MCT Second land purchase in a month

MCT Berhad has acquired a piece of land in Taman Desa to develop its "Aetas" Series condominium, which is expected to bring lucrative profits, given the low purchase price and potential of the area.

MCT Berhad, a property developer in Malaysia, has recently made a smart move by acquiring a piece of land in Taman Desa to develop its "Aetas" Series condominium. This strategic acquisition is expected to reap lucrative profits for the company, given the low purchase price of RM 64.6 million for 3.9 acres of land at RM 380 per sqft.

Located behind Vikas International School, the area is known for its high property prices, making this purchase a real bargain for MCT. The gross development value (GDV) for this project is estimated to be around RM 500 million, with a gross development cost of RM 278 million. By adding up the land cost, MCT stands to make a net profit of RM 157 million, translating to a net profit margin of 31.4%, if they successfully sell all their units.

This significant profit margin highlights the potential of the Old Klang Road stretch, an area that has always been known for its congestion. It's a promising location for developers seeking to expand their presence in Kuala Lumpur due to the big gap in property prices and land prices in the area.

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