KUALA LUMPUR (June 13): Mah Sing Group Bhd is buying two plots of land measuring 75.75 acres in Johor Bahru for RM76.09 million to develop a residential project with a gross development value (GDV) of RM480 million.

Mah Sing said the acquisition will further solidify the group’s footprint in Johor and strengthen its competitive positioning in the affordable housing segment after the acquisition of 6.94-acre M Minori in Taman Seri Austin, Johor Bahru last year.

The group, via its wholly-owned unit Venice View Development Sdn Bhd, entered into separate agreements on Tuesday (June 13) with Amanah Raya Bhd and Mutiara Kiara Properties Sdn Bhd to acquire the two plots of lands in Pulai.

“The proposed acquisition marks Mah Sing’s second land deal in 2023 following the purchase of an eight-acre land in Puchong, Selangor earlier this year, for the Transit Environment District development of M Terra and M Hana with an estimated GDV of approximately RM726 million,” Mah Sing said in a filing with Bursa Malaysia.

Mah Sing said the proposed development will be named M Tiara and comprise double-storey terrace and double-storey cluster homes.

“The proposed development with affordable products priced indicatively from RM624,800 aligns well with the group’s current strategy of focusing on affordable homes”.

The group intends to fund the costs and expenses related to the proposed acquisition and development through a combination of internally generated funds or bank borrowings.

As at end-March, Mah Sing's balance sheet remains healthy with cash and bank balances and investment in short-term funds of approximately RM706.9 million.

Mah Sing’s share price was unchanged at 59.5 sen on Tuesday, with a market capitalisation of RM1.44 billion.