Sunway Property to launch RM1.7b GDV worth of projects

KUALA LUMPUR: Sunway Property, the property division of Sunway Bhd, revealed its key launches for this year in the Klang Valley, Penang, Ipoh and Johor, which amounts to around RM1.7 billion in gross development value (GDV), at a media event yesterday.

According to Sunway Bhd’s managing director of property development (Malaysia and Singapore), Sarena Cheah, the launches will be in Sunway South Quay, Sunway Velocity and Sunway Damansara in the Klang Valley; Sunway Wellesley in Penang, Sunway City Ipoh in Perak, and Sunway Iskandar in Medini, Johor.

The company will be launching the first landed homes within the 1,800-acre (728ha) Sunway Iskandar integrated township this year. The township commands a GDV of around RM30 billion. Last year, they launched Citrine, its maiden project in Sunway Iskandar comprising serviced apartments, offices and a retail podium with a GDV of RM300 million.

“We are holding back the retail as we want to hold back strategic assets to ensure that a longer-term value of the whole township is kept,” Cheah said.

Meanwhile in the Klang Valley, Sunway Velocity will see the launch of a 5-storey office block and 3-storey retail shops within the development. It will also be completing the RM1.6 billion Sunway Velocity Shopping Mall. The Sunway Velocity’s V-Residences Suites and V-Residence 2 within the development recorded sales over RM480 million last year.

According to Cheah, the company is targeting to achieve RM1.7 billion in sales this year.

“Besides the launches within its integrated developments, the company’s strategy will be to solidify its property investment offerings to strengthen its position as a master community developer,” said Cheah.

The company’s property investments, which amounts to RM2.6 billion GDV includes Sunway University’s academic block, Sunway Medical Centre 3, Pyramid Tower West and Sunway Velocity Mall. All the properties will be completed this year except for Sunway Medical Centre 3, which will be completed in early 2017.

Sunway Property currently has RM2.6 billion investment properties under construction, which are expected to be completed within the next two years. The division’s unbilled property sales of RM2.8 billion as of Dec 31 last year, combined with its remaining land bank of 3,362 acres of RM49 billion GDV will keep the property division busy in the next 12 years.

“Sunway Property and its communities have both thrived on co-investment partnerships, which are derived from our unique business model, build-own-operate. As Sunway retains an interest in the townships and integrated developments we build, we are able to assure our investors consisting of both homebuyers and business owners that we will perpetually grow the developments, leading to assured gains in footfall and capital appreciation for all,” she said.

This article first appeared in The Edge Financial Daily, on March 6, 2015.