Naim to develop RM300m mixed project in Kuching

SARAWAK-based Naim Holdings Bhd (Naim), a property developer and construction group, will develop prime land in Batu Lintang, Kuching, into the state's biggest comprehensive mixed development project, costing more than RM300 million.

Managing director Datuk Hasmi Hasnan said the proposed development would be sprawled over 13.597ha and be completed over 20 years.

The project will comprise a four-storey shopping mall with basement car park, office tower block, hotel tower, a 36-storey office tower with basement and elevated carpark, showroom, 18-storey condominium block and a 27-storey high-rise apartment.

"We will incorporate a water theme park, a roof garden and incorporate plenty of greeneries so as to come out with a development that is eviromental friendly and one that the local populace can enjoy and benefit from," he said.
The project will be developed on a joint venture basis between Naim, Sarawak Mosque Welfare Trust Board and Tabung Baitulmal Sarawak.

The three parties signed a memorandum of understanding to facilitate the venture witnessed by Chief Minister Tan Sri Abdul Taib Mahmud.

Hasmi said Sarawak Mosque and Tabung Baitulmal will each have a 15 per cent equity in the project venture while Naim would hold the remaining 70 per cent.

"We estimate employment for more than 2,000 people in the project," he said, without disclosing, when the construction will begin.

By Bernama

Tesco plans 3 more stores in Penang, Kedah

TESCO Stores (Malaysia) Sdn Bhd is expanding its business in the northern region by opening three more outlets in Penang and Kedah within this year.



Tesco Malaysia chief operating officer Tim Golding said the company wanted to bring its Tesco offers to more customers and the new outlets will be opened at Seri Tanjung Pinang in George Town, Penang, and in Kulim and Alor Star, Kedah.

He said the new outlet at Seri Tanjung Pinang is expected to open in June.

The company has invested RM20 million on setting up the leased outlet, making it a long-term tenant at the development, which has been said to be the largest seafront project in Penang's history.

"Tesco Malaysia also has further developments in Alor Star and Kulim, where two more of our outlets will be opening this year. Both projects cost about RM50 million each," he said at the official launch of Tesco Bukit Mertajam at Jalan Rozhan yesterday.

Tesco Bukit Mertajam, which measures 9,000 sq m, opened for business on September 23 last year and is Tesco Malaysia's 36th outlet in the country and Penang's fourth.

Apart from more than 60,000 product lines in fresh food, groceries, apparel, electrical appliances, furniture and health and beauty items, the outlet also features over 50 shop units and 30 pushcart stalls.

Golding said the new Alor Star outlet will be located in the Stargate township, a 124ha mixed development in Tandop.

Tesco Kulim began constructions in September last year in Taman Lembah Impian. The two-storey hypermarket is expected to be completed in the second quarter of this year.

Golding said Malaysia was a fantastic market for Tesco, which plans to open seven to eight new outlets annually. The company is presently in planning stages for the new outlets nationwide.

He added that Tesco Malaysia also boasts a 100 per cent local employment rate, with Malaysians filling various positions in the company across the country.

Tesco Malaysia government relations and legal affairs director Azlam Shah Alias said for 2011, the company would invest an estimated RM500 million.

It was reported earlier this month that Tesco Malaysia has plans to invest RM280 million and open four more hypermarkets over 12 months starting from March, bringing the total number of stores it has nationwide to 40.

Tesco Malaysia started operations here in 2002 with its first store in Puchong, Selangor, and has invested over RM3 billion since. Last year, it recorded RM3.6 billion in revenue.

By Business Times

Bukit Bintang’s covered walk among stars

PETALING JAYA: The Government's proposal to revive plans for the Bukit Bintang area to be developed along the lines of Singapore's famous shopping haven Orchard Road to boost tourism and increase shopping expenditure, has received positive response from retail associations and real estate consultants.

Under the Economic Transformation Programme (ETP), a 6km-long covered walkway would be built in the Bukit Bintang area. The walkway is part of the RM204bil public-private investment master plan under the ETP's Greater Kuala Lumpur development.

For comparison, Orchard Road is a 2.2km one-way street flanked by distinctive shopping malls on both sides of the road.

Malaysian Retailer-Chains Association (MRCA) secretary general Valerie Choo said in principle, the Orchard Road concept would be good for Bukit Bintang.

MRCA is happy that more emphasis has been placed on reviving Bukit Bintang. Malaysia is now able to sell Bukit Bintang as a tourism product while tourists and locals will be able to walk seamlessly and comfortably from one mall to another, she told StarBiz in an e-mail.

However, she said more needed to be done such as shopping mall enhancement and refurbishment.

This is what Singapore Tourism Board did in 2009, pumping in S$40mil to rejuvenate Orchard Road together with other stakeholders i.e. shopping malls and building owners, she said.

Choo suggested planting more trees to create lush greenery and shade to complete a multi-sensory experience for tourists and locals alike.

But the most vital thing is how the traffic condition can be improved in that area, she said, adding that road closures were now carried out without stakeholders being informed beforehand.


H.C. Chan

Malaysian Association for Shopping and Highrise Complex Management (PPK) president H. C. Chan said Bukit Bintang had the pedigree and history in shopping since its first shopping mall Sungei Wang Plaza opened over three decades ago and this gave the area tremendous potential to be a world-class shopping destination.

Creation of a comprehensive pedestrian network would be a major step towards integrating all the mall and hotel facilities and linking them to public transportation, befitting and expected of a world-class shopping destination, he told StarBiz via e-mail.

Besides customer-friendly physical integration, he said there was a need for a long-term holistic approach of branding and marketing Bukit Bintang as a single shopping haven entity, similar to Orchard Road or Regent Street of London.

PPK urges all mall owners and managers in Bukit Bintang and interested stakeholders like the City Hall to adopt a common platform and work closely together for the common good of the country's tourism and their respective properties, he said.


Tan Hai Hsin

Henry Butcher Retail managing director Tan Hai Hsin said reviving the concept of Orchard Road in Bukit Bintang area was viable and long outstanding. It should have been done many years ago! he told StarBiz in an e-mail reply.

However, Tan said many things still needed to be done to make Bukit Bintang area a world-class shopping district, including:

Covered connection

All major shopping centres should be linked via a series of tunnels and/or bridges that provide cover and protection from the rain and the sun. Berjaya Times Square is now disconnected from Sungei Wang Plaza. There is no covered bridge or tunnel joining both buildings. Also, Plaza Low Yat is disconnected from Sungei Wang Plaza/Bukit Bintang Plaza. Sungei Wang Plaza/Bukit Bintang Plaza is linked to Lot 10 via a bridge. Lot 10 is disjointed from Fahrenheit 88, which is not directly linked to Starhill Gallery or Pavilion.

Pedestrian mall

Jalan Bukit Bintang or Jalan Sultan Ismail should be turned into a pedestrian mall during the weekends. This was attempted many years ago but with great resistance from the hotel, office and retail operators in the area who complained their customers would not be able to access their premises when the road is closed.

Public facilities

Public facilities such as a tourist information centre, public toilets and street furniture are important components of a world-class shopping district. The tourist information booth in front of McDonald's is too small, unfriendly and stocks too few brochures. According to recent media reports, the public toilets (in front of McDonald's and Lot 10) are not well-maintained.

Promotion

A tourist brochure or shopping directory just for the Bukit Bintang shopping district is a must. In Singapore, there are a few publishers on Orchard Road's retail attractions and other facilities.

By The Star

A leisure place for Kelantanese

An artist’s impression of QueensPark SportzCity & Boulevard project in Kelantan.

KRISTANA Holdings Sdn Bhd, the property arm of logistics company Metroport Group Bhd, is investing RM30mil to build its maiden property project, the QueensPark SportzCity & Boulevard lifestyle and recreational centre in Kota Baru, Kelantan.

Meeting Kristana group managing director Datuk Dr Stanley Chew, one is tempted to ask the obvious why Kelantan?

The state is no doubt popular for its rich traditional culture and heritage. However, more often than not, it's Kelantan's conservative enforcement rules towards entertainment that's more renowned.

Still, Chew is confident about the prospects of the company's QueensPark SportzCity & Boulevard project, insisting that it would be the first of its kind in Kota Baru.

Our concept is different from the conventional shopping complexes and hypermarts in Kota Baru. Apart from (just) shopping, we will also offer recreational facilities and al fresco dining to potential customers, he tells StarBizWeek. The project is slated for completion next month and will be officially launched in April 2011. The QueensPark SportzCity is a commercial sports and recreational centre that will boast the largest bowling outlet (with 36 lanes), snooker and pool centre, four futsal courts (including one FIFA-sized court) and a musical roller-skating rink (also a first in the state's capital).


Datuk Dr Stanley Chew ... ‘Our concept is different.’

Chew says apart from commercial reasons, having multiple bowling alleys and futsal courts means the centre would also be able to host international sports events some day.

He adds that space within QueensPark SportzCity would only be rented out (rather than sold) as the company wants to maintain control over the activities that are offered at the centre.

We already have interested bowling operators that want to start business at our centre, says Chew.

Getting the tenants

Meanwhile, the QueensPark Boulevard comprises 32 units of two and three storeys of shopping space. These shops will comprise food and beverage outlets, convenient stores, health and beauty, information technology, crafts centres and banking services.

We will start offering the stores to potential tenants this month, says Chew, adding that the shops would be priced at around RM220 psf.

He also says selection of the tenants would be selective, adding that Kristana would also have a say on who the tenants wanted to sub-let their premises to.

We want to have a certain level of control over what we offer at QueensPark Boulevard, says Chew.

He says 70% of the tenant mix would comprise local businesses.

People that come to Kelantan want to enjoy and experience the local culture and food. The remaining 30% of the tenants will offer foreign products. This is to offer variety to our customers.

Chew says the centre was developed on the build-then-sell concept so that potential tenants would have the assurance that the building is already up and ready.

When they purchase the premises, they would be able to rent it out and start earning rental yields immediately. The project is also strategically located within prime land. As there is already a park and crafts centre nearby, there's an available crowd to attract.

Chew says the centre would also be able to leverage on Kelantan's unique weekend' which falls on Friday and Saturday.

Kelantanese observe Saturday and Sunday as their weekend. This means that the state's weekend is actually three days long instead of just two. A longer weekend means more time for the crowds to come in and shop.

The location

The QueensPark SportzCity & Boulevard is strategically located opposite the Taman Perbandaran Tengku Anis recreational park and close to a crafts centre, says Chew.

Because of the location of our centre, we can attract a wide range of customers. Rather than just attract shoppers, the area will pull in crowds that want to enjoy a walk in the park. Those that appreciate cultural arts can go to the crafts centre.

After that, they could shop or enjoy a meal at our centre. Alternatively, they could play a game of futsal, go roller-skating or bowl.

Chew says with the project's strategic location, the aim is to position the centre as a hub for sports, lifestyle and entertainment activities.

According to Chew, the QueensPark name was inspired by the Tengku Anis recreational park (Tengku Anis being the former queen of Kelantan).

He says the development was influenced by international public parks, such as Hyde Park and Central Park in London and New York respectively.

Hyde Park and Central Park are popularly sought-after addresses and we wanted to emulate that by having a complex by a famous park in Kota Baru, says Chew.

Pulling the crowd

Apart from attracting customers from within Kelantan, Chew hopes the centre would also be able to pull in crowds from neighbouring countries, especially Thailand.

A lot of people from the south of Thailand actually come to hypermarts in Malaysia to purchase certain goods because they are cheaper here (in Malaysia).

The QueensPark SportzCity & Boulevard is located about 45 minutes away from the Thai border and we hope to target potential customers from there, he says.

Chew says that many of the existing entertainment outlets in Kelantan were already packed and feels that customers and patrons are eagerly looking for a new place to unwind.

Emulating the trend

One of the reasons Kristana decided to build its project in Kelantan rather than the Klang Valley is because there were already plenty of sports and recreational outlets in Kuala Lumpur or Selangor.

The challenge of building such a centre in the Klang Valley is that there would be too many competitors, says Chew. However, he adds that the company is looking to set up similar centres in other locations.

We are looking for similar type of locations, meaning that we want to set up a lifestyle and recreational centre near an available park. This means that we'd probably develop it at the fringe or outskirts of the city rather than in the heart of the city itself. We're looking at replicating this model within the Klang Valley and perhaps Ipoh, Chew says.

He adds that the long-term goal is to develop a similar project within the South-East Asian region.

If we go regional, than 30% of the tenant mix will comprise Malaysian businesses, Chew says.

By The Star

Facing stiff competition in retail

KOTA Baru, the capital of Kelantan, is home to a few shopping complexes and the addition of Kristana Holdings Sdn Bhd's QueensPark SportzCity & Boulevard could face stiff competition.

According to Kristana group managing director Datuk Dr Stanley Chew, the project will be positioned as a lifestyle and recreational centre, making it different from the conventional shopping mall as it will also offer sports and leisure activities such as futsal (football that is mainly played indoors and on a smaller playing surface), pool and snooker, bowling and roller skating.

But for the average shopaholic or person looking to kill some leisure time, it just means that they are now spoiled for choice.

The malls currently located in Kota Baru are KB Mall, Kota Baru Trade Centre, Pelangi Mall, Kota Seri Mutiara Shopping Centre and Tesco Kota Baru.

One Kota Baru-based real estate agent feels that there were already sufficient shopping centres.

If you also include hypermarkets (and malls), than I feel that there is an oversupply, says Azihan, a realtor from Kelantan-based property consultant firm Rahim & Co.

Every town in Kelantan already has a shopping centre, he adds.

Malaysian Association for Shopping and Highrise Complex Management advisor Richard Chan, who was involved in the planning of the development of KB Mall in Kota Baru, argues that there is plenty of room for growth for shopping complexes in Kelantan.

There's always room for growth. When Tesco came up (in Kota Baru), people were saying that KB Mall would be dead! But KB Mall is still doing well and commanding good rental rates, he says.

According to Chan, rentals on the ground floor of KB Mall was commanding about RM20 psf.

To have a successful shopping mall, you need certain criteria, such as good management, accessibility, location and anchor tenants. You also need good advertising and promotional campaigns that are done properly, says Chan.

Azihan says that for a new shopping centre to be successful in Kota Baru, it needs to be different from the rest, adding that the QueensPark SportzCity & Boulevard looked poised to offer something new to shoppers and customers.

One industry observer says that on average, consumer spending patterns (in Kota Baru) was good.

Apart from locals, there are also a lot of tourists from Southern Thailand coming here to shop. The shopping centres here are often packed especially during school holidays, he says.

According to Azihan, one concern that non-Kelantanese often have about the state is its strict entertainment rules.

But calls are already being made to the state Government to relax its stringent entertainment laws, he says.

Last month, it was reported that the Kelantan government was urged to relax its enforcement of rules under the state entertainment enactment to allow activities of traditional and cultural arts to perform in the state.

Seni Suara Desa Association president Baharuddin Ghani was quoted as saying that it was necessary that the conditions be relaxed to develop and promote the state's culture and arts.

By The Star

I-Berhad in talks to revive mall project

PROPERTY developer I-Berhad is currently in talks with relevant parties to revive its shopping mall project in Shah Alam, Selangor, said its top executive.

The i-City mall project was halted last year due to the global financial crisis. It was initially reported that the mall will span about one million square feet, almost equivalent to Mid Valley Megamall in Kuala Lumpur.

"We are currently in discussion stage and we will announce the plans when appropriate," chief executive officer Eu Hong Chew said but declined to elaborate further.

Earlier reports speculated that Singapore's CapitaLand Ltd would be I-Berhad's foreign partner to help develop the mall.
There are currently about four main shopping malls in Shah Alam - Shah Alam City Centre, Plaza Masalam, Kompleks PKNS and Alam Sentral mall.

i-City is an estimated RM2 billion project on 29ha that boasts a broadband speed of 20Mbps with fibre optics network and a back-up power supply.

The first phase, comprising 6.1ha with 500,000 sq ft of office space, is now 60 per cent occupied.

Yesterday, I-Berhad launched a 10,000 sq ft outdoor convention area known as i-Walk. The convention arena is an indoor-type air conditioned environment that is designed with 1,000 programmable LED lights making it an ideal avenue for corporate events or private functions.

The i-Walk can accommodate up to 33,000 people at one time and is expected to be ready by the end of December. The project is part of its phase two development covering 3.64ha with a gross development value of over RM150 million.

Also present at the event was Minister of Housing and Local Government Datuk Wira Chor Chee Heung.

In his speech, Chor praised i-Berhad for providing township services such as landscaping, security, rubbish collection and traffic management within its i-City development.

"This is in line with ministry's mission of having human settlements with integral facilities, social and recreational services," he said.

By Business Times

CapitaMalls to buy Gurney Plaza block

PETALING JAYA: The manager of Capitamalls Malaysia Trust, CapitaMalls Malaysia REIT Management Sdn Bhd, proposed to acquire a retail extension block of Gurney Plaza and parking lots at the complex in Penang for RM215mil.

A filing with Bursa Malaysia showed that CapitaMalls Malaysia REIT had entered into a conditional sale and purchase agreement with Gurney Plaza Sdn Bhd for the acquisition of a nine-storey retail extension block adjoining Gurney Plaza with a net lettable area of about 139,964 sq ft as at Sept 30, comprising four levels of retail space and car parking bays. The deal also includes another 129 parking bays at Gurney Plaza itself.

“The proposed acquisition is in line with the manager’s investment strategy to provide unitholders with long-term and sustainable distribution of income and potential capital growth,” it said, adding that the building has a forecast property yield of about 7.1% for 2011.

As at Nov 1, Capitamalls Malaysia Trust is the largest “pure-play” shopping mall real estate investment trust by property asset value in Malaysia and the proposed acquisition will further strengthen its position. Following the completion of the proposed acquisition, its property asset value is expected to increase from about RM2.13bil as at Sep 30 to about RM2.36bil.

By The Star

1Shamelin mall to have more than 1,000 stores

The much anticipated 1Shamelin mall in Cheras is scheduled to be completed by the second quarter of 2011 with a host of amenities set to bring in shoppers.

A sneak preview of the nine-storey mall located at Taman Shamelin Perkasa was held recently for the media at Westin Hotel in Kuala Lumpur.

The new mall boasts a gross build up of one million square feet with over 1,000 stores with 1,500 carparks for some 500,000 residents who lived nearby.

For entertainment shoppers can choose from Tanjong Golden Village Cinemas (TGV), One Pioneers Badminton Academy, Amp Square Karaoke to CYC Mega Leisure.

According to the mall’s senior complex manager Wong Chee Keong, fashionistas will enjoy themselves at the street bazaar located at the Lower Ground, Ground and Upper Ground floors.

“We have young entreprenuers who are arbiters of style and fashion who will start their own business. We hope they take up this opportunity and share their successes with us,” he said.

There are also themed zones such as Trendy & Fashion, Cyber & Lifestyle, Integrated, Eateries & Snack, Beauty & Pamper, Health Care & Academic as well as Sports & Entertainment.

Shoppers can also enjoy the gastronomic delights that will be available 24 hours by alfresco eateries surrounding the mall.

“Usually, shopping centres adopt two stages and stage two involves expansion with increased lettable area adjacent to existing spaces. In our case, we have two stages that will be developed at the same time,”Wong said.

The phase two is right above phase one and will have three extra floors dedicated to the entertainment and sports hub.

The third floor will house a supermarket and household stores, the fourth floor will have the badminton academy, health care, sports and lifestyle retail stores while the fifth floor is dedicated to TGV with eight screens.

For badminton enthusiasts, the badminton academy with 14 courts led by Malaysia’s top badminton players Wong Choong Hann, Lee Wan Wah, Chew Choon Eng and Chan Chong Ming will be a must try.

For now more than 50% of the retail outlets have been taken up.

By The Star