UEM Land Holdings Bhd has entered a deal to acquire a 122.28-acre freehold land in Pulai, Johor Baru, from Khazanah Nasional Bhd's group for a cash consideration of RM93.2mil.
In a statement to Bursa Malaysia, UEM Land said the conditional sale and purchase agreement signed yesterday involved its wholly owned subsidiary Nusajaya Premier Sdn Bhd and Khazanah's wholly owned subsidiary Tanjung Bidara Ventures Sdn Bhd.
The proposed acquisition for the land, which is located adjacent to Kota Iskandar and UEM Land's existing integrated waterfront and marina development, Puteri Harbour, in Nusajaya, is expected to complete within seven months.
The proposed acquisition, according to UEM Land, represented an opportunity for the company to consolidate strategic land parcels, which were in close proximity to its existing development in Puteri Harbour.
UEM Land said it planned to develop the land, which it would acquire through Nusajaya Premier, into a residential enclave featuring a mix of distinctive, landed canal-front homes with individual berthing and high-end condominiums.
“The proposed development, which is expected to commence in 2013, will span over seven years,” it said.
“It is expected to be funded through existing cash balances, internally generated funds and/or borrowings, in line with the group's other developments,” it added.
UEM Land, however, clarified that the total development cost and expected profit to be derived from the proposed development could not be determined at this juncture, pending the finalisation of a detailed layout plan.
The detailed layout plan for the proposed development, it said, would be submitted to the authorities for approval by the end of this year.