PETALING JAYA: Central Global Bhd’s (CGB) wholly owned sub-subsidiary Central Global Development Sdn Bhd (CGD) has entered into a collaboration agreement with Menteri Besar Kedah Incorporated’s wholly owned subsidiary Permodalan Kedah Bhd (PKB) for a mixed development project in Mukim Bukit Raya, Pendang, Kedah.
The project, with a gross development value of RM42.3 million and spanning 11.7 acres of leasehold land, will see CGD developing 20 units of two-storey shop/office lots, 46 units of two-storey terrace houses, and 53 units of one-storey terrace houses.
Work is expected to begin within one year from the execution date of the agreement and is expected to be completed within five years.
“The demand for residential properties in Kedah has continued to be encouraging and there is no better way for us to employ our construction expertise than to fulfil this demand,” said CGB executive director Jacky Lee.
At the same time, he said, they are honoured to be contributing to the Kedah government’s efforts to advance the economic development of the state, particularly in the development of real estate.
“This vote of confidence and trust in our capabilities by the State Government of Kedah provides us a huge encouragement to further strengthen our position,” Lee said, adding that the agreement is a synergistic collaboration that fits well into their expansion plan given CGB’s existing exposure in the construction sector in the northern region.
In line with this plan, he added they continue to source for opportunities in both the domestic and regional markets to ensure a healthy replenishment of projects.
CGD is primarily involved investment holding and buying, selling, renting and operating of self-owned or leased real estate of residential buildings and land.
PKB is primarily involved in the development of Kedah in various fields, including real estate development, construction, hospitality and mining.
Currently, CGB is active in the residential property construction sub-sector in Penang through its wholly owned subsidiary Proventus Bina Sdn Bhd. Most notably, the group’s construction projects include Beacon Executive Suites and the Eco Horizon.
The group is also making significant headway in the infrastructure construction sub-sector primarily in Sabah through its 70%-owned subsidiary RYRT International Sdn Bhd.
To date, the group’s construction order book stands at RM318.8 million.
The Kedah project is expected to contribute positively to the CGB’s financial performance in the long run.
