Plantation company Golden Land Bhd’s boardroom in its main office in Empire Tower Subang, into which we are ushered, is bright and neat. Not surprisingly, its chief operating officer Ng Heng Phai and executive director Jessica Yap, whom we are there to interview, are warm yet fastidious.
For a bit of background, Golden Land (formerly Tanah Emas Bhd) had started off in the timber industry in 1982. In line with the sustainability and availability of oil palm plantation land, Golden Land started cultivating the crop along with its timber activity. Its first estate, covering 83ha, was located in Telupid, Sabah.
Less than two years ago, the company, which was listed on the Main Board of Bursa Malaysia in 2009, ventured into property development.
Catering for SMEs
Recognising Batu Kawan’s potential as a strategic and booming industrial centre and in line with its long-term goal to extract value and to care for its buyers, the group has introduced an industrial project called Golden Gateway to cater for investors and small and medium enterprises (SMEs).
“The retail industry is ever-changing but enterprises still need a place to store and ship their goods from. We believe Golden Gateway will be an exceptional and viable option for those business owners who want spaces with multiple uses and functions,” says Ng.
“Golden Gateway comprises 3-storey semi-detached and detached factories. The units have a unique design: four of their main components are a factory area, an area for unloading, a showroom and an office. They are a modern approach to modern enterprise and their multifunctional layout will create good workflow.”
Yap adds, “We want to provide ample space for loading to give the best business solutions.”
Sitting on a freehold, 21-acre tract to the southeast of Batu Kawan, Golden Gateway has a GDV of RM155 million. It consists of 52 plots for 3-storey semi-detached factories and two plots for 3-storey detached factories.
The semi-detached and detached units have built-ups of 5,500 to 8,000 sq ft with prices that range from RM2.8 million to RM5 million. Launched on March 3, the project is due to be completed in 2020.
“Its earthworks are done and it is currently about 30% completed,” says Yap. “Response to the project has been positive and encouraging. To date, it is 40% taken up.”
Apart from its accessibility from the North-South Expressway and Juru Interchange, Golden Gateway has a toll-free route from Nibong Tebal/Jawi to Batu Kawan. “The project has maximum visibility and accessibility with its units facing the main road. Golden Gateway will be located next to future developments at Batu Kawan, such as IKEA, KDU University College, Columbia Hospital, theme parks and malls,” says Ng.
Among others, Golden Gateway features triple volume high clearance front entrances, strong floor loading and sufficient power, and is column-free and broadband-ready. “We will also provide a core to give our buyers the option to install their own lifts,” says Ng. “All in all, we see this project doing well and adding to the vibrancy of Batu Kawan.”
When contacted, Raine & Horne International Zaki + Partners director Michael Geh says, “Golden Gateway is a yet-before-seen project in Batu Kawan, where it offers modern, contemporary design and functionality to the industrial segment. Industrial and retail [with such names as Alibaba and Lazada] are growing sectors in Penang, especially in the Batu Kawan area.
“It is timely to introduce such a project to the market, complementing commercial projects in Batu Kawan such as IKEA and Design Village. Today, there are plenty of offices [adjoining or nearby] the area to support commercial projects in Batu Kawan. There is still room for the industrial side to grow. Currently, the best-selling property type in Batu Kawan is commercial.”
Geh sees good demand for industrial projects, such as Golden Gateway, in Batu Kawan. “Demand looks promising as Golden Gateway is in a good location and the features [and requirements] of such projects appear sophisticated.”
According to Geh, the average price of industrial properties in Batu Kawan is between RM380 psf and RM630 psf.
In terms of the target market, Geh says industrial properties in Batu Kawan would attract 50% owner-occupiers and 50% investors, depending on the industries they are from. According to him, some of the key drivers in Batu Kawan are mobile commerce and e-commerce. “These businesses may take up [industrial properties] in Batu Kawan to use as a base to send products to Penang island and Butterworth,” he says. A challenge in Batu Kawan is its lack of population. “There is plenty of room for population growth to generate more activity in the area,” Geh adds.
Nonetheless, he opines that the industrial segment in Batu Kawan and the overall area will flourish in the long term.
“In terms of its outlook, with a growing population, I see Batu Kawan thriving in the next five years.”
Note: You may read the rest of the article from the link above. The following are excerpts from the original article to highlight the content related to Batu Kawan.
Photo source: The Edge Markets