The Edge Property Malaysia

Consortium of SGX-listed companies to franchise Hilton hotel in UK

SINGAPORE (April 7): A consortium of locally listed companies have entered into a franchise agreement with hotel chain operator Hilton to build a 192-bedroom hotel in Leeds, UK, to be operated under the Hampton by Hilton brand.

Operations are expected to start in late 2019.

The consortium comprises four companies, namely: property developer Heeton Holdings; construction group Lian Beng; construction, property development and property investment group KSH Holdings; as well as ground engineering specialist Ryobi Kiso.

In a jointly-issued release on Friday, the companies explain that the new hotel is part of the first phase of a “new landmark regeneration project being developed by the consortium that is currently under construction”.

Says Choo Chee Onn, executive chairman and managing director of KSH: “With Hilton’s management expertise and extensive network, coupled with the development’s strong locational attributes in Leeds’ city centre, we believe the hotel will resonate well with both leisure and business travellers upon its launch.”

“We are pleased with the progress of our joint hotel development in Leeds, and are delighted to have crossed another highlight in the development process. Having Hilton, a world-renowned brand in hospitality on board, will definitely lift the stature of our new hotel,” adds Lian Beng’s executive chairman and managing director, Ong Pang Aik.

Shares of Heeton, Lian Beng, KSH Holdings and Ryobi Kiso closed at 42 Singapore cents, 61 Singapore cents, 74 Singapore cents and 19 Singapore cents respectively. — theedgemarkets.com.sg

from TheEdgeProperty.com http://www.theedgeproperty.com.my/content/1114799/consortium-sgx-listed-companies-franchise-hilton-hotel-uk

Ekovest buys lands for RM26.77 mil to develop EkoQuay project

KUALA LUMUR (April 7): Ekovest Bhd through its subsidiary Ekovest Properties Sdn Bhd has purchased two parcels of freehold land from substantial shareholder Lim Seong Hai Holdings Sdn Bhd (LSHHSB) for RM26.77 million.

The first parcel of land measures 2,403 square meters and is located at Lot 256, Seksyen 85, Bandar Kuala Lumpur.

The second parcel of land, measuring 2,290 square meters, is located at Lot 326, Seksyen 85, Mukim Kuala Lumpur, Tempat Setapak, Daerah Kuala Lumpur.

Ekovest Properties said it intends to combine the lands together with its existing land bank to undertake its mixed commercial development project called EkoQuay, which shall commence works in 2018.

The development will be built on a combined 2.75 acres of land, it said in a statement to Bursa Malaysia today.

It said the acquisition is expected to be financed via internally generated funds and borrowings in the proportion of 30% to 70%.

Barring any unforeseen circumstances, the acquisition is expected to be completed in the third quarter of 2017, it said.

Ekovest shares closed down two sen or 1.45% lower at RM1.36, bringing it a market capitalisation of RM2.91 billion. — theedgemarkets.com

from TheEdgeProperty.com http://www.theedgeproperty.com.my/content/1114789/ekovest-buys-lands-rm2677-mil-develop-ekoquay-project

Bowie’s former apartment on sale in New York

David Bowie

NEW YORK (April 7): Rock legend David Bowie’s former apartment in New York, complete with views of Central Park and his piano, is up for sale for US$6.5 million (RM28.83 million).

Bowie and his model wife Iman lived in the apartment from 1992 to 2002 when they moved to the more bohemian Soho neighbourhood, where the rocker died last year after a secret battle with cancer.

Real estate agency Corcoran listed the ninth-floor condominium at 160 Central Park South, which includes three bedrooms and a Yamaha piano played by Bowie.

The area on the bottom edges of Central Park is one of the most exclusive in New York and is a short walk from institutions including Carnegie Hall and the Museum of Modern Art.

Bowie — whose storied career included taking the persona of a rock alien and challenging definitions of sexuality — had a comparatively conventional life in New York with Iman and their daughter, born in 2000.

In his final years in Soho Bowie frequented a nearby bookstore and walked to a studio to record his final album Blackstar, which came out two days before his death at age 69.

from TheEdgeProperty.com http://www.theedgeproperty.com.my/content/1114595/bowies-former-apartment-sale-new-york

Amanahraya REIT redesignates COO Noorbaizura as CEO

KUALA LUMPUR (April 7): Amanahraya Real Estate Investment Trust (Amanahraya REIT) has redesignated its chief operating officer (COO), Noorbaizura Hermeyney as chief executive officer, effective yesterday.

Noorbaizura, 37, was COO with the trust for two years. She was previously Head of Investment of Amanahraya REIT for three years.

She was previously with Naza Group, KLCC Property Holdings as well as Ernst & Young Malaysia.

She holds an accountancy degree from Universiti Teknologi MARA and is an Association of Chartered Certified Accountants (ACCA) graduate. — theedgemarkets.com

from TheEdgeProperty.com http://www.theedgeproperty.com.my/content/1114534/amanahraya-reit-redesignates-coo-noorbaizura-ceo

Majuperak sells part of Kinta landbank for RM17.72 mil

KUALA LUMPUR (April 7): Majuperak Holdings Bhd is disposing of two plots of leasehold land measuring 664.78 acres in Kinta, Perak for RM17.72 million cash, the company announced yesterday.

The plots are being sold by Majuperak’s wholly-owned subsidiary, Syarikat Majuperak Bhd, via open tender to Wawasan Amanjaya Sdn Bhd, which will use it for an integrated farming project, Majuperak said.

The net book value of the asset is listed as RM81,817 as at Dec 31, 2016.

“The proposed disposal would give an opportunity to a bumiputra company to venture into integrated agricultural industry,” the company said.

The agricultural lands — part of 1,053 acres owned by currently owned by the Majuperak in Mukim Tanjong Tualang, Kinta, Perak — were acquired by the group for RM175,368 back in 1997, it said in a filing.

Majuperak said it will use proceeds from the sale for group working capital, it added, and to finance its various property development projects in Perak.

It expects to complete the disposal in six months.

Shares of Majuperak gained half a sen yesterday to close at 36.5 sen, giving it a market capitalisation of RM71.44 million. — theedgemarkets.com

from TheEdgeProperty.com http://www.theedgeproperty.com.my/content/1114528/majuperak-sells-part-kinta-landbank-rm1772-mil

佳居锦囊：五招让房子看起来更宽敞的方法

市区房子面积越来越小已成趋势，不过，只要在装潢上稍微下点功夫，也可以让室内空间看起来更宽敞。

包办多家发展商的示范单位室内设计工作的Linear Design董事经理Cheong W Loong告诉TheEdgeProperty.com，房子面积趋小，就越考验屋主的空间使用与收纳技巧。

“无论空间大小，没人想要房子看起来拥挤且乱糟糟的，因此，室内设计变得更为重要，因为使用正确的方法，可以让室内空间看起来宽敞舒适，”他说。

小房子大空间，可能吗？Cheong W Loong有法宝，不必太大花费，也可制造假象，让房子看起来更大、更宽敞。

镜子妙招

镜子不只是爱美人士的最爱，在适当的地方摆上一面大镜子，可以制造假象，让整体空间看起来更大。你可以在客厅或是饭厅，放置一面从天花板延伸到地上的镜子，在镜子的映照下，室内空间会看起来像是增加了一倍。

浅色色调让室内明亮起来

尽量选择浅色的瓷砖，并为墙壁漆上浅色漆料。在选购家居时，也可选择与瓷砖及墙壁相互照映的浅色色调。

这样一来，在光线的照射下，室内空间会变得更为明亮和谐，自然也有放大的效果。不过，浅色色调不是指单一颜色，而是浅色系的搭配，例如白色、象牙色、浅褐色或是浅灰色，都是不错的搭配。

用画作或是装饰制造往上延伸的效果

虽然一些房子的格局较小，但有些室内空间可能会有较高的天花板。

这时，你就可以好好运用这个天花板给予的优势，藉由画作或是装饰，如时钟、壁橱或是镜子，或是摆设一盏由上垂下的长吊灯，让视线延伸到天花板，映照出宽敞的感觉。

对称线条划出空间感

家具的摆设，可以划分出空间格局，让室内空间看起来井然有序。需要注意的是，家具的选择最好是长方形，这样可以更容易制造对称线条。

家具收纳妙招

需要更多收纳空间？不妨使用多功能家具或是无橱门家具，可以让视线延伸，自然就更有空间感。

原文已于2017年2月24日刊登，点此阅读全文。

关于家居设计的文章，请点此阅读更多佳居锦囊妙招。

(编译：陈爱玲)

from TheEdgeProperty.com http://www.theedgeproperty.com.my/content/1111969/佳居锦囊：五招让房子看起来更宽敞的方法

Cuepacs proposes consultative council to monitor house prices

MUAR (April 7): Cuepacs, the umbrella group of civil service unions, has proposed that the government set up a consultative council to monitor the hike in house prices, said its president Datuk Azih Muda.

He said the effort must be immediately implemented as the government needs to monitor prices and not just adheres to prices set by housing developers.

Based on complaints received by Cuepacs, he said, 40% of housing loans which civil servants applied for through banks or the Public Sector Housing Financing Board were rejected due to salaries that did not meet the criteria.

“Currently, with skyrocketing house prices, it is as if there is no control on the matter. Thus, if this persists, civil servants or the public with income below RM8,000 will not be able to buy a semi-detached house or even own their unit,” he said.

He told reporters this at the launching ceremony of the Amalgamated National Union of Local Authorities Employees’ triennial general meeting for the Muar Municipal Council and Muar Kospeta Malaysia Bhd here yesterday.

Azih said Cuepacs also hoped that the government would review in detail the reasons for changing the status of bumiputera units and not easily give approval on the excuse that the housing units could not be sold.

He urged the government to set up a new mechanism by studying ways to ensure that bumiputera ownership houses could be sold, especially to civil servants.

This article first appeared in The Edge Financial Daily, on April 7, 2017.

from TheEdgeProperty.com http://www.theedgeproperty.com.my/content/1114472/cuepacs-proposes-consultative-council-monitor-house-prices

Titijaya sticking to affordable housing

Titijaya Land Bhd (April 6, RM1.77)

Maintain hold with a higher fair value (FV) of RM1.72: We met with the management of Titijaya Land Bhd recently to get the latest updates on the company. We were encouraged by the management’s commitment to continue focusing on the affordable segment, with the majority of its new launches in the financial year ending June 30, 2017 (FY17) and FY18 catering to this particular segment. We believe demand for products within this segment would remain resilient even during the current sector slowdown.

Management has lined up new launches with a total gross development value (GDV) of RM2 billion in 2017. The biggest launch is The Shore@KK in Kota Kinabalu (RM575 million GDV).

As for the long term, it has projects valued at around RM13 billion GDV that are expected to be launched in the next few years, which will keep it occupied until 2027 and provide a sustained earnings visibility to the group.

As at end-first half of FY17 (1HFY17), Titijaya’s net gearing stood at 33%, which provides the company ample room to undertake land banking. Titijaya’s total unbilled sales stood at RM471 million as at end-1HFY17, which would provide earnings visibility to the company for the next two years. The company registered total new sales of RM143.6 million in 1HFY17, supported by its ongoing projects.

One of the unique strengths of Titijaya is its ability to acquire land bank through joint ventures and land swaps with strategic partners, which would minimise capital outlay and land holding cost. We expect the company to hit its sales target of RM300 million for FY17, a flat growth compared to FY16, but still commendable in view of the challenging market conditions.

Titijaya’s proposed renounceable rights issue of up to 614.99 million irredeemable convertible preference shares (ICPS) on the basis of three ICPS for every two existing shares of 50 sen each has a conversion ratio of either 10 ICPS into one share or a combination of one ICPS and cash payment of RM1.485 for one share. This will strengthen Titijaya’s position to fund its ongoing projects and source for landbank.

We resume coverage of Titijaya with a “hold” call and a higher FV of RM1.72 per share, based on a 20% discount to its revised net asset value at RM2.15. — AmInvestment Bank, April 6

This article first appeared in The Edge Financial Daily, on April 7, 2017.

from TheEdgeProperty.com http://www.theedgeproperty.com.my/content/1114470/titijaya-sticking-affordable-housing

MRCB’s foray into India a good move

Malaysian Resources Corp Bhd (April 6, RM1.76)

Maintain buy with an unchanged target price (TP) of RM2.10: Malaysian Resources Corp Bhd’s (MRCB) recent joint venture (JV) with Adani Realty could spur its growth prospects by looking out for higher-margin projects and sharing its expertise in developing transit-oriented development (TOD) projects in India.

Projects developed by Adani Realty such as the upcoming Inspire BKC and Inspire Hub are both located in prime areas of Mumbai with access to public transport such as rail — drawing similar strength to MRCB albeit Adani’s lesser experience. Other property developers in India of similar stature such as Lodha Group and Oberoi Realty have similar project profiles in which MRCB could consider to impart its experience in TOD development.

We prefer MRCB to partner directly with Mumbai Suburban Railway to pass on its expertise. This would open up immediate access to developers with land or development close to the prime locations of Andheri, Bandhra and Mahalaxmi alongside the Western railway line in Mumbai.

Reliance Anil Dhirubhai Amabani Group (Reliance) has partnered with Samsung C&T India Pvt Ltd to build Dhirubhai Ambani International Convention and Exhibition Centre amounting to US$680 million (RM3.01 billion). The project is slated to be completed in the fourth quarter of 2017. Assuming the JV is on a 51%-49% basis on the back of a 9% profit margin, Samsung would stand to benefit US$29.9 million (49%) to its bottom line.

While we can only illustrate a comparable, it is expected that the JV for projects between MRCB and Adani would be formed on the same basis. We reckon that significant impact on earnings will only be meaningful to MRCB should the project clinched be more than US$600 million with profit margin assumptions estimated between 11% and 15.5%.

Given the prospect of TOD projects in Malaysia and India, MRCB shares are still attractive at 19.8 times forward earnings despite trading above its average three-year price-earnings ratio of 10.57 times. We maintain our “buy” call with an adjusted sum-of-parts based TP of RM2.10 per share, suggesting the shares have another 15.2% upside. — MIDF Research, April 6

This article first appeared in The Edge Financial Daily, on April 7, 2017.

from TheEdgeProperty.com http://www.theedgeproperty.com.my/content/1114468/mrcb’s-foray-india-good-move

Melaka-centric developer Yong Tai a diamond in the rough

Yong Tai Bhd (April 6, RM1.55)

Initiate buy with a target price (TP) of RM2.10: Yong Tai Bhd has successfully transformed into a Melaka-centric township property developer via its integrated 138-acre (56.25ha) Impression City with a RM7.7 billion gross development value, featuring the first-of-its-kind Impression Melaka — an iconic tourist landmark that showcases large-scale live cultural music performances.

As the first Impression Series outside China, the Strait of Melaka-fronting Impression Melaka is poised to be a resounding success by tapping into the booming Chinese tourism in Malaysia, which has seen an impressive 11% tourist arrivals compound annual growth rate (CAGR) from 2000 to 2016 (against 1% CAGR for Malaysia’s overall tourist arrivals), making it the third-largest tourist source market. Also, Impression Melaka offers compelling value proposition given its estimated 20% internal rate of return over the 30-year concession, thus transforming Yong Tai into an emerging cash cow with a strong recurring income.

There is great potential in the Melaka property market, which is targeting not just its 900,000 local population, but also over 16 million tourists that visit the World Heritage City annually. Yong Tai’s impressive unbilled sales of RM990 million — anchored by en bloc sales of 262 retail lot units in Impression City for RM873 million — will underpin strong earnings visibility over the next two years. We believe Impression City’s attractive investment merit is under-appreciated by investors, and the official opening of Impression Melaka in February 2018 will be a major catalyst.

Given Yong Tai’s unrivalled competitive advantages arising from its unique tourism appeal and synergistic property product offerings, it is expected to deliver exponential earnings per share CAGR of 57% over its financial year ended June 30, 2016 (FY16) to FY19F (forecast). We envisage long-term earnings visibility for Yong Tai, reflecting the increasingly close Malaysia-China ties. — AllianceDBS Research, April 5

This article first appeared in The Edge Financial Daily, on April 7, 2017.