KLSE Annoucement: KKB ENGINEERING BERHAD

PROPOSED ACQUISITION OF A PARCEL OF PROVISIONAL LEASEHOLD LAND OF APPROXIMATELY 27.6 HECTARES TOGETHER WITH BUILDINGS THEREON FROM CMS STEEL BERHAD, A SUBSIDIARY OF CAHYA MATA SARAWAK BERHAD FOR A TOTAL PURCHASE CONSIDERATION OF RM32,000,000 TO BE SATISFIED BY THE ISSUANCE OF 16,000,000 NEW ORDINARY SHARES OF RM1.00 EACH (“SHARES”) IN KKB AT AN ISSUE PRICE OF RM2.00 PER SHARE (“PROPOSED ACQUISITION”) On behalf of the Board of Directors of KKB, AmInvestment Bank Berhad (a member of AmInvestment Bank Group) is pleased to announce that the shareholders of the Company had passed the resolution pertaining to the Proposed Acquisition tabled at the Extraordinary General Meeting of the Company held today.This announcement is dated 24 March 2008.

(KLSE 24-3-2008)

Gurney project in Penang may be reviewed

PENANG: The state government will review the billion-ringgit Gurney Paragon project if there are “justifiable grounds”. Chief Minister Lim Guan Eng said the state government would get views from all quarters and welcomes any objection. “We will revisit the projects approved by the previous administration and if necessary, review them if these projects are adversely affecting people’s lives. Raising concerns: Artist impression of Gurney Paragon, a mixed integrated development comprising a shopping mall, high-end condominiums and a heritage building.“The concerns expressed to us by NGOs have been taken into account and we want certain procedures to be complied with, as should be the way the government works,” he said after a dialogue session with members of the Free Trade Zone Penang Companies’ Association yesterday. Lim was responding to calls by the Penang Heritage Trust (PHT) and Bar Council Legal Aid Centre to review and hold an open hearing on the project. Read more

(The Star 25-3-2008)

IJM: Builders to maintain profits

IJM Corp, Malaysia’s second-biggest builder, said the nation’s construction companies will be able to maintain profits for at least two years, dismissing concern that the government’s poll losses will slow spending on public works.Opposition victories in five states won’t hamper IJM’s earnings, managing director Krishnan Tan told reporters today at an investor conference in Kuala Lumpur organised by the Malaysian stock exchange.“It’s not peaking,” Tan said. “Awards may peak but jobs take two to three years to finish so one has to be clear that in terms of revenue spins, they’ll be on for two to three years.”Shares of Malaysian builders including IJM have plunged on fears Prime Minister Datuk Seri Abdullah Ahmad Badawi’s spending plan for roads, bridges and ports may be delayed after the ruling coalition lost its two-third parliamentary majority. The Kuala Lumpur Construction Index has dropped 9.4 per cent since March 8. “Most of the big construction companies already have substantial order books that will take them to two years of earnings,” Tan said. “If there’s a delay, it will be a delay in order-book enhancement. It shouldn’t affect the earnings in immediate terms.”Many of the country’s large construction contracts have yet to be awarded, “so I don’t see how it can peak,” he said, referring to new orders.

New Development: PJ's Section 13 (Part II)

Meanwhile, a consultant familiar with the area believes that the project will do well because of its location. Kim Realty principal Vincent Ng also told theSun that the whole Section 13 area has been zoned for commercial use.“Nowadays Jalan Kemajuan is very much considered a main thoroughfare and with its close proximity to the Federal and Sprint highways, it will be suitable for businesses that are looking for an office away from the city centre, which is getting too crowded,” said Ng.Ng also noted that bungalows along Jalan Kemajuan have been transformed into business premises over the past few years. “Businesses here front the main road and enjoy good exposure. Demand for land here is also on the rise and I believe people are willing to pay more than RM200 psf, depending on the size and location of the site,” he added.As land prices become more expensive in the city centre, Ng also feels that businesses are moving away from the city centre to suburban areas. Citing Damansara Heights as an example, he said rental rates for office space there is in the region of RM5.50 psf.“Rental rates in the Section 13 area are easily going between RM3.50 and RM4 psf, such as those in Jaya 33, which is fully occupied, and 3 2 Square’s tower block,” said Ng, adding that PJCC could command a rental rate of about RM4 psf if it were to be a nicely done up modern building.With the appreciating land cost at Section 13, Ng also felt that it would be a waste to offer industrial properties.

(The Sun 25-3-2008)

More Office space for PJ's Section 13

PETALING JAYA: The Brunsfield Group of Companies is targeting multinational companies who are on the lookout for a Petaling Jaya business address to take up space at its upcoming corporate office-cum-showroom building that will be coming up along Section 13’s Jalan Kemajuan.Its executive director of property development Chan Chee Keong told theSun its central location would ensure the success of its project, known as Petaling Jaya Commercial Complex (PJCC).“The commercial site is also near popular eateries like Restaurant Unique Seafood. Nearby existing and upcoming commercial developments point to the potential of this area as well,” said Chan.Having obtained its building plans and development order approvals recently, construction of the eight-storey project with a gross floor area of 378,172 sq ft and a net letable area of 289,997 sq ft on a freehold 3.48-acre site will start in June. Completion is in 36 months and the developer plans to lease the building enbloc.“We have started the pre-leasing exercise and have received a few enquiries.Such a building will be ideal for businesses that also need warehousing or storage facilities to accompany the office. Behind the main block of PJCC, there is space for such facilities,” he added. The Sime Darby Group and Brunsfield jointly own the site. PJCC will house showroom facilitieson the ground and first levels while the remaining upper floors will be for office use. According to Chan, rental rates are between RM4 and RM4.50 psf.

(The Sun 25-3-2008)

Aseana Prop sees RM2b from Mont' Kiara projects

ASEANA Properties Ltd, listed on London Stock Exchange and 20 per cent-owned by Ireka Corp Bhd, expects to rake in nearly RM2 billion in gross development value (GDV) from two high-end projects in Mont' Kiara.Aseana also plans to launch its first overseas project in Vietnam by year-end, subsidiary Ireka Development Management Sdn Bhd chief operating officer Lim Ech Chan said.The Vietnam venture will be a mixed development of serviced apartment, office and retail lots on a partnership with a local party, Lim said.Aseana should generate RM1.3 billion from the recently-launched Seni Mont' Kiara residential resort and RM380 million from Tiffani by i-Zen condominium project.Seni Mont' Kiara and Tiffani by i-Zen are among a few high-end residential and commercial developments under Aseana at Mont' Kiara."The average price of condominiums at Tiffani by i-Zen is RM630 per sq ft (psf). More than 90 per cent of the total 399 units available have been sold in the past one year," Lim said.Sixty per cent of the project has been completed and the handover of the residentials is expected in early 2009.Lim spoke to reporters after Aseana signed an agreement appointing South Korea's LG Electronics as air conditioners supplier for the Tiffani by i-Zen yesterday."The Seni Mont' Kiara will have an average price of RM750 psf," he added.The Seni Mont' Kiara project, Lim said, will comprise four blocks with a total 600 units of condominium. Read more

(New Straits Times 24-3-2008)

New Development: Laman Rimbunan, Kepong and Taman Hilltop, Sabah

Adnan disclosed in Kota Kinabalu, FHD will be launching a RM31 million high-end development within the exclusive Taman Hilltop. To be called Hilltop Perdana, it comprises 32 semi-dees and two linked bungalows with average built-up area of 4,000 sq ft. With a selling price of between RM869,060 to over RM1 milllion, the launch is scheduled for the 2Q2008.“Taman Hilltop is an established and exclusive area in Kota Kinabalu. We anticipate very good response there,” said Adnan, adding that within the same vicinity, all high-end developments have been fully taken up.FDH, through its subsidiary Rimbunan Melati Sdn Bhd, is currently developing Laman Rimbunan in Kepong, Kuala Lumpur. The mixed development consists of shop offices, 3-storey terraced houses, and medium and low-cost apartments. It is a JV between FDH and Cekap Corporation Bhd, where FDH holds a 55% stake.Spanning over a 100-acre leasehold tract fronting Jalan Kepong, Laman Rimbunan has a gross development value of approximately RM618 million, consisting of six phases. To date, 60% has been developed, comprising 50-units of 3-storey shop offices and 243 units of 3-storey terraced houses. On-going developments include 360 units of lowcost apartments, eight units of 2-storey shop offices, and 148 units of 3-storey Mawar houses.“Response has been very encouraging. Our 3-storey shop offices, 3-storey houses and low-cost apartments have been fully sold. The second phase of our 3-storey Mawar terraced houses have seen a takeup of 95%,” said Adnan.The Mawar houses have built-up of 3,033 sq ft and a lot size of 22 ft by 75 ft. Launched in November 2006, with pricing at RM471,800 onwards, it is expected to be ready by November this year.Launched earlier this month was its third phase, Matahari, comprising 193 units of 3-storey terraced houses with a lot size of 22ft by 75ft and built-ups from 3,025 sq ft for intermediate units and 3,689 sq ft for corner units. Intermediate units are going from RM547,800 while end lots are priced from RM843,800.Adnan said 50% was sold within a week of the launch. The GDV of Matahari is over RM119 million.According to the developer, a Matahari unit features a 700 sq ft junior master bedroom on the third floor. Laman Rimbunan also boasts the use of high quality materials. The Construction Industry Development Board (CIDB) Malaysia, graded the construction quality of the project's first phase (terraced houses) as above average, or 70%.“The property market in Kepong is vibrant," said Adnan, citing an example of some shop offices that were bought for RM1 million in August 2005 and were recently sold (subsale) for RM1.5 million."For our houses, the buyers are mainly owner-occupiers from Petaling Jaya, Kepong and Taman Desa,” he added. FHD is in the midst of securing more lands within Klang Valley, including one in Puchong. The developer will also be looking at collaborations with its sister company, UEM Land, and will continue to either acquire land or possible JVs with landowners.

(The Sun 24-3-2008)

New Development: Taman Desa,KL

KUALA LUMPUR: Faber Development Holdings Sdn Bhd (FDH), a member of Faber Group Bhd, is set to launch two new projects in Taman Desa here and an exclusive development in Kota Kinabalu, Sabah this year. Within its flagship development in Taman Desa, FDH will launch a joint-venture (JV) project with Dewan Bandaraya Kuala Lumpur (DBKL) comprising 40 units of semi-dees and six bungalows with an average built-up of 4,000 sq ft and 7,000 sq ft respectively.The proposed average selling price for the semidees is RM1.4 million, and RM2.85 million for the bungalows. The target launch for the JV is the 2Q2008, Faber group managing director Adnan Mohammad told theSun in an interview recently.“There is also a lakeside condominium in Taman Desa that we plan to launch by the 3Q2008,” he added. The lakeside development would consist of 176 units of luxury condominiums, with an average builtup of 1,279 sq ft. The proposed average selling price is RM400,000.According to the developer, the two developments to be launched in Taman Desa are adjacent to each other.

(The Sun 24-3-2008)

Going for community building concept

INSTEAD of merely building properties, developers should embrace the concept of building communities by envisioning the process from a “community builder’s” viewpoint.
According to Abbey Woods Sdn Bhd chairman and managing director Datuk Wong Choon Kee, this is a more holistic approach to building as the builder evaluates how the development could impact people’s lives as he constructs. “Every developer must optimise construction standards by offering quality facilities, better security measures and higher standard of living, because they are part of the process of building a nation. “Sustainable property development must be practised as we move forward, as we should remember that building is always about the future, and the future is something we borrow from our children. “Developers must start looking seriously into eco-friendly designs and buyers and investors and buyers can support this by making educated purchases,” Wong said. He reminded developers that they have to do their best to provide property buyers with the best value they can possibly enjoy. “The new generation of homebuyers is extremely savvy and hands-on on real estate matters; demanding good craftsmanship, quality designs, prime locations and the best value for every ringgit spent. “As a property developer, I would like to see more innovations in the property projects developed in the country in terms of architecture and design, and emphasis given to quality,” Wong said. He observed that the country would continue to face strong competition “as every other country is racing to pull in foreign real estate investors.” “We have to raise the country's rating in various aspects, including quality of life index and international-standard property offerings. We have to capitalize on our advantages, including having one of the lowest property prices in the region, a comparable cost of living and transparent land and property ownership laws.” Read more

(The Star 25-3-2008)

Abbey Woods focuses on KLCC

VETERAN property marketing guru and developer, Datuk Wong Choon Kee, who recently left Sunway City Bhd after more than seven years helming the company, is still raring to shape the property landscape of Kuala Lumpur and other major cities around the world. “Property is my life – I live and breathe property,” enthused Wong during a recent interview with StarBiz. A strong believer of real estate in the KL City Centre (KLCC) area, Wong's outfit, Abbey Woods Sdn Bhd is teaming up with a few strong financial partners to develop high-end residential and commercial projects in the well sought after address. Datuk Wong Choon Kee“We believe that any property built in the KLCC area will be marketable and tradable. Properties built here have to be high-end branded products with quality finishes and iconic designed facade.” he said. Read more

(The Star 24-3-2008)

Property on investors' radar

GIVEN the volatility in the equity and financial markets since late last year, investors, both retail and institutional, are looking for safer places to park their money. Inflationary pressure also plays a role in where the money goes. Property is an asset class that, in recent times, has entered the radar of investors seeking capital gains, yields or as a hedge against inflation. For example, in tandem with economic growth, the property markets of Ireland and Spain were booming until recently while in metropolises such as Hong Kong, London, Mumbai, New York, Shanghai, Singapore and Sydney, commercial and residential property prices have risen due to their roles as global or regional financial hubs. Read more

(The Star 25-3-2008)

TechnoDex gets RM11.5mil property info system job

PETALING JAYA: TechnoDex Bhd has secured an RM11.5mil contract from Knowledge Base Sdn Bhd to develop a property information management system for the Finance Ministry’s Valuation and Property Services Department. TechnoDex said on Monday the system would provide comprehensive information on Malaysia’s property sector, including supply and demand, market reports and other data to government agencies, property developer via the Internet. The project would be implemented in two phases and it is expected to be completed by May next year. TechnoDex chief executive officer Nigel Lee said the contract would enhance its reputation among government agencies and improve its credentials in bidding for more projects in the private and public sectors. The property information management system would serve as a centre for collecting property data and generate reports including property stock, market status, transactions and rental overview. It would also feature a geographical information system. On TechnoDex’s plan, Lee said the company would also bid for the maintenance and upgrading of the system. “Going forward, we will continue tapping into the growing demand for eBusiness solutions from the private and government sectors, as more organisations realise the benefits in cutting cost and improving productivity,” he said.

(The Star 24-3-2008)