Acoustech buys Me­laka ser­viced apart­ment project

Group ex­pects RM43.9mil profit from the de­vel­op­ment

The Star Malaysia - StarBiz - - News -

PE­TAL­ING JAYA: Acoustech Bhd has en­tered into an agree­ment with Jaya Ma­pan Sdn Bhd to ac­quire a block of ser­viced apart­ments for a pur­chase con­sid­er­a­tion of RM18mil.

Acoustech is an in­vest­ment hold­ing com­pany with in­ter­est in mak­ing paints, electrical equip­ment and in prop­erty de­vel­op­ment.

Acoustech said in a fil­ing with Bursa Malaysia that the pur­chase would be done via its wholly-owned sub­sidiary Teras Eco Sdn Bhd.

Jaya Ma­pan is the master de­vel­oper of the project.

The pur­chase of the 44-storey block, com­pris­ing 306 ser­viced apart­ments, will be sat­is­fied through a com­bi­na­tion of cash amount­ing to RM8.11mil and shares amount­ing to RM9.89mil at an in­dica­tive price of 43 sen per share.

The build­ing is lo­cated in Kota Lak­samana, Me­laka, and the pur­chase in­cludes all pre-ex­ist­ing struc­tures.

The build­ing, iden­ti­fied as Block C, forms part of an on­go­ing mixed de­vel­op­ment known as The Green with a site mea­sur­ing about 4.38 acres.

The Green is about 3.5 km from the Me­laka City Cen­tre. It com­prises two blocks of lux­ury ser­viced apart­ments, which is Block B, and a 44-storey Block C that will be ac­quired by Acoustech.

There is also a 16-storey ho­tel, known as Block A, 18 re­tail lots and 10 units of 4-sto- rey shop of­fices.

Save for Block C, other com­po­nents of the mixed de­vel­op­ment are cur­rently un­der­go­ing con­struc­tion by Jaya Ma­pan.

Jaya Ma­pan will trans­fer the de­vel­op­ment rights and its in­ter­est in the ser­viced apart­ment to Teras Eco on com­ple­tion of the project. It will also is­sue in­di­vid­ual ti­tles to the res­i­den­tial units to end pur­chasers or pro­pri­etors of the Block C ser­viced apart­ments.

The es­ti­mated gross de­vel­op­ment value and gross de­vel­op­ment cost to be de­rived from the 44-storey ser­viced apart­ments are RM120.9mil and RM77mil, re­spec­tively. The ex­pected profit is RM43.9mil.

Con­struc­tion work is pro­jected to be com­pleted by 2022.

Acoustech said the pro­posed ac­qui­si­tion would give it an op­por­tu­nity to ac­quire the rights for a de­vel­op­ment with good po­ten­tial as the project is strate­gi­cally lo­cated.

“The com­pany will also be able to de­velop the project with­out in­cur­ring ad­di­tional costs as the pil­ing works, build­ing foun­da­tion, podium and car park level have been com­pleted,” it said.

The com­pany will also be able to de­velop the project with­out in­cur­ring ad­di­tional costs as the pil­ing works, build­ing foun­da­tion, podium and car park level have been com­pleted.

Acoustech Bhd

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