KUALA LUMPUR – YNH Property Berhad (YNH) today announced via a press statement that it had received approval for its amended development order for its flagship Menara YNH project from Dewan Bandaraya Kuala Lumpur (DBKL).
Menara YNH has been conceptualised to be a hallmark mixed development consisting of serviced apartments, hotels, SOHO (shop-office home-office), offices, as well as retail space strategically located within the Central Business District of Kuala Lumpur.
The freehold commercial land development will take up a land area of approximately three acres and the gross development value of the project is estimated at RM3 billion.
Dato’ Dr. Yu Kuan Chon, Chairman of YNH, said, “The approval of the amended development order and building plans for Menara YNH marks an important milestone for the Group as we can now focus on the sales of residential units to the market. This is expected to contribute positively to the Group’s future earnings as we strive to consistently grow shareholders’ value.”
“Being located in a ‘super prime’ area at the intersection of Jalan Ampang and Jalan Sultan Ismail, Menara YNH is envisioned to become a key landmark in Kuala Lumpur and one that is built with innovation and sustainability in mind, with uninterrupted views of our beautiful KL city skyline,” he added.
According to Dato’ Dr. Yu, the approvals from DBKL were timely as YNH plans to complete its proposed disposal of Kiara 163 Retail Park and AEON Seri Manjung soon. “The proposed disposal will generate an infusion of RM422.5 million in cash to the Group and this will strengthen our balance sheet and allow the group to acquire future funding required to kick-start the development of Menara YNH,” he explained.
YNH had earlier disclosed that the total consideration of RM422.5 million for the proposed disposal of the two assets will be satisfied by ALX Asset Berhad entirely in cash through the issuance of the medium-term notes (MTNs) under a proposed asset-backed medium-term-notes (ABS MTN) programme of up to RM500 million in nominal value.
The proposed disposals require approval from YNH’s shareholders at an extraordinary general meeting to be convened on 1 March 2023.
YNH has disclosed that the proposed disposal and proposed ABS MTN Programme is a related party transaction and as such Dato’ Dr. Yu as well as YNH Property managing director, Dato’ Yu Kuan Huat, have abstained and will continue to abstain from all board deliberations, meetings and on the resolutions pertaining to the proposed disposals.