KUALA LUMPUR (June 10): Mitsui Fudosan (Asia) Malaysia Sdn Bhd (MFAM) and BBCC Development Sdn Bhd (BBCCD) have entered into an agreement to form a joint venture company (JVCo) called MFBBCC Serviced Suites Sdn Bhd to purchase a serviced residence block in the Bukit Bintang City Centre (BBCC) development for RM242 million.
MFAM will hold a 51% stake while BBCCD will hold the remaining 49% in the JVCo, which will manage and operate the property, including granting of tenancies of units within the property.
This serviced residence block is part of BBCC’s Phase 2, which will also include another residential tower and two blocks of commercial buildings.
The 44-storey serviced residence will offer a total of 269 units from Level 5 onwards, comprising one-, two- and three-bedroom apartments with built-ups from 532 sq ft to 1,188 sq ft.
Levels 2 to 4 will house the carparks and facilities such as a swimming pool, yoga deck, gym, library, children play area, business centre and multi-purpose room.
“MFAM’s continued partnership with the project’s shareholders is a natural progression from our Phase 1 involvement of developing The Mitsui Shopping Park Lalaport retail mall project. It has been an exciting journey and we are delighted to be part of BBCC’s Phase 2,” said MFAM managing director Takehito Fukui in a press statement.
According to EcoWorld Malaysia chairman Tan Sri Liew Kee Sin, “Japan is not only one of the country’s top sources of FDI, their contributions towards the growth of our manufacturing, services, retail, real estate and banking sectors have been immense. The signing today therefore signifies our partner’s continued confidence not only in the BBCC project, but also their belief in Malaysia’s long-term growth prospects and the attractiveness of our country as an emerging global destination for real estate investment.”
Meanwhile, UDA Holdings Bhd chairman Datuk Jalaluddin Alias said, “With Phase 1 of BBCC well underway and set for its first handover in 2021, the en-bloc sale of the serviced residence under Phase 2 affirms the project’s attractive propositions and potential as the upcoming nucleus of the city centre.”
Sitting on a 19.4-acre leasehold site, the BBCC development is a joint venture project between UDA, Eco World Development Group Bhd and the Employees Provident Fund Board.
The entire masterplan has a total gross built-up area of 6.7 million sq ft and a gross development value of RM8.7 billion.