Everyone is seeing the potential in property development now, with the growing lack of land in the city. Companies with excellently located factories are demolishing their factories to turn them into mixed developments and well-to-do companies looking to expand their businesses are turning their sights onto the property development industry.
Everyone knows IOI Properties is from the rubber estate industry and that Mah Sing was originally a plastic manufacturer. But what about some of the latest entries into the property market? Check out some of the queerer ones below.
1. Frasers & Neaves (F&N)
“F&N?”, you might be asking. “Aren’t they the manufacturers of Magnolia milk, 100 Plus, Seasons and Fruit Tree?”. Yes you are right, they are. But upon noticing how successful the property development market is; and realising that they own some of the most prime land where their factory sits on; they have decided to turn their eyes to property development.
F&N has demolished their factory in Section 13 of Petaling Jaya, and is looking to launch their RM2 billion mixed development on that plot of land neighbouring Columbia Asia Hospital. The mixed development is being named Fraser Square, and will host a shopping mall, serviced residences, offices - and even a hotel! Its very first phase is going to be Trilight Residences, a serviced apartment comprising of 3 blocks and approximately 900 units.
This project was supposed to be launched in the year 2016, but due to the lacklustre market the company has decided to push the launch date to possibly 2017; but the company is not promising anything yet. The project faces Jalan Kemajuan and Jalan Universiti, and will hence enjoy great accessibility in a great location.
2. Minply Holdings (M) Bhd
Now this is one developer that next to no one has heard about. Their professional history lies in furniture manufacturing, which will certainly give them an edge in partially furnished developments. Aside from that, they also specialise in bus arm rests, car spoiler parts and PU parts. But it is their aforementioned other areas of specialisation that will give them an extra edge (and maybe extra discounts!) in the property development line.
Minply Holdings (M) Bhd also specialises in drawer fronts, furniture manufacturing, interior decoration and renovation. Hence it may seem only natural for them to venture into the property development line as their latest foray.
Minply Holdings (M) Bhd has now been reorganised as Tiger Synergy Berhad and is registered on the stock market as such. Their shares are considered to be rather strong, and they are rolling out four projects in the Klang Valley. While the name of the projects are yet to be revealed, they will be located in Gombak, Alam Impian, Cheras, Seri Kembangan and Bukit Serdang.
3. LTKM Bhd
This is the last of the list and one of the most jaw-dropping developers found so far. Do you like eggs? Even if you don’t, you must have seen these eggs in supermarkets or mini marts on the shelves before.
Now these are some of the country’s favourite eggs. They specialise in Omega Plus eggs, and now even have Selenium Plus eggs!
Well, for fans of these eggs, your favourite egg producer in the country is beginning their foray into the property market! They’ve even received comments such as, “Will we be getting free eggs as part of the sales package?”
But the bottomline is, they will be diversifying their business portfolio into the property development line. They have acquired 4 parcels of adjoining land which totals to 6.385 acres in the industrial area of Seri Kembangan. The lands hold a leasehold title, and are currently occupied by Chip Ngai Engineering Works Sdn Bhd and their sister companies that specialises in skid tanks, dish ends, road tankers, and piping for the petroleum industry among others. This company is a subsidiary of CN Asia Corporation Bhd.
According to the latest updates, LTKM will allow Chip Ngai Engineering Works Sdn Bhd to continue operations on the site for a maximum of 36 months, during which time their mother company CN Asia Corporation Bhd will begin to relocate and regularise their business.
This prime piece of land is located fronting the Kajang Dispersal Link Expressway (SILK), and is located behind the Senja Private Lakeside Estate - the gorgeously exclusive estate of only 278 bungalows, semi-Ds and detached homes.
LTKM Bhd previously had a small scale project in Banting which did not get them much revenue, but the group has decided to further enlarge their property investment business with the 8.5 hectares of land they acquired in Jenjarom in the year 2010.
LTKM will be leveraging on the expertise of their managing director Datuk Tan Kok and chief operating officer Ng Seng Keong’s, of which the former has already completed a residential development in Taman Sentosa, Klang with a gross development value (GDV) of RM42 million between 2005 to 2008, and another residential project in Banting in the year 2005.
The fact that all these developers are looking to delve into the property market shows that the property market is not as stagnant as what the public thinks. The market may be in the slumps right now, but it is strongly believed that it will start picking up in the next couple of years. What do you think? Share with us your opinions below!