Ewein Zenith’s mixed project in Penang gets planning consent
Ewein Zenith Sdn Bhd, a joint venture between Ewein Land Sdn Bhd and Consortium Zenith BUCG Sdn Bhd (CZBUCG), has received planning permission from the Penang Island City Council to go ahead and develop a mixed project on a 3.67-acre freehold land in Bandar Tanjong Pinang, Penang.
In a filing with Bursa Malaysia today, Ewein Bhd said Ewein Zenith, a 60%-owned subsidiary of Ewein Land Sdn Bhd which in turn is a wholly-owned unit of Ewein, received approval from the council on the planning permission yesterday.
CZBUCG holds the remaining 40% in Ewein Zenith.
The parcel of land, which is vested with the Penang state government, has been alienated to Ewein Zenith for the proposed mixed development on Feb 17 this year.
“The alienation of the land is partial payment for the works to be carried out by CZBUCG for the major road project and the third link tunnel project (in Penang) and it will be treated as CZBUCG’s contribution,” Ewein had told Bursa in June last year.
It forms part of the 110 acres of land in Tanjong Pinang that the Penang government is using to compensate CZBUCG for the construction, feasibility studies and detailed design work of a RM6.3 billion integrated road transport project. The project involves a 12km paired road and a 6.5km undersea tunnel linking the island and the mainland in an agreement signed on Oct 6, 2013.
“In consideration for the performance of the contract, Consortium Zenith will be given 110 acres of freehold land in Tanjong Pinang (at an approximate rate of RM1,300 per sq ft),” a circular from Ewein to shareholders in June 2014 read.
In February 2014, both Ewein Zenith and CZBUCG had signed a supplementary agreement where the former will pay RM133 million to CZBUCG for the land to be alienated to Ewein Zenith for the development of the mixed project.
Last August, CZBUCG chairman Datuk Zarul Ahmad Zulkifli was reported as saying that the second phase of the feasibility study for the RM6.3 billion Penang undersea tunnel project was on-going and the construction will commence in 2016.
CZBUCG is a special purpose vehicle formed among Zenith Construction Sdn Bhd (99.94%), Beijing Urban Construction Group Co Ltd (0.02%), Juteras Sdn Bhd (0.02%), and Sri Tinggit Sdn Bhd (0.02%).
Ewein shares closed unchanged at 49 sen today, bringing a market capitalisation of RM103.35 million.
Source: TheEdgeMarkets.com
Great news for Penang City
First priority should be the construction
of highways in Penang rather on
new homes.
wahhh……new highway new tunnel not yet start work, oredi got land and can start sell expensive houses!!
good business practice!!
Yup, that’s the trick. Just in case something goes wrong in the road construction deal later, there is no way for the state to take back the land anymore because homes have been built on it, and buyers already bought the homes.
Same modus operandi as land theft. No matter how illegal you obtain the land, once you build homes on it and sold to individual buyers, there’s no way you can take the land back. Remember the Adorna Properties vs Boonsom case (Infinity Condo)?
This projects combined houses and road infrastructure. Is kind of symbiosis project…..
@IsaacTan
Only excess roads to the housing projects and not highways through the
island.
When the new highway expect the complete, nowadays tanjong tokong very jam.
@Lousy
They are also doing the 12km paired road and undersea tunnel…….
12km paired road also useless, that only brings the traffic from teluk bahang to tanjung bungah, the highway landing point is nearby mount eskrine (if follow the road proposal). Still need a highway to disperse the traffic from there to Tun Lim Chong Eu highway/PG bridge/PG 2nd bridge.
Without the most critical road section (from Mount Eskrine/tg Bungah to Tun LCE highway), the town area and Kalawei / Burma road remain choked during peak hours..
@sean
Wow you sound like an expert hahaha
@Jason
Government servants actually make us look smarter or experts because
of their stupidities, which they are not qualified for their various jobs
they are involve in.
no need to be expert, those are just common sense.
government ( be it Bee-N or Pakatxn) also do nonsense and stupid planning always
@jayden
politician all same la, thats why we need check and balance