KLANG (Nov 13): Sime Darby Property Bhd has partnered Mitsui & Co Ltd and Mitsubishi Estate Co Ltd to develop Bandar Bukit Raja Industrial Gateway (BBRIG) which will offer land lease and Built-to-Suit (BTS) services to business owners.
This is also the first land lease and BTS model introduced by Sime Darby Property in the Klang Valley, tapping the robust growth of e-commerce and logistic industries.
Sime Darby Property Bhd acting group CEO Datuk Wan Hashimi Albakri said the 39-acre freehold BBRIG development in Bandar Bukit Raja, Klang, Selangor will offer 10 plots of land choices for lease while the construction of the factory or warehouse service will be offered by a JV company of Sime Darby Property and Mitsui Malaysia.
“We are offering a flexible model for business owners who are looking at expanding their capacity or set-up warehouse facilities in Klang. This could also create recurring income for us,” he told the media after the project’s groundbreaking ceremony.
He added that in this JV, Sime Darby Property and Mitsui Malaysia will invest a total of RM100 million in the initial stage.
BBRIG will provide bespoke Grade A facilities with ready infrastructure such as water, power supply and telecommunications, as well as flexible design for warehouse customisation.
The site has easy access to a network of highways including North Klang Valley Expressway, Federal Highway, Kesas highway, LKSA, North South Expressway (Central Link) and West Coast Expressway, which is slated for completion in 2022.
Selangor state investment, industry and commerce, and small and medium enterprises committee chairman Datuk Teng Chang Khim who was present at the groundbreaking ceremony said Port Klang is one of the main and busiest logistics hubs in Malaysia and Southeast Asia as it is the 12th largest seaport in the world and the second largest seaport in Southeast Asia.
“There is rising demand for industrial facilities in Klang for manufacturing, logistics and warehouse purposes.
“Klang is one of the biggest contributors to Selangor’s economic growth. With the introduction of the BTS model, it could provide more flexibity for local and foreign companies to expand their businesses in Klang,” he said.
Mitsui Malaysia which has investments in other areas in the Klang Valley and Iskandar Malaysia, sees growth opportunities in the southwest corridor.
Mitsui Malaysia managing director Daiji Kojima told EdgeProp.my that BBRIG is the first industrial project and also the first location in Klang that the company has ventured into.
“We like the BTS concept, unlike the conventional ready-built warehouses or factories, the BTS enables the developer to tailor-make the facility to suit the client’s needs. This could also ensure a long lease which will benefit the developer,” he explained.