UEM Sunrise Bhd will focus on strengthening its fundamentals to steer growth, amid the challenging property market this year.
Executive Director Datuk Izzaddin Idris said the company had outlined some key priorities to focus on this year among them — establishing a comprehensive marketing strategy, intensifying systems and processes to ensure timely and quality delivery to build its reputation as a value-driven developer.
In a statement Monday, he said the company expected the demand for the property sector to remain subdued as the Malaysian economy slowed, tight lending conditions continued and consumer, as well as, business sentiment remained passive.
Iskandar Puteri development will remain the company’s long term growth driver hence planning to intensify the development of Gerbang Nusajaya into the commercial and business engine of Iskandar Puteri and gateway of Iskandar Malaysia.
“UEM Sunrise would also continue its efforts to diversify its range of products this year such as the Melia Residences in Gerbang Nusajaya as it received overwhelming response from buyers,” said Izzaddin.
Melia Residences is a five phase development project with a total gross development value (GDV) of RM573 million.
“The first three phases comprised 66 landed strata units and a GDV of RM280 million. After seeing close to RM206 million in sales from the first two phases within two days of launching, the third phase, launched in late April already has a 50 per cent take up,” he added.
Apart from the launch of subsequent developments and clearing out inventories, the company would also strategise its growth by collaborating with strategic partners, to add value to its ongoing projects.
Izzaddin said in view of the current consumer and market sentiment, UEM Sunrise was also looking to foster its organic growth via property related businesses.
“The current property down cycle is an opportune time for us to concentrate on creating a recurring income base for the company by leveraging on our existing projects such as our retail businesses (Publika & Mall of Medini).
“We will also expand our revenue from property management, project management, leasing services and hospitality,” he added.