Gadang in JV to develop RM160mil residential project

Moody's outlook on the Korean banking system has been negative since May 2016.

KUALA LUMPUR: Gadang Holdings Bhd is teaming up with Perikatan Progresif Sdn Bhd (PPSB) to develop town houses with an estimated gross development value of RM160mil on a 17.5-acre land in Puchong, Selangor.

In a filing with Bursa Malaysia, the construction and property development company said its indirect unit Tema Warisan Sdn Bhd had inked a joint-venture agreement with PPSB, the landowner, to develop the leasehold land at Taman Putra Perdana.

The land is currently charged by PPSB to Affin Bank Bhd as security for banking facilities.

PPSB will be entitled to 32% of the net development value or RM42.688mil, whichever is lower. Of the entitlement, 15% will be payable in-kind via the contra of residential units within the development.

The proposed JV is expected to be completed within 3½ years from the date of the building plans approval.