Latest news with #Widad
New Straits Times
19-05-2025
- Business
- New Straits Times
Previndran: Strategic upside seen in Widad's RM41.5mil Damansara Heights asset sale
KUALA LUMPUR: Widad Group Bhd's disposal of its 12-storey office building in Damansara Heights for RM41.5 million presents a potential long-term upside for the new owner, said Previndran Singhe, founder and CEO of Zerin Properties. He told Business Times that Richfield Builder (M) Sdn Bhd — a wholly owned subsidiary of Dhaya Maju Infrastructure (Asia) Sdn Bhd and the buyer of the property — could either occupy the building or lease it out for recurring rental income. "Over time, there could be opportunities to reposition or upgrade the asset to enhance its value and rental appeal," he said. "With the right vision, the building's sizeable floor plates offer potential for repositioning into a boutique office development, possibly incorporating curated retail or lifestyle elements." He added that while large-scale redevelopment may not be immediately feasible due to leasehold restrictions and zoning limitations, a strategic refurbishment could attract businesses seeking prestigious yet competitively priced office space in Damansara Heights. The 28-year-old building is located next to HELP University (formerly known as Wisma IBI) and has a gross floor area (GFA) of 132,945 sq ft. It sits on a 17,305 sq ft leasehold plot with 48 years remaining. Widad had acquired the building in 2013 for RM38 million. As of Dec 31, 2023, it carried an audited net book value of RM39.69 million. According to Previndran, the RM41.5 million sale represents a modest capital gain of about 9.2 per cent over 11 years, or an annualised return of less than 1 per cent, reflecting a subdued capital return. However, he noted that this figure does not account for rental income generated during the holding period, which would have improved the investment's overall yield. Widad stated last month that proceeds from the sale would be used to fully repay borrowings tied to the property and for working capital purposes, ultimately reducing its debt by RM40 million and improving its gearing. Previndran said that assuming a standard building efficiency of 70 per cent, the net floor area (NFA) of the building is estimated at around 93,000 sq ft. This places the transaction at roughly RM446 per sq ft (psf) based on net floor area, which falls within the typical en bloc pricing range for offices of RM400 to RM500 psf in Damansara Heights. In comparing the transaction with past sales in the area, Previndran cited Wisma IBI, a 12-storey office building with 62,320 sq ft of built-up space, which was sold in 2016 for RM36.29 million, or about RM582 psf. Another benchmark is Bangunan CIMB, a 10.5-storey office block acquired by a Widad subsidiary in 2021 for RM32 million. Although its exact built-up area is not publicly disclosed, Previndran said the deal likely reflected a lower psf value than Wisma IBI due to differences in size, condition, or transaction context. "In contrast, the current property being sold has a significantly larger GFA of 132,945 sq ft and is being disposed of for RM41.5 million. The lower psf reflects several factors, including the building's age (28 years), remaining lease of 48 years, and location disadvantages, namely the lack of direct MRT or public transport access and absence of surrounding amenities such as retail or food courts, which is increasingly challenging the marketability of such assets due to rising tenant and occupant expectations," he said. These limitations, he explained, are increasingly impacting tenant preferences and asset marketability but are already factored into the pricing, which remains fair given the property's size and location. Previndran noted that premium-grade office buildings with newer specifications, transit connectivity, and lifestyle features may command up to RM600 psf, a benchmark not applicable in this case due to the property's dated infrastructure and lack of direct transit links. "While the disposal doesn't reflect strong capital appreciation, the pricing is market consistent, especially considering the building's age, lease tenure, and locational limitations. The sale is driven by strategic financial considerations, including balance sheet improvement, rather than value maximisation," he said.
New Straits Times
28-04-2025
- Business
- New Straits Times
Widad sells Damansara Heights building at a loss for RM41.5mil
KUALA LUMPUR: Widad Group Bhd is selling a 12-storey office building in Damansara Heights here at a loss to reduce borrowings. The property is being sold to Richfield Builder (M) Sdn Bhd, which is wholly owned by Dhaya Maju Infrastructure (Asia) Sdn Bhd, for RM41.5 million. Widad said its wholly-owned Widad Builders Sdn Bhd had signed a sale and purchase agreement with Richfield Builder for the disposal. The property includes six levels of elevated parking with a 99-year lease expiring on Jan 30, 2073. As of Dec 31, 2023, the property's audited net book value stood at RM39.69 million. "The disposal is expected to incur an estimated loss of RM1.2 million, hence reducing net tangible assets accordingly," Widad said in a Bursa Malaysia filing today. "However, gearing will improve following the reduction of borrowings by RM40 million," the company added. Widad shares closed unchanged at 3.5 sen today, giving the company a market capitalisation of RM109 million. Keywords: Sale Property Damansara Heights Widad Group Bhd Related Articles Corporate Apr 7, 2025 @ 10:21pm PetGas ramps up aid for Putra Heights pipeline fire victims Corporate Jan 31, 2025 @ 6:27am Awantec sells office building for RM25mil in asset rationalisation Nation Apr 3, 2025 @ 10:44am Putra Heights blast victim estimates family's losses may reach RM1.7mil Corporate Feb 25, 2025 @ 1:04am EcoWorld selling land, building data centre for Pearl Computing in Selangor
The Star
28-04-2025
- Business
- The Star
Widad Group sells Damansara Heights office for RM41.5mil
KUALA LUMPUR: Widad Group Bhd is disposing off a 12-storey office building in Damansara Heights, Kuala Lumpur for RM41.5mil cash. In a filing with Bursa Malaysia, Widad said its wholly owned subsidiary, Widad Builders Sdn Bhd, signed a sale and purchase agreement (SPA) with Richfield Builder (M) Sdn Bhd (RBSB) for the disposal. The 12-storey office building, which includes six levels of elevated car parks, has a 99-year leasehold expiring on Jan 30, 2073, with 48 years remaining on the lease. The total land area is 17,305 sq ft, and the building is approximately 28 years. The audited net book value as of Dec 31, 202,3 is RM39.69mil, while the original cost of investment was RM38mil on Oct 18, 2013. Widad said the proceeds raised from the disposal would be utilised to fully settle borrowings related to the property and working capital. 'The disposal is expected to incur an estimated loss of RM1.2mil, hence reducing net tangible assets (NTA) accordingly. 'However, gearing will be improved following the reduction of borrowings by RM40mil,' it said It added that the disposal represented an opportunity for the group to improve its financial performance by reducing finance cost, depreciation and improving cashflow.
Jordan Times
22-02-2025
- Health
- Jordan Times
Royal Court chief launches 'Widad Campaign' to provide free medical days for underprivileged communities
Royal Court Chief Yousef Issawi on Saturday launches the "Widad" campaign, a series of free medical days in the Balqa Governorate (Petra photo) AMMAN — Royal Court Chief Yousef Issawi on Saturday launched the "Widad" campaign, a series of free medical days in the Balqa Governorate. The initiative, organised by the Nobles Foundation for Sustainable Development, coincides with His Majesty King Abdullah's birthday and aims to provide essential healthcare services to underserved families and communities across the kingdom. The campaign kicked off at the New Mallaha housing project in the Deir Alla District, which was established under Royal directives and inaugurated by King Abdullah in January 2025, according to a Royal Court Statement. Organisers noted that the campaign will later expand to other low-income housing areas and remote regions in need of healthcare support. During the launch event, attended by Balqa Governor Salman Najada and Princess Iman Hospital Director Abdulaziz Awamleh, Issawi highlighted the significance of such initiatives in promoting social solidarity by ensuring healthcare access for vulnerable groups. Founder and Director of the Nobles Foundation Lara Burgan highlighted the wide range of services provided, including laboratory tests, early breast cancer screenings, speech therapy for children, vision screenings, and care for the elderly and those with chronic illnesses. She emphasised that the campaign was coordinated with the Ministry of Health, the Food and Drug Administration, and local authorities. Alongside the medical services, the foundation organises social and recreational activities for children and residents in the targeted areas.
