Sime Darby sell 135 acres of land in Elmina West for RM240m

PETALING JAYA: Sime Darby Property Bhd has sealed a deal to sell a piece of freehold land in Elmina West to Eastern & Oriental Bhd for RM239.8 million.
In a joint statement on Friday, the companies said this involves the sale of about 135 acres of freehold land in Elmina West, part of the larger 5,000 acres of City of Elmina, which will be developed into a wellness and liveable city.
They said the purchase price was appraised by an independent registered valuer.
It is expected that the actual gross development value (GDV) would potentially be higher than the estimated baseline GDV of RM1.5 billion.
As part of the agreement, E&O has agreed to share the amount of the actual GDV that exceeds the baseline GDV with an agreed sharing ratio of 80:20, whereby E&O will pay Sime Darby Elmina Development Sdn Bhd the amount equivalent to 20% of the enhanced GDV.
"E&O is looking forward to participate in the development of Elmina West in the City of Elmina as it represents a vital new growth engine for us in the Klang Valley," said E&O Group Managing Director, Datuk Terry Tham Ka Hon.
Tham said the proposed development by E&O in Elmina West in the City of Elmina township will be aligned with the overarching aim of creating a wellness and liveable city dedicated to the pursuit of a healthy and balanced lifestyle.
E&O's development land in Elmina West fringes a 2,700-acre forest reserve on the west and on the southern section, the 300-acre Elmina Central Park.