Far East eyes more hotels in Malaysia

PETALING JAYA: Hong Kong-based Far East Consortium International Ltd is looking to acquire or build more hotels in Malaysia after taking over the Sheraton Subang Hotel & Towers.

"Far East has two hotels under construction in the country, May Tower in Kuala Lumpur which will be opened on July 1, and another in Johor Bahru," said deputy chairman/chief executive officer, Tan Sri David Chiu, at the ceremony to hand over the Sheraton to Far East.

Chiu expected the return on investment for Sheraton Subang, which Far East paid RM120 million, to be seven to eight years.

"The hotel, which enjoys a 70 percent plus occupancy rate, will undergo a refurbishment and possibly further development to add value," he said.

Apart from Far East, which is mainly in hotels, Chiu's property-related activities in Malaysia are undertaken through his development company, Malaysia Land Properties Sdn Bhd (Mayland).

Chiu said he was interested in the acquisition of hotels and shopping centres for long-term investment Malaysia, while in the property development, he would focus on condominiums.

He said Maryland's five new development projects in the Klang Valley and Johor were expected to generate a sales value of about RM1.3 billion.

"In the Klang Valley, the projects are serviced apartments and condos, called Kenny's View (RM500 million), shop offices and serviced apartments at phase three of Plaza Damas (RM300 million), high-end condos in Sri Hartamas (RM150 million) and condos at phase three Seri Puteramas (RM200 million).

"The other project is being planned in Johor (RM150 million)," he said. He said there no plans to list Mayland in Malaysia at the moment.-Bernama