By Sharen Kaur
sharen@mediaprima.com.my
Published in NST on June 15, 2013
UEM Sunrise Bhd, the country's largest property developer by market capitalisation, is building its investment assets to improve its recurring income stream.
The company, formerly known as UEM Land Holdings Bhd, is planning to launch a real estate investment trust (REIT).
Its managing director and chief executive officer, Datuk Wan Abdullah Wan Ibrahim, said the company is pursuing a REIT but the plan will not be immediate.
"We have to grow our recurring income. Property development goes through boom and bust. When the sector goes through depression and down cycle, having recurring income will be important.
"The other option is to buy a company that has investment assets in place. That would be very bold. But I don't think we would do that as we want to build our own assets," he said at a media briefing on the company's rebranding exercise on 14 June.
Wan Abdullah said UEM Sunrise currently has good-yielding assets, such as Publika in Solaris Dutamas (Kuala Lumpur), as well as Mall of Medini and industrial properties at Bio-XCell, a biotechnology park (both in Nusajaya, Johor).
Mall of Medini is undergoing expansion, in which the current 200,000 sq ft mall will be extended to 1.2 million sq ft. The expansion will include office and residential towers.
UEM Sunrise also owns a 8ha plot next to Masjid Wilayah Persekutuan here, where a luxurious development is in the pipeline, he said.
"Once we have these properties, and yielding good income, we will monetise the assets and establish a REIT and manage it. This would give us recurring income," he said.
On the rebranding of UEM Land to UEM Sunrise and the integration of the two companies (UEM Land and Sunrise Bhd), he said the aim is to have a global brand and develop a multitude of large-scale projects, including high-rise buildings.
sharen@mediaprima.com.my
Published in NST on June 15, 2013
UEM Sunrise Bhd, the country's largest property developer by market capitalisation, is building its investment assets to improve its recurring income stream.
The company, formerly known as UEM Land Holdings Bhd, is planning to launch a real estate investment trust (REIT).
Its managing director and chief executive officer, Datuk Wan Abdullah Wan Ibrahim, said the company is pursuing a REIT but the plan will not be immediate.
"We have to grow our recurring income. Property development goes through boom and bust. When the sector goes through depression and down cycle, having recurring income will be important.
"The other option is to buy a company that has investment assets in place. That would be very bold. But I don't think we would do that as we want to build our own assets," he said at a media briefing on the company's rebranding exercise on 14 June.
Wan Abdullah said UEM Sunrise currently has good-yielding assets, such as Publika in Solaris Dutamas (Kuala Lumpur), as well as Mall of Medini and industrial properties at Bio-XCell, a biotechnology park (both in Nusajaya, Johor).
Mall of Medini is undergoing expansion, in which the current 200,000 sq ft mall will be extended to 1.2 million sq ft. The expansion will include office and residential towers.
UEM Sunrise also owns a 8ha plot next to Masjid Wilayah Persekutuan here, where a luxurious development is in the pipeline, he said.
"Once we have these properties, and yielding good income, we will monetise the assets and establish a REIT and manage it. This would give us recurring income," he said.
On the rebranding of UEM Land to UEM Sunrise and the integration of the two companies (UEM Land and Sunrise Bhd), he said the aim is to have a global brand and develop a multitude of large-scale projects, including high-rise buildings.
No comments:
Post a Comment