YNH Property Bhd is disposing of a prime 2.61-acre freehold land parcel along Jalan Sultan Ismail, Kuala Lumpur, to Chin Hin Group Property Bhd’s 70%-owned subsidiary, Chin Hin Property (JSI) Sdn Bhd (CHPJSI), in a RM455 million cash-and-share transaction.
In separate filings with Bursa Malaysia, the companies said the deal comprises RM409.48 million in cash and RM45.5 million worth of redeemable preference shares in CHPJSI. Following the transaction, YNH Property’s wholly-owned subsidiary, YNH Land Sdn Bhd, will also acquire a 10% equity stake in CHPJSI, allowing it to participate in the future value creation of the project while avoiding the costs and risks associated with developing the land.
The remaining purchase consideration will be funded through a combination of a RM91 million interest-free shareholder’s loan from EC Properties (M) Sdn Bhd and RM318.5 million in bank financing secured by CHPJSI.
The strategically located land, situated opposite the Concorde Hotel Kuala Lumpur, was acquired by YNH Property in 2004 for RM109.87 million. The vacant site has an approved development order valid until June 2027 for a mixed-use commercial project. The company had previously planned to develop the site into Menara YNH, a project with an estimated gross development value (GDV) of RM4 billion, comprising a hotel, serviced apartments, and a retail mall.
YNH Property said the disposal forms part of its capital recycling strategy, enabling the group to unlock the value of the land while strengthening its financial position. The majority of the cash proceeds, amounting to RM375 million, will be used to redeem perpetual securities secured against the land, with the balance allocated towards settling part of the real property gains tax arising from the transaction.
As of March 31, 2026, YNH Property had total borrowings of approximately RM406 million, while its cash and short-term deposits stood at RM22.4 million.
Meanwhile, Chin Hin Group Property plans to transform the site into a RM3.6 billion mixed-use development featuring serviced apartments, a hotel, and retail components. The project is expected to be launched in the second quarter of 2027 and completed by the second quarter of 2034.
The acquisition aligns with Chin Hin Group Property’s strategy of expanding its landbank within Kuala Lumpur’s Golden Triangle, strengthening its presence in one of the city’s most sought-after commercial and residential locations. The company described the acquisition as a rare opportunity to secure a sizeable freehold development site in the KLCC vicinity, supporting its long-term growth and premium property development ambitions.
