Paramount acquires ‘Embassy Row’ land

PETALING JAYA: Paramount Corp Bhd is acquiring for redevelopment 4.54 acres of prime freehold land with buildings in Jalan Ampang Hilir, which has a 20-storey building with service suites and 132 units of low-rise condominiums situated.

Paramount Property (Cityview) Sdn Bhd, a wholly-owned subsidiary of Paramount, yesterday entered into sale and purchase agreements with the subsidiaries of Singapore-listed Wing Tai Holdings Limited Seniharta Sdn Bhd and DNP Jaya Sdn Bhd, for two pieces of contiguous land measuring 0.95 acres and 3.59 acres for a total purchase consideration of RM243.8 million.

Paramount group CEO Jeffrey Chew said the acquisition marks the group’s first foray into property development in Kuala Lumpur. The group intends to redevelop the properties into a premium high-rise residential development consisting of about 650 condominium units.

“This acquisition will enable Paramount to enhance our property development profile at a prime location in the heart of KL.

“The estimated gross development value (GDV) of RM863.0 million to be generated from the proposed development over a period of five years is expected to strengthen Paramount’s current total expected GDV of RM6.8 billion to RM7.7 billion, and contribute positively to future earnings,” he said.

The development will have easy access to a catchment of expatriates in the area as well as the larger population of the Klang Valley which is expected to surpass 10 million by 2035.

“The acquisition is in line with our strategy of replenishing land bank at strategic locations with strong growth potential and to scale up our property development activities.”

He said demand for housing in the Klang Valley remains resilient due to population and economic growth, with the value of residential property transactions in the Klang Valley recorded at RM33.9 billion in 2019.

  As published: The Sun