Land and General to revitalise property unit

Land and General to revitalise property unit

By BUSINESS TIMES

LAND and General Bhd (L&G) is planning to revitalise its property division and expects to launch its first major mixed housing project for the year in Sri Damansara, Selangor.

L&G, which has remained low profile after undertaking a restructuring exercise to pare down debts and dispose of its non-core assets, expects to launch the project by year-end, or early next year, its managing director Mike Krishnan told Business Times.

“We will launch some projects in a few years but will plan the development slowly. We are now looking at Sri Damansara, where we have some 16.2ha to 20.3ha (40-50 acres) for a mixed development,” he said.

L&G is engaged in property development and management, education services, and oil and gas exploration.

It achieved a profit of RM7.6 million and a revenue of RM96.3 million for the year ended March 31 2007, largely contributed by the property business.

The company has integrated township developments in Lembah Beringin, Bandar Sungai Buaya, Villa Puteri and Bandar Sri Damansara.

Krishnan added that L&G is looking for opportunities to develop properties in Malaysia and elsewhere.

“We will be concentrating on property development businesses in Malaysia and looking for opportunities in Australia,” he said.

Its unit, Land & General Australia (Holdings) Pty Ltd, is developing Hidden Valley in Melbourne, comprising 950 residential allotments and a Golf & Country Club, sprawled over 972ha2,400 acres.

The project is in its second stage of development and revenue from the unsold allotments will be generated over the next eight years. So far 349 allotments have been sold with a total gross revenue of A$30.1 million (RM89.1 million).