Published: Friday February 8, 2013 MYT 6:36:00 PM
Dijaya in JV for RM1.02b mixed devt, hotel in Johor Bharu
KUALA LUMPUR: Dijaya Corporation Bhd plans to undertake mixed development including a hotel in Johor Bharu under a joint venture basis, with a gross development value of RM1.02bil.
It said on Friday its unit Wisdom 88 Sdn Bhd was teaming up with Danga Bay Sdn Bhd (DBSB) to set up a special purpose vehicle -- Rhythm Quest Sdn Bhd - to acquire the land and undertake the development.
Dijaya said Rhythm Quest was buying 260,227 sq ft of freehold land in Johor Bahru for RM85.8mil from DBSB. The site is adjacent to the land owned by Dijaya's subsidiary Tropicana Danga Bay Sdn Bhd.
"Based on initial planning, the proposed project of a hotel and mixed development of commercial properties is expected to generate a GDV of approximately RM1.02bil," it said.
Dijaya group executive vice chairman Tan Sri Danny Tan said the land purchase was to increase its land bank at strategic locations for its future development and property investment activities, especially in the Southern region of Malaysia.
"The proposed project will be synergistic and shall be complementary to the overall development of Dijaya's project in the Danga Bay area by enhancing the vibrancy of the area and creating additional value to the existing development," he said.