PETALING JAYA (Jan 25): Astaka Holdings Ltd, through its subsidiary Astaka Padu Sdn Bhd, has entered into a non-binding memorandum of understanding (MoU) with DMR Holdings Sdn Bhd for a potential collaboration to jointly develop 42 acres (about 17 hectares) of land in Johor with an estimated gross development value (GDV) of RM1 billion across various key cities in Johor, including Iskandar Puteri, Tampoi and Pengerang.

Astaka Holdings executive director and chief executive officer Khong Chung Lun in a statement on Monday (Jan 24) said that having closely monitored the Malaysian economy for the past few months, now is the appropriate time to execute its expansion plans.

“While the [Covid-19] pandemic has disrupted the global economies, we have continued to identify suitable opportunities to grow the group in a well calibrated manner. These joint development projects, if undertaken, will allow both parties to synergise resources, networks and expertise to help the group establish itself as a prominent integrated property developer in Johor,” he added. 

The development sites are also within close vicinity to prominent establishments, with the proposed site in Iskandar Puteri located near LEGOLAND Malaysia and the Kota Iskandar development, the administrative centre of the Johor government.

Meanwhile, the joint development projects are expected to be completed over the span of five years, comprising mixed commercial developments and a light industrial park development. The light industrial park project also marks Astaka Holdings’ first venture into the industrial sector.