Property

Crewstone International Sdn Bhd (Crewstone), a licensed and regulated private equity and private credit manager, today announced a RM10 million strategic funding commitment to Island LandCap Properties Group (Island LandCap) in support of Tasek Gelugor Xchange (TGX), a landmark mixed-use development in Tasek Gelugor, Penang, reinforcing Crewstone’s continued focus on asset-backed opportunities with near-term monetization visibility. Crewstone’s new strategic investment into Penang reflects its focus on developments that support community growth, quality spaces, and long-term economic value. Strategically located in Tasek Gelugor, TGX is a RM320.9 million mixed-use development comprising 644 units in total, with 308 commercial units in Phase 1 and 336 residential units in Phase 2. Commercial products range from 1,182 to 9,272 sqft, residential units from 750 to 1,000 sqft, and selected pricing reaches up to approximately RM800 per square foot. The commercial proposition is further reinforced by 7 recognised anchor brands — Starbucks, 7-Eleven, Krispy Kreme, Kenny Rogers, Zus Coffee, Tealive and Anytime Fitness — together with a planned rooftop event space intended to extend footfall through weekend markets, private functions and outdoor team-building activities. Crewstone’s support for Island LandCap reflects its confidence in a Penang developer led across two generations, combining longstanding market experience, continuity of leadership and a proven record of delivery. With more than 2,000 units completed on schedule, a CIDB Grade 7 and ISO-certified construction platform, and recognitions including the Sin Chew Business Excellence Award and the Golden Eagle Award, Island LandCap represents the type of established operator Crewstone backs as it continues to originate and structure disciplined, asset-backed opportunities amid broader market volatility. Across pricing, transaction activity and absorption, market fundamentals remain firm for well-positioned mixed-use developments. The Penang House Price Index rose to 211 in Q3 2024 from 207 in Q3 2023 and 197 in Q3 2019, pointing to sustained resilience in the state’s property market. In Seberang Perai Utara, residential transaction volume increased by 67.6%, while comparable developments in the broader submarket recorded take-up rates of 90%, 97% and 99%. Together, these indicators suggest that demand is not only present, but increasingly visible across multiple layers of the market. The investment thesis is further supported by both TGX’s surrounding population base and wider corridor economics. The project sits within Tasek Gelugor’s 106,899-person constituency, while the broader Seberang Perai Utara district provides additional residential depth and spending power. That demand base is reinforced by Penang’s broader industrial momentum. The state recorded RM22.4 billion in approved manufacturing investments in 2025 across 232 projects, with an estimated 24,633 new jobs, supporting employment creation and commercial activity across the wider northern corridor. Against that backdrop, and with limited modern commercial alternatives in the immediate area beyond older retail stock, TGX is well placed to establish itself as the area’s primary contemporary commercial hub. Datuk Oon Weng Boon, Executive Chairman of Island LandCap Properties Group Sdn Bhd, briefing Keng Fai Wong, Chief Executive Officer of Crewstone International, on the TGX development model during Crewstone’s site visit. “This investment reflects Crewstone’s approach to responsible capital deployment, backing opportunities that are not only commercially sound, but also capable of delivering broader social and economic benefits,” said Keng Fai, Chief Executive Officer of Crewstone International. “We see Island LandCap’s development as one that can support community building, strengthen local activity, and contribute to more sustainable livelihoods over time.” Datuk Oon Weng Boon, Founder and Executive Chairman of Island LandCap Properties Group, added: “Crewstone’s support is meaningful because they understand the business beyond the numbers and share our long-term vision for Penang’s growth. In developments like this, trust and aligned conviction matter, and we believe this partnership positions us well for the next phase of growth.” The transaction marks another milestone in Crewstone’s continued expansion into new markets, following its previously announced expansion into Sabah.

PTT Synergy Group Bhd is looking to significantly expand its logistics operations with the development of a new purpose-built warehouse, PTT Logistic Hub 2, at Elmina Business Park. The upcoming facility is expected to add about 51,000 pallet positions, effectively doubling the group’s current capacity from its existing Hub 1. According to CEO Dan Then Ikh Choo, the combined contribution from both hubs could generate between RM60 million and RM70 million in gross profit. From left: Koperasi Kakitangan Bank Rakyat Bhd chairman Datuk Mohamed Arsad Sehan, PTT Synergy group MD Teo Swee Phin, Deputy Investment, Trade and Industry Minister Sim Tze Tzin, PTT Synergy executive deputy chairman Terry Teo Swee Leng and group CEO Dan Then Ikh Choo, as well as Bank Rakyat chief business banking officer Che Nazari Che Azid, at Monday’s groundbreaking ceremony.  The project will span approximately 289,000 sq ft and is slated for completion in the second half of 2027. It carries an estimated gross development value of RM320 million to RM340 million, with around RM250 million in financing secured from Bank Rakyat, the sole financier. PTT Synergy has already attracted interest from foreign electrical and electronics (E&E) players as potential anchor tenants, although specific names remain undisclosed due to confidentiality agreements. The group, traditionally known for earthworks and infrastructure projects, has been actively diversifying into industrial property development, with a focus on high-tech logistics facilities. It is currently building a pipeline of projects across Penang, Johor and the Klang Valley, targeting a total pipeline value of about RM2.5 billion over the next two years. This includes plans for a semiconductor logistics hub in Penang and a large-scale industrial development in Bukit Raja. At the project’s groundbreaking ceremony, Deputy Investment, Trade and Industry Minister Sim Tze Tzin highlighted the importance of modern logistics infrastructure in supporting Malaysia’s economic growth, noting the country’s strategic position within the global supply chain. On the market front, PTT Synergy shares were last traded at RM1.36, valuing the group at approximately RM626 million, with the stock remaining largely unchanged year-to-date.

DXN Holdings Bhd has entered into a 60-year land lease agreement valued at RM27.83 million with Perbadanan Kemajuan Negeri Kedah to develop a new manufacturing facility in Bukit Kayu Hitam. In a filing with Bursa Malaysia, the group said its wholly owned subsidiary, DXN Industries (M) Sdn Bhd, signed the agreement on April 8. The lease involves five parcels of industrial land with a total area of approximately 1.16 million square feet (10.77 hectares). The lease tenure runs for 60 years from the date of the agreement, and will be funded through a combination of internally generated funds and bank borrowings. DXN said its existing manufacturing facilities in Jitra, Kedah are nearing full capacity due to sustained demand, resulting in operational bottlenecks that limit further expansion. The new facility in Bukit Kayu Hitam is intended to address these constraints and support the group’s next phase of growth. While located in a different township, the facility will function as an integrated extension of its existing operations in Jitra. The group noted that the expansion will allow it to increase production capacity while maintaining centralised control over manufacturing standards and operational efficiency. In addition, the new facility is expected to enhance operational resilience and support business continuity planning by providing greater flexibility and additional manufacturing capacity. With more than 30 years of presence in Kedah, DXN said the project underscores its continued commitment to the state while strengthening its long-term growth and operational footprint.

A real estate management unit of KKR & Co is planning a major expansion in Japan’s property market, targeting assets being divested by corporations in a sector it estimates to be worth around 450 trillion yen (US$2.8 trillion). KJRM Holdings, KKR’s Japan-based property arm, sees strong opportunities as companies increasingly sell non-core assets, including real estate, amid growing pressure from regulators and shareholders to improve capital efficiency. President Naoki Suzuki said demand for such disposals is expected to remain robust over the next three to five years, driven in part by shareholder activism and ongoing corporate reforms. The unit’s real estate portfolio grew 20% in 2025 to about 2.53 trillion yen, placing it among the largest players in Japan’s property market. Suzuki noted that KJRM intends to step up acquisitions of corporate-owned properties, although he did not disclose specific targets. The push to unlock value from underutilised assets has been supported by initiatives from the Tokyo Stock Exchange, which has encouraged companies to enhance shareholder returns. Many Japanese firms still hold substantial real estate assets, a legacy of heavy investment during the late-1980s asset bubble, as well as lending practices that historically favoured property-backed financing. According to KJRM data, real estate accounts for about 12.6% of total assets among Japanese companies, compared with around 10% in the United States and 4.4% in the United Kingdom. Suzuki also pointed out that Japan’s property market is attracting global investors, particularly as geopolitical concerns dampen interest in Chinese assets. With its scale and liquidity, Japan remains a key destination for relatively lower-risk investments in the Asia-Pacific region. He added that the sector is unlikely to face significant pressure from rising borrowing costs unless Japanese government bond yields climb to between 3.5% and 4%. As of last Friday, the 10-year yield stood at around 2.43%. More than half of the properties acquired by KJRM-managed real estate investment trusts (REITs) and private funds in recent years have come from corporate divestments. Notable transactions include the acquisition of 14 office buildings from Fuji Soft Inc for approximately 68.7 billion yen, as part of KKR’s takeover of the company. In another deal, linked to KKR’s acquisition of Logisteed Ltd in 2023, KJRM’s funds took over real estate assets worth more than 200 billion yen. While such investments carry risks — including rising interest rates and fluctuations in property values — Suzuki said rental growth can help offset higher costs in the current environment. Looking ahead, KJRM plans to focus on acquiring assets with strong inflation resilience and stable cash flow potential, particularly in major cities such as Tokyo, Osaka and Nagoya.

Nestcon Bhd has proposed to acquire three parcels of land in Johor Bahru for RM95 million, as part of its strategic move to diversify into property development beyond its core construction and renewable energy businesses. In a Bursa Malaysia filing, the group said the acquisition will be carried out by its 70%-owned subsidiary, Nestcon Iskandar Puteri Sdn Bhd. The deal involves three freehold land parcels located in Mukim Pulai, with a combined area of 8.348 acres, translating to an implied price of RM261.26 per sq ft. The vendor for the land is KLG Iskandar Puteri Sdn Bhd, which is owned by Chong Ngun Kin and Lee Siang Huat. Nestcon plans to develop the site into a mixed commercial and residential project, comprising serviced apartments and retail units to be executed in two phases. The development is expected to generate a gross development value (GDV) of RM1.37 billion, with an estimated gross development cost of RM1.03 billion, resulting in a projected gross development profit of RM336.97 million. The acquisition will be funded through a combination of internally generated funds and bank borrowings, with the exact financing structure to be finalised at a later stage. The group said the move marks its entry into property development as a new core business segment, alongside its existing building and infrastructure, as well as renewable energy divisions. Currently, Nestcon’s building and infrastructure segment remains its primary earnings driver, contributing approximately 98% of its net profit of RM11.5 million on revenue of RM723.8 million for the financial year ended Dec 31, 2025. The proposed diversification is expected to contribute at least 25% to the group’s future net profit or net assets, subject to shareholders’ approval at an extraordinary general meeting. The acquisition is targeted for completion in the second half of 2026. Nestcon’s board said the proposal is aimed at reducing reliance on its existing business segments while enhancing long-term growth prospects. As at Friday’s midday break, Nestcon shares were unchanged at 34 sen, giving the group a market capitalisation of RM264.87 million. Over the past year, the stock has declined by 11.7%.

Axteria Group Bhd has proposed to acquire an 80% stake in Niaga Sari Sdn Bhd (NSSB) for RM35 million in cash, as part of its strategy to strengthen construction capabilities and support its property development business. In a filing on Thursday, the group said it had signed a conditional share sale agreement with six vendors, including Datuk Chan Chee Hong, for the acquisition of 800,004 shares, representing an 80% equity interest in NSSB. Upon completion, NSSB will become a subsidiary of Axteria. The purchase consideration of RM35 million was arrived at on a willing-buyer-willing-seller basis, taking into account NSSB’s RM567.4 million order book and a RM9.2 million profit guarantee over two years. This implies a price-to-earnings multiple of about 9.5 times. The other vendors involved are Gwi Chin Fatt, Datuk Wong Gian Kui, Periasamy Ganapathy, Gwi Xian Yi, Gwi Huan Yi, and Chan Khai Young. Under the terms, RM5 million will be paid upfront, while the remaining RM30 million will be placed in an escrow account, subject to fulfilment of the profit guarantee. Incorporated in 1985, NSSB is engaged in building construction and has completed projects worth about RM1 billion to date, ranging from factories to high-rise residential developments. It currently has ongoing and upcoming projects worth a combined RM567.4 million, including developments in Kelantan and Kuala Terengganu. For the financial year ended June 30, 2025, NSSB recorded a net loss of RM2.13 million, with net assets of RM12.33 million. Axteria said the acquisition is expected to complement its property development and management business, supporting expansion through joint ventures and land acquisitions while leveraging NSSB’s existing order book. The group added that the move aligns with its strategy to pursue growth opportunities without significant upfront capital, and is expected to contribute positively to future earnings. Axteria shares closed unchanged at nine sen, giving the group a market capitalisation of about RM71 million.

Hong Seng Consolidated Bhd’s wholly-owned subsidiary AIMAX Capital Sdn Bhd has entered into debt settlement agreements totalling RM63.61 million with four borrowers. In a filing with Bursa Malaysia, the group said AIMAX Capital signed the agreements on Thursday with Datuk Liu Han Ming, Von Victory Sdn Bhd, Chia Yan Mei, and Nah Choon Jeck. The settlement involves the full and final discharge of the outstanding principal debt, which will be satisfied through the transfer of 184 serviced apartment units located in Kajang, Selangor. The properties carry an agreed total value of RM62.48 million. This results in a remaining differential sum of RM1.12 million under the overall RM63.61 million debt settlement. Liu Han Ming’s RM36.95 million debt will be settled with 109 units valued at RM36.40 million, leaving a balance of RM548,193.95. Von Victory Sdn Bhd’s RM6.17 million will be settled with 18 units worth RM6.06 million, with a RM114,570.27 differential. Chia Yan Mei’s RM6.24 million obligation will be settled with 14 units valued at RM6.11 million, leaving RM127,035.26 in difference. Meanwhile, Nah Choon Jeck’s RM14.24 million debt will be settled with 43 units worth RM13.91 million, resulting in a RM332,507.88 gap. Under the agreement, AIMAX Capital will assign its rights and interests in the properties to its wholly owned subsidiary AIMAX Assets Sdn Bhd. The unit, which is involved in investment holdings and property investments, will manage and streamline ownership of the assets.

Mah Sing Group Bhd is revising the master plan for its Southbay City development in Batu Maung, following approval to increase the plot ratio. The revision lifts the project’s gross development value (GDV) to about RM1.365 billion. Its property subsidiaries CEO, Yeoh Chee Beng, said the group received approval from local authorities in 2025 to amend key development parameters. A revised master plan for the remaining 17 acres will be submitted soon, aligned with current market conditions and the company’s evolving priorities. Yeoh said the updated plan will shift focus towards serviced apartments, replacing a larger office component in the original design, in response to stronger demand in this segment. He added that the remaining land is expected to unlock greater value through a more balanced and market-driven development mix, while tapping into Penang’s ongoing economic growth. Launched in 2009, Southbay City marked Mah Sing’s first integrated township. Its initial phase featured 284 three-storey superlink homes within a gated and guarded community. In 2025, the group introduced M Zenni, a freehold mixed development comprising 10 commercial shoplots and 494 serviced apartment units in a 33-storey tower. Across the group, Mah Sing is targeting RM2.76 billion in sales for 2026, up from RM2.51 billion in 2025, supported by new launches across key growth areas. These include projects in Setapak, Puchong, Penang, Johor, and Klang Valley, along with upcoming phases of existing developments. Yeoh noted that the group’s fast-turnaround model will support a robust pipeline of launches in 2026, including projects acquired as recently as last year.

Bandar Cassia is emerging as a new focal point for business activity on Penang’s mainland, underpinned by rising demand for quality office space and expanding industrial investments. The outlook was shared by industry players at a specially curated business forum, where discussions centred on the township’s evolving role within the northern region’s economic landscape. From left: Ho Chin Soon, Fellow of the Royal Institution of Surveyors Malaysia, and Chairman of Ho Chin Soon Research and Hong Onn Enlightens; Joanna Lim, PE Holdings’ CEO; Jacqueline Lim, Editor & Branding Head of EdgeProp; and Datuk Yong Soo Heong, the Editor-in-Chief of Weekly Echo, and Former CEO of BERNAMA during the business forum held today. The speakers were Ho Chin Soon, Fellow of the Royal Institution of Surveyors Malaysia, and Chairman of Ho Chin Soon Research and Hong Onn Enlightens; Jacqueline Lim, Editor & Branding Head of EdgeProp; and Datuk Yong Soo Heong, the Editor-in-Chief of Weekly Echo, and Former CEO of BERNAMA. They noted that the continued expansion of the Batu Kawan Industrial Parks (BKIP 1,2 & 3) and Bandar Cassia Technology Park (BCTP) has attracted multinational and high-value industries, driving the need for modern, well-connected office spaces to support business operations. Reflecting this demand, Capstone Corporate Suites, a 36-storey office tower development by PE Hospitality (Penang) Sdn Bhd, a member of PE Land is set to become Penang Mainland’s first Grade-A and GBS office tower. In her speech at the event, Joanna Ling, CEO of PE Holdings Group – the parent company of PE Land – announced an important milestone for Capstone, saying it will officially house the Regional Office of the PE Land Group, occupying 35,000 sq. ft. within the development. “This reflects our long-term commitment to Batu Kawan and our confidence in its future as a business destination”. “Capstone Corporate Suites is poised to be the crown jewel of Bandar Cassia, the first Grade A office tower on Penang Mainland, setting a new benchmark for workspace quality in the region.” She said Capstone has been also recognised as the first GBS-ready office building on Penang Mainland, positioning it to attract high-value service industries to the area. Built to GreenRE Gold standards, Capstone Corporate Suites reflects PE Land’s commitment to ESG-driven development. PE Land is also in discussions with International Workplace Group to bring Regus to Capstone, potentially establishing its 8th workspace in Penang, and its first in Bandar Cassia. Meanwhile, in her analysis of property transactions in Batu Kawan, Jacqueline Lim said the past decade pointed to a market that has been steadily moving up the value chain. “Data from 2016 to 2025 shows a gradual thinning of sub-RM300,000 deals, alongside a growing concentration in mid-tier price bands, indicating rising buyer purchasing power and a shift in product positioning. “Historically, landed demand was concentrated below RM400k. That is still an important base, but the market is no longer defined only by that range. The appearance of more transactions above RM500,000+ shows buyers are willing to pay for better products, better locations, larger homes, and more self-sustaining neighbourhoods.” Concurring with this growth for Batu Kawan, Ho Chin Soon said the growth from 1995 showed to 2025 indicated that Penang’s “locational centre of gravity for Penang is heading Southeast towards Bandar Cassia.” Datuk Yong Soo Heong, in his presentation, “Batu Kawan: From Backwater to Beacon” cited Penang Chief Minister Chow Kon Yeow’s statement that the “future of Penang is in Prai, and the future of Prai is in Batu Kawan“, underscoring its growth over the years in line with global supply chains in electronics, automotive and medical technology. In the last 12 years, foreign direct investment has poured in, transforming the landscape into Malaysia’s premier industrial cluster with Bandar Cassia as its crown jewel.    Capstone Corporate Suites will offer 395 office units with flexible layouts, catering to a range of occupiers from multinational corporations to small and medium enterprises, as well as startups. Complementing the office component are retail and lifestyle spaces designed to support a more integrated work environment. Ho Chin So, Fellow of the Royal Institution of Surveyors Malaysia, and Chairman of Ho Chin Soon Research and Hong Onn Enlightens, explaining the process of how an area develops into a gravitational centre. Strategically located within Bandar Cassia’s central business district, the development is connected via the Second Penang Bridge and the North-South Expressway, with access to key transport hubs including Penang Sentral and Penang International Airport, facilitating both domestic and international business connectivity. The building will also incorporate sustainability features aligned with green building standards, alongside digital infrastructure to support business continuity and technology-driven operations. Capstone Corporate Suites has a gross development value of approximately RM500 million and is targeted for completion in the second quarter of 2028, with units priced from RM828,000.  As Bandar Cassia continues to evolve into a live-work-play environment, demand for quality office space is expected to grow in tandem with its expanding economic base.  

TSR Capital Bhd’s wholly-owned unit, TSR Bina Sdn Bhd, has secured a RM34 million contract for a flood mitigation project along the East Coast Expressway, the company said in a Bursa Malaysia filing. The contract, awarded by AFA Construction and Engineering Sdn Bhd, is set to commence this month and is expected to be completed by the fourth quarter of 2027. The project covers earthworks and other associated civil engineering works under Package 3B of the East Coast Expressway Phase 1 flood mitigation project. TSR Capital said the contract is anticipated to boost the group’s earnings and net assets for the financial year ending June 30, 2026, and throughout the project’s duration. In a statement, TSR Capital Executive Director Lim Dian Ping said the award highlights the group’s expertise in infrastructure and civil engineering projects. “Flood mitigation is a key part of Malaysia’s infrastructure development, and we are proud to contribute to initiatives that improve environmental sustainability and public safety,” he said. Lim added that the group is committed to delivering the project efficiently and to the highest standards of quality, safety, and environmental compliance. He noted that the contract also strengthens TSR Capital’s position in the infrastructure sector and provides momentum to pursue similar projects in the future.