Sunway Property, the property arm of Sunway Group, is targeting RM2 billion in property sales this year and expects more than of it to come from its international property ventures.
The group’s property division managing director Sarena Cheah said Sunway Property is launching RM3.5 billion worth of properties in 2020 and 70 per cent or RM2.44 billion will be in Singapore.
The rest are in Malaysia and they include the RM31 million Sunway Avila Retail, RM300 million Sunway Velocity TWO Tower C serviced apartments, RM360 million Sunway Belfield Tower A serviced apartment (Klang Valley), RM250 million worth of shops and linear offices in Sunway Valley City (Penang), and the RM100 million Sunway Mapple townhouses (Johor)
Cheah said the launches this year is in line with the group’s plans for geographical diversification.
“Sunway’s recurring income from our portfolio of investment properties currently strengthens our financial sustainability. Geographical diversification will further deepen sustainability for us,” she said.
Sunway Property, which ventured into Singapore since 2007 will launch three projects there this year. The projects are Parc Canberra, comprising executive condominiums worth RM560 million; Ki Residence, featuring private condominiums worth RM1 billion; and Park Avenue Residences, consisting of executive condominiums worth RM880 million.
"We're excited as it's a big component of what we are doing this year," she said at Sunway Property's first media briefing and market outlook for 2020 in Bandar Sunway, yesterday.
Launches in prime locations
Cheah said, 100 per cent of the launches this year will be within integrated developments or are transit-linked, in-line with the continued resilient demand that Sunway Property is seeing from purchasers for properties that are connected and offers great convenience.
She said this year's sales target was an increase from Sunway Property's 2019 target.
Last year the sales target was RM1.3 billion but the division achieved RM1.55 billion.
"We achieved higher sales because of the products we offered. They are fairly priced and located in prime areas. We build what the market wants. The 2019 Home Ownership Campaign did help push sales. We will continue to deliver lifelong value to homebuyers by developing quality liveable urban homes which are connected and strategically-located, and price the homes within the range of RM600,000-RM800,000," said Cheah.
She said, in line with Sunway Property's Master Community Developer brand promise, powered by its build-own-operate model, it will continue to invest in integrated townships and developments to ensure growth for the communities with about RM1.1 billion of investment properties currently being built.
As of December 2019, Sunway Property has 3,362 acres of landbank with a gross development value (GDV) of RM59 billion and a total development period of up to 15 years.
Current unbilled sales stood at RM2.8 billion, giving earnings visibility for Sunway Property in the next two years.
Sunway Property also unveiled its campaign for the year called “Yours, 2020”.
Cheah said the campaign is to help homebuyers get their dream home at the right price and locations, coupled with the right financing support from Sunway Property.
“This year will be all about making it easy for those who are looking to purchase a home to start a new decade with their very own Sunway homes, and be part of our growing communities,” she said.