KUALA LUMPUR: EcoWorld Development Group Bhd remains confident of achieving its sales target of RM3 billion for its financial year 2015 ending October (FY15), and its target of RM4 billion in FY16.

Chief executive officer Datuk Chang Khim Wah said EcoWorld’s (fundamental: 0.5; valuation: 0) sales will be driven by launches of new and ongoing projects, as its developments are focused in areas with existing catchment.

“We have given the sales target of RM3 billion, and we are very optimistic [about meeting] that, it’s not an issue. And next year we have a target of RM4 billion.

“We were lucky to have bought our land bank two years ago. When we bought the land bank, it was all located very close to highways and trunk roads. Each and every project already has catchment nearby,” said Chang.

He highlighted that EcoWorld’s Eco Sky project in Jalan Ipoh, Kuala Lumpur, for example, is in the vicinity of a KTM station and a Tesco supermarket, while its Eco Sanctuary project will benefit from nearby catchment areas such as Kota Kemuning, Subang Jaya and Puchong.

“Every development that we have picked has all these characteristics, and we are not in any greenfield projects,” said Chang.

He was speaking to the media yesterday after the opening of EcoWorld’s third sales gallery in the Klang Valley for its 308.7-acre (124.9ha) Eco Sanctuary development in Canal City, located south of Kota Kemuning.

Eco Sanctuary has a total gross development value (GDV) of RM8 billion, with phase 1 of the development, comprising the Monterey and Terraza residential sections, accounting for RM1 billion out of the total GDV.

The project is slated to be launched next month, with phase 1 to be completed around the first quarter of 2018.

Eco World closed unchanged at RM1.60 yesterday, bringing its market capitalisation to RM3.8 billion.

This article first appeared in The Edge Financial Daily, on May 29, 2015.