PETALING JAYA: Property developer Magna Prima Bhd has acquired 5.25 acres leasehold land in Shah Alam for RM43mil cash to be developed into a residential project.

In a filing with Bursa Malaysia, Magna Prima said its wholly owned subsidiary, Magna City Shah Alam Sdn Bhd, had entered into a conditional sale and purchase agreement with Regalia Raintree Sdn Bhd to purchase the land located in Seksyen 13, Shah Alam adjacent to the Kelab Golf Sultan Abdul Aziz Shah.

The developer has proposed the land to be developed into a residential project comprising 315 units of three blocks of 15-storey residential apartments and five shop offices.

The residential condominiums and shop offices are proposed to be complemented with 953 parking bays. The proposed name of the project is The View Residence.

Magna Prima said the property has been given the planning permission by the Majlis Bandaraya Shah Alam (MBSA) on Feb 28, 2014 and had been extended till March 1, 2016.

“On March 3, MBSA approved the earthworks plan for the property for a period of one year, with the option to extend for another year.

“As at the date of this announcement, the building plans have been submitted to the relevant authorities and are pending approval. Presently, some land clearing works and earthworks have been undertaken on the property,” it said.

The residential project is expected to have a gross development value of RM220.81mil and the total development cost is estimated to be RM180.69mil with an expected gross profit of RM40.12mil.

The project is expected to commence in the third quarter of 2016 and estimated to be completed by 2019.

Magna Prima said the development cost would be financed through a combination of internally generated funds and bank borrowings. However, the quantum has yet to be determined.