Glomac lines up property launches worth RM1b

KUALA LUMPUR: Glomac Bhd which aims to achieve unbilled sales of RM800 million this financial year ending April 30, 2015 (FY15), has planned RM1 billion worth of property launches this year, said its group managing director and CEO Datuk Seri FD Iskandar Mansor (pix).
The property developer plans to launch townhouses and townships towards end of this year and early next year namely its Saujana KLIA, Lakeside Residences, Glomac Centro, the extension of its Saujana Utama township and ongoing townships Saujana Rawang and Sri Saujana.
"Saujana KLIA township's total gross development value (GDV) is RM1.2 billion, we hope to launch RM200 million this financial year. Lakeside Residences in Puchong has a total GDV of RM2.5 billion and we hope to launch RM200 million while Glomac Centro's total GDV is RM400 million and we hope to launch at least three-quarters this financial year," he told reporters at the Residensi Damansara handover ceremony yesterday.
As for the extension of Saujana Utama, the total GDV is RM1.1 billion and it plans to launch RM100 million to RM150 million.
On new land acquisitions, FD Iskandar said it is definitely looking for more plots of land and hopes to announce some deals this financial year.
"We haven't bought anything over a year then suddenly last two months we bought two. Definitely we are looking for more pieces of land. What has happened since the cooling measures were announced, land prices have become more palatable. Prices have become more stable.
He said this year will be challenging for all property developers on the back of numerous policies introduced by the government and developers slowed down launches last year due to slower take-up rates.
"Last year we had planned RM1 billion worth of property launches but after Budget 2014 announcement, we slowed down our property launches to about RM700 million," he said, adding that it has some RM7 billion worth of projects still in the pipeline which would keep them busy for at least seven years.
"This FY15, we are looking at how the property market is. Our concern is, before the start of the Goods and Services Tax (GST) in April next year, there will be pent up demand for property, especially for residential," he said.
He said based on a quick study on countries with GST such as Japan, Hong Kong and Singapore, most markets showed an increase in demand for property six months before GST is implemented or increased.
On the Kwasa Land Sdn Bhd's request for proposal (RFP) for Project MX-1, FD Iskandar said it is still studying the details of the project and have yet to decide on whether it would participate.
Project MX-1 is the proposed 64.07-acre town centre of Kwasa Damansara, a township development in the Klang Valley by Kwasa Land. Glomac was one of 20 developers identified for the RFP who have until May 27 to submit their proposals.