Development of Sungai Buloh RRIM Land

Developers are willing to pay between RM100 and RM200 psf for a portion of the 2,330 acres in Sungai Buloh.

EPF completed the acquisition of the land for RM2.3bn or RM22.66psf from RRIM.

EPF has about 1736 acres to put out to tender after accounting for a 160 acre green belt in the middle of the township and infrastructure using up about 20% of the land.

Developers will have to pre-qualify for the tender and will be divided into 3 categories, Tier 1 or large scale companies with a paid-up capital or shareholders' funds of at least RM1b, Tier 2 or medium-scale companies with a paid-up capital or shareholders' funds of at least RM300m and Tier 3 companies comprising bumiputera developers with a paid-up capital or shareholders' funds of RM1m and above.

7 major developers meet the Tier 1 requirement: S P Setia, Sunway, IJM Land, UOA Development, Mah Sing, Dijaya and MK Land.

The tender for the re-development of the 926ha out of the 1,215ha Rubber Research Institute (RRI) Malaysia land in Sungai Buloh, that is now controlled by Kwasa Land Sdn Bhd, is expected to be called by the third or fourth quarter of this year.

The entire development was supposed to take place over a 10 to 15-year period.

The parcels were likely to be broken down to between 100 acres and 500 acres.

RRI will retain 216ha to build the most modern research facilities including a museum, a commodity college, its headquarters and business clusters.

73ha was allocated for MRT Co to build the Sungai Buloh MRT depot.

The Sungai Buloh land is divided by the Jalan Sungai Buloh-Shah Alam highway which slices the 216ha in the middle.

The northern portion is under the authority of the Shah Alam City Council. It houses the RRIM research station and the MRT depot.

The southern portion comes under the Petaling Jaya City Council. Townships around the area include Kg Baru Sungai Buloh, Kg Sungai Kedondong, Taman Subang Bestari, Tropicana Golf and Country Resort and Damansara Indah.

http://biz.thestar.com.my/news/story.asp?file=/2012/4/23/business/11153304&sec=business

In Media Prima Agm, Tan Sri Azlan Zainol commented

Of the 3,200 acre RRIM land,

• 2,200 acre of land will be allocated for property development and will be broken into 20-30 parcels of land for bidding. Highest bids win.
• 350 acre for MRT depot and 2-3 nos. of MRT station
• 500-600 acre kept by RRIM for R&D and museum
• 100 acre for PR1MA housing scheme

EPF bought the land at about RM21 psf. Current market value RM70-100 psf