KLCCP not too worried about property glut

KUALA LUMPUR: KLCC Property Holdings Bhd is not too concerned about the present commercial property glut in some locations.

Group chief executive officer Datuk Hashim Wahir told journalists on the sidelines of the Invest Malaysia 2018 conference that sentiment could turn around soon with the improving global economic indicators that would help absorb the excess supply.

“On the office side, we think we can do it, especially since oil prices are stabilising and going up again. So, we are more confident now,” Hashim said.

The company said it is always on the lookout for assets to acquire to add to its retail portfolio, but that it could not find any so far.

“We are already at RM18bil in our assets under management. Any acquisition must give us capital appreciation and also yield appreciation. So, it is not easy, unless we develop on our own,” he said.

“We are also looking at Menara Dayabumi Phase 3, but have to secure an anchor tenant first. For extensions in the KLCC area, we are building one more office tower and hotel tower with our Qatari partners. This includes a retail extension up to the new MRT station,” he added. Hashim said the underground portion of the KLCC extension is mostly completed and the company is moving into erecting the superstructure now.