Phase 1 of 368 Residences to be launched in 3Q16

FCW Holdings Bhd said the 368 Residences project, which will be jointly developed with IJM Land Bhd on a 50:50 basis, will see its first phase launched in the third quarter of 2016.

FCW executive director Datuk Anderson Thor said the RM1.5 billion gross development value (GDV) development in Segambut, close to Mont Kiara, Jalan Kuching and Jalan Ipoh, will comprise three phases, with phase 1 to account for RM500 million of the total GDV.

"We are proceeding with the development. We have obtained approval for the master layout plan on that, and we are targeting to launch by the third quarter of next year, for phase 1," he told reporters after the company's annual general meeting today.

He explained that the first phase of the project will comprise the development of 800 to 900 residential units.

Despite the launching of the project in 2016, Thor said the company expects its performance for the current financial year ending June 30 2016 (FY16) to not be better than its performance in FY15, as the project will only be launched towards the end of its financial year.

He added that the company's performance has been impacted by the implementation of the goods and services tax and also the strengthening of the US dollar against the ringgit.

"Amid the headwinds and dampened economic outlook, we do not expect to perform better in FY16. However, we do expect the property segment to contribute significantly to our performance in the following years," he explained. - By Ahmad Naqib Idris / theedgemarkets.com