Dijaya buys 92ha in Johor for mixed development

http://www.btimes.com.my

By Ahmad Fairuz Othman
Published on 16th August 2011


NUSAJAYA: Dijaya Corp Bhd yesterday bought 92ha of land in Plentong, Johor Baru, for RM220 million, which it intends to use for a mixed development township with an estimated gross development value (GDV) of RM2.8 billion.

"The landed properties will have prospects for strong price appreciation in the future," said Dijaya's group chief executive officer Tan Sri Danny Tan Chee Sing.

He also said that Dijaya, which is known for its flagship Tropicana Golf and Country Resort, Tropicana Indah Resort Home and Tropicana City in the Klang Valley, is on the lookout for new investment opportunities.

The deal yesterday was Dijaya's second major land purchase in Johor within a year.

Last August, the property developer bought a 15ha plot fronting the straits of Johor for its Tropicana City @ Danga Bay project.

On Tropicana City @ Danga Bay, Tan said the soon-to-be launched project has a GDV of RM3.8 billion. It will comprise office and commercial blocks, as well as hotel, shopping and world-class lifestyle properties.

With the two land purchases, Dijaya has to date invested RM528 million in land banking at Iskandar Malaysia.

"We are on an expansion strategy in the southern region ... We will continue to bring our brand value to a wide spectrum of emerging markets and potential customers," said Tan.

The 92ha freehold land was acquired by Magical Heights Sdn Bhd, a joint venture between Dijaya's wholly-owned subsidiary Accroway Sdn Bhd and Iskandar Waterfront Sdn Bhd (IWSB), from Trident World Sdn Bhd.

The Johor state government thus has an interest in the transaction as Kumpulan Prasarana Rakyat Johor owns a substantial stake in IWSB.

Menteri Besar Datuk Abdul Ghani Othman, who witnessed the signing of the joint-venture agreement yesterday, said the deal would bring in more development to the outskirts of Johor Baru.