KUALA LUMPUR: OCBC Bank (M) Bhd is providing a bridging loan totalling RM299.5 million to property developer Astrum Ampang Sdn Bhd to encourage and enable millennials to consider sustainable urban housing.
OCBC Bank managing director and head of corporate and commercial banking Jeffrey Teoh said the bridging loan agreement comes at a time of growing market recovery and the increasing need to provide sustainable options for millennials to own quality homes in the city.
“We certainly see growing appetite for sustainability-linked properties and would like to finance more of these,” he said in a statement today.
Setia Awan Holdings Sdn Bhd’s Astrum Ampang project comprises 5,228 units of SoHo (small office/home office) transit homes, Rumah Mampu Milik (RMM) SoHos and serviced apartments along with 27 retail units with a total gross development value of RM1.6 billion.
Setia Awan central region chief operating officer James Bruyns said the bridging loan enables the company to progress without obstacles towards the completion of the first phase in 2026.
“Given the softer housing market conditions in recent times, Astrum Ampang focuses on the development of more affordable housing segments with phase one of this residential development priced at a low entry cost of RM230,000 to RM270,000 and slated for completion in 2026.
“This is below the National Property Information Centre median house price of RM310,000 (as at 2021) and well within the reach of Bank Negara Malaysia’s median household income at RM5,209, addressing the current supply-demand mismatch in the property sector,” Bruyns noted.
He said Setia Awan intends to increase home ownership among the B40 and M40 income groups and establish a market presence in the Greater Klang Valley as a responsible developer that provides quality and affordably-priced homes. – BERNAMA
