Mah Sing may spend RM1b on properties

Mah Sing Group Bhd, the Malaysian developer that spent the most on land acquisitions in 2010, said it may pay more than RM1 billion (US$330 million) for new sites this year as the fastest growth in a decade spurs sales.

The developer is seeking to buy land with potential sales valued at RM7 billion to RM12 billion, managing director Leong Hoy Kum said in an interview in Kuala Lumpur yesterday. The properties, which will also include commercial buildings, will be developed in the next five to seven years.

Mah Sing is boosting acquisitions as home prices climbed 6.2 per cent to a record in the third quarter, according to government data. Mah Sing spent RM756 million buying 285 acres of land last year, more than double its 2009 investments and beating Malaysian rivals as it bet on increasing property demand with government efforts to boost economic growth.

“We have a war-chest of RM777 million to spend, land banking is part of our aggressive expansion strategy,” Leong said. “The economic outlook remains bright and consumers are more willing to buy big-ticket items like properties.”

Loans disbursed for home purchases in Malaysia rose to RM5.66 billion in December, the highest recorded in nine months, central bank data showed.

Shares of the Kuala Lumpur-based company have jumped 44 per cent this year, the best performer on the FTSE Bursa Malaysia Top 100 Index, which rose 0.9 per cent. SP Setia Bhd., Malaysia’s biggest developer by sales, climbed 6.2 per cent this year.

‘Big League’ 

“Mah Sing’s aggressive land-banking exercise will catapult it into the big league, making it too big for investors to ignore,” said Terence Wong, an analyst at CIMB Group Holdings Bhd., who rates the stock “outperform.” “For sales to climb over the longer term, it needs fuel to sustain that growth, which means it will have to keep expanding its land bank.”

Prime Minister Najib Razak’s government unveiled an economic transformation program in September aimed at attracting investment, including US$444 billion of programs this decade ranging from mass rail to nuclear power, led by private and government-linked companies.

Malaysia’s economy expanded 4.8 per cent last quarter, spurring full-year growth to the quickest pace in a decade and putting pressure on the central bank to take more steps to curb inflation. The central bank also placed a limit on the loan-to- value ratio for third mortgages in November, which Mah Sing said hasn’t derailed its investment plans.

“There is no property bubble yet,” Leong said. “We’re not overly concerned about inflationary pressures. Inflation is still at a level where the central bank believes is within market control.”

Mah Sing is targeting property sales to climb to between RM2 billion and RM2.5 billion this year, he said. The company sold RM1.5 billion worth of properties last year.

Asian property market surges 59pc in 2010

HONG KONG: A massive US$63 billion (US41 = RM3.04) was spent on property transactions in Asia last year, a 59 per cent rise from 2009, as the region's economies led the recovery from the global financial crisis, a report said.

Surging prices in Hong Kong and Tokyo made up almost half the total amount spent, according to the study, which comes as several Asian countries grow concerned that large inflows of foreign cash are causing asset bubbles.

The figures, from real estate consultancy CB Richard Ellis, are a huge increase from the US$39.2 billion spent in 2009, when the globe's worst economic crisis since the Great Depression sent property prices sliding.

"The Asian real estate investment market enjoyed an encouraging end to the year and prices for prime investment property have now recovered substantially," said Nick Axford, the consultancy's head of research for the Asia-Pacific area.

"The market outlook remains generally optimistic," he added.

Hong Kong accounted for US$15.2 billion of the total, while Japan's market saw US$14.2 billion in transactions.

Prices in Hong Kong have jumped 50 per cent in the past two years due to low interest rates, a strong economy and an influx of mainland buyers who make up a big proportion of purchases, especially of luxury homes.

Worries about a property bubble have prompted Hong Kong's government to announce a series of measures to cool the market, including boosting land supply and new stamp duties to keep out so-called hot money.

Asian economies have outperformed their Western counterparts in recovering from the global economic slump that started in late 2008, with cash-rich foreign investors and low interest rates stoking demand for Asian properties.

Hideaways Club scouting top properties in Singapore

High-end property fund The Hideaways Clubs is in Singapore checking out top apartments for a new timeshare portfolio called The Hideaways Club – City Collection, the Today newspaper has reported.

Founder Mike Balfour was personally in town last week, checking out a range of luxury properties and apparently had his eye on a few choice units. Balfour said he is looking for high-end properties that offer great value for money rather than simply having luxury branding, so he will probably not select units from the Ritz-Carlton Residences or the Orchard Residences.

“If these homes have a brand-name to it, they usually command a premium. And we would like to maintain our profit margins,” he said.

25 to 30 per cent of the City Colections will be located in Aisa, Balfour said, and he plans to make Asia a key source of revenue.

“Other major cities we are looking at are Kuala Lumpur and Hanoi,” he added.

Balfour, who founded gym chain Fitness First, hopes to replicate the success of his first fund called The Hideaways Club Classic Collection. Launched in 2007, the Classic Collection comprises 50 villas in holiday destinations all over the world, with each 2,700-sq-ft villa costing an average of US$1.6 million. It was started to offer investors another way to enjoy a luxury holiday, without owning an actual holiday home and doing away with the hassle of maintenance. 

The fund offers members an equity share in the property portfolio, which has a current membership of more than 200 members. It is now the largest luxury timeshare club in Europe and Mr Balfour is targeting a maximum of 600 members and 100 properties for the fund in the next four years.

For The City Collection, each member invests a lump sum of US$195,000 and pays an annual maintenance, taxes and concierge fees of US$18,500. Each member gets about 12 to 23 nights of holiday stay a year in one of the fund’s apartments. This would otherwise cost the member between US$1.2 million to US$3 million a year, said Mr Balfour.

In addition to savings, the investor reaps 5 to 6 per cent of capital appreciation from the luxury apartment portfolio annually. Mr Balfour said he is targeting 120 city apartments in the next three years for The City Collection. Each apartment is sized between 1,500 and 3,000 sq ft, and are typically two-bedroom and two-bathroom units in the city centre in major cities across the world.

Future MRT already a boom to KL property prices

Kuala Lumpur’s  proposed Mass Rapid Transit (MRT), project set for completion between 2016 and 2020, could see an appreciation of between 11-35% per annum in property prices says HwangDBS Vickers Research, specifically around KLCC-Bukit Bintang, KL Sentral, Pusat Bandar Damansara-Damansara Heights, KL Eco-City-MidValley and Sentul areas.

HwangDBS Vickers Research associate director Yee Mei Hui said, in comments reported by mysinchew.com, that the appreciation is being driven by higher selling prices for end properties, higher plot ratios and more commercial zoning, worth an estimated RM210 billion to Malaysia’s economy over 10 years.

The MRT project under the Greater Kuala Lumpur Plan is the largest infrastructure development ever undertaken by Malaysia and property players looking for land banks now need to move fast, Yee Mei Hui advised.

Properties near the MRT are expected to have premiums of 20 to 30% and the top picks named by HwangDBS Vickers Research are YTL Land & Development Bhd, Selangor Properties Bhd, Guocoland (M) Bhd, Bolton Bhd and SP Setia Bhd, which have the highest Revalued Net Asset Value exposure to potential interchanges.

The government has kick-started a three-month public display of the approved MRT Blue Line to gain feedback from the public and the MRT project would likely hug major highways, which is likely to minimise land acquisition cost and construction delay.

Malaysia’s housing market looking strong

A sustained economic recovery in Malaysia coupled with political stability last year contributed to the strongest house price increases since 2000. The national house price index rose 6.2% y-o-y to Q3 2010, after annual increases of 6.2% and 5.7% in Q2 and Q1, respectively.

In Kuala Lumpur, the house price index surged by 9.9% y-o-y to Q3 2010, with a rise of 3.6% during the latest quarter, whilst nationwide increases ranged from 10 to 1.3%.

Nationally, terraced houses, semi-detached houses and high-rise prices rose an average of 6.1%, whereas detached houses rose 3.7% and the national average price was US$64,158. Prices in the capital, Kuala Lumpur, averaged almost double that at US$141, 453.

Overall, the last year saw healthy business for the property market, with transaction volumes rising 12.2% and the value of transactions rose 35%, on the back of 7% economic growth after two years of budget deficit and a more stable political situation following Abdullah Badawi standing down as Prime Minister.

Economic stimulus packages also included a tax relief for homebuyers on housing loans interest relief up to MYR10,000 (US$2,900) a year, for 3 years and deferred housing loan repayments for 1 year for those retrenched, providing added support to the real estate market, despite low barriers to homeownership. Support that was reflected in 11% growth in outstanding housing loans, equivalent to 24.7% of GDP (US$51.6 billion).

Part of the keen growth in the real estate sector has certainly been encouraged also by the governments’ retreat from a plan to re-impose 5% capital gains tax, first abolished in 2007 and then touted again in 2009. However, opposition from the real estate sector saw the government back down and restricted the 5% real property gains tax to properties sold within five years of acquisition.

Against this, foreign buyers have faced a stricter market with the price floor below which foreign buyers can buy is hiked to MYR500,000 (US$145,383), twice the previous level, effective as of January last year and an over-supply of high-end condominiums has sparked concern.

Despite an improved take-up rate, there were 66,328 units unsold at end-2010, though this was lower than 2004’s peak level of 83,888 units unsold.

Contrary to this, the secondary market for landed residential properties is strong as a result of the government’s attempt to make housing more affordable and the construction of more than 100,000 low cost housing unit.

House prices in Malaysia, despite this resurgent growth, are still below their pre-Asian Crisis levels and its rental market remains small. Only 6% of the housing stock is in the private rental sector. About 85% of the total stock is owner-occupied, while government-provided housing accounts for 7% of the housing stock.

Will an MRT affect the price of your properties?

File picture shows MRT and surrounding properties. - The Star

PETALING JAYA: While some property consultants and analysts have been bullish on the overall impact of the mass rapid transit (MRT) on property prices, another group of property consultants has reservations about the blanket “price hike” touted by their counterparts and other parties.

This second group of property consultants, together with sources familiar with the project, have an alternative view.

Their conclusion is: not all properties affected by the Sg Buloh-Kajang line will have a positive impact. In fact, there will be properties that will have an adverse impact.

A source who declined to be named said: “If you can hear it, see it, feel the vibration, but cannot access it, your property will be negatively impacted. You want it (MRT) close, but not too close.”

The 50km line that begins from Sg Buloh will splice through the monorail and light rail transit (LRT) in the city and head south towards Kajang, affecting a total 91,900 properties along the way. Of these, 82,700 units, or 90%, will be residential units with a total population of about 341,000. About 40% of these are located in the Sg Buloh-Semantan area, and 46% in the Cheras-Kajang area.

It will be the country's largest infrastructure project, reportedly costing RM36.6bil.

A source said: “Logically speaking, people should not oppose the MRT or any form of public transport. But, if it is going to affect your standard of living, either by the noise, vibration or visual impact, then it is logical for them to oppose it.

“Imagine this: you live in a quiet, serene area for years, and all of a sudden you have the MRT line running in front or behind your property. Your serenity is broken, your standard of living is negatively impacted, and so will the value of your property.”

The noise level will be tremendous. The MRT begins from 6am to midnight. In time to come, the MRT will run every 1.8 minutes.

The affected areas are Section 4 and 6 of Kota Damansara; Pelangi Damansara condominium; Taman Tun Dr Ismail; Damansara Utama; Section 17/52 Petaling Jaya; Bukit Bandaraya; Jalan Bukit Ledang; Bukit Damansara; Taman Desa Aman; Taman Connaught; and Taman Koperasi.

According to the executive summary posted on the Department of Environment website, as the line enters Kota Damansara, which is predominantly residential and remains so until TTDI, the line visual, vibration and noise level will be significant to properties in that area. And as the line enters the residential area of Cheras, the visual impact, noise and vibration level will also impact negatively on the property values there.

“Most of the measured noise levels exceeded the recommended limit for suburban residential area and urban residential area,” the executive summary said.

Reports that property prices would go up by between 100% and 500% were “too bullish”, said the group of property consultants. A property developer who has several projects in Kota Damansara said the visual impact, noise and vibration would affect values negatively.

Last week, the Land Public Transport Commission (LPTC) and Prasarana exhibited the alignment at Mid-Valley Megamall. They are seeking a location in Petaling Jaya to exhibit the alignment.

The MRT route will be displayed for three months at local authority offices in the Klang Valley, in Bangsar LRT station and at LPTC in KL Sentral. The environmental impact assessment will be displayed for one month from Feb 14 to March 14.

MRT to have big impact on property prices

Those within 500-metre radius from station to appreciate the most

PETALING JAYA: Property valuers and developers expect the Klang Valley Mass Rapid Transit (MRT) project to have significant impact on the prices of residential and commercial properties along the MRT route.

Eric Oii, a member of the board of valuers, appraisers and estate agents said property prices - commercial and residential - along the MRT route could appreciate by 15% to 25% depending on the location of the property to the stations.

“We expect generally properties within a 500-metre radius of the MRT stations to have the most appreciation in value,” he told StarBizyesterday.

Oii, who is also managing director of property consultancy firm Knight Frank Ooi said MRT linked to a network of lines integrated with the LRT, monorail, KTM Komuter and intra-intercity buses city would help ease traffic congestion and cut the cost of travelling.

However, Oii said in the short term, especially when the MRT was being built, it might cause inconvenience to some people especially those living or working close to the stations.

“The impact of building the MRT is expected to be more physiological to the community,” he said, adding that any major structural developments were expected to impact a certain group of individuals negatively.

There was an outcry by some residents in some suburbs (where the MRT stations are earmarked to be built) including those in Taman Tun Dr Ismail, who had criticised the development, claiming that the MRT station would cause traffic congestion, and possibly lower the value of their properties.

Ho Chin Soon Research Sdn Bhd director Ho Chin Soon concurred with Oii that there would be some disgruntled individuals who opposed the MRT project but in the long run it would benefit the majority of people, especially the lower income group that depended on public transport.

Ho Chin Soon Research is a local mapping and property research based company.

Based on the company's compilation of data on MRT stations in various countries, it can be concluded that they would help raise property prices.

“Properties close to the MRT stations can expect better appreciation once the station is built. And those very close to the station are likely to benefit also. In certain circumstances, some properties very close to the station may be impacted too resulting in a fall in prices,” he said, adding that such cases would be an exception rather than a rule.

Ho also said it would be reasonable to conclude that properties around a 500-meter radius to a MRT station would appreciate value once the station was built.

“Those within walking distance would still appreciate from its proximity to the station. Our tropical climate makes it not very conducive to walk longer than 10 minutes to a station,” he noted.

Ho also said a 15% to 25% upside in property prices (depending on locations) was be a reasonable level of appreciation for properties close to the MRT route, especially to the stations.

“We can also expect the MRT integration with other trasports lines like the LRT to further enhance the property prices of those especially in the Kuala Lumpur Golden Triangle as it would improve inner city connectivity.

An established property developer said many developers were looking to strategically build properties. especially condominiums close to the MRT stations.

“We want our property projects to be located within walking distance from a MRT station as we believe it would be a a major factor to potential home buyers. It is also easier to rent a property that is close to a station. All these factors should help boost the property value,” said the developer.

Information on the first stretch of the MRT route that connects Sungai Buloh to Kajang is available to the public at six designated location from Feb 14 to May 14.

They are Dewan Bandaraya Kuala Lumpur, Bangsar LRT Station, Majlis Bandaraya Petaling Jaya, Majlis Bandaraya Shah Alam, Majlis Perbandaran Kajang, Majlis Perbandaran Selayang and Suruhanjaya Pengangkutan Awam Darat.

The Sungai Buloh to Kajang MRT line is a 51km, of which 9.5km is underground.

The line will have 35 stations and is expected to have a ridership of over 400,000 passengers per day when completed.

Work on the line is targeted to commence in July and is expected to be completed in 2016.

Singapore ranked world’s 5th most expensive city to rent

Property rents are on the rise throughout Asia on the back of strong economic growth, with Singapore’s 15 per cent rise last year earning it the accolade of the world’s 5th most expensive city to rent a two-bedroom property.

Tokyo is the most expensive location globally, according to a report by international human resources solutions provider ECA International. Within Asia the Japanese capital is followed by Hong Kong (3rd in the global rankings), Singapore (5th), Seoul (15th) and Shanghai (24th). Bangkok is ranked 7th in Asia and 28th globally, Jakarta 9th and 36th globally, and Kuala Lumpur positioned at 14th place in Asia and 92nd globally.

In Singapore, the recession along with a wave of new housing hitting the market prompted rental prices for an unfurnished two bedroom property to fall by approximately 17 per cent in 2009, according to the report. This pattern was reversed last year when rents rose 15 per cent to US$2,810 a month. Singapore rose from 6th to 5th position in the overall ranking.

“The rebound in Singapore has been driven by a general recovery in house prices along with increased demand,” said Lee Quane, Regional Director, ECA Asia. “Assignee numbers are up again in Singapore following falls during the economic downturn. This has placed pressure on rental accommodation, particularly in areas popular with expatriates.”

Hong Kong has witnessed some of the biggest price increases in the world, reflected in a jump up the ranking from 9th to 3rd position over the year. The price of renting two-bedroom accommodation rose by 22 per cent to US$ 2,830 a month between 2009 and 2010. This contrasts with rent falls of around 25 per cent the previous year.

“Land in Hong Kong is already expensive due to the lack of space,” said Quane. “Additionally, low interest rates, high liquidity in the market and a shortage of supply have contributed to pushing rents up.”

Asia’s most expensive cities to rent a two-bedroom apartment.

1 Tokyo
2 Hong Kong
3 Singapore
4 Seoul
5 Shanghai
6 Hanoi
7 Bangkok
8 Mumbai
9 Jakarta
10 Beijing
11 Ho Chi Minh City
12 Metro-Manila
13 Taipei
14 Kuala Lumpur
15 Guangzhou
16 New Delhi
17 Suzhou
18 Shenzhen
19 Karachi

Published annually, ECA’s Accommodation reports provide information on rental costs in more than 120 locations worldwide, concentrating on the areas and types of accommodation commonly inhabited by international assignees. The data enables managers to make informed decisions about the provision of housing or housing allowances as part of their international assignment packages.

REDAS: Singapore cooling measures stabilising market

Singapore’s recently implemented cooling measures have begun to effectively stabilize the property market, the Real Estate Developers Association of Singapore (REDAS) said last week.

“There’s a drop in volume, but I think that’s expected because of hesitation and uncertainty,” said Mr Lim Ee Seng, first vice-president of REDAS, at the association’s Lunar New Year reception, as quoted by Channel News Asia.  “Properties that were launched after the measures still had a very decent take-up. That clearly demonstrates that there’s a pool of people who are genuinely in need of properties.”

“So as we eagerly await good news from the upcoming Budget, and with the property market stabilising from the latest round of cooling measures by the government, I hope any further measures by the Singapore government would only be made after considering all options,” added Wong Heang Fine, president of REDAS.

Volume of transactions has dropped by about 30 per cent according to some analysts,  but REDAS still expects from S$12 million to S$14 million (US$9.4 billion to US$ 10.9 billion) in property investment this year.

Still, some analysts predict a decrease in the amount of foreign investment in Singapore. “I can foresee that with the introduction of higher interest rates in China, the liquidity in Singapore is going to be affected and I believe not as much funds will flow into Singapore as compared with the past,”  commented Eric Tan, chief executive of real estate consultants GSK Global.

Mass Rapid Transit System: MRT Project Creates More Property Hot Spots & Investment Opportunities

Mass Rapid Transit (MRT), the biggest infrastructures project in Malaysia is expected to start its construction work in July this year! All eyes and ears on MRT project now.

Real estate investors, have you be prepared for the impacts of RM36.6 billion mega projects on your property investment strategy? 

HwangDBS Vickers Research, in a recent report on MRT-induced property plays, says it expects land prices in key hot spots to surge 100% to 500% over the next five years, especially where potential interchange stations will be located. 

PRELIMINARY MRT PLANS 35 STATIONS FOR SG BULOH – KAJANG LINE

Station 1: Sungai Buloh (Interchange)
Station 2: Kg Baru Sungai Buloh
Station 3: RRIM
Station 4: Kota Damansara Utara
Station 5: Taman Industri Sungai Buloh
Station 6: Kota Damansara Selatan
Station 7: Dataran Sunway
Station 8: The Curve
Station 9: 1 Utama
Station 10: Taman Tun Dr Ismail
Station 11: Seksyen 17
Station 12: Eastin
Station 12: Pusat Bandar Damansara
Station 14: UOA
Station 15: Taman Duta
Station 16: KL Sentral (Interchange)
Station 17: Pasar Seni
Station 18: Warisan Merdeka
Station 19: Pudu
Station 20: Bukit Bintang
Station 21: KLIFD
Station 22: Cochrane
Station 23: Maluri (Interchange)
Station 24: Bukit Ria
Station 25: Bukit Mewah
Station 26: Cheras Leisure Mall
Station 27: Phoenix Plaza
Station 28: Taman Suntex
Station 29: Taman Cuepacs
Station 30: Bandar Tun Hussein Onn
Station 31: Balakong
Station 32: Taman Koperasi
Station 33: Taman Mesra
Station 34: Kajang Stadium
Station 35: Kajang (Interchange)

PROPERTY COMPANIES WITH ASSETS NEAR THE PROPOSED MRT STATIONS

Singapore to crack down on misleading show units

Singapore’s Urban Redevelopment Authority (URA) has said it will review laws in an effort to crack down on developers misrepresenting their projects to buyers.

The URA will also launch a public consultation on the proposed amendments next month, the Today newspaper reported. Analysts welcomed the move, noting the increased number of complaints from buyers about misleading showflats.

“Developers have learned successfully to create the impression of spaciousness, quality and grandeur beyond their actual dimensions and quality. They have been pushing the envelope of what is acceptable as clever marketing and that which is totally misleading,” said Mr Colin Tan, head of research and consultancy at Chesterton Suntec International.

Replying to queries from Today, the URA said it was “currently reviewing the Housing Developers (Control & Licensing) Act and Housing Developers Rules”. The URA said the review was with the aim of simplifying licensing requirements for developers and providing more accurate and transparent information on housing projects to facilitate home purchasers in making better decisions.

”More details will be shared in March when URA launches a public consultation on the proposed amendments,” the URA said.

“We welcome the proposed new guidelines on showflat representations as this will lead to greater clarity within the industry by reducing potential incidences of misunderstanding. The new guidelines will benefit the home buyers, as they will be able to make informed purchases and developers will find it easier to construct showflats with greater clarity,” said a spokesperson for City Developments said.

The Singapore Business Times reported yesterday that the new rules would ensure developers display showflats with all the structural walls and columns and with accurate ceiling heights. Other likely regulations would include clearly marking out the divide between the balcony and living rooms, and using walls that have the same thickness as in the actual apartment.

Mr Donald Han, vice-chairman of property consultancy Cushman & Wakefield, Singapore, said: “For the buyers, they must know what they are getting beyond the interior cosmetics. And for the developer, showing actual beams, thickness of walls, demarcations of balcony, ceiling heights, etc, reduces any accusation of misrepresentation by buyers.”

Malaysia to see a surge of investors

Stability and affordability combined with the creation of new jobs means that an increasing number of investors are looking to buy property in Malaysia, one consultancy has suggested. Knight Frank has forecast a jump in the number of buyers as a result of ex-pats and investors moving to the country to work for the new Economic Transformation Programme (ETP). "The expatriates will be here for the duration of the projects such as the Mass Rapid Transit, among others. They would need a place to stay," Eric Ooi, managing director of Knight Frank Malaysia, told New Straights Times Property Indeed, Mr Ooi said that he expects more than 15 per cent of luxury property purchases in Malaysia this year will be by foreigners. Buyers from Singapore, Hong Kong, Indonesia, Taiwan, South Korea and Japan are buying condos, apartments and bungalows in the Kuala Lumpur City Centre, Bangsar, Mont' Kiara and Kenny Hills areas, he added.

UOA to list development arm

UOA unit UOA Development Bhd is the developer of mega projects such as the estimated RM6 billion Bangsar South in Kampung Kerinchi.

KUALA LUMPUR: The board of United Overseas Australia Ltd (UOA), which is listed primarily on the Australian Stock Exchange (ASX), has submitted documents to Bursa Malaysia for a proposed listing of its development arm on the local bourse’s main market.

The Edge Financial Daily understands that UOA, which has a dual-listing on the Singapore Stock Exchange (SGX), is expecting to hear back from the local regulators soon and hopes to have its development arm listed on Bursa by June 2011.

UOA Development Bhd, the developer of mega projects such as the estimated RM6 billion Bangsar South development in Kampung Kerinchi, is 100%-owned by UOA Holdings Sdn Bhd, which is in turn a wholly- owned subsidiary of UOA.

It is worth noting that the UOA group listed UOA Real Estate Investment Trust (UOA REIT) on Bursa in 2005.

In its recent filings with the ASX, UOA said it had on Jan 31, 2011 lodged a prospectus exposure draft with the Securities Commission of Malaysia for the latter’s “comment, approval for registration and distribution”.

Earlier, the group in November 2010 made an announcement to both the ASX and SGX stating its intention to list its property development division on Bursa and in fact had undertaken a feasibility study to facilitate the listing.

UOA’ shareholders have not met to weigh in on the proposed listing, although this would happen if and when the Malaysian capital market authorities give their approval, said a company official.

According to filings with the ASX and SGX, UOA intended to maintain a majority stake in the listed entity with the initial public offering of at least 25% of the issued and paid-up capital of the development division.

CIMB Investment Bank Bhd is the principal advisor for the proposed listing.

UOA’s market capitalisation on the ASX was A$338.1 million (RM1.04 billion) as at Feb 8, that on the SGX was S$439.5 million (RM1.45 billion respectively.

The share price of UOA on both exchanges are presently trading close to their 52-week highs of A$0.35 on Feb 4, 2011 and S$0.46 on Feb 8, 2011.

For the financial year ended Dec 31, 2009, UOA posted a net profit of A$111.95 million on the back of revenue of A$152.18 million.

According to UOA’s 2009 annual report, its single largest shareholder was Griyajaya Sdn Bhd with 276.36 million shares, representing a 30.05% stake, followed by Dream Legacy Sdn Bhd with a 12.17% stake and Metrowana Development Sdn Bhd with an 8.4% stake.

UOA was incorporated in Western Australia in 1987 and was listed on the ASX in 1988.

UOA’s associate company UOA REIT is listed in the Main Market of Bursa Malaysia, with assets valued at RM1.05 billion comprising six commercial properties in Kuala Lumpur with a total estimated lettable area of 1.5 million sq ft.

SS1 Kg Tunku PJ,Selangor Bungalow For sale

Subject Property:-

ID NUMBER : MYS - RB(S) 1


SALE PRICE

• Ringgit Malaysian One Million Five Hundred Forty Thousands ( RM1,540,000. ) only. SOLD !!

LOCATION

• Located at SS1 strategically located near SS2 prime commercial hub township, Sea Park, SS3, SS24 Taman Megah PJ ;
• Readily access from road SS1/22 via road SS2/24 or from road SS2/3 via Lebuhraya Damansara Puchong ( LDP ) and near to Light Railway Transit and secondary school;( Google Site Map link http://goo.gl/maps/voaA )

PROPERTY DESCRIPTIONS

• Property Type : Bungalow;
• Occupancy : Tenanted;
• Land Area : 7,300 sf ;
• Built Up : 3,500 sf;

• Tenure :  Freehold;
• Entrance Direction : South East;
• Position : N/A
• Number of Storey : 2
• Bedrooms : Ground Floor : 1 guess room + 1 store room;  First Floor : 6 rooms; 
• Bathrooms : Ground Floor : 2 baths   First Floor : 2 baths ( Master room with attached bath );
• Free from encumbrances

Please quote ID number above when contacting us
Contact : Alvyn Goh at 6 016 3111313  

                 Senior Real Estate Agent

Email: inter.realestate.network@gmail.com

Disclaimer of Liability

Note that any properties listed as available at this material time for sale or rent herein may at any time be withdrawn, sold or rented out without any prior notice for any reason(s) whatsoever and our real estate agency or our agents shall not be held any liability whatsoever to prospective Purchaser or Tenant for the reasons specified above of such withdrawal.

The photographs shown and informations provided herein are solely for general identification and genuinely in good faith provided to be true at this material time. However, our real estate agency and agents make no representation or warranty as to their absolute accuracy or the actual condition of the property(ies).