Waiting for Property Market to Pick Up in Property Development

February 11, 2009 | By admin In Property Investment Market |

While waiting for property market to pick up in property development, Mulpha International Bhd will forge ahead with plans to develop its property projects in anticipation of better demand once the economy and in turn the property market picks up again.

Executive chairman Lee Seng Huang said the group would focus on its Leisure Farm Resort in Iskandar Malaysia, Johor as well as its high-end boutique property development in Bangsar and an office tower in Jalan Sultan Ismail, both in Kuala Lumpur, to enhance its property portfolio.

Mulpha International Bhd is very confident of the quality of their unique property developments and has a strong balance sheet to ride out this storm. However, they remain conscious of capital expenditure and are tailoring the property project timing according to the rapidly changing property market. environment.

Lee said there were a further 600acres to be developed at the RM2.1bil Leisure Form Resorts – a gated resort property development that covers about 1765 acres surrounded by rivers, orchards, parks and a mangrove swamp.

An upcoming property development there includes SPA villas and chalet hotels along the canal. Two villas will be ready soon at the new show village, which will ultimately feature six villas. The pricing of about RM3mil per unit at the Polo Precinct will set new benchmarks in property investment.

In addition, the Bayou Water Village, comprising 213 stratified canal front village homes, will be completed by the fourth quarter. When the property market shows signs of improvement, Mulpha International Bhd will launch our new Precinct 7 consisting of lifestyle landed semi-detached units and bungalows fronting the canal and mangrove reserve.

The property development will have 332 units with a gross property development value (GDV) of RM500mil. Precinct 7 will be the key focus in the fourth quarter as we gear up towards earth-works in the next quarter.

Mulpha International will also expand Bale Equestrian & Country Club’s support facilities to include a full suite of conference facilities, indoor multipurpose sports complex, tennis courts and lap poor.

The group’s proposed seven strata bungalows with a green architectural concept called the “Enclave” with a GDV of RM70mil in Bangsar were scheduled to commence work in the second half of the year.

The project is very niche so there should be sufficient demand to ensure its success, said Lee. On the 28-storey commercial office block in Jalan Sultan Ismail, Mulpha International had obtained the property development order for the 360,000 sq ft office tower, which has GDV of RM450mil. In view of the shortage of prime A + buildings in the city center, we are proceeding with the building plan submission for construction