Monday, 16 January 2017

(The Star) IWCITY unveils plans for newly-acquired land

JOHOR BARU: Property developer Iskandar Waterfront City Bhd (IWCITY) plans to undertake a mixed development project on its newly acquired land bank within Sungai Danga vicinity in Iskandar Malaysia.
Chief executive officer and executive director Calvin Wong said the strategic location off Jalan Sungai Danga here fronting the Johor Baru Coastal Highway would be a strong selling point for the proposed mixed development project.
Located about 10km northwest of Johor Baru city centre, the property is also accessible via Jalan Tun Abdul Razak, Skudai Highway and Perling Expressway before heading to the Johor Baru Coastal Highway.
“We are most fortunate to get the much sought after land within the Sungai Danga vicinity at below market price,’’ he told StarBiz after the company’s EGM last Thursday.
At the EGM, shareholders approved the proposal to issue 30,333,333 and 56,666,667 new ordinary shares at RM0.90 each to part finance and finance the purchase of the two pieces of lands.
Proceeds from the 30,333,333 million shares will be utilised to part finance the acquisition of the 1.72ha land priced at RM39mil, of which RM11.70mil will be paid in cash.
While proceeds from the issuance of 56,666,667 million shares will be used to finance the purchase the other 2.17ha land valued at RM51mil.
IWCITY’s wholly-owned subsidiary Success Straits Sdn Bhd (SSSB) has proposed to buy the 1.72ha land from Malgold Construction Sdn Bhd and the 2.17ha land from Eight Danga Sdn Bhd.
“We expect that it will take about one year to come up with the development plan as well as for submission to the relevant authorities,’’ added Wong.
The demand for for landed properties in Iskandar Malaysia was still good, Wong said adding that the company would not be competing with big developers from China as “we are offering a different type of products.”
“We still have about 404.68ha land bank mostly water fronted in the Tebrau-Plentong growth corridor and this will keep us busy for the next 20 to 30 years,’’ explained Wong.
Wong added that the company was cautiously optimistic on the property outlook in Iskandar Malaysia in the Year of the Rooster due to uncertainties in the global economic growth.
Nevertheless, he said Iskandar Malaysia would continue to be the driving factor to attracting domestic and foreign investors into south Johor despite the challenges.
Wong said the progress and development in south Johor in the past decade was a testimony of Malaysia’s first economic growth corridor.

Iskandar Malaysia which was launched on Nov 4, 2006, had received RM218.84bil cumulative committed investments as at Sept 30, 2016 and targeted to achieve about RM383bil when the economic growth corridor reaches maturity in 2025.