GOB

Wednesday, 16 October 2013

Premium Outlet Ticked. What's Next?

Agreement related to Batu Kawan development signed again!

This time it is the Penang Premium Retail Outlet.

On 12th October 2013, Penang Development Corp (PDC) has signed a purchase and development agreement with Sarawak-based PE Land Sdn Bhd for the construction of premium retail outlet in Bandar Cassia, Batu Kawan.

The outlet will cost about RM200 million and was won by PE Land in an open tender. This is PE Land's first development in peninsular Malaysia. It operates Sarawak's largest shopping mall tHE Spring in Kuching. CB Richard Ellis (M) Sdn Bhd will act as the principal consultant for the project.

This is part of the development in a 16-ha land (40 acres) which will include a 300-room international-class hotel, cafes, F&B outlets, landscaped garden and residential units, which forms part of the mixed development in Bandar Cassia called Penang Designer Village with a GDV of RM1 billion.

The premium outlet is expected to be completed within 3 years.

Next announcement that may follow perhaps is about the proposal of International Theme Park and golf course, in which the deadline for proposal submission is on 31 Oct 2013.

With so many good news flowing in Batu Kawan recently, one property developer will be a definite instant beneficiary - Global Oriental, who is the only developer with on-going residential projects there besides PDC. However, I think other developers will make their move once the 2nd bridge is completed.

       GOB upcoming launch: Camellia - 3 storey courtyard villas

       GOB's Crescentia Park at Bandar Cassia

After Bayan Baru and Seberang Jaya, Bandar Cassia will be PDC's third satellite township development. The former two are very successful. How about Bandar Cassia?

Friday, 27 September 2013

UK Uni & KDU Land At Batu Kawan

If everything goes as planned, 10th Oct 2013 will mark the beginning of the first oversea university branch in Seberang Perai of Penang.

Local company PKT Logistic Group is expected to sign a franchise agreement with University of Hull UK to establish a university campus in Batu Kawan. The construction should start in 2014 and student intake should be in 2017.

University of Hull in Batu Kawan will offer pre-U programmes, degrees and post-graduate studies in electrical & electronics engineering, mechanical engineering, business study, logistic study, accountancy and law. Students can enroll in  the "3+0" programme and complete the whole study in Penang.

University of Hull was established in 1927 and is currently ranked no.53 among UK top universities. Anyway, I believe that most Malaysians know Hull because of its football team - The Tiger.

The 5-acre campus is located at the southern part of Batu Kawan and it is part of PKT's "One Auto Hub" project. This area was initially allocated for light industry. The premium outlet should be right opposite at the other side of the bridge.

       One Auto Hub should be the light blue colour area

One Auto Hub is a development that comprises a few components, which are The Ship campus (which is University of Hull campus), Lighthouse hotel, pavilion, automotive logistic facilities, warehouses, jetty, mangrove walk or animal sanctuary.

You may be wondering what the hell is this "The Ship" and is it related to one famous restaurant? No.

PKT Logistic has one such development in Selangor next to Kesas Highway which is called "One Logistic Hub". It has a few components such as The Ship, The Wave, The Lighthouse & The Sea of Pineapples. Here, "The Ship" is a warehouse and really looks like a ship externally and internally. Don't ask me why pineapples please, but pineapples are really planted there.

       One Logistic Hub - similar thing in Batu Kawan soon

Thus, "The Ship" in Batu Kawan's One Auto Hub is a university building & campus.

Besides University of Hull, local education group KDU will also set up a KDU university college on a 10-acre site in Batu Kawan. It will offer degrees in engineering, business, accounting, information technology, hospitality, culinary & tourism, mass communications, design and English. In the future, it is expected to become a full-fledged KDU university. Student enrollment is expected to start in year 2018.

Penang Development Corporation will sell a 30-acre land in the heart of Batu Kawan to Paramount Corporation Berhad, which is the parent company of KDU. Apart from the 10 acres land allocated for education, the other 20 acres will be used for mixed development. This means that after GOB & Malton, Paramount also has a share of Batu Kawan property feast.

       The site of KDU & Paramount land

       Approximate site of KDU & branch of University of Hull

Earlier in August 2013 PDC has held a request for proposal for the purchase, lease and development of a 87ha (215 acres) of international theme park and a 180ha (470 acres)18-hole golf course in the northern part of Batu Kawan. The closing date to submit the proposal is Oct 31. These development must be completed within 4 years after signing the agreement. Lets wait until November and see what kind of theme park is proposed.

       Theme park location as being pointed out

Since the 2nd bridge is still yet to complete, property development activity in Batu Kawan is currently restricted to GOB's project in Bandar Cassia, which is at the north of Batu Kawan. Its 22x40ft leasehold Callisia 2 double storey terrace houses which will obtain OC soon is asking for more than RM540k by someone in the subsale market. More expensive than the "luxury & big" DST in Jesselton Hill BM...

Anyway, Batu Kawan will be the third satellite modern township in Penang, after Bayan Baru and Seberang Jaya. All 3 areas have similarities such as supported by major industrial park and well-connected to the bridge. 

Nevertheless, though some big factories like Honda have started operation, the potential of Batu Kawan is still very much overlooked. 

We should be able to get a clearer picture after the completion of Penang second bridge which is scheduled to be on Nov 8 of 2013.

Private or government hospital next?

Thursday, 11 October 2012

Malton Enters Batu Kawan

Malton has announced on 10 October 2012 that, Silver Setup Sdn Bhd ("SSSB"), its wholly-owned subsidiary, had entered into a Joint Development Agreement with Batu Kawan Development Sdn Bhd (formerly known as Abad Naluri Sdn Bhd) for the proposed joint development of a piece of land situated at Batu Kawan, Mukim 13, Seberang Perai Selatan, Pulau Pinang measuring approximately 300 acres.

      A Thriving Township of the Future

This leasehold land is likely to be located at the southern region of Batu Kawan near Penang 2nd bridge. It is purchased by Abad Naluri in March 2011 from Penang Development Corporation for purpose of mixed commercial & residential development. 

     Is the above-mentioned land no.6?

The proposed development is estimated to be worth RM3.8bil and will be completed in phases over 10 years. Malton shall be entitled to 82% of the GDV base on the joint development agreement.

With the "handover" of this project to Malton, Equine should be able to concentrate on its Crescentia Park township project at the north of Batu Kawan.

Malton & Equine, who is a better developer?

Monday, 23 April 2012

Batu Kawan Development Plan

While the Penang Second Link is getting closer and closer towards completion, the property in Batu Kawan area is still not getting much attention.

So far, besides the Dedaun bungalow series, almost all other property development in Batu Kawan are low-medium cost home, without any major commercial development. This may be the reason most property investors think that this is not the time yet.

However, with the arrival of a few factories and the marvelous HDB-flat-like apartment in the area, the heat can be felt slightly now. Some rich folk may even start to think of getting one or few units of so-called affordable housing scheme apartment by the Penang government.

Besides PDC, which apparently owns a big chunk of land in Batu Kawan, Equine Capital also will play a major role in the development here. PDC has completed Dedaun phase 1 and a few Taman in the northern boundary. While Equine has just completed a few hundreds units of affordable landed houses at its Crescentia Park namely the Studio S, M, L & Clover.

     Crescentia Park: just 20% completed

From a glance of Batu Kawan future development plan, the current completed houses in Crescentia Park including the under-construction Callisia only comprises about 20% of the total area. Apart from this Crescentia Park, Equine seems to have another huge development at the southern area of Batu Kawan, which is a new 300-acres commercial hub.

     The new commercial hub is no.6 here

It is "rumoured" that Mahsing has already bought a piece of land here for development. Where can the land be? Is it the land below no.1 golf course? If it is true, then we can expect "better house & living" here, but don't expect it will come cheap!

     This 450-acres Eco-Township is the Crescentia Park.

     No.5 is for the affordable housing scheme.

      Not many area for industrial (purple) actually. Honda and Ibiden is there.

The housing area (brown colour) at the north of no.6 new commercial hub belongs to PDC's Dedaun phase 2, if not mistaken. So we can see that apart from those mentioned earlier: the Crescentia Park, state government affordable housing scheme and a few PDC's land at north & east of Batu Kawan, there will be no more residential area here.

Currently, Batu Kawan is still not a convenient place to live for many people. In the future, surely this will change, but how long will it takes? Five years or 10 years?

Friday, 9 March 2012

Batu Kawan: A Pearl Yet To Be Polished

Batu Kawan is slowly emerging as the next Bayan Lepas in Penang?

So far three multinational companies have committed themselves to invest in a new plant in Batu Kawan. They are Japanese Honda, Swiss VAT and German Bosch. Among all these three companies, the construction of VAT and Honda plants have already started and the first to begin its operation should be VAT, a vacuum valve maker, who should be able to produce its first valve here by the end of 2012 or even earlier in September. Honda's plant is expected to be completed by the first half of 2013.

     Honda plant: looks like it is near to the bridge

Unfortunately, Bosch's RM2.2 billion solar panel manufacturing project was delayed due to cost and design reasons. Its construction is supposed to start at end of last year. Bosch said that it will come out with a new cost-effective design by the end of 2012 then only the construction can start. Nevertheless, Bosch has signed the Sales & Purchase Agreement for the land with Penang government and paid 10% deposit.

      VAT plant: small scale

For property in Batu Kawan, the existing ones are Intan Cempaka, Villa Tanjung Permai, Teratai Idaman by PDC property at the northern border which is further from the second bridge located at the south of Batu Kawan. Nearer to the bridge, PDC has Halaman Seroja and Dedaun luxury bungalows. It seems like there will be Dedaun phase 2 in the future next to the phase 1.

      Dedaun bungalows with man-made lake

Another completed development here in Bandar Cassia is the Crescentia Park by Equine/Abad Naluri, which consists of mainly low-medium cost affordable landed homes. This project is known for its delay for almost 3 years and just obtained OC in the end of 2011.

      Crescentia Park low cost houses

Besides, the state government has come out with a RM2.7 billion Bandar Cassia Affordable House Scheme by PDC on an 80ha plot of land. This project is designed by Singapore-based Surbana and will have about 12,000 medium-cost housing units, three football fields, a man-made river and recreation parks. The units will be housed in high-rise buildings of between nine and 16 storeys and ranging from 800sq ft to 1,000sq ft. They are priced at between RM72,500 and RM220,000 each with a free car parking lot. This freehold project has a 10-year development period over five phases with the Phase 1 expected to be ready by 2014.

      Bandar Cassia Affordable House Scheme

There are quite a lot of new factories under construction at the nearby Penang Science Park. With the completion of Penang Second Bridge expected in the end of 2013, the south-west of Province Wellesley could see a significant growth in term of population, jobs, infrastructures and housing projects. Areas nearby Batu Kawan such as Tambun, Simpang Ampat, Jawi, Juru etc should be able to reap some benefits from it.

However, if Pakatan Rakyat lose Penang state in the coming general election, will it be a different story?