EcoFirst acquires lands in Sg Buloh for RM70mil

KUALA LUMPUR: EcoFirst Consolidated Bhd’s unit, Opal Horizon Sdn Bhd has acquired seven parcels of land in Sungai Buloh from Radiant Nature Sdn Bhd for RM70 million.

In an exchange filing today, the property developer has entered into a conditional sale and purchase agreement with Radiant Nature to acquire the land.

The strategically-located land parcels are intended for a mixed development project slated to commence by the end of 2021.ADVERTISING

EcoFirst said the gross development value (GDV) for the land might be more than RM550 million based on the zoning approval.

The company said RM49 million of the land cost will be paid in cash and the remaining will be through an issuance of new ordinary shares worth RM21 million.

Group chief executive officer Datuk Tiong Kwing Hee said the land is one of the most sought-after lands in Klang Valley, as its location is within 400 meters away from the Damansara Damai Mass Rapid Transit (MRT) Station.

“As the land is categorised as Transit-Oriented Development (TOD), it enjoys a higher plot ratio up to a maximum eight compared to a normal commercial plot ratio of four.

“We intend to utilise the land for a mixed development, which comprises retail shops and residential apartments,” he said.

TOD refers to the urban planning and design strategy that brings housing, amenities, jobs and services together around public transportation systems.

It creates a significant population catchment area which would naturally translate into a high demand for residential and commercial properties.

“This land acquisition is in line with the group’s strategy and expansion plan for earnings sustainability, following the completion of Liberty @ Ampang Ukay, Phase one of Ampang Ukay flagship development.

“Taking cognisant of the prevailing uncertainties in the current environment, our corporate strategy moving forward is to broaden our product offerings to support future growth and build business resilience,” said Tiong.

Tiong expected the market to continue its path towards recovery with the global economy gaining steady progress momentum following the recent Covid-19 vaccines roll-out.

“From mid-2021 onwards, we expect to launch the project in Cahaya SPK, Seksyen 9, Shah Alam (U9), followed by the Phase 2 of Ampang Ukay development.”

“Shah Alam (U9) project is an RM311 million GDV mixed development project, comprising 4 blocks featuring 1,098 SOHO residential units, along with commercial and retail shops, supermarkets, and business space.”