Timely to get projects moving now, says MD

By THE STAR

HAVING established itself as one of the leading names in the Klang property market, A & M Realty Bhd is eager to build up a name as a niche player in the higher-end property sector.

“We have adequate land bank to make a bigger foray into the luxury property market and we feel it is now timely to get our projects moving,” managing director Datuk Ambrose Ng said.

Some 70% of the land bank is located in the Klang Valley, including 3,200 acres in Pulau Carey.

Ng said the Pulau Carey development would kick off with the golf course precinct in September.

“Once the golf course is completed in a year’s time, we will be ready to launch other parcels. The whole development is expected to take 15 years,” he said.

The other projects lined up by the company are in Mont’Kiara, Shah Alam and Petaling Jaya.

Ng said A & M’s resorts and hotels division, which operates a golf course in Kota Kemuning and a resort in Malacca, was also doing well.

Encouraged by the success of its Malacca resort development, the company is keen to make a bigger foray into hotel and chalet-type developments.

At its 100-acre Ayer Keroh site, of which 15 acres have been developed into the Melaka Puteri Resort, the company wants to undertake projects to take advantage of the Malaysia My Second Home programme.

“Our hotel is always full. We plan to develop this site further by putting up chalets under different concepts, including Balinese, Japanese and Middle Eastern, and these units will be for rental only.”

In its development projects, Ng said, the company was looking into adopting the 10:90 build-then-sell method in its niche projects. (Under this method, buyers pay a 10% deposit upon booking of their unit and will only pay the balance 90% upon delivery of the house.)

“We have the financial resources to undertake this building method in our niche projects, including our bungalow development in Shah Alam,” he added.

With no gearing and low overheads, A & M is also in no hurry to launch its projects.

“We will take our time and study the market needs carefully. More importantly, we want to establish a strong branding through well-designed and outstanding projects in well sought-after addresses,” Ng said.

Listed in 1995, A & M has always turned in profits through good and bad times.

The many well thought-out strategies have established the company as a reputable and reliable property developer.

Its ability to develop products that suit the market has also contributed to its resilience to ride through the bad times.

In 1998, during the regional financial crisis, the company’s policy of giving discounts to buyers of its Kemuning Greenhills houses paid off handsomely. That year it turned in a record net profit of RM60mil.

With landmark projects such as Taman A&M and Taman Sentosa in its early days, A&M has become synonymous with quality and reliability in the Klang property market.

Lauding the Government’s proactive measures to promote a more active property market, Ng said the exemption of real property gains tax and relaxation of the Foreign Investment Committee guidelines would result in a more robust market.

“These measures are likely to increase the number and value of transactions, considering that Malaysia remains one of the cheapest real estate markets in the region.

“Malaysia is on the right track to propel itself into the international real estate arena, and the onus is on developers to take advantage of the opportunities,” he said.

Related Posts