I believe everybody is aware about the New Economic Model (NEM) which was announced by our prime minnister a few days ago which aim to bring Malaysia to high income nation in 10 years time.
However, what interest me more is the news on Government and EPF to jointly develop 3000 acres of land in Sungei Buloh into a new hub for the Klang Valley. If is it true then the property price around the area may increase. This is a good news for property investor.
But, where is the exact location?
MRCB will be the likely candidate to undertake the project on behalf its largest shareholder EPF, which currently holds about 40% of MRCB.
This is in line with recent General Offer from EPF by substantially increase its stake in MRCB and subsequently to turn MRCB into EPF’s property arm.
The size of the land mentioned during the NEM announcement matches the description of the Federal Land under the Rubber Research Institute (RRI).
Recently, MRCB has submitted to the Government its development proposals for several pieces of Federal land, including the RRI land. The media has reported that MRCB was accompanied by representatives from EPF during the presentation.
MRCB has proposed to adopt an “integrated’’ development concept for the RRI land, with a combination of commercial, residential as well as a transport hub given that the final stop of the proposed new LRT line will be located there. The new LRT line is connecting Kota Damansara to KL Sentral and Cheras.
Based on its agricultural land status with an estimated market value of RM3 psf, the total land cost for the RRI land is estimated at around RM392m. To recap, following the recent rights issue exercise, MRCB had allocated RM380m for future land acquisitions and development.
Is this true?
If this is a true then it is very good opportunity for us to buy the property around that area. Among the residential area nearby RRI are Kota Damansara and Subang Bestari. Kota Damansara area may be a little bit expensive when compared to Subang Bestari.
I believe, Subang Bestari area is better because Help University is going to have their new campus there and a new government office for Petaling District is just completed there as well.
The area is easily assessible because of close proximity to NKVE and GCE highway. It is close to Subang Airport as well.
What do you think?