KSL Medini Development to acquire freehold land from Tropicana GP Views for RM102.94m

Monday, 12 Sep 2022 6:34 PM MYT

KUALA LUMPUR, Sept 12 — KSL Medini Development Sdn Bhd (KSLMD) has entered into a sale and purchase agreement with Tropicana GP Views Sdn Bhd to purchase 10 parcels of freehold land in Pontian, Johor for RM102.94 million.

KSLMD is a wholly-owned subsidiary of KSL Holdings Bhd.

In a filing with Bursa Malaysia today, KSL said the parcels of land, measuring 21.81 hectares (ha), will be used for residential development projects and further enhance its presence in the property market in Johor.

“Once the acquisition is completed, the land bank of KSL Group will be approximately 1,011.71ha in Segamat, Batu Pahat, Muar, Mersing, Johor Baru, Kuala Lumpur and Klang.

“Out of the total land bank, approximately 49 per cent are in the various stages of approval, and approximately 23 per cent are under various stages of development,” it said.

The group said the development project is expected to commence in 2024 and is envisaged to spread over 10 years.

Based on the board’s estimation, barring any unforeseen circumstances, the total gross development value of the project will range from RM345 million to RM395 million; whilst its gross development cost is expected to be around RM188 million.

“Accordingly, an estimated gross development profit of between RM157 million and RM207 million is expected to be derived for the group over the duration of the said development,” it said. — Bernama