KUALA LUMPUR (Feb 15): Sunsuria Bhd plans to jointly build a six-storey stratified commercial lot called Pusat Perdagangan ION Akses, with a gross development value of RM187 million in Johor Bahru.
In a filing with Bursa Malaysia, Sunsuria said its wholly-owned unit Library Mall Development Sdn Bhd signed a joint development agreement with leaseowner CI Medini Sdn Bhd to build the 355-unit project and dispose of individual parcels of shops within the development.
Sunsuria said the gross development cost is RM135 million. The group said that Library Mall would be entitled to a 20% share of profit of net sales revenue for all units sold, while CI Medini would be entitled to the balance of the profit.
Sunsuria expects an estimated net development profit of RM52 million from the project, which is expected to be completed by the second quarter of 2019. It is currently 20.31% complete.
Sunsuria believes the development will contribute positively to its future earnings, while improving the financial position of the group and its subsidiaries.
Sunsuria’s share price closed unchanged at RM1.30 today, for a market capitalisation of RM1.04 billion.