MK Land to Launch More Affordable Homes in 3 Years to Cater to M40, B40 Demands
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MK LAND Holdings Bhd targets to build over 3,000 units of afford- able housing with an estimated gross development value (GDV) of RM1.5 billion over the next three years.
Its ED Lau Shu Chuan said the company will continue to focus on more affordable housing projects in 2020 as it will sway more people to start homeownership instead of renting.
“It’s important to us because if we can raise the livelihood of the people, the economy will become more vibrant and moving. We build affordable homes to create a lot of activities in the economy,” he said after MK Land’s AGM in Kuala Lumpur yesterday.
MK Land has launched Project Sakura in Bukit Beruntung, Selangor, with prices starting from RM70,000 per unit.
“We have open for sale Project Sakura in Taman Bunga Raya this month and next month we are going to launch Project Raia Perdana in Gopeng, Perak,” he added.
The GDV for Project Sakura is RM50 million, while Project Raia Perdana is RM12 million for the first phase.
Demand for its affordable residential project has been healthy with Project Sakura having sold more than 200 units in the last six months.
MK Land strategic planning, business development and corporate services group head Azhar Othman said the company’s projects are also in line with the government’s national housing policy.
“All of our products today are below RM400,000, which is in line with the M40 (middle 40% income group) and B40 (bottom 40%) demand. This is the commitment from MK Land to fulfil the affordable housing requirement,” he said.
MK Land had several projects under construction offering some 1,100 affordable homes with an estimated GDV of RM500 million.
The company has developed a total of 48,206 residential units with GDV worth RM7.6 billion to date. Of these, 31,224 units are affordable homes with a GDV of RM2.1 billion.
The company currently has 1,942.5ha of land in Selangor and Perak with a GDV of about RM16 billion.
Besides its stronghold in the affordable housing sector, MK Land will also focus on three other areas in financial year 2020 (FY20) — namely resorts transformation, the proposed rejuvenation of Damansara Perdana, as well as enhancing and realigning its human capital knowledge and expertise.
Continuous strategic plans are currently in place to optimise the value of MK Land’s landbank, properties and rentals on unutilised landbanks for sustainable income, the company stated in a release.
For FY19 ended June 30, MK Land recorded a turnover of RM172.1 million, a marginal decrease of 2% from the RM176.3 million recorded in the previous financial year.