various leisure facilities.

“This is one of the state government’s efforts to increase recreational facilities in urban areas with limited space and land.

“Until today, 69 neighbourhood parks have been built in the northeast district,” Chow said in his speech after being given the honour to officiate the ground-breaking ceremony.

The main plan of the neighbourhood park at Lebuh Sungai Pinang 7

Looking back, he said the state government has started the initiative to transform Penang into a cleaner, greener and safer state some 10 years ago.

Chow praised the Penang Stadium Corporation and Open Spaces (SCOS) for coming up with its pilot project at the Lebuh Sungai Pinang 7 since its formation this year.

He expressed hopes that when the project is ready by July 2021, including 100 car parks, the park is given a suitable name after getting input and that the place would become an attraction.

Chow added that one of the nine components that would be incorporated into the project is the planting of some native Penang trees.

Among other components that would be featured are a Forest Pavilion and Slide, Silver Garden and a Butterfly Garden.

Discussion on the setting up of the neighbourhood park at Lebuh Sungai Pinang 7 actually started on Nov 3 last year with state Sports and Youth Committee chairman Soon Lip Chee and Sungai Pinang assemblyman Lim Siew Khim meeting with Penang SCOS, Penang Island City Council, Penang Women’s Development Corporation and the local residents for feedback and appropriate actions to be taken.

Soon said the state government is committed to providing recreational and sports facilities to meet and improve the quality of life of the people of Penang.

He said on behalf of Penang SCOS, he thanked the Forest Research Institute Malaysia (FRIM) for supporting the project and donating some native Penang trees such as Jelutong tree, Gelugor tree, Ara tree and Penaga Laut tree.

He commended FRIM head of ecotourism and urban forestry programme Dr Noor Azlin Yahya for her assistance and Penang SCOS executive director Mohamed Akbar Mustapha and team for making the project a success.

Lim said the park is built for the benefit of the society and she hopes the residents would take care of its facilities.

“The theme of this park is ‘Our Kampong, Our Pride’. The setting up of this park is also in line with the Penang2030 vision to make the state a ‘Family-Focused Green and Smart State that Inspires the Nation, ” she said in her speech.

Jelutong MP R.S.N. Rayer, who was also present, said with a number of apartments and flats in the area, the park is certainly a special recreational place for children and senior citizens.

He also advised the people to follow the standard operating procedure (SOP) in view of the rising cases of Covid-19.

Source: Buletin Mutiara

LOCATION

For illustration only

The unreleased Bumiputera lots contribute to about 40% to 50% of the country’s overhang numbers, according to Real Estate & Housing Developers’ Association (Rehda) Malaysia president Datuk Soam Heng Choon.

Many completed houses in certain states were unsold because the state governments do not want to release the Bumiputera lots.

“For example, Johor has a 40% Bumiputera quota. Assuming the developer sold 10% of the quota, it still has 30% unsold, and the overhang units get accumulated over time,” he said at the Home Ownership Campaign—Malaysia Property Expo October 2020 press conference yesterday.

The National Property Information Centre’s (Napic) Property Market Status Report for the first half of 2020 (1H20) showed there were 31,661 overhang residential units worth RM20.03 billion, an increase by 3.3% in volume and 6.4% in value from the 30,664 units worth RM18.82 billion recorded in 2H19.

Johor retained the highest number and value of residential overhang in the country with 6,166 units worth RM4.74 billion, accounting to 19.5% and 23.7% respectively of the national total in the period.

It also maintained its reign as the highest serviced apartment overhang state in 1H20 with 73.7% share in volume (15,986 units) and 76.7% share in value (RM14.67 billion), with almost all of these overhang units were in Johor Baru district.

The overhang in the serviced apartment subsector continues to rise and form the bulk of commercial property overhang, recording a total of 21,683 units valued at RM18.64 billion, up by 26.5% in volume and 24% in value against 17,142 units worth RM15.04 billion recorded in the June to December 2019 period.

“Everybody needs to play their roles in trying to resolve this issue. The state government controls the release of unsold Bumi lots, so the state government needs to come in and help the situation. As for government agencies, please don’t build houses in lousy locations,” Soam said.

He added that the divergence between location, type of property and prices contribute to the high overhang number as well.

He said the right product with the right pricing but built at a wrong location could not attract buyers.

Likewise, a wrong product and pricing at the right location would contribute to the mismatch in demand and supply.

By type, Napic said, condominium/apartment formed 51.4% (16,274 units) of the national’s overhang, followed by terraced (29% at 9,187 units) in 1H20.

By price, property between RM200,000 and RM300,000 (6,151 units) formed 19.4% of the unsold units, those priced in the RM300,000-RM400,000 range (4,128 units) accounted for 13% of the unsold stock and units priced above RM1 million (3,966 units) formed 12.5% of the total residential overhang in the period.

Source: TheMalaysiaReserve.com

The second phase of The Light Waterfront project, The Light City held its groundbreaking ceremony, officiated by the Mr. Ong Teng Cheng, Managing Director of IJM Construction Sdn Bhd, and Dato’ Toh Chin Leong, Senior General Manager (Northern Region) of IJM Land Berhad and Director of IJM Perennial Development Sdn Bhd, at Gelugor, Penang yesterday morning.

The Light City is an integrated development situated about 1km from Penang Bridge and about 12km from the Second Penang Bridge, linking Penang Island to the mainland. The integrated development is also about 5 km from Penang’s capital, George Town, 16 km from the Penang International Airport, and is easily accessible via the Tun Dr Lim Chong Eu Expressway and a planned Light Rail Transit system. It consists of The Waterfront Shoppes (TWS) – a retail mall with over 1.5mil in GFA, the largest convention centre in Penang – Penang Waterfront Convention Centre (PWCC), luxurious international hotels and office towers, and residential condominiums – Mezzo and Essence.

Find out more about The Light City

PROJECT LOCATION

An upcoming mixed development by Znen Landmark Development Sdn. Bhd. at Bandar Perda commercial district in Bukit Mertajam. Located near Jalan Perda Utama roundabout, just a stone’s throw away from KPJ Penang Specialist Hospital and Seberang Perai City Council. Neighboring communities include BM City Mall and Metropol, which is still under construction.

This development comprises a 46-storey commercial building, featuring 401 units of serviced residences with rooftop facilities and 7 levels of carpark. There will also be 19 units of shop offices located at the ground level.

The project is still pending for approval. More details to be available upon official launch.

Project Name: (to be confirmed)
Location : Bukit Mertajam, Penang
Property Type : Mixed development
Total Units: 401 (serviced residence)
Built-up Area: (to be confirmed)
Indicative Price: (to be confirmed)
Developer: Znen Landmark Development Sdn. Bhd.
Last Updated: March 2021

Location Map: