KUALA LUMPUR (May 22): Property developer UOA Development Bhd will be launching three new projects this year with a combined total gross development value (GDV) of about RM700 million, according to the group’s senior manager Yap Kang Beng.

“We are planning to launch three new projects by December this year, one of which [will be our first venture into] the affordable housing segment which will be located in Selayang,” Yap told reporters after UOA’s annual general meeting here today.

“The GDV for the affordable housing project will be between RM90 million to RM100 million so it will be a smaller project,” Yap added.

He added that the affordable segment is different to the usual middle-range price point of properties that the group has done in the past, saying that the units will cost below RM500,000 each.

“We are also developing a commercial centre in Taman Desa consisting of two office tower blocks called the Desa Commercial Centre,” he said, adding that the GDV for the project will be approximately RM300 million.

The third project is a new development in the township of Bandar Tun Razak, which will also have a GDV of RM300 million, however Yap declined to share further details as the project is currently still in developmental stages

Yap added that the new project launches will occur in the second half of the year.

“Besides the new launches, we will also be continuing the sales of our Sentul Point in Sentul and United Point Residences in Kepong,” Yap added.

The group currently have an unbilled sales amount of RM1.4 billion as of Dec 31, 2016 which Yap said will be recognised over the next four years.

“Some of the projects we are undertaking will take time to complete, so we foresee that the total amount of unbilled sales to be recognised over the next three or four years,” Yap added.

Yap said that the group currently have seven ongoing projects, excluding those that are to be launched this year, adding that the group expects its Southbank Residence, South View Serviced Apartments and Suria@North Kiara to complete construction by its financial year ending Dec 31, 2017.

“Moving forward, we are still going to focus our developments within the Kuala Lumpur area, targeting the middle-cost range residential market, with units priced around RM500,000 each,” Yap added.

“The [property] market sentiment remains soft and we are cautious, however if we focus on the right location and price points, [we believe] there will still be demand,” Yap added.