Area
Mid Valley City - 50 acres
i-City - 72 acres
GDV
Mid Valley City - ?
i-City - RM5b
GDV to acreage ratio
i-City's GDV/acreage ratio is as good as Mid Valley City's
Access
Both have direct access from the Federal Highway. (direct link to i-city expected to complete by end of 2013)
i-City was planned by world-renowned urban planning firm, Jerde Partnership, which is famous for Roppongi Hills development in Tokyo and SP Setia's KL EcoCity project.
Joint venture with Central Group of Thailand to develop a regional shopping centre that would be held as a long term investment. Agreement is expected to be signed by end of May 2013. Will be built on 14 acres of land in i-City. Gross floor area 1.7m sq ft. Net leasible area about 1m sq ft. Upon completion of the mall, I-Berhad's 40% stake in the special purpose vehicle alone could possibly worth more than its current market cap.
Central Pattana, a subsidiary of Central Group, is the largest developer and operator of shopping centres in Thailand.
Participation of Thai Central Group could bring in some Thai components in the retail malls, something different from most of the malls in Klang Valley anchored either by Jusco or Parkson.
Audit earnings forecasts for FY13 and FY14 are profit before tax RM65m and RM120m respectively. EPS could be around RM0.50/share and RM1/share in FY13 and FY14 respectively.
Shah Alam General Hospital which is within walking distance of i-City is nearing completion.
Zero debt
I-Berhad in JV with China company
ReplyDeleteDecember 13, 2011
PETALING JAYA: I-Berhad on Tuesday entered into a strategic alliance with China-based Everbright International China to co-develop 12.14 hectares of land in i-City, Shah Alam, via a joint venture.
Chief Executive Officer of I-Berhad Datuk Eu Hong Chew said Everbright will have a 70 per cent shareholding in the venture.
Apart from financing the construction, Everbright will also lead a consortium of Chinese companies to set up operations in i-City.
The development will be undertaken in two phases involving 5.66 hectares for the initial phase. This phase is for a commercial hub with a gross development value (GDV) of RM1.5 billion comprising a shopping mall and mixed residential, Multimedia Super Corridor offices and educational institutions.
Work on the project, called Everbright International ICT, is expected to begin by mid-2012 and completed by 2020.
"The GDV of the whole project is about RM3.5 billion, of which Everbright International China will contribute RM2 billion and I-Berhad providing the land and infrastructure.
"Everbright has already roped in a Chinese multimedia company to anchor the animation centre in i-City and a Confucius Institute from China that will spearhead the educational component," Eu said.
He said a China-based bank, currently operating in Malaysia, is also part of the consortium.
"The strategic alliance with Everbright International China is in line with the state government's vision of transforming Shah Alam into an international metropolitan city," he added.
He said from the i-City perspective, the commercial hub is very much in line with i-City's two-pronged vision of being a MSC Malaysia Cybercentre as well as a tourism destination.
"The Chinese parties will provide a new MSC positioning for i-City.
"Currently, i-City's MSC Malaysia Cybercentre programme is focused on supporting local SMEs," he added.
Chairman and Chief Executive Officer of Everbright International China, Zhang Huaipu, said the company chose Malaysia as its investment base, due to the stable political environment.
Everbright International China has extensive overseas projects, including in Russia and Africa.
I-Bhd expects to double the revenue of its leisure division with the opening of the wax museum. In its financial year ending Dec 31, 2012, its leisure component recorded revenue of RM32m.
ReplyDeleteI-Bhd also expects to triple its pretax profit yoy for FY2013 to RM65m, of which RM40m will come from its property development division. Lim forecasts a further jump in pretax profit in FY2014 to RM120m.
The developer launched the first two of four blocks of its residential incubator development - i-SoHo in May and June respectively at an average price of RM600psf. Offering a total of 3001 units overall, it has a GDV of RM1.3b. According to Ong, the first and second blocks are 80% and 60% sold respectively. The remaining two blocks will be launched next year.
Next up are the serviced apartments, which will be launched later this year. The units will be fully furnished and managed by an international operator.
"We believe this will be appealing to foreign investors because it's fully furnished and it comes with a guarantee scheme. We are now in the final stages of negotiation with the operator and are finalising some details of the development," shares Ong.