EcoWorld’s strategic acquisition of 403.78 acres in Mukim Senai, Johor, paves the way for the development of Eco Business Park VI (EBP VI) to meet the growing demand in the industrial sector.
Kuala Lumpur, 06 Sep 2023 – EcoWorld Development Group Berhad is set to bolster its industrial portfolio with the acquisition of 403.78 acres of land in Mukim Senai, Daerah Kulai, Johor, from IOI Prima Property Sdn Bhd. The purchase, totaling RM211.065 million in cash, adds a strategic piece of land to EcoWorld’s holdings.
Situated just 5 km from the Kulai Toll and easily accessible via the North-South Highway, the land offers connectivity to major expressways like the Second-Link Expressway, Senai-Desaru Highway, and Pasir Gudang Highway. It also benefits from proximity to Senai International Airport and various sea ports, as well as being surrounded by well-established townships.
EcoWorld’s vision for this land is the development of Eco Business Park VI (EBP VI), targeting medium and light industrial businesses. The estimated gross development value for this project is RM1.58 billion.
Datuk Chang Khim Wah, President & CEO of EcoWorld Malaysia, sees this acquisition as a strategic move to expand their industrial portfolio within Iskandar Malaysia. Sales at EcoWorld’s existing Eco Business Parks have shown remarkable growth, with a 3-year CAGR of 51% from FY2020 to FY2022. FY2023 has already achieved RM838 million in sales within seven months, surpassing the full-year sales of RM753 million from industrial projects in FY2022.
Chang attributes this strong growth to both local and international customers. Local businesses that adapted well during the pandemic and foreign investors returning after border reopenings have fueled the demand for industrial properties.
In line with Malaysia’s New Industrial Masterplan 2030 (NIMP 2030), which emphasizes sustainable and technologically advanced industries, EcoWorld is well-prepared with its Eco Business Parks designed for sustainability and smart solutions. These features have attracted innovative businesses, aligning with the principles of NIMP 2030.
EcoWorld foresees sustained growth in industrial demand, especially in Iskandar Malaysia, driven by infrastructure improvements like the Johor Bahru-Singapore Rapid Transit System (RTS Link). The RTS Link’s efficiency in connecting both countries is expected to boost economic activities, further increasing demand for industrial, commercial, and residential properties in Iskandar Malaysia.
With its existing township projects and the newly acquired land, EcoWorld is positioned to capitalize on Iskandar Malaysia’s growth. This acquisition increases their industrial landbank to 2,416 acres, with a significant portion situated in Iskandar Malaysia, strengthening their position in the market.
Chang is optimistic about the acquisition’s potential to drive future growth and earnings, citing the group’s strategic alliances, responsiveness to market demands, and expanding network of industrial partners as factors contributing to their success. This acquisition aligns with their strategy to cater to a broader range of industrial customers and further solidifies EcoWorld’s growth prospects.
