Land purchase is quite popular nowadays because of the booming of Malaysia Real-Estate Development. The recent news about the land acquired by Berjaya Land - News extracted from Yahoo! Finance:
MALAYSIA'S BERJAYA LAND BUYS LAND IN JOHOR FOR US$3.3 MLN
Wednesday March 26, 2008, 1:23 pm
KUALA LUMPUR, March 26 Asia Pulse - Berjaya Land Berhad (KLSE:4219) is acquiring two pieces of land in Plentong in the southern state of Johor for RM10.50 million (US$3.3 million) cash to boost its landbank as well as to capitalise on the robust property market in the state.
It said the land parcels with a combined area of 21.52 acres (937,507 sq ft) are situated 250 metres off the Johor Bahru-Kota Tinggi main road.
The land is located near established housing projects including Taman Desa Cemerlang/Perindustrian Desa Cemerlang, Taman Puteri Wangsa and Taman Dato Chellam.
Berjaya Land's 100 per cent-owned unit, Berjaya Land Development Sdn Bhd, signed an agreement to acquire the land from LKH Wires & Cables Sdn Bhd (LKH), a unit of MOL.com Berhad (MOL), on 25 March 2008.
The acquisition will be financed through internally generated funds.
In a statement to Bursa Malaysia on March 25, Berjaya Land said it expects the acquisition to contribute positively to the future earnings and cash flow of the group.
It said the acquisition provides an opportunity for the group to increase its landbank in view of the robust property market in Johor.
The acquisition is also in line with the group's strategy of continuously creating value through the acquisitions of land for future developments.
"Property values in south Johor is set to rise, propelled by strong Government support for the property sector," the statement said.
"South Johor has the potential to attract international developers due to its proximity to Singapore and Indonesia and the government policy of attracting greater foreign direct investments which is expected to lead to various spin-offs for Johor's economy and create new demand for properties," it added.
ASIA PULSE
