KUALA LUMPUR: Sime Darby Property Bhd (SDP) is partnering Japan's Mitsui & Co Ltd and Mitsubishi Estate Co Ltd to develop and lease built-to-suit industrial facilities with a gross development value of RM530 million at the Bandar Bukit Raja integrated township in Klang, Selangor.
SDP holds 50 per cent of the joint venture company (JVCo), while the other 50 per cent is held by Mitsui, through its Malaysian subsidiary.
Mitsubishi Estate is expected to participate in this joint venture indirectly through its 40 per cent holding in Mitsui M-Co.
Mitsubishi Estate’s participation is still subject to approval of licenses and permits by the relevant regulatory authorities.
SDP managing director Amrin Awaluddin said the project is a significant step forward towards realising the full potential of Bandar Bukit Raja as a full-fledged integrated development.
“The three partners bring a wealth of experience and expertise which will help establish the township as a world-class commercial hub in Malaysia,” he said in a statement.
Amrin said the partnership further reinforces its land management strategy in unlocking the value of its substantial land assets through direct development, strategic partnerships and joint-ventures or strategic monetisation.
“This key venture in the industrial logistics development will allow us to increase recurring income, act as a catalyst in attracting more economic activity in our township developments, increase employment in the local communities and spur demand for our housing products,” he added.
SDP said the built-to-suit industrial facilities, comprising warehouses and logistics facilities, offer tailored features to suit operational requirements of business tenants.
These include specific floor loading capacity, optimum number of loading bays and height clearance. It will also be designed to ensure efficient maneuvering of vehicles.