KUALA LUMPUR (Oct 23): Titijaya Land Bhd said it will receive compensation totalling RM65.25 million over the temporary occupation and usage of its land in Shah Alam for the upcoming third light rail transit (LRT3) project.

The property developer said the compensation will be awarded to its wholly-owned subsidiary, Shah Alam City Centre Sdn Bhd, which is the registered owner of the 65,216 sq m land.

Of the amount, RM7.95 million will be the preliminary rental paid every six months for a period of three years, starting from Nov 1, while subsequent rental would amount to RM39.73 million.

The remaining components of the compensation package are RM16.42 million for preliminary costs, and RM1.15 million in land holding costs.

Titijaya said the compensation was pursuant to the Land Acquisition Act 1960, which allows the government to acquire land from private owners for any public purpose that would be beneficial to the economic development of the country.

The LRT3 is a 37km long rail line undertaken by Prasarana Malaysia Bhd. Featuring 26 stations, it is expected to cut the travelling time from Bandar Utama in Petaling Jaya to Johan Setia in Klang to 58 minutes.

In its website, Prasarana said it is nearing the completion of acquiring relevant land for the upcoming LRT3, targeting to close the land-related deals from early-2016 until end-2017.

Construction of the LRT3 is expected to take 47 months, and full commencement of the service is expected to begin on Aug 31, 2020.