What type of development is planned for the acquired Jalan Kia Peng plot?

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A residential development project is planned for the acquired Jalan Kia Peng plot.

KP Urban Sdn Bhd, a joint venture between Eastern & Oriental Bhd (E&O) and Majestic Gen Group, is set to undertake a residential development on the freehold land located at Jalan Kia Peng, Kuala Lumpur. The acquisition of this 0.56-hectare plot, which includes an existing 30-storey condominium block, aligns with E&O's strategy to expand its land bank and strengthen its premium development portfolio.
Details of the Acquisition

The acquisition involves a 0.56-hectare plot of freehold land along Jalan Kia Peng in Kuala Lumpur, purchased for RM189.90 million from Twelve Kiapeng Sdn Bhd. This land parcel is inclusive of a 30-storey condominium building. The transaction is being executed through KP Urban Sdn Bhd, a company where E&O holds a 66.67 per cent stake via its subsidiary KCB Holdings Sdn Bhd, and the remaining 33.33 per cent is held by Golden Urban Nite Sdn Bhd, an affiliate of Majestic Gen Sdn Bhd.
Development Intentions

KP Urban plans to initiate a residential development project on the acquired land. This move is intended to enhance KP Urban's project pipeline and future growth prospects, contingent upon obtaining the necessary approvals and prevailing market conditions. The acquisition is considered strategic by E&O, reinforcing its confidence in Kuala Lumpur's high-end residential sector and its capacity to generate sustainable shareholder value.
Funding and Timeline

The funding for this acquisition will be a combination of bank borrowing and/or financing facilities, supplemented by shareholders’ advances. KP Urban will finalise the funding mix at a later stage, considering factors such as its gearing level, cash flow needs, and the cost of funding. The acquisition is anticipated to be completed by the first quarter of 2027, barring any unforeseen circumstances.

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What type of development is planned for the acquired Jalan Kia Peng plot?

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