Kwek Leng Beng, owner of City Developments Ltd (CDL) is in talks to sell a land parcel located in the Jalan Bukit Bintang shopping belt in Kuala Lumpur for more than RM3,000 (S$1,282) psf, a deal that could fetch a new record price for a land sale transaction, according to a report from Malaysia’s Business Times.
With the RM3,000 psf price set for CDL’s 32,000-sq-ft land parcel in Jalan Bukit Bintang, the deal could fetch around RM96 million.
If successful, the land sale could surpass the current record of the most expensive land deal in Malaysia, the acquisition of Wisma Angkasa Raya in Jalan Ampang by Sunrise Bhd for around RM2,588 psf.
The land parcel is situated between Pavilion Kuala Lumpur shopping centre and Grand Millennium Kuala Lumpur hotel, which CDL also owns.
Several sources told Malaysia’s Business Times that the RM500-million Millennium Residences project which was originally planned for the site in 2007 has been aborted, and the land parcel was being negotiated for sale.
Some of the construction work for the Millennium Residences development started in 2008, but has since stalled.
In late March, a spokesperson for Hong Leong Group said that the Millennium Residences project would be launched in late-2010. However, when contacted by MBT, the spokesperson declined to comment on the issue.
CDL is part of the Hong Leong Group of companies.