KUALA LUMPUR: Sunway Bhd, together with Hoi Hup Realty Pte Ltd and SC Wong Pte Ltd, is buying a property in Singapore for S$530 million (RM1.59 billion) to redevelop it into a private residential project.
Sunway said on Thursday that its Singapore-based unit Sunway Developments Pte Ltd had entered into a collective sale and purchase agreement with the collective majority owners of Brookvale Park to buy the property.
A joint venture will be set up for the acquisition with Hoi Hup, Sunway Developments and SC Wong on a proportion of 60:30:10.
“The property will be redeveloped into a new private residential development with an allowed plot ratio of 1.6 times, subject to authorities’ approval,” it said.
“Sunway Development’s cost of investment in the joint venture is estimated to be about S$70 million or about RM210 million,” Sunway said in a filing to Bursa Malaysia yesterday.
Brookvale Park is located on 999-year leasehold land in Clementi, Singapore and is currently a 160-unit private residential estate with a land area of 34,654 square metres.
Hoi Hup is incorporated in Singapore and its core business is real estate development, while SC Wong is a investment holding company.
Sunway said the proposed project is expected to contribute positively to the earnings of Sunway Group from the financial year ending Dec 31, 2019. / – February 15, 2018 @ 5:48pm /