Sales target is in line with the expected recovery of local property market supported by the Covid-19 vaccine rollout

By S BIRRUNTHA / Pic By RAZAK GHAZALI

SUNWAY Bhd’s property arm, Sunway Property, is targeting RM1.6 billion in sales this year while launching RM2.8 billion worth of properties in Malaysia, Singapore and China in anticipation of economic recovery as vaccines roll out across the world.

Its MD Sarena Cheah said the sales target is higher than the RM1.3 billion achieved last year, in line with the expected recovery of the local property market supported by the implementation of the National Covid-19 Immunisation Programme.

She added that 40% of the new launches or RM1.1 billion worth of properties will be launched in the Klang Valley where the economy is expected to rebound the strongest in tandem with the vaccine rollout.

The remaining 60% of launches will be international projects including Parc Central Residences, an executive condominium in Singapore, with a gross development value (GDV) of RM910 million and Phase 3 of Sunway Gardens condominiums in Tianjin, China, with a GDV of RM780 million.

“Over the period of the pandemic, I believe many people have experienced a reset of priorities. Many have developed greater appreciation of their families, health and wellbeing.

“The strength of the location of all our new launches which are within matured neighbourhoods will reduce time spent by our residents on commuting for work, school or even grocery shopping, and allow more time to be spent meaningfully with family or working out at our development’s various facilities,” she said in a virtual media briefing yesterday.

Cheah said the group’s projects will generally look at providing more living space (whether within the unit or in common areas), have better Internet connectivity and incorporate designs which promote better air ventilation.

“Certain projects will also include common areas which are furnished to be like co-working offices and have meeting rooms that can be booked for business meetings,” she added.

Sunway Property will also be looking to complete its portfolio of investment properties under construction in its various integrated townships.

Currently, the property developer’s pipeline of investment includes Sunway Hotel Big Box, Johor (RM160 million GDV), Sunway Carnival Mall expansion, Penang (RM350 million GDV), Sunway International School (RM200 million GDV) and Sunway Medical Centre’s expansion (RM600 million GDV) in Sunway City Kuala Lumpur (KL).

Cheah said the group would also accelerate innovation and digitalisation with the integration of 5G technology.

She added that the group will be transforming Sunway City KL into a living lab where it will bring together expertise in academia, government and corporations to develop new generation urban solutions leveraging 5G technology.

“With the development of smart townships and homes, we will be able to cut greenhouse gas emissions. We aim for all our developments to be green buildings with urban farms as a climate change adaptation and mitigation strategy,” she said. Sunway Property currently has more than RM11 billion worth of assets under its management as of Dec 31, 2020.

The group said the continued developments of new investment properties in its integrated townships are consistent with its philosophy as a community developer and a co-investor with all its property buyers.

It said the group has maintained ownership of up to 50% of the properties within its townships through its build-own-operate business model which has generated substantial value to the community.

As of Dec 31, 2020, Sunway Property has 3,324 acres (1,345ha) of landbank with potential GDV of RM51.3 billion and over a total development period of up to 15 years.

The developer also has unbilled sales worth RM2.2 billion, providing clear earnings visibility for the immediate two to three years.