Gamuda Land to launch properties in four new townships over next two years

KOTA KEMUNING (Dec 9): Gamuda Land, the property arm of Gamuda Bhd, plans to launch properties in four new townships over the next two years. The townships have an estimated total gross development value (GDV) of RM45 billion, said its group managing director, Datuk Lin Yun Ling.

The four townships in Selangor are located in Kundang, Kuang, Kota Kemuning and Sepang.

“[We] expect strong [property] growth over the next two years,” Lin told reporters after Gamuda Bhd’s annual general meeting yesterday.

“We launched the first phase of the 90-acre Kundang Estates @ Kundang last month. It was fully sold. We will be launching Gamuda Gardens @ Kuang in March next year. It is a township sitting on 810 acres of land,” added Lin.

The first phase of Kundang Estates comprises 120 double-storey houses with built-ups of 1,733 sq ft to 2,424 sq ft. Prices start at RM570,000. The overall development will have 573 landed homes in nine precincts while 14 acres of land will be dedicated to recreational areas and parks.

Meanwhile, Gamuda Gardens is a mixed-used development. It is located 5km away from Kundang Estates and will take 10 to 15 years to complete. The commercial component at Gamuda Gardens will also serve Kundang Estates.

Kundang Estates and Gamuda Gardens have a combined GDV of RM11 billion.

As for the other two new township developments, one will be about 300 acres located in Kota Kemuning while the other spans 1,500 acres in Sepang.

Gamuda Land had achieved RM2.1 billion sales in the financial year ended July 31, 2016 (FY2016). It is targeting RM3 billion sales for FY2017.

“We are in the second quarter of the financial year now. Our sales so far is on track to the full year target. I believe we can achieve the RM3 billion sales target and there is no need to revise it,” said Lin. He expects half of the sales to come from overseas, namely Singapore, Vietnam and Australia.

He also noted that the company has an unbilled sales of RM1.9 billion.

Gamuda Land has a substantial landbank of 3,800 acres with a GDV of RM55 billion which it could develop over the next 20 years.

“If there are good opportunities, we will continue to buy land. Land investment is for the long term. The current market situation shouldn’t be the main consideration in land purchase decisions,” he said.

Meanwhile, Lin shared that its second Industrialised Building System factory located in Banting will be completed in the first half of 2018.

“Our first factory is located in Sepang and that is for the group’s in-house projects. The second factory will cater to the market. Each factory can produce 2,000 units per annum,” he said.

This story first appeared in TheEdgeProperty.com pullout on Dec 9, 2016, which comes with The Edge Financial Daily every Friday. Download TheEdgeProperty.com pullout here for free.