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SkyLuxe On The Park features two towers of 43 and 44-storeys with total 477 units and they are fully sold. - NSTP/SHAREN KAUR
SkyLuxe On The Park features two towers of 43 and 44-storeys with total 477 units and they are fully sold. - NSTP/SHAREN KAUR

SkyWorld Development Sdn Bhd could go public in the next two to three years to raise a minimum of RM200 million for expansion, says its major shareholder and group managing director Datuk Ng Thien Phing.

Ng told NST Property that the company is all set to launch an initial public offering (IPO) but added that it would wait for the market to recover.

"We have been talking about an IPO for several years and we are more than qualified to list. We can list now but the timing is not right. We are in no hurry as we have banks supporting us and we can carry out our projects and acquire new landbank without any issues. Banks like us because we make sure our developments are fully taken-up or 90-95 per cent sold before we launch our next project.

"Let's say we target to launch four projects this year, we will make sure the previous four projects are fully sold. If the projects don't hit the target, we will not launch new developments as we don't want to carry unsold stock. Now the current situation is that many developers have a lot of unsold stock but not SkyWorld," said Ng.

SkyWorld Development Sdn Bhd group managing director Datuk Ng Thien Phing said staff are given free hand to come up with good quality, innovative and sustainable products. - NSTP/SHAREN KAUR
SkyWorld Development Sdn Bhd group managing director Datuk Ng Thien Phing said staff are given free hand to come up with good quality, innovative and sustainable products. - NSTP/SHAREN KAUR

Ng said future fundraising exercise by SkyWorld is to acquire landbank in strategic locations in Kuala Lumpur and to carry out existing and new projects.

He said the top three priorities for location are the land must be beside a park, next to a LRT station and in a highly-populated area.

"We are the only developer who builds affordable high-rise homes in a good location in the city with full condominium facilities and that is why buyers like us and we continue to build for them," said Ng.

SkyWorld has eight on-going high-rise residential projects in Kuala Lumpur which will keep the company busy for the next five years, said Ng.

The city developer is building more than 2,000 residential units and they are almost 99 per cent sold, said Ng, adding that the company's unbilled sales are over RM1 billion.

SkyLuxe On The Park stands majestically at Bukit Jalil. - NSTP/SHAREN KAUR
SkyLuxe On The Park stands majestically at Bukit Jalil. - NSTP/SHAREN KAUR

Human capital driving company forward

SkyWorld's greatest strength lies in its human capital and the staff is constantly coming up with innovative products that sell, said Ng.

"Human capital is truly the wealth of any organisation. I am a strategist. I make sure the principal is right and I let my staff do the rest of the work. I don't want to control them. I give them a platform and they do everything themselves. Everything is an open book at SkyWorld.

"I always ask my staff, when you buy a property, what are you looking at? Today you buy at RM150,000, tomorrow you want it to be RM180,000. So how do you make it RM180,000? You go for innovation, design and the product must be very efficient. How do you buy a BMW with a Camry price? I challenge them to come up with an innovative design to add the BMW features into the Camry. So although you are driving a Camry, the feeling is as though you are in a BMW and this is how we build at SkyWorld," said Ng.

Ng said if the product has good quality, is innovative and sustainable, the value will increase.

SkyWorld Development Sdn Bhd group managing director Datuk Ng Thien Phing. - NSTP/SHAREN KAUR
SkyWorld Development Sdn Bhd group managing director Datuk Ng Thien Phing. - NSTP/SHAREN KAUR

He cited the company's SkyLuxe On The Park’ project at Bukit Jalil which sold for RM700 per square feet during the launch in 2016, and the units are now transacting between RM900 psf and RM1,000 psf.

SkyLuxe On The Park features two towers of 43 and 44-storeys sitting on a 0.74-hectare site next to Bukit Jalil Recreational Park and opposite Bukit Jalil Golf and Country Resort.

It has a total of 477 units, with built-up sizes ranging from 661 sq ft to 1,224 sq ft. The project, with a gross development value of RM411.6 million, was fully sold within a few months.

The launch price started from RM600,000 for the smallest unit up to RM1 million.

"The value of the property has appreciated by at least 20 per cent since the launch. There are very limited sub-sale units in the market as the owners are anticipating the price to increase further," said Ng

RM1.5 billion worth of new projects coming up

SkyWorld expects to launch four new projects with combined GDV of RM1.5 billion between July this year and March 2021. The lands are located in Cheras, Setapak, Old Klang Road, and Sentul.

Ng said the projects will offer affordable range apartments/condominiums.

He hinted that when the market is ready, the company will launch a high-end project in the next two to three years.

"We will see then if the market can take it or not but it will be the most expensive development by SkyWorld," said Ng.

Ng expects the market to continue to be challenging for the rest of this year, but SkyWorld is still on uptrend until now.

"When you want to sell a product, you need to ask what the market wants. It is not what we as a developer want. You need to know what the market wants, what are they looking for and what can they afford. We have to go back to the basics. We are not selling to our company directors or shareholders...we are selling to the public. If the public can only afford affordable products, we have to sell that to them," said Ng.

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