Kuala Lumpur: Mitsui Fudosan (Asia) Malaysia Sdn Bhd (MFAM) and BBCC Development Sdn Bhd (BBCCD) entered into a JV agreement to form a JV company, MFBBCC Serviced Suites Sdn Bhd (JVCo).
The aim is to purchase a serviced residence block in the Bukit Bintang City Centre (BBCC) development for RM242 million.
MFAM will hold 51% and BBCCD 49% in the JVCo, which will manage and operate the property including granting of tenancies of units within the property.
BBCC is a joint-venture project between UDA Holdings Berhad, Eco World Development Group Berhad (EcoWorld Malaysia), and the Employees Provident Fund Board. Located on a 19.4-acre site, the development is poised to be the new gateway into the Kuala Lumpur golden triangle and future centre of greater Kuala Lumpur.
The serviced residence block is a 44-storey building that will have a total of 269 units comprising 1, 2 and 3-bedroom apartments with built-ups from 532 sq ft to 1,188 sq ft.
The units are from level 5 onwards whilst levels 2 to 4 will house the carparks and facilities like a swimming pool, yoga deck, gym, library, children play area, business centre and multi-purpose room.
It is part of Phase 2 of BBCC which will also include another residential tower and two blocks of commercial buildings. The serviced residence block is expected to be completed by the end of 2023.
UDA Holdings Berhad Chairman Dato’ Jalaluddin Alias says, “With Phase 1 of BBCC well underway and set for its first handover in 2021, the en-bloc sale of the serviced residence under Phase 2 affirms the project’s attractive propositions and potential as the upcoming nucleus of the city centre.
“The regeneration of this historical site has surpassed expectations in terms of unlocking value and we have our business partners and shareholders to thank for this. It is our hope that the project continues to set new standards not only in development but in experiences, living up to its tagline of Where Life is Spectacular.”
On the other hand, MFAM Managing Director Takehito Fukui says MFAM’s continued partnership with the project’s shareholders is a natural progression from its Phase 1 involvement of developing The Mitsui Shopping Park Lalaport retail mall project.
“It has been an exciting journey and we are delighted to be part of BBCC’s Phase 2 growth and looking forward to achieving more in years to come.”
This important deal also proves the strength and fidelity of the long bilateral ties forged between our two countries over many years. Japan is not only one of the country’s top sources of FDI, their contributions towards the growth of our manufacturing, services, retail, real estate and banking sectors have been immense.
The signing today, therefore, signifies our partner’s continued confidence not only in the BBCC project but also their belief in Malaysia’s long-term growth prospects and the attractiveness of our country as an emerging global destination.
EcoWorld Malaysia Chairman Tan Sri Liew Kee Sin says, “BBCC has recorded many firsts since its launch in 2016 – from our 1st joint-venture with MFAM to develop The Mitsui Shopping Park Lalaport, to the creation of the Malaysia Grand Bazaar, Zepp KL Concert Hall and numerous other amenities that will transform inner-city living, working, retail and entertainment at the very heart of Kuala Lumpur.
“As the development manager, we could not be prouder of BBCC’s achievements, especially this latest milestone.
“Our nation is going through unprecedented times now with Covid-19, which has spared few countries globally and disrupted the global economy and foreign direct investments (FDI) around the world.
“However, we are fortunate to have the support of valued partners like MFAM who have stuck with us through thick and thin and are committed to working alongside us to assure the continued success of the BBCC development which they are an integral part of.”