Lim (fifth from left) with LBS Bina Group directors at a media briefing, in which he announced the group’s plans to achieve its property sales target of RM2bil in 2023.
CYBERJAYA: LBS Bina Group Bhd
remains optimistic about hitting its property sales target of RM2bil this year amidst macroeconomic headwinds.LBS Bina executive chairman Tan Sri Lim Hock San said that while the global economy may not be able to maintain its momentum from 2022, it is still expected to be stable.
“Last year, we managed to surpass our sales target of RM1.6bil by 25% to RM2bil. We are cautiously optimistic that we can achieve RM2bil and more, depending on the market sentiment,” he told a media briefing yesterday.
With unbilled sales totalling up to RM2.46bil as at Dec 31 last year, LBS Bina plans to launch 12 new projects in 2023 across the Klang Valley, Johor, Pahang and Perak. This brings in total gross development value (GDV) of RM2.09bil or 4,021 cumulative units.
“Last year, 90% of our sales were in the Klang Valley. I still expect the Klang Valley to be the major sales contributor this year.
“For the Klang Valley, we intend to launch 2,118 units with a GDV of RM1.1bil in 2023,” said Lim.
Specifically in KITA @ Cybersouth, LBS Bina’s key township development, the group plans to launch, among others, single-storey link houses, double-storey link houses and townhouses totaling 817 units with a GDV of RM418mil.
Other notable planned launches include 155 units of Astella double-storey terrace houses at D’Island Residence in Puchong which has a GDV of RM139mil, and Block B of LBS Bina’s Prestige Residence in Seri Kembangan which will consist of 725 units amounting to a GDV of RM313mil – both projects in the Klang Valley.
New projects within the Pahang region include the Bayu Hills serviced apartment in Genting Highlands comprising 642 units with a GDV of RM482mil. The group intends to launch more phases of Taman Kinding Flora in Chemor and single-storey cluster link houses in Perak.
LBS Bina also has the Zenit Molek serviced apartment, Imperial Garden double-storey semi-detached and Emerald Garden single-storey link houses, in its Johor pipeline.
‘We are cautiously optimistic that we can achieve RM2bil and more, depending on the market sentiment,’ said Lim.
Lim is hopeful that the present government can come up with new policies to encourage higher foreign direct investment that can increase consumers’ confidence in the sector.
“China’s reopening this year will help to spur local economic growth with more tourists coming into the country,” he said.
Lim added that property developers would continue to face challenges like labour shortage, interest rate hikes and increase in raw material costs for the year.
“Nevertheless, with more than three decades worth of property development masteries, we are ready to take on any challenges that come our way.”
Lim said the group had carried out strategic planning and discussions to ensure that it can navigate 2023 on a steady footing, as the company looks to maintain its performance.
“We are committed towards ensuring our properties continue to remain attainable to prospective homebuyers,” he said.
Lim noted that the group’s marketing campaigns and government incentives would continue to boost sales.
“We managed to surpass our sales target last year underpinned by the right vision and campaign that we had chosen. The government’s incentive to new home buyers for a home less than RM500,000 also helped to increase our sales,” said Lim.
As at Dec 31, 2022, the group’s landbank stood at 2,972 acres, which Lim said will “keep the group busy for 10 to 15 years to come.”
LBS Bina aims to continuously reward its shareholders in accordance with the company’s dividend policy, which is to pay out 30% of its profit after tax and non-controlling interest.
