Business

Wednesday October 28, 2009

Suncity in tie-up to develop Tianjin Eco-City


PETALING JAYA: Sunway City Bhd (Suncity) has teamed up with Sino-Singapore Tianjin Eco-City Investment and Development Co Ltd (SSTEC) for a project in Tianjin Eco-City, China, which an estimated gross development value worth more than RM2.48bil.

SSTEC is a 50:50 joint venture between a Chinese consortium led by Tianjin TEDA Investment Holding Co Ltd and a Singapore consortium led by Keppel Group.

Sunway group chairman Tan Sri Jeffrey Cheah said a memorandum of understanding had been signed between the two parties to conduct market research and a feasibility study.

“We will decide on the feasibility of the project after we complete it in six months,” he told reporters yesterday.

The second-phase development of the project will be a mixed-development project constituting 88% residential and 12% commercial properties, with construction expected to begin from 2011.

In a statement, Suncity said it was “optimistic that China’s property market will continue to grow at a healthy level as a result of an urbinisation process, a process that will see China’s urban population swell to approximately 850 million by 2020 or 47%.”

The project is Suncity’s biggest in China.

The Tianjin Eco-City is a landmark bilateral project between China and Singapore.

Located in the Tianjin Binhai New Area, the 30 sq km Tianjin Eco-City will be a modern township where 350,000 people will live.

Separately, Cheah said Sunway Holdings Bhd would rely on its own reserves to fund its Singapore joint-venture condo project with Hoi Hup Realty Pte Ltd.

“The company has enough funds to proceed with the 400 to 500 condo units there,” he said, adding that Sunway would have a 30% stake in the venture.

The project, which has a gross development value of S$435mil, covers 207,000 sq ft at Jalan Senang and Lengkong Tujoh off Sims Avenue.

 
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