PDC, YTL Land to build luxury apartments

The Penang Development Corporation (PDC) and YTL Land & Development Bhd has signed an agreement to develop luxury apartments on a 1.38-ha site in Lebuh Farquhar here.

Each party would hold 50 per cent equity in the project and they could start anytime soon, Penang Chief Minister Lim Guan Eng told reporters after the signing ceremony here on Dec 21, 2009. PDC was represented by general manager Datuk Rosli Jaafar while YTL Land by executive director Datuk Yeoh Geok Kian.

Originally, a hotel was to be built on the site by PDC Heritage Hotel Sdn Bhd, a joint venture between YTL Hotels & Properties Sdn Bhd (a wholly-owned subsidiary of YTL Corporation Bhd) and PDC.

After the hotel project was shelved due to the economic slowdown, PDC Heritage Hotel sought to change the type of development from hotel to luxury apartments. Subsequently, it applied to change the type of land holding to freehold and the condition of land use to residential and business.

"The state government approved PDC Heritage Hotel's application on June 3, 2009 subject to three additional conditions," Lim said. The building height must follow the Unesco guidelines of not more than five storeys and all costs pertaining to condition changes which exceeded RM8.2 million must be borne by YTL Hotels. PDC's equity must also be increased by one percent from 49 per cent to 50 per cent and the cost fully paid by YTL Hotels, he said.

The new project comprises three 6-storey 76-unit apartment blocks including an underground basement, a clubhouse and a restaurant.

YTL Land had on Dec 17 entered into a conditional sale and purchase agreement with YTL Hotels to acquire 50 per cent equity in PDC Heritage Hotel for RM14.646 million cash. - Bernama

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