Plenitude to launch 3 projects

Plenitude to launch 3 projects
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They have GDV of more than RM340mil

By YEOW POOI LING

PETALING JAYA: Plenitude Bhd expects to launch three projects with a combined gross development value (GDV) of more than RM340mil by the first half next year, said acting chief executive officer Khoo Yek San.

A piece of land in Batu Ferringhi, which is targeted for residential development, has a GDV of some RM120mil while the Lot 88 project in Sungai Petani is worth RM136mil.

“The mainland will see spillover effects from Penang island.

Khoo Yek San
“Sungai Petani, being only 45 minutes away by highway, will also benefit given the competitive and affordable prices,” she told StarBiz in a telephone interview.

The company's Batai project in Damansara Heights would comprise bungalows valued at about RM88mil in total, Khoo said.

On the back of these, earnings for the years ending June 30, 2008 and 2009 were likely to be significantly better, she said.

For the year just ended June 30, Plenitude's pre-tax profit rose 10% to RM82.7mil from RM75.2mil a year earlier while revenue improved 7.7% to RM238.2mil from RM221.1mil. Earnings per share increased to 41.82 sen against 38.81 sen previously.

Part of the improvement was contributed by Taman Puchong Prima in Puchong, which saw higher sales, thanks to it being the only available freehold land in the vicinity, Khoo said.

Plenitude is also the developer of Taman Desa Tebrau and Tebrau City in Johor. Due to their proximity to the Iskandar Development Region, property value has increased substantially.

Khoo said the company intended to leverage on that by turning some of its future developments into high-end residential properties like bungalows instead of terrace houses as initially planned.

She said the opening of an Ikea outlet in Tebrau City by year's end would further boost interest.

“Singapore, Vietnam, Dubai and Abu Dhabi are seeing a boom in their property markets. This will have a spillover effect on Malaysia, with property prices in Johor and Kuala Lumpur to increase soon,” she said.

The cash-rich company also plans to have a more sustainable income, going forward.

Khoo said the developer planned to set up a hotel in Taman Desa Tebrau to cater to the growing number of tourists.

“We already own the Tanjung Bungah Beach Hotel in Penang, which contributes about 6% of group revenue,” she said.

Plenitude was also looking to expand into Vietnam and Indonesia, Khoo said.