JOHOR BAHRU: Global Corporate Development Sdn Bhd, a joint venture between Iskandar Waterfront Development Sdn Bhd (IWD) and Danga Bay Sdn Bhd (DBSB), will start work next month on the RM650 million Oakwood serviced apartments and residences in Danga Bay here.

It will involve the construction of a 28-storey tower of serviced apartments called Oakwood Residence Johor and two 38-storey towers of residential units called Iskandar Residences on a six-acre (2.5ha) site.

In a statement on March 5, Global Corporate said the total of 230 fully furnished luxury Oakwood Residence apartments would be leased to locals and expatriates seeking mid- to long-term accommodation, while 523 residential units would be opened for sale.

Oakwood Asia Pacific Pte Ltd, a leading player in the marketing and management of serviced apartments, will manage Oakwood Residence, which is scheduled for completion in 2012.

“The units are expected to be snapped up fast because of their fabulous waterfront frontage, exquisite design and great investment value in view of strong federal government backing for Iskandar Malaysia projects,” Global Corporate said.

Also available would be some 150,000 sq ft of corporate suites for local and multinational corporations keen to set up office within Iskandar Malaysia.

Johor Menteri Besar Datuk Abdul Ghani Othman, who is also Iskandar Malaysia co-chairman with the prime minister, on March 5 witnessed the signing of the joint-venture agreement between IWD and DBSB.

IWD was represented at the ceremony by its chairman Arlida Ariff, while signing on behalf of DBSB was its director Johar Salim Yahaya. Also present as a witness was DBSB chief executive Datuk Lim Kang Hoo, who is also the executive vice-chairman of Main Board-listed Ekovest Bhd.

Ekovest had last year proposed to acquire DBSB for RM1.1 billion, but that had since been terminated.

IWD is majority-owned by Iskandar Investment Bhd, in which Khazanah Nasional Bhd is the largest shareholder with a 60% stake together with the Employees Provident Fund (20%) and Kumpulan Prasarana Rakyat Johor Bhd (KPRJ) — a Johor state government-linked company.

Ghani, who is spearheading the rollout of the Iskandar Malaysia development blueprint, said investor confidence had not waned despite the global economic meltdown.

He said the government had in November last year announced new educational projects in Nusajaya by Newcastle University and the Cempaka International School, while the RM750 million Legoland Malaysia project was unveiled in December.

Ghani said the ceremony also effectively marked the rollout of several other signature waterfront developments planned within Danga Bay.

These include at least three hotel properties, including a six-star hotel, marina, international convention and exhibition centre, office towers and another wet-and-dry theme park. Selling prices for units in Iskandar Residences now start from RM450 per sq foot.