Naim to develop RM300m mixed project in Kuching

SARAWAK-based Naim Holdings Bhd (Naim), a property developer and construction group, will develop prime land in Batu Lintang, Kuching, into the state's biggest comprehensive mixed development project, costing more than RM300 million.

Managing director Datuk Hasmi Hasnan said the proposed development would be sprawled over 13.597ha and be completed over 20 years.

The project will comprise a four-storey shopping mall with basement car park, office tower block, hotel tower, a 36-storey office tower with basement and elevated carpark, showroom, 18-storey condominium block and a 27-storey high-rise apartment.

"We will incorporate a water theme park, a roof garden and incorporate plenty of greeneries so as to come out with a development that is eviromental friendly and one that the local populace can enjoy and benefit from," he said.
The project will be developed on a joint venture basis between Naim, Sarawak Mosque Welfare Trust Board and Tabung Baitulmal Sarawak.

The three parties signed a memorandum of understanding to facilitate the venture witnessed by Chief Minister Tan Sri Abdul Taib Mahmud.

Hasmi said Sarawak Mosque and Tabung Baitulmal will each have a 15 per cent equity in the project venture while Naim would hold the remaining 70 per cent.

"We estimate employment for more than 2,000 people in the project," he said, without disclosing, when the construction will begin.

By Bernama

[Read Posts...]

Tesco plans 3 more stores in Penang, Kedah

TESCO Stores (Malaysia) Sdn Bhd is expanding its business in the northern region by opening three more outlets in Penang and Kedah within this year.



Tesco Malaysia chief operating officer Tim Golding said the company wanted to bring its Tesco offers to more customers and the new outlets will be opened at Seri Tanjung Pinang in George Town, Penang, and in Kulim and Alor Star, Kedah.

He said the new outlet at Seri Tanjung Pinang is expected to open in June.

The company has invested RM20 million on setting up the leased outlet, making it a long-term tenant at the development, which has been said to be the largest seafront project in Penang's history.

"Tesco Malaysia also has further developments in Alor Star and Kulim, where two more of our outlets will be opening this year. Both projects cost about RM50 million each," he said at the official launch of Tesco Bukit Mertajam at Jalan Rozhan yesterday.

Tesco Bukit Mertajam, which measures 9,000 sq m, opened for business on September 23 last year and is Tesco Malaysia's 36th outlet in the country and Penang's fourth.

Apart from more than 60,000 product lines in fresh food, groceries, apparel, electrical appliances, furniture and health and beauty items, the outlet also features over 50 shop units and 30 pushcart stalls.

Golding said the new Alor Star outlet will be located in the Stargate township, a 124ha mixed development in Tandop.

Tesco Kulim began constructions in September last year in Taman Lembah Impian. The two-storey hypermarket is expected to be completed in the second quarter of this year.

Golding said Malaysia was a fantastic market for Tesco, which plans to open seven to eight new outlets annually. The company is presently in planning stages for the new outlets nationwide.

He added that Tesco Malaysia also boasts a 100 per cent local employment rate, with Malaysians filling various positions in the company across the country.

Tesco Malaysia government relations and legal affairs director Azlam Shah Alias said for 2011, the company would invest an estimated RM500 million.

It was reported earlier this month that Tesco Malaysia has plans to invest RM280 million and open four more hypermarkets over 12 months starting from March, bringing the total number of stores it has nationwide to 40.

Tesco Malaysia started operations here in 2002 with its first store in Puchong, Selangor, and has invested over RM3 billion since. Last year, it recorded RM3.6 billion in revenue.

By Business Times

[Read Posts...]

Mall-in-a-park first of its kind in Malaysia

Two Malaysian actors plan to open a shopping mall within a park in October next year, said to be the first of its kind in Malaysia.



Dubbed an outdoor living mart, the project will occupy a land area of 5.9ha located between Puchong, Seri Kembangan and Putrajaya.

The project, dubbed "Garden Explore", will cover seven major zones of outdoor retailing lots, a plaza and entertainment hall, offices, cafes, restaurants and one petting zoo.

"It's the first of its kind in Malaysia but there have been similar developments in China," said Jack Lim, a director of Green Atmosphere Sdn Bhd, at the launch in Kuala Lumpur yesterday.

Managing director Nick JM Wong, a former actor, controls the firm while Weng Zheng Steel Bhd chairman Tan Ching Kee is the adviser.

Construction work is due to start after the Chinese New Year next year. The company has not set any revenue target for the pioneer project.

"The gross development value of the project is RM20 million and this does not include the land cost which was leased from Tempo Properties Sdn Bhd," Lim said.

He declined to reveal the leasing cost, which runs for 10 years.

A unique feature of the project is that cars will not be allowed into the area. Rather, visitors will have to walk or cycle their way through the mall.

By Business Times

[Read Posts...]

Malls expand and upgrade to stay ahead of the competition

WITH new malls being developed all the time, shopping complexes that have been around a while need to continue to re-invent themselves to keep up with the competition. So what do these malls have to do to stay attractive and be able to pull in the crowds'


Kevin Tan Gar Peng ... ‘We designed the mall in such a way that coming here would be more of an adventure than just a shopping trip.’

The Sunway Pyramid shopping centre, which has been around since 1997, is still being continuously upgraded to keep up with the competition, says Sunway IFM Sdn Bhd retail division chief operating officer Kevin Tan Gar Peng.

Due to demand for added space, we are expanding a section of our mall after Chinese New Year (which falls in early February), he says in an interview.

The upgrade, says Tan, will comprise the addition of three levels of retail space.

There will be another phase of expansion. Collectively, both phases will have a collective gross lettable area of 300,000 sq ft, Tan says, adding that it is too early to reveal the total investment cost for the upgrade.

He says there is always room for improvement at the mall. The Sunway group has already invested some RM550mil in upgrades since the malls first inception.

About RM30mil was spent to upgrade and improve the fly-overs and connecting roads around the shopping centre to improve accessibility to the mall, Tan says.

Sunway Pyramid trumped all entries at this years FIABCI awards to become the Best Retail Development 2010.

Of course, our goal is not to win awards. But winning it is a bonus and a testament to our hard work. Winning encourages us to work harder, says Tan.

He says the mall spends about RM3mil annually to light up the surrounding area of the mall during festive seasons.

According to Tan, the mall has been experiencing full take-up for the past seven years, with current rental rates at about RM10 per sq ft.

This is in spite of the continuous expansion weve been making to the mall.

Compared to other malls in the country, the Sunway Pyramid shopping centre has the advantage of being near a hotel and a theme park namely the Sunway Resort Hotel & Spa and Sunway Lagoon.

Our strategic location provides a choice to people who come here, says Tan.

Arab tourists who come with their families enjoy this option very much. The men like the facilities that the hotel offers. Their children love the rides at the theme park and their four wives can enjoy the shopping lifestyle, Tan enthuses.

The appeal of the Sunway Pyramid shopping mall, especially to the Arabs, could also be because of its Egyptian-inspired pyramid and lion statue at the main entrance.

Tan says the mall is the countrys first themed shopping and entertainment centre.

We designed the mall in such a way that coming here would be more of an adventure than just a shopping trip.

Pulling in the crowds

According to reports, property consultants expect 20 new malls with a combined net floor area of 4.4 million sq ft to be opened this year.

According to statistics by the National Property Information Centre, as at March 2010, there were 49.98 million sq ft of existing retail space within the Klang Valley. A further 7.18 million sq ft is under development and 7.5 million sq ft of new space planned.

Citing data from the Malaysian Association for Shopping and Highrise Complex Management, Tan says there are currently about 300 shopping malls in the country, with half of them in the Klang Valley alone.

The competition (for malls) level in the Klang Valley is great. However (with the global economy picking up), tourist arrivals into the country have increased this year. That helps to support the malls.

However, while the improved economic outlook has seen a tourist influx into the country, other countries, especially Singapore, have been luring Malaysian tourists to their malls, says Tan.

Singapore is aggressively promoting their tourist destinations, such as Resorts World Sentosa, here.

According to statistics from Singapores tourism board website, the number of Malaysian travellers into Singapore increased 40.2% to 95,371 for September 2010 from 68,008 in the previous corresponding period.

For the nine-month period ended September, the number of Malaysian travellers rose 44.5% to 724,528.

According to various reports, the surge in tourist arrivals into Singapore has been attributed to the opening of Resorts World Sentosa and Marina Bay Sands earlier in the year.

Tan adds that with the advent of budget airlines, travelling has become cheaper.

With cheaper flights now, more Malaysians are going abroad but that does not mean that the same amount of foreigners are coming in, he says, adding that local malls need to aggressively market their products or risk losing customers.

Looking forward, Tan is optimistic about the local retail sector. He says that the Governments proposal under Budget 2011 to abolish import duty on 300 goods preferred by tourists is a good move.

The move now makes branded goods more affordable. Now, shoppers dont have to travel overseas to buy such goods, he says.

By The Star

[Read Posts...]

CapitaMalls buys Queensbay Mall

CapitaMalls Asia Ltd is buying Queensbay Mall in Penang for about RM658 million.

The acquisition will be made through CapitaMalls Asia's subsidiaries and an asset-backed securitisation structure.



CapitaMalls Asia will buy about 90.7 per cent of the mall's retail strata area and all its car park spaces, the company said in a statement yesterday.

Queensbay Mall is Penang's largest mall located at Bayan Lepas along the southeastern shorefront of Penang island and about 20 minutes' drive from Penang International Airport.

It is a family-lifestyle mall located at the heart of a 29.57ha prime waterfront integrated development which comprises a hotel, a wide range of residential homes and planned office towers.

It is easily accessible from the north of the island via the Jelutong Expressway and from the south via the Bayan Lepas Expressway.

This will be CapitaMalls Asia's second mall in Penang and fourth in Malaysia.

The other three malls - Gurney Plaza in Penang, an interest in Sungei Wang Plaza in Kuala Lumpur and The Mines in Selangor - are owned through CapitaMalls Asia's stake in CapitaMalls Malaysia Trust.

"Gurney Plaza, which we already own through CapitaMalls Malaysia Trust, and Queensbay Mall are the two best malls in Penang.

"The acquisition of Queensbay Mall, the largest shopping mall in Penang, will substantially strengthen CapitaMalls Asia's market leadership in the state.

"This acquisition signals our ongoing commitment to invest in Malaysia's retail sector for the long-term, following our listing of CapitaMalls Malaysia Trust in July this year," CapitaMalls Asia chief executive officer Lim Beng Chee said in the statement.

By Business Times

[Read Posts...]

CapitaLand unit to buy Penang mall

SINGAPORE: CapitaMalls Asia, a unit of Southeast Asia’s largest property developer CapitaLand, said today it will acquire a mall in Penang, Malaysia, for S$275.6 million (US$209.9 million).

The firm said Queensbay Mall, its fourth in Malaysia, will form the seed asset for its planned RM1 billion Malaysia retail property fund.

“The acquisition of Queensbay Mall, the largest shopping mall in Penang, will substantially strengthen CapitaMalls Asia’s market leadership in the state,” said Lim Beng Chee, CEO of CapitaMalls Asia.

By Reuters

[Read Posts...]

PHB secures anchor tenants for Nu Sentral

Both Parkson and GSC take up about 25 per cent of the 460,000 sq ft net lettable area in Nu Sentral, says Pelaburan Hartanah Bhd

Pelaburan Hartanah Bhd (PHB) has secured two anchor tenants, Golden Screen Cinema (GSC) and Parkson, for its seven-storey retail development called Nu Sentral in Kuala Lumpur Sentral.

Nu Sentral is part of a bigger 2.4ha integrated commercial development called Lot G, being jointly developed by Malaysian Resources Corp Bhd and PHB.

"Both Parkson and GSC take up about 25 per cent of the 460,000 sq ft net lettable area in Nu Sentral," PHB managing director and chief executive officer Kamalul Arifin Othman told Business Times.

The development will also have a 27-storey office building with a net lettable area of 450,000 sq ft.

Lot G, with gross development value of RM1.4 billion, is slotted for completion in 2012. It is set to be one of the developments PHB plans to inject into its recently-launched Amanah Hartanah Bumiputera unit trust scheme.

Kamalul said PHB also was in the final stage of evaluation for the development of an integrated commercial complex on a five-acre site at Jalan Ampang.

"We are talking to several parties now, and looking at starting physical work on phase one in mid-2011," he added.

The development is slotted to have a gross development value of RM1 billion and also to be injected into AHB.

PHB is the sponsor for AHB, a RM1 billion unit trust aimed at increasing Bumiputera participation in the commercial property sector.

The fund enjoys beneficial ownership of five properties, ultimately owned by PHB. They are three office buildings CP Tower, Wisma Consplant in Damansara and 26 Boulevard in Putrajaya; Tesco Setia Alam and an industrial complex in Shah Alam.

Kamalul declined to reveal the terms of the beneficial ownership agreement but said the arrangement maximises the unit trust's income distribution to ensure that unitholders will enjoy a competitive and consistent return from their investment.

Early estimates are that initial returns could be in the region of 6 per cent for the first year of the fund.

By Business Times

[Read Posts...]

KSL City shopping mall set for Sunday opening

Ku Hwa Seng posing with a model of KSL City, which includes two hotel blocks and two 33- storey apartment blocks.

JOHOR BARU: KSL Holdings Bhd will be opening part of its KSL City project development the four-storey retail complex on Dec 12.

Executive director Ku Hwa Seng said the retail complex would be Johor's largest shopping mall with a gross floor area of 880,000 sq ft and 2,800 indoor parking lots.

He said the podium block had 420 retail shops, 50 food and beverage outlets, and eight cineplexes, including two 3D screens.

Ku said the atrium of the retail complex would also house Johor's largest indoor electronic billboard made up of nine 62-inch flat-screen LCD televisions.

Work on other components of the project is progressing well and they are expected to be ready by the end of next year, he said in an interview with StarBiz.

Dubbed one of the biggest commercial complexes in the southern region, the RM500mil KSL City project also houses hotel and apartment blocks.

The project is also the first such development in Johor that combines retail, hospitality and high-rise residential living, similar to those found in Kuala Lumpur and Singapore.

The 1,000-room KSL Resorts Hotel comprises two 20-storey blocks while D'Esplanade Residence @ KSL City offers 346 units two 33-storey apartments blocks.

Glass Tower I and II offer 242 and 104 units respectively with built-up areas ranging from 93.83 to 929.03 sq m that are priced from RM500,000 each.

Our apartments have attracted Malaysians as well as buyers from Hong Kong and Singapore. With the influx of foreign investors to Iskandar Malaysia, we believe they will also snap up our units, said Ku.

He said the project's location in Century Gardens less than 3km from the Johor Baru city centre and the Johor Baru Customs, Immigration and Quarantine complex in Bukit Chagar would be a strong selling point to buyers.

Ku said KSL was confident that the hotel would do well, considering most hotels in the Johor Baru central business district were recording almost 90% occupancy rate.

He said Johor also benefited from Singapore's Sentosa World Resorts and Marina Sands Resorts as Malaysians planning to visit the resorts would probably stay in Johor Baru as the hotel rates in the republic were too costly for the average visitor.

Presently, Singapore is facing a shortage of hotel rooms and the average room rates of S$300 could further increase to S$500 by the time KSL Hotel is completed.

We are planning to have a tie-up with the two Singapore casino operators to provide shuttle bus services from KSL City to the two resorts, said Ku.

By The Star

[Read Posts...]