Singapore-based Selo Group, which has secured its first deal in Malaysia to build an island resort in Pahang sees long-term potential here.
Its chief executive officer Andrew Corker said Selo is positive on the long-term outlook for the overall property and tourism market due to pent-up demand and healthy disposable income
He said the group has its finance and back-office team already based here and is now moving into joint venture (JVs) with partners in Malaysia.
"Samãja Selo Private Residence is the first project for Selo in Malaysia. We think Malaysia has great long-term potential and we are keen to explore further opportunities with our partners such as Impiana Hotels Bhd," he told NST Property.
Cocker said that Samãja Selo Private Residences will command a gross development value of US$45 million (about RM188 million).
Selo will develop the beachfront and hilltop resort project on 5.09 hectares of land at the southern end of Tioman Island in Pahang in a JV with hotel and resort operator Impiana.
In December 2020 Impiana announced plans to develop a resort and jetty on Tioman Island with an estimated gross development cost of RM40 million. Its wholly-owned subsidiary Impiana Tioman Villas & Residences Sdn Bhd (ITVR) inked conditional agreements to acquire five contiguous parcels of land totalling 5.09ha for the resort.
The lands were acquired from Impiana's executive chairman and major shareholder Datuk Seri Ismail @ Farouk Abdullah for RM7.5 million, it said in a filing with Bursa Malaysia.
Impiana said recently it had signed a joint development agreement with the landowner Impiana Tioman Sdn Bhd (ITSB), Selo Tioman Resort Holdings Ltd (STRHL), and Impiana Selo Tioman Resorts Sdn Bhd (ISTR) for the project. STR is the JV vehicle that has been set up to develop the project.
According to Corker, construction is targeted to start next year and it would take more than a year to complete the development.
Selo and Impiana will combine their expertise to collaborate on all aspects of the development from the design and operational aspects to the management of the property.
Corker said that Selo will also act as the construction manager and use some of its pre-crafted construction methods for the project.
Samãja Selo Private Residence comprises 23 private villas. The hilltop lots are selling from US$388,000 (RM1.6 million), and the beachfront lots are from US$1.29 million.
The sale of the property and the preview are by invitation only.
"We are targeting Malaysians and Singaporeans," he said when asked about the target market.
The villas will be managed by Impiana Hotels & Resorts Management Sdn Bhd, the hospitality operating arm of the Impiana group. The group currently owns and manages nine hotels and resorts – three each in Malaysia, Indonesia, and Thailand.
Source: NST.com.myPrev. Article Next Article