These are the largest property transactions in Malaysia in Q2

The total transaction value of RM2.14b (approx. US$506m) doubled year-on-year.

According to Savills, the total value of major transactions in this reviewed quarter doubled compared to Q2/2020, amounting to approximately RM2.14 billion. The two largest acquisitions in the quarter were by Scientex Berhad, which acquired 959.7 acres of agricultural land in Tebrau, Johor for RM518.1 million and 204.7 acres of agricultural land in Seberang Perai, Penang for RM246.7 million. 

Savills notes the double acquisition is in line with the group’s land banking objectives and their goal to complete 50,000 affordable homes throughout Malaysia by 2028. The Penang site is relatively close to Scientex’s maiden development at Tasek Gelugor which has received a positive response from the general public, as the availability of better affordable housing has been a concern in Malaysia over recent years. 

Here’s more from Savills:

Within KL, the largest transaction was Sunway Bhd’s purchase of 6.59 acres of residential land from Boustead Holdings Bhd for RM233.4 million in Maluri, Kuala Lumpur. The site sits just one MRT Station away from the upcoming TRX development, and Sunway appear to be betting on their ability to offer a more affordable alternative to future professionals who wish to reside in the area. Sunway Bhd is no stranger to the area, having seen success with their Sunway Velocity integrated development comprising a shopping mall, residences, office buildings, hotel and medical centre. 

UEM Sunrise Bhd entered into an agreement to acquire 6.86 acres of residential land from Accolade Land Sdn Bhd for RM197 million. The land is near Taman Connaught MRT station, a key factor in UEM’s preliminary plans to develop 1.8 million sq ft of properties with an estimated gross development value of over RM1 billion aimed at young homeowners looking for residences with easy access to the city centre. 

In Selangor, the most significant transaction was Johor Tin Bhd’s acquisition of freehold development land measuring 297.5 acres from PNB Development Sdn Bhd, for RM169.8 million. The land is sizeable and allows JTB Group to utilize portions of the land to restructure and expand its operations in the central region of Peninsular Malaysia whilst the balance of land will be held for property development purposes. 

Township development sites contributed the most to the quarter’s overall transaction value, accounting for approximately 36%, followed by residential and industrial transactions at 20% and 19% respectively. The gradual recovery is hoped to be aided by the relief packages and the continued rollout of COVID-19 vaccinations, which has picked up speed in July.