26/06/2025

PROPERTY THURSDAY | JUNE 26, 2025

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announced the proposed acquisition of two property assets in Kota Kinabalu, for a total of RM105 million, deepening its foray into Sabah and the wider East Malaysia region. The first proposed acquisition— RM99 million—involves the purchase of a parcel of land with foundation works fully completed, and two blocks of 19-storey purpose-built student accommodation buildings comprising 513 apartment-style units. Together, the apartment blocks have a total capacity to accommodate 3,078 students. Following the acquisition, Titijaya intends to operate the completed buildings and complete the remaining project works, tapping The group launched a total gross development value (GDV) of RM656.5 million in Q1’25, comprising 38% residential landed (RM252.1 million), 32% industrial (RM209.5 million), and 30% commercial (RM194.9 million). Notable launches during the quarter included The Nine in Elmina West, a residential landed development spanning across 192 units of double-storey linked homes with a GDV of RM167 million, which achieved 100% take-up rate; and Quadria in Bandar Bukit Raja, the township’s first four-storey semi-D offices with a GDV of RM194.9 million commanding a 79% take-up rate as of May 18. Sime Darby Property reports resilient quarterly performance ARA DAMANSARA: Sime Darby Property Bhd reported a resilient performance for the first quarter, maintaining operational strength and consistent execution following an exceptional performance in FY24. The group’s results were supported by sustained sales momentum, a diversified product mix, and continued focus on cost discipline. For the first quarter ended March 31, 2025 (Q1’25), the group recorded revenue of RM871.6 million, operating profit (OP) of RM189.1 million, and profit before tax (PBT) and profit after tax and minority interest (Patami) of RM179.6 million and RM118.4 million, respectively. The group recorded margin improvements in gross profit at 32.5% (+1.5% YoY), exceeding its guidance range of 20–25%, supported by disciplined cost management and contributions from a well-balanced product mix, with higher margin contributions from industrial, residential landed, and commercial products. PBT remained stable at RM179.6 million, while PBT margin improved to 20.6% (+2.1% YoY), primarily driven by stronger contributions from the Investment & Asset Management segment, which recorded a 61% YoY growth in PBT, led by the retail sub segment. Sime Darby Property Group managing director & CEO Datuk Seri Azmir Merican, said, “FY25 is off to a solid start, building on our record performance last year. This quarter’s results were anchored by margin improvement, firm sales momentum, and rising contributions from our Investment & Asset Management segment.”

Paramount CEO happy with Q1 sales momentum

o Company posts improved first-quarter results, property segment remains key driver

PETALING Paramount Corporation Bhd posted a profit before tax (PBT) of RM22.6 million (Q1’24: RM17 million) for the first quarter of 2025 (Q1’25) supported by revenue of RM217.8 million (Q1’24: RM172.6 million). Profit attributable to shareholders rose by 87% to RM14.4 million (Q1’24: RM7.7 million). The property segment remains the group’s primary revenue driver, contributing RM205.9 million in Q1’25, a 27% increase from the RM161.8 million recorded in Q1’24. The three biggest contributors were The Atera, a transit oriented mixed development in Petaling Jaya; Utropolis Batu Kawan, a mixed development in Penang; and Paramount Palmera Industrial Park, also in Penang. Correspondingly, PBT for the property segment was 40% higher at RM32.2 million (Q1’24: RM23 million) underpinned by higher revenue. Boosted by broader product offerings available for sale after a record RM2.4 billion launches in 2024, property sales more than doubled to RM230 million in Q1’25, JAYA:

Citadines Waterfront Kota Kinabalu hotelmanaged by Ascott. Today’s announcement deepens our foray into Sabah and East Malaysia at large, positioning us to be a long-term beneficiary of the region’s growth,” he said. On a more project-specific level, he added they believe that these two assets will enable them to benefit from rising demand for housing accommodation in the surrounding area and boost contributions from recurring income to our revenue. “Recurring income has the potential to deliver a stable income stream for the group, while serving as a hedge against short-term fluctuations in the property market,” said Lim. ability to consistently deliver strong value propositions. “At Utropolis Batu Kawan, Penang, we offered yet another compelling value proposition with the launch of Seiras Residences in May 2025, the fifth phase of our high rise residential homes, featuring dual- and triple-key layouts.” “Seiras Residences’ triple-key layout offers three self-contained living spaces, each with a private balcony and en-suite bathroom, ideal for homeowners seeking both privacy and rental income. This unique co-living concept is the first in the northern region of the peninsula,” he said. Chew said the group will strive to meet its 2025 sales target of RM1.5 billion along with on-going projects contributing to the group financial performance for the financial year ending Dec 31, 2025. The group’s unbilled sales (RM1.6 billion as at March 31, 2025) will provide near-term visibility on the group’s cashflow though the conversion into billings will largely depend on work progress. The Q1’25 co-working segment’s revenue of RM6.6 million was 75% higher year-on-year (Q1’24: RM3.8 million). Despite the higher revenue, the co-working segment maintained a loss before tax (LBT) of RM0.5 million in Q1’25, unchanged from the previous year. The loss was largely due to rental costs incurred for the NU Sentral space—the business’s eighth co working outlet—during its pre opening renovation phase, as the space only commenced operations in May 2025. The segment also saw an increase in headcount at Scalable Malaysia, its design and build business that has been growing. Chew said he was optimistic about the newly opened co-working space at NU Sentral Shopping Centre, noting its strategic location adjacent to the KL Sentral transportation hub.

comprising 30 units of shop offices, were fully booked within an hour of its launch in January 2025. We believe its strong value proposition as a vibrant lifestyle hub by the hills and its strategic location along Jalan Kulim, contributed to the overwhelming response.” Paramount had launched RM62.4 million worth of properties in Q1’25 (including Paramount Embun Hills) as part of its planned RM1.4 billion pipeline for the entire year. “We look forward to a strong response when we launch Phase 1 of its residential component in the middle of the year, with its cluster and double storey terrace homes. Paramount Embun Hills is a strata development, gated and guarded, and has been master-planned for GreenRE certification.” Chew added that Paramount Property’s sustained success as the people’s developer was due to its

from a low base of RM101 million the year before that was impacted by deferred launches. The top contributors in Q1’25 sales were The Ashwood at U-Thant in Kuala Lumpur, followed by The Atera in Petaling Jaya, which is also Paramount’s largest on-going project, and Paramount Embun Hills, a new development next to the Bukit Mertajam Forest Park. Paramount Group CEO Jeffrey Chew said he was pleased with the sales momentum to date, noting that The Ashwood at U-Thant, Kuala Lumpur, had reached 90% sales as of mid-May 2025. “Meanwhile, The Atera, which is Paramount’s largest on-going project, is doing well with Phase 1 achieving 91% sales as of mid-May. In response to steady demand, we have launched Lumeo, the second phase.” “In Bukit Mertajam, The Shoppes at Paramount Embun Hills,

The Shoppes at Paramount Embun Hills, comprising 30 units of shop offices, were fully booked within an hour of its launch in January.

Titijaya to acquire residential assets in Sabah for RM105m KUALA LUMPUR: Urban lifestyle developer Titijaya Land Bhd

and Sustainability approach to real estate development by increasing the availability of quality accommodation for public university students, and reviving an abandoned housing project for public and social good. Furthermore, repurposing the existing building, following the completion of remaining works, will result in significantly lower carbon emissions compared to constructing an entirely new one.” This move, he added, also aligns with their broader growth strategy to diversify their revenue streams and customer base, and extend their footprint beyond the Klang Valley. “We already have a presence in Sabah via our luxury mixed development The Shore, and the

Both parcels of land sit side-by side and are located adjacent to Universiti Malaysia Sabah (UMS) and the upcoming Hospital UMS, which is slated to commence operations in 2026. Hospital UMS is set to serve as an important centre for medical education, research and public health services. The strategic location of these assets—offering strong connectivity to both UMS and the future hospital—makes the area a highly desirable locality in Kota Kinabalu. Titijaya Group managing director Datuk Lim Poh Yit said, “We are pleased to announce the acquisition of these assets, paving the way for the next chapter of our foray into Sabah. This acquisition aligns with our ESG

Banking & Finance The second proposed acquisition – amounting to RM6 million – involves a parcel of land with an existing building structure originally intended for the Kompleks Koperasi UMS project, launched in 2012. The original development plan would have seen the construction of a 14-storey apartment building with 476 apartment units, a one-storey shop lot with 38 units, and a three-storey car park podium. However, the project has not been completed and has since been abandoned. Following the acquisition, the group intends to resume the project to develop new residential properties. into the existing and rising demand for student and housing accommodation in the surrounding area.

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