PETALING JAYA: Melia Spring Sdn Bhd, a subsidiary of Eco World Malaysia has entered into a development agreement with Permodalan Darul Ta’zim Sdn Bhd (PDT) to jointly develop homes on 200 acres of freehold land in Iskandar Puteri targeted at the middle 40 (M40) group with a gross development value of RM1.67 billion.
According to a statement released by Eco World Development Group Bhd, the agreement with PDT entails the rights to develop the land for a total consideration of RM20 million, along with a 20% share of the profits after tax from the proposed development.
In addition, it also entered into a sales and purchase agreement with River Retreat Sdn Bhd to acquire the land for a purchase consideration of RM304.92 million to be paid on a staggered basis with interest over the development tenure of the land.
EcoWorld’s president and CEO, Datuk Chang Khim Wah stated he is delighted to have a development opportunity next to the group’s Eco Botanic project as well as to support PDT’s main objective to meet the homeownership aspirations of the M40 group.
“We would therefore like to thank PDT for coming up with a collaborative structure for the development and acquisition of the land which helps to facilitate the attainment of this objective,” he said.
Chang noted the proposed development is in line with EcoWorld’s plans to introduce a new range of homes priced from RM300,000 – RM450,000 to take advantage of the infrastructure and lifestyle amenities it has put in place in its existing projects such as Eco Botanic.
“The prospects of the proposed development are excellent. It will enable the group
to ride on and contribute towards the continued development progress being made in Iskandar Malaysia and take advantage of the sizeable and growing market catchment there.
“Furthermore, the presence of comprehensive existing amenities and completed infrastructure at Eco Botanic reduces the incremental cost to develop the land –greatly improving the project’s overall viability,” he said.
