KUALA LUMPUR: Tabung Haji’s purchase of the Tun Razak Exchange (TRX) land from 1Malaysia Development Bhd for RM188.8 million was a sound investment.
Its group managing director and chief executive officer Datuk Johan Abdullah said the market value for the land was now RM205 million, or RM3,002 per sq ft.
This, he said, was a good short-term return value as it represented an increase of about 8.2 per cent over the three years since the purchase was made in 2015.
“We are planning to develop the land with a gross development value of an estimated RM900 million. The decision to buy the land was made based on our long-term assessment.
“It will be a financial hub which would comprise financial and business conglomerates and top-notch developments in infrastructures ,” he said in a statement.
Johan said the integrated development in TRX was expected to transform the area to become Kuala Lumpur’s new international financial district.
He said the commercial development would receive overwhelming response from clients as it was being built according to their requirements.
“Our investment in TRX is also part of out strategy to focus on domestic investment and to increase the exposure in strategic property sector,” he said.
Johan also urged certain quarters to stop spreading misleading speculation and politically-motivated and baseless analyses as it could confuse the people.
“We were heavily criticised on social media by certain quarters, especially after we bought the land three years ago,” he said.