Sunway Property aims RM2b sales this year

Company is confident to achieve the target as it has been offering the right products for the right markets

by FARA AISYAH / pic by RAZAK GHAZALI

SUNWAY Bhd’s property development arm, Sunway Property, is eyeing RM2 billion sales in 2020 after achieving RM1.55 billion in sales last year, exceeding the RM1.3 billion target.

Sunway Property MD Sarena Cheah is confident the company will realise its goal as it has been offering the right products for the right markets.

“If we position our products right, we would be able to hit our RM2 billion sales this year.

“We understand there are challenges in the market, but if we continue to do what is right and give the customers what they want, we believe the products will sell well,” she said at a media briefing in Petaling Jaya yesterday.

Of the RM3.5 billion worth of properties to be launched by Sunway Property this year, RM1 billion will be in Malaysia, while RM2.4 billion will be in Singapore.

Cheah expects the international market to contribute slightly higher sales this year due to the stronger Singaporean dollar.

For the Klang Valley, the developer will be launching RM691 million worth of homes, while investment properties worth RM573 million are being built.

The new launches include Sunway Avila Retail, Sunway Velocity TWO Tower C and Sunway Belfield Tower A.

The developer will also kick-off Sunway Valley City, its integrated development in Penang.

The first of its launches in Penang will involve shops and linear offices with a combined gross development value (GDV) of RM250 million.

In Johor, the group will be launching Sunway Maple, a townhouse project with a GDV of RM100 million.

Meanwhile, upcoming launches in Singapore will include Parc Canberra, Canberra Link; Ki Residence, Clementi and Park Avenue Residences, Tampines.

There is strong local demand, but developers need to price the products correctly, Cheah said.

“By reducing the threshold for foreign buyers slightly, there will be developments that can progress, especially for buyers who are looking for completed properties.

“For the year, there may be some sales from the foreign market or investor market, but we don’t foresee it to be very high. In our own developments, the majority (about 90%) of the buyers are Malaysians,” she added.

Cheah also said the oversupply situation in the domestic property market is very fragmented as it spans all price ranges and all locations.

“We hope there will be some targeted measures by the government or an overall policy to help absorb the overhang situation,” she said.

As at December 2019, Sunway Property had 3,362 acres (1,360ha) of landbank with a GDV of RM59 billion and total development period of up to 15 years.

Its unbilled sales stand at RM2.8 billion, providing earnings visibility over the next two years.