Tanco has entered into a joint venture agreement with Accession Development Sdn. Bhd. (formerly known as Webs Terminal Sdn. Bhd.) for the development of a 99-year leasehold land in Puchong Perdana, Selangor.
The land measuring approximately 22905.5 square meters will be developed in a residential development with an estimated gross development value of RM500 million.
Under the agreement, the developer will undertake the design features and components of the project and tabulate the GDV of the Project provided that the minimum GDV of the Project be at least RM500 million. Upon which the parties will formulate and agree on the nett selling price for the Project.
Tanco believes the proposed JV is expected to contribute positively to the company’s future revenue stream, earnings, and profitability. With the strategic location and improving positive demand, the management is confident that the Proposed JV will receive optimistic demand and growth potential.
The estimated time frame for completion is the date of 54 months from the commencement date (date of the JVA) or the date the Project is completed (with a Certificate of Completion and Compliance issued and the final accounts of the Project audited, finalized, and confirmed)
