KUALA LUMPUR: Selangor Dredging Bhd’s (SDB) wholly owned subsidiary, SDB Subang Development Sdn Bhd, has entered into a sale and purchase agreement with Hectare Square Sdn Bhd to acquire a freehold commercial land in Taman Industri Penaga, Petaling Jaya for RM63 million.
In a Bursa Malaysia filing today, the property developer said the land has development potential and forms part of the group’s ongoing identification of suitable properties to add to the group’s landbank.
“SDB is proposing to develop the land into high-rise serviced apartments with large open spaces and good family-oriented facilities.
“The total development costs, the expected commencement and completion dates of the development, as well as the expected profits to be derived from the development of the land, have yet to be ascertained at this juncture as the detailed development plan has yet to be finalised.
“However, the acquisition is expected to contribute positively to the medium- and long-term earnings of the group,” it said, adding the acquisition is expected to be completed by the second quarter of the financial year ending March 31, 2027.
SDB said if the acquisition of the said land is duly completed, the purchase price and development of the said land will be funded by a combination of internally generated funds and/or bank borrowings.
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