Mah Sing Group Bhd expects its proposed StarParc Point project in Setapak to generate a total gross development value (GDV) of RM118 million.

Mah Sing’s wholly-owned subsidiary, Supreme Spring Sdn Bhd, had acquired the exclusive rights to develop about 5.3 acres of prime freehold land from Link Mart Sdn Bhd for RM13 million cash.

The total sum, which works out to about RM56.30 psf, will be paid in five progress payments based on specified milestones of development until the sub-division of land is obtained, said Mah Sing in a statement.

“It is in a prime location and represents a coup for Mah Sing as the land is freehold while the surrounding area is mainly leasehold,” said group managing director Datuk Seri Leong Hoy Kum.

According to Leong, Setapak has seen healthy demand for shop offices as evidenced by the more than doubling in the transaction value of the shop office sub-segment in the first quarter of this year, compared to the same quarter last year.

With a catchment of close to 700,000 people from the middle- to upper-income groups in the vicinity, Leong said Mah Sing has high hopes of good response upon launch of the project.

Mah Sing currently has a total of 16 projects including the Setapak land, with remaining GDV and unbilled sales of about RM4 billion.