The document provides details on the proposed development of a multi-phase housing project in Kota Tinggi, Johor, Malaysia. It includes information on the total units, land size, development components, amenities and land allocation for each of the 6 proposed phases. Housing demand projections for Kota Tinggi are also presented, showing steady increases in housing needs from 50,771 units currently to over 91,000 units by 2035. The feasibility study evaluates the gross development value and costs of developing the project over its different phases.

1. FEASIBILITY STUDY
MARKET OVERVIEW
GROSS DEVELOPMENT VALUE &
GROSS DEVELOPMENT COST

2. General Proposed Concept

3. Phase 1
Total unit = 1160 unit
Total area = 91.2 acre
Land Size Land Amenities Unit Acre/unit Total Acre
Development Component Unit Built-up
Width Length Area TNB 3 0.07 0.21
Normal House STP 1 3.79 3.79
Double Storey Terrace 22 70 222 1540 2145 Water Reservoir 1 2 2
Link Terrace 24 80 135 1920 1440 Surau 1 0.25 0.25
Double Storey Semi-D 45 90 64 4050 4095 TOTAL 6 6.25
Double Storey Shop House 22 70 141 1540 2926
Percentage
Affordable House Others (acre) Acre
Single Storey Terrace 20 60 299 1200 800 Open Space 4% 3.6
Double Storey Cluster 30 60 299 1800 1560 Commercial 8.6
TOTAL 1160 TOTAL 12.2

4. Phase 2
Total unit = 1040 unit
Total area = 83.15 acre
Development Land Size Amenities Unit Acre/unit Total Acre
Unit Land Area Built-up
Component Width Length Detention Pond 3.3
Normal House TNB 3 0.07 0.21
Double Storey Terrace 22 70 124 1540 2145 Primary School 1 6
Kindergarten 2 0.25 0.5
Link Terrace 24 80 183 1920 1440
Mosque 1 2 2
Double Storey Semi-D 45 90 82 4050 4095
TOTAL 7 12.01
Double Storey Shop House 22 70 53 1540 2926
Affordable House
Single Storey Terrace 20 60 299 1200 800 Others Percentage (acre) Acre
Open Space 7% 5.8
Double Storey Cluster 30 60 299 1800 1560
TOTAL 5.8
TOTAL 1040

5. Phase 3
Total unit = 990 unit
Total area = 85.31 acre
Land Size Amenities Unit Acre/unit Total Acre
Development Component Unit Land Area Built-up
Width Length Detention Pond 10
Normal House TNB 3 0.07 0.21
Double Storey Terrace 22 70 155 1540 2145 Kindergarten 1 0.25 0.25
Link Terrace 24 80 135 1920 1440 Religious School 1 1.5 1.5
Double Storey Cluster 32 65 168 2080 5460 Community Hall 1 1 1
Double Storey Semi-D 45 90 46 4050 4095 Surau 1 0.25 0.25
Double Storey Shop House 22 70 88 1540 2926 TOTAL 7 13.21
Affordable House
Others Percentage (acre) Acre
Single Storey Terrace 20 60 199 1200 800
Open Space 7% 6
Double Storey Cluster 30 60 199 1800 1560 4.5
Drainage 5%
TOTAL 990 TOTAL 10.5

6. Phase 4
Total unit = 700 unit
Total area = 87.11 acre
Land Size Others Percentage (%) Area (ac)
Development Component Unit Land Area Built-up
Width Length Open Space 6.89 6.00
Normal House Drainage 5.17 4.50
TOTAL - 10.5
Double Storey Cluster 32 65 94 2080 2145
Double Storey Semi-D 45 90 86 4050 4095 Amenities Unit Acre/unit Total Area
Double Storey Link Detention Pond - - 1.70
Bungalow 60 85 118 5100 5070 TNB 3 0.07 0.21
Affordable House Kindergarten 2 0.25 0.50
Single Storey Terrace 20 60 201 1200 800 Com. Hall - - -
Double Storey Cluster 30 60 201 1800 1560 Surau 2 0.25 0.50
Secondary School 1 9.00 9.00
TOTAL 700
TOTAL 8 - 11.91

7. Phase 5
Total unit = 600 unit
Total area = 87.25 acre
Amenities Unit Acre/unit Total Area
Detention Pond - - 5.70
TNB 4 0.07 0.28
Land Size Unit Land Built-up Primary School 1 6 6.00
Development Component Area Kindergarten 1 0.25 0.25
Width Length
Sek. Agma 1 1.5 1.50
Normal House
Com. Hall 1 1 1.00
Double Storey Terrace 22 70 191 1540 2145
Surau 1 0.25 0.25
Double Storey Cluster 24 80 94 1920 1440
TOTAL 9 - 14.98
Double Storey Semi-D 45 90 86 4050 4095
Double Storey Link
60 85 85 5100 5070 Others Percentage (%) Area (ac)
Bungalow
Double Storey Bungalow 60 100 144 6000 5460 Open Space 6.87 6.00
600 Drainage 5.13 4.48
TOTAL
TOTAL - 10.48

8. Phase 6
Total unit = 498 unit
Total area = 84.58 acre
Land Size Amenities Unit Acre/unit Total Area
Development Component Unit Land Area Built-up
Width Length TNB 4 0.07 0.28
Surau 1 0.25 0.25
Normal House
Double Storey Terrace 22 70 156 1540 2145 TOTAL 5 - 0.53
Double Storey Cluster 24 80 62 1920 1440
Others Percentage (%) Area (ac)
Double Storey Semi-D 45 90 69 4050 4095
Open Space 14.50 12.26
Double Storey Link
60 85 138 5100 5070 TOTAL - 12.26
Bungalow
Double Storey Bungalow 60 100 73 6000 5460
TOTAL 498

11. The price for housing in Singapore
List of average new & resale prices of Housing Development Board flats
Internal New Resale
Room
Period
Type
sq feet RM RM
3 room 700 280,000 400,000
2007s sharp 4 room 969 460,000 600,000
rise at 2008 5 room 1184 580,000 740,000
Executive 1399 700,000 900,000
3 room 700 582,000
4 room 969 752,600 840,300
2010
5 room 110 897,400
Executive 130 1,071,800

12.  The prices of housing in Singapore are very high
compare to Malaysia.
 In Malaysia the landed property are cheaper than
in Singapore.
 In Singapore are very to hard to find landed
property, if had the price are so high compare to
Malaysia.
 Beside that many Singaporean that have money
are more interested on buying landed property
than high rise building like flat and apartment.

13. The price for housing in Beijing
 Residential Building Types in Urban China:
• Common apartment housing, (without any fitment )
• High quality apartment housing, (ready with fitment)
• Economically affordable housing,
• Villas
 The value of a Chinese villa not depend on the built-up area, it’s depend on
plot ratio.
 Very expensive (Accessibility/ location/ size/plot ratio, etc)
i.e. Beijing—normally around RMB 3,000,000-5,000,000/unit
(RM 1,500,000-2,500,000/unit)
 At present, the development of villa is not allowed any more.

14. Economically Affordable Housing
 A kind of public housing subsidized by the government.
 The cost and selling price of such housing is much lower than for common
apartment housing, as developers enjoy preferential tax policies and pay less
for the land.
Apartment
First Class City—Beijing (Oct.2010—Sep.2011)
Price Distribution (RMB/m²)
 Generally, the price is increasing during the whole year
 Price: RMB 254,000—270,000/m² (RM 127,000—135,000/m²)

15. Secondary Class City—Nanjing (Oct. 2010—Sep. 2012)
Price Distribution (RMB/m²)
Price: RMB 12,600—14,000/m2(RM 6,300—7,000/m2)
Third Class City—Shijiazhuang (Dec. 2009—Nov. 2010)
Price Distribution(RMB/m²)
Price: RMB 5,000—6,100/m² (RM 2,500—3,050/m²)

17. The price for housing in Malaysia
 By property type, terraced houses continued to dominate the new housing
market.
 This property type represented 62.1% (3,791 units) of the national total.
 Single storey terraced houses made up 28.9% (1,764 units) whilst 2-3 storey
terrace formed another 33.2% (2,027 units).
 The 2-3 storey semi-detach constituted another 10.9% (666 units) of the
total
 Single storey semi-detach and condominium/ apartments formed 9.9% (604
units) and 7.3% (444 units) respectively
 By price range, houses priced between RM250,000 and RM500,000 per unit
are popular among developers as evident by the 38.7% (2,365 units)
contribution to the new houses launched into the market.
 The next popular property type was priced between RM150,000 and
RM200,000 per unit.

18.  For demand was highest for units priced between RM100,000 and RM150,000 per unit as
evident by 24.3% sales performance as against18.9% recorded in the previous quarter.
 Next highest were units priced between RM150,000 and RM200,000 per unit and
between RM200,000 and RM250,000 per unit.
Perak and Johor registered 21.3% (240 units) and 21.9% (157 units) sales performances
respectively. Pahang recorded the highest sales performance of 26.2% and Kedah
followed with 25.6%. On the other hand, none of the units launched in Kuala Lumpur
were taken up.

19.  As at end of Q1
2011, number of
new houses
launched into the
market within
the past nine
months was
31,275 units.
 By property
type, terraced
houses
continued to
dominate the
new housing
market. This
property type
represented
54.1% (16,907
units) of the
national total

20. COMPARISON BETWEEN MALAYSIA, CHINA AND SINGAPORE
MALAYSIA CHINA
Place Size (ft²) Price (RM) Place Size (ft²) Price (RM) Average Sale (RM)
1760 368,000 RM 8.89-9.45
753
Johor Bahru 1540 278,000 (million/unit)
1476 525,000
RM 12.7-13.5 127,000-
3500 158,000 Beijing 1076
(million/unit) 135,000(RMft²）
Kota Tinggi 5000 198,000
12000 687,000 RM 16.5-17.5
1399
2200 410,000 (million/unit)
Melaka 2500 450,000 441.000-
5296 550,000 753 490,000
(RM/unit)
SINGAPORE 630,000-
6,300-7,000
Nanjing 1076 700,000
Place Size (ft²) Price (RM) (RMft²）
(RM/unit)
700 582,000 819,000-
969 752,600 1399 910,000
Orchad (RM/unit)
110 897,400
175,000-
130 1,071,800
753 213,500
4004 4,180,000 (RM/unit)
Central 8500 22,000,000 250,000-
2,500-3,050
11000 28,000,000 Shijiazhuang 1076 305,000
(RM/unit) (RM/ft²）
3940 7,800,000
325,000-
Central East 4004 8,200,000 1399 396,500
6,975 10,000,00 (RM/unit)

22. DEMAND IN HOUSING MARKET AT KOTA TINGGI
Housing Projection For Kota Tinggi Base on Johor Structure
100,000
plan, Housing Projection
90,000
91,477 for District of Kota Tinggi
79,488
80,000
67,931
are increase.
70,000
60,000 56,937
50,000
50,771
Proposed site located in
40,000
Tanjung Surat/ Johor
Lama planning block.
30,000
20,000
10,000 Second planning block
0
2001 2005 2010 2015 2020
that have a higher
population
Source: Johor Structure Plan, 2001-2020
Our proposed
Planning Block 2000 2005 2010 2015 2020 development for this site
Pengerang/ Pantai 32,040 34,281 36,438 38,360 39,994
are relevant.
Timur
Market for housing in
Sedili Kecil 47,363 26,852 28,663 30,482 33,490
proposed site are higher
Tg. Surat/ Johor 53,921 46,161 52,360 55,078 57,381
because several factor
Lama
such as
Bandar Kota Tinggi 42,535 47,541 53,915 56,711 59,079 population, committed
Sedili Besar 83,805 14,102 16,259 17,172 18,059 development (proposed
Bandar Tenggara 69,642 34,328 36,650 38,703 40,308
UTM Bandar Penawar and
Total 329,306 203,265 224,285 236,506 248,311
Petroleum Plant)
Source: District of Kota Tinggi Local Plan 2020.

23. DEMAND IN HOUSING MARKET IN KOTA TINGGI
Existing Stock Of Residential Unit By Type For Kota Tinggi
30.0 27.4 Existing stock of
26.0 25.2 residential unit by which
25.0
are 23,224 units.
20.0 Because there is no
complete development by
15.0 13.2
that time.
10.0 Highest unit- single storey
terrace houses which is
5.0 3.4 %
2.4 1.6 27.4; detach,26.0 ; and low
0.1 0.2 0.0 0.3 0.2 0.0
0.0 cost house,25.2.
The lowest unit supplied
is cluster and SOHO house
where both of these were
never supplied in this area.
 This happen because
terrace house is more
Source: Stock Property Report, Q4 2010 & Q2 2011
affordable compare than
the other houses.

24. FUTURE SUPLLY FOR HOUSING IN DISTRICT OF
KOTA TINGGI
Under construction Start Newly Supply
Type
1st Quarter 2nd Quarter 1st Quarter 2nd Quarter 1st Quarter 2nd Quarter
Single Storey Terrace 1,061 1,104 43 0 616 0
2-3 Storey Terrace 301 336 35 25 81 0
Single Storey Semi-Detach 0 0 0 24 0 0
2-3 Storey Semi-Detach 90 90 0 34 0 0
Detach 7 7 14 45 0 0
Town House 0 0 0 0 0 0
Cluster 84 84 0 0 0 0
Low Cost House 794 794 0 0 0 0
Low Cost Flat 62 62 0 0 0 0
Flat 62 62 0 0 0 0
Service Apartment 223 223 0 0 0 0
Condominium/ Apartment 96 96 0 0 0 0
Total 2,780 2,858 78 97 697 0

25. DEVELOPMENT PROFIT

26. PROJECTED GROSS DEVELOPMENT VALEUE
Land Size
Price per sf Price/unit
Development Component Width Length Land Area sf Built-up sf
(RM) (RM)
sf sf
1) Double Storey Terrace 22 70 1540 2145 130 278,850
2) Link Terrace 24 80 1920 2160 135 291,600
3) Double Storey Cluster 32 65 2080 1931 160 308,880
4) Double Storey Semi-D 45 90 4050 3570 165 589,050
5) Double storey Link Bungalow 60 85 5100 3770 175 659,750
6) Single Storey Bungalow 60 100 6000 2400 200 480,000
7) Double Storey Bungalow 60 100 6000 3480 200 696,000
8) 2 storey shop house 22 70 1540 2970 120 356,400
9) Single Storey Cluster (80K) 30 60 1800 880 0 80,000
10) Double Storey Terrace(50K) 18 55 990 780 0 50,000
11)Double Storey Terrrace(30K) 14 55 770 680 0 30,000
12) Shopping Complex 120 44,431,200
13) Resort 200 217,800,000

27. GROSS DEVELOPMENT VALUE(GDV) FOR EACH PHASES
Phase 1
PHASE 1 Unit Sub-Total (RM)
1) Double Storey Terrace 222 61,904,700
2) Link Terrace 135 39,366,000
3) Double Storey Semi-D 64 37,699,200
4) 2 Storey Shop 141 50,252,400
5) Single Storey Cluster(80K) 598 47,840,000
TOTAL REVENUE (GDV) 1160 237,062,300

28. Phase 2
PHASE 2 Unit Sub-Total (RM)
1) Double Storey Teracce 124 34,577,400
2) Link Terrace 183 53,362,800
3) Double Storey Semi-D 82 48,302,100
4) Shopping Complex 1 44,431,200
5) 2 Storey Shop 53 18,889,200
6)Double Storey Cluster(80K) 198 15,840,000
7) Double Storey Terrace(50K) 400 20,000,000
TOTAL REVENUE (GDV) 1041 235,402,700

29. Phase 3
PHASE 3 Unit Sub-Total (RM)
1)Double Storey Terrace 155 43,221,750
2)Link Terrace 135 39,366,000
3) Double Storey Cluster 168 51,891,840
4)Double storey Semi-D 46 27,096,300
5)2 storey shop 88 31,363,200
6)Double Storey Terrace(50K) 200 10,000,000
7)Double Storey Terrace(30K) 198 5,940,000
TOTAL REVENUE (GDV) 990 208,879,090

30. Phase 4
PHASE 4 Unit Sub-Total (RM)
1)Double Storey Cluster 94 29,034,720
2)Double storey Semi-D 86 50,658,300
3)Double storey Link Bungalow 118 77,850,500
4)Double Storey Terrace(30K) 402 12,060,000
TOTAL REVENUE (GDV) 700 169,603,520

31. Phase 5
PHASE 5 Unit Sub-Total (RM)
1) Double Storey Terrace 191 53,260,350
2) Double Storey Cluster 94 29,034,720
3) Double Storey Semi-D 86 50,658,300
4) Double Storey Link Bungalow 85 56,078,750
5) Single Storey Bungalow 72 34,560,000
6) Double Storey Bungalow 72 50,112,000
TOTAL REVENUE (GDV) 600 273,704,120

32. Phase 6
PHASE 6 Unit Sub-Total (RM)
1) Double Storey Teracce 156 43,500,600
3) Double Storey Cluster 62 19,150,560
4) Double Storey Semi-D 69 40,644,450
5) Double storey Link Bungalow 138 91,045,500
6) Single Storey Bungalow 37 17,760,000
6) Double Storey Bungalow 36 25,056,000
7) Resort 217,800,000
TOTAL REVENUE (GDV) 498 454,957,110

33. TOTAL FOR EACH PHASE
PHASE TOTAL FOR EACH PHASE(RM)
1 237,062,300
2 235,402,700
3 208,879,090
4 169,703,520
5 273,424,120
6 454,957,110
OVERALL TOTAL (GDV) 1,579,608,840

34. ESTIMATION GROSS DEVELOPMENT COST (GDC)
Description Phase 1 Phase 2 Phase 3 Phase 4 Phase 5 Phase 6 Overall Total
Building Cost 145,214,050 123,310,250 132,387,380 118,724,765 176,623,965 155,134,145 851,394,555
Infrastructure Cost 50,427,000 38,946,250 38,805,250 34,965,250 33,638,750 31,344,500 228,127,000
Contingencies Cost 9,782,053 8,112,825 8,559,632 7,684,501 10,513,136 9,323,932 53,976,078
TOTAL 205,423,103 170,369,325 179,752,262 161,374,516 220,775,851 195,802,577 1,133,497,633
Description Phase 1 Phase 2 Phase 3 Phase 4 Phase 5 Phase 6 Total (RM)
1)Total Construction 205,423,103 170,369,325 179,752,262 161,374,516 220,775,851 195,802,577 1,133,497,633
Cost
2)Professional fees 14,379,617 11,925,853 12,582,658 11,296,216 15,454,310 13,706,180 79,344,834
(7%)
3)Administration & 4,108,462 3,407,387 3,595,045 3,227,490 4,415,517 3,916,052 22,669,953
Marketing (2%)
4)Contribution & 5,585,100 5,021,075 4,824,415 2,326,215 2,074,625 2,695,470 22,526,900
Fees
SUBTOTAL (1-4) 229,496,282 190,723,639 200,754,380 178,224,437 242,720,302 216,120,279 1,258,039,320
5) Finance Cost
(30% Construction Cost x 8%x5year) 136,019,716
6) Land Cost 41,488,000
TOTAL GROSS DEVELOPMENT COST (GDC) 1,435,547,036

35. PROJECTED DEVELOPMENT PROFIT (GDC-GDV)
Description Phase Phase 2 Phase 3 Phase 4 Phase 5 Phase 6 Total
1
1)Gross Development Value 237,06 235,402,7 208,879,0 169,603,5 273,704,1 454,957,1 1,579,608,84
(GDV) 2,300 00 90 20 20 10 0
Less
229,49 190,723,6 200,754,3 178,224,4 242,720,3 216,120,2 1,258,039,32
2)Gross Development Cost 6,282 39 80 37 02 79 0
(GDC)-excluding land cost
& finance charges
GDV-GDC 7,566, 44,679,06 - 30,983,81 238,836,8
8,124,710 321,569,520
018 1 8,620,917 8 31
3) Finance Charges 136,019,716
4) Land Cost 41,488,000
GROSS PROFIT (GDV-GDC) 321,569,520
% RETURNS ON SALES 20.36%
(profit/GDV)
% ROI (profit/GDC) 26%
Average Cost/acre 2,768,120
Average Cost/ unit 287,685

38. FINANCING & MARKET
STRATEGIES

39. Pricing Strategy
 Determine Reasonable and Profitable Price
The proposed selling price also refers to current
development trend and selling price.
 Awareness the Strength of the Site
The strength on the site that can be note such as the
near with beach Desaru, existing highway Senai-Desaru
and already have existing infrastructure and facilities.
 Identify the Demand of Nearest Location
Should be examine to know the demand by type of
building, categories of buyers and income statement
for people who leave in Kota Tinggi

40. SELECTION OF FINANCIAL
INSTITUTION

41. Financial Institutions
The development shall only experience one phase of financial loan
because the land owns by the developer, hence, a Pre-Bridging Finance is
unnecessary.
 Thus the financial loan needed is Bridging Finance.
The Process of Bridging Finance
Developer
Approval of floor plan, planning approval
and advertising and promotional permit
Fill up the financing form
Pass up the basic documents + supporting
documents
Deliberation of bank:
Financial status, background of company,
operation system, working experience and etc

42.  To obtain any loan from the financial institution,
selection of bank for funding is based on the bank
which offers highest margin of financing, lowest
interest rate and longest period of mortgage payment.
 CIMB Berhad Bank and EON Bank Berhad are selected
as the source of bridging finance
 CIMB Berhad Bank is the main selected be chosen as
the source of bridging finance to finance the
construction cost of development and e.nd finance
which meant for home buyer to help them afford to
own a house by provide home loan although both banks
offer different advantage.

43. MARKETING STRATEGIES

44. Project Years
Phases Year to construct
1 2 year
2 3 year
3 2 year
4 3 year
5 2 year
6 3 year
Total 10 year
 Estimation for the project being construct are for 10 years.
 There are 6 phases in the project.

45. Target Buyers
 The target buyers for this kind of development are those that within
the area and also the surrounding area.
 For those to start a new family.
 Second and Third generation of Felda,
 Elderly people around the age 50 above, so they can spend their
golden time there.
 Foreigner such as Singapore and China, that feel there want the
second homes outside their own country.
Bumiputera
 For Bumiputera, there are several choices that have been provided for
them.
 There are affordable house, middle cost and high cost housing with
reasonable price for the citizens of the country.
 Bumiputera also have advantages where the allotment for them is 40
percent from overall development.
 15 % discount and free hold also will be given.
 These are some of the specialty that they get when they buy this type
of housing.

46. Non-Bumiputera
 For the non-bumiputera, there will be giving a discount rate of
up to 5% will be given to them according to their negotiation.
 Besides that, in order to attract more buyers, early birds will
get discount rate that will give them opportunity to get houses
at a lower price.
Foreigners
 For this buyers, the property sales will only focus on the high
cost on the high cost property where the government guideline
are basis to identify the buyers which stating only 10 percent
from the overall high cost houses can be allotted to this group.
 Singaporean and Chinese investor are the target buyers to buy
the high cost property for this development.
 Semi-detached, bungalow, cluster, terrace and wellness center
will be provided for the foreign investment attraction.

47. Strategies to Attract Target Buyers
 Get Publicity Coverage
Publicity does not just help our company sell products to consumers
but it helps make our company interesting to potential property
buyers.
Get A Distributor To Present Your Product To A Buyer
If the distributor has a relationship with a target buyer and thinks our
company has a winning product that will stand us in better stead.
 Get Included In Property Publications
Reading property publications such as iproperty.com is part of a
buyer’s job. Beside that a nice article about the company and our
new product may catch the buyer’s eye.

48. CONCLUSION
 This proposed of development is expected to get
a total of RM 1,579,608,840 for the Gross
Development Value (GDV).
 In conclusion, the Gross Development Cost
(GDC) for the proposed development is
approximately RM 1,258,039,320.
 The Return on investment (ROI) is 26%.
 For the Internal Rate of Return (IRR), the
project estimated approximately 25.25%. So
these projects are viable to develop by the
developer in the future.