News : MPHB Cap To Revive Abandoned Project With GDV RM3.5bil

MPHB CAPITAL BHD (MPHB CAP), which is controlled by Tan Sri Surin Upatkoon, aka K K Lau, is looking at resuscitating a long-abandoned project at the junction of Jalan Imbi and Jalan Sultan Ismail in Kuala Lumpur according to sources. Should the plan materialise, the development could be MPHB Cap’s flagship in a bustling part of the central business district, earning it recurring rental income. It is worth noting that the abandoned project is just a stone’s throw from the upcoming Tun Razak Exchange (TRX). After two failed attempts by other parties to revive the development, which is located on the same road as Berjaya Times Square, new plans that involve close to six acres in Jalan Imbi are being drawn up and are expected to include an overhead link stretching across the nine-lane road to Club De Vegas. Assuming MPHB Cap is able to obtain a plot ratio of 10 for the 5.85 acres, 70% efficiency and pricing of RM2,000 psf, a back-of-the-envelope calculation gives the project a gross development value (GDV) of RM3.5 billion. The existing unfinished building occupies 1.4 acres of freehold land, but sources say MPHB Cap’s project will include another 2.8 acres that are owned by the company in the immediate vicinity. According to MPHB Cap’s prospectus, it owns 10 parcels in Jalan Imbi and a land search shows that all 10 tracts are contiguous with the largest measuring 1.5 acres. This parcel is now being used as a car park. The smaller lots are between 0.1 and 0.2 acre and are either vacant or house bungalows. It is said that Lau, who is the managing director and major shareholder of MPHB Cap, had entered into an agreement to purchase Club De Vegas, but The Edge understands that the seller has backed out of it, which could mean that the redevelopment plans may be delayed. Lau is said to be seeking specific performance, requiring that the seller honour the agreement. Club De Vegas is believed to have belonged to a Wong Thiam Loy, who was popularly known as Taxi Wong and was previously behind Econstates Bhd (which subsequently became RB Land Bhd and is now IJM Land Bhd). However, following Wong’s demise, Club De Vegas passed on to his family members. The club takes up 1.65 acres, which means the land alone could be worth some RM180 million. A source tells The Edge that MPHB Cap and its major shareholders are on the lookout for a joint-venture partner for the redevelopment, which is expected to have retail and office components. Read More --> https://www.j-propves.com.my/?cur=news/view&id=2180&title=News_:_MPHB_Cap_To_Revive_Abandoned_Project_With_GDV_RM3.5bil

#Sources* MPHB Cap to revive abandoned project with GDV RM3.5b - 2014 News

MPHB CAPITAL BHD (MPHB CAP), which is controlled by Tan Sri Surin Upatkoon, aka K K Lau, is looking at resuscitating a long-abandoned project at the junction of Jalan Imbi and Jalan Sultan Ismail in Kuala Lumpur according to sources. Should the plan materialise, the development could be MPHB Cap’s flagship in a bustling part of the central business district, earning it recurring rental income. It is worth noting that the abandoned project is just a stone’s throw from the upcoming Tun Razak Exchange (TRX). After two failed attempts by other parties to revive the development, which is located on the same road as Berjaya Times Square, new plans that involve close to six acres in Jalan Imbi are being drawn up and are expected to include an overhead link stretching across the nine-lane road to Club De Vegas. Read more --> http://www.theedgemarkets.com/article/sources-mphb-cap-revive-abandoned-project-gdv-rm35b