City & Country: I&P plans to sell RM2.5b worth of properties this year

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THIS YEAR, I&P Group Sdn Bhd is planning launches that, together with its unsold stock of properties launched last year, will have a total gross development value (GDV) of RM2.5 billion. The developer is also targeting revenues of RM1.5 billion to RM2 billion, says its CEO Datuk Jamaludin Osman. The upcoming launches will come from its 10 existing townships and projects. Some of the more notable ones are TemasyaGlenmarie in Shah Alam and Bandar Kinrara in Puchong, both in Selangor, he tells City & Country.

New projects

This year, I&P plans to launch a new phase in TemasyaGlenmarie. Phase 8 will comprise a 20-storey block of serviced apartments and strata-titled shops. There will be 160 serviced residences with built-ups of 930 to 1,956 sq ft and priced from RM650 per sq ft. The shops will have built-ups of 1,193 sq ft and be priced at RM750 psf. The serviced apartments and shops, which have a total GDV of RM202 million, will be launched in April.

The company is also building the first four blocks of Phase 6C, which will comprise six blocks of 4-storey commercial buildings with built-ups of 48,906 to 55,604 sq ft. The four blocks are expected to be completed in the first half of this year, says Jamaludin.

According to him, the blocks are intended to be used as showrooms and offices. The building will be available for lease in the middle of this year.

At Bandar Kinrara, the group is launching serviced apartments and retail space in Phase 4D6A, which has a GDV of RM250 million. There will be 380 serviced apartments with built-ups of 650 to 1,280 sq ft and layouts of one, two or three bedrooms. Meanwhile, the retail space will have built-ups of 50,500 sq ft. Prices of the serviced apartments will start at RM600 psf while the retail space will be priced at RM700 psf.

In 2016, the group plans to launch the mixed-use Phase D in Bandar Baru Seri Petaling, Kuala Lumpur. This phase will come up on 11.6 acres of freehold/leasehold land and will be divided into four parcels, namely Phases D1, D2, D3 and D4.

The first parcel to be launched will be D4, which will comprise 670 condos on 6.7 acres. The built-ups will range from 900 to 1,760 sq ft while the layouts will be 2+1 or 3+1 bedroom units. Prices of the condos will average RM600 psf.

The condominium will come with facilities such as a swimming pool, wading pool, children’s play area, barbeque area, reading room, gymnasium, tennis court, basketball court, mini-mart and multi-purpose room.

According to Jamaludin, parcel D4 is awaiting approval from Dewan Bandaraya Kuala Lumpur. It has a GDV of RM260.09 million.

Meanwhile, Phases D2 and D3 will feature 238 units and 244 units of serviced apartments respectively. D3’s units will have built-ups of 600 to 1,250 sq ft.

Both phases will have facilities such as a swimming pool, gymnasium, games room, reading room and café by the pool, he says.

Last but not least is D1. It will house 32 units of 4-storey shopoffices and a 16-storey office tower on a 2.19-acre parcel.

The shopoffices will have built-ups of 1,000 to 3,000 sq ft while the office tower will have 59 strata offices with built-ups of 2,000 to 5,000 sq ft. In total, D1 will have a net commercial area of 221,988 sq ft.

Meanwhile, the developer intends to launch a new town centre in Alam Impian on a 52-acre tract, located next to its 31-acre central park, tentatively in 2018. It will have offices, a retail space, serviced apartments and a hotel, and will be divided into four phases. In total, the town centre will have a gross floor area of 6.9 million sq ft. Its first phase will have a GDV of RM770 million.

“It will have a pedestrian-friendly concept with lush green aesthetic, which will complement the existing nature-centric township. The layout of the town centre is being finalised for submission to the relevant authorities for approval,” says Jamaludin.

No change in strategy

Despite the challenging environment ahead, Jamaludin says the group will not change its course. “There will be no change in our strategy. We are confident of achieving these targets.”

The “strategy” refers to the company’s long-running Mad About Homes campaign to drive sales, in addition to giving waivers on stamp duty and legal fees whenever possible, he adds.

Jamaludin is confident that there will continue to be a market for its core product — landed homes in established townships.

In the pipeline is a new township in Meru, Klang. I&P is in the midst of obtaining approval for this project, which will come up on 400 acres of freehold and leasehold land.

Moving forward, the group will carry on with what it does best — offering landed homes. “We will focus on our bread-and-butter projects,” he says.

First foray into hospitality

I&P recently ventured into the hospitality business with Kinrara Resort, a 3.94-acre resort next to its Kinrara Golf Club, which has an 18-hole golf course and a clubhouse that is open to the public.

The resort features 100 two-storey chalets with built-ups of 273.2 sq m (2,940.7 sq ft) to 629.04 sq m (6,770.93 sq ft) and a villa, says Jamaludin.

Some of the facilities include a swimming pool that runs nearly the full length of the resort, restaurant and banquet hall, gymnasium, convenience shop, karaoke and games room and function space that doubles as a business centre.

According to Jamaludin, there is demand for such spaces from agencies that organise corporate training sessions, seminars and similar functions.

Kinrara Resort is operated by Lotus Nation Sdn Bhd. I&P and the operator have entered into a profit-sharing agreement. However, Jamaludin declines to reveal the sharing ratio.

Since it opened in September 2014, the resort has enjoyed an average occupancy of 85% a month. I&P is eyeing an average occupancy of 90% to 95% a month.

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This article first appeared in City & Country, The Edge Malaysia Weekly, on February 2 - 8 , 2015.