Johor Bahru: With the Government's plan to turn the Iskandar Developement Region (IDR) into commercial hub, Crescendo Corp Bhd will be busy in the next couple of years developing its industrial land.
Financial Controller Chow Kok Hiang said demand for industrial properties in the south Johor economic zone was likely to increase soon as local and foreign manufacturers had shown interest to set up operations there since the launch of IDR in November last year.
"The company has 3,300 acres of undeveloped land in Johor, of which 2,000 acres are located within the IDR," Chow told StarBiz.
He said the IDR, 1,400 acres of Crescendo land had been slated for residential and 600 acres for industrial properties.
Chow said the company would give priority to developing industrial properties. This was because there was an oversupply of houses in the Johor Bahru district and developers were quite cautious of launching new units, he said.
He said in two to three years, the IDR and the two intergarted Resort projects in Singapore would show some progress, thus pushing up property prices in Johor Bahru.
"Now is the best time to buy industrial land in the IDR as the rate is still low, even when compared with land in Shah Alam," Chow said.
He added that with good economic performances on both sides of the causeway, more parties would be willing to invest in manufacturing.
Chow said Crescendo was now developing its 500 acres of industrial land in Gelang Patah with an estimated gross development value of RM1.2bil.
He said its Nusa Cemerlang Industrial Park (NCIP) project in the Nusajaya township was part of the IDR and it would keep the company busy for 10 years.
So far, 25% of phase one - consisting of 46 units factories - were already sold and, upon completion, NCIP would have 380 factories, Chow said.
"Singaporeans made up 60% of our buyers and we expect more small and medium companies from the repulic to relocate to the Gelang Patah area," he said.
Its proximity with Singapore and the Port of Tanjung Pelepas and easy access to the North-South Expressway make Gelang Patah attractive to investors, he added.
StarBiz, 14 August 2007