Malaysian Resources Corp Berhad (MRCB) and TH Properties Sdn Bhd, a wholly-owned subsidiary of Lembaga Tabung Haji, have restarted the Kota Semarak mixed development project in Kuala Lumpur with a targeted total gross development value (GDV) of RM3.1 billion.

Kota Semarak is a 70:30 joint venture (JV) development between the two property companies.

It will be carried out via 59 Inc. Sdn Bhd with TH Properties holding the majority stake.

The JV partners had planned to start the project in 2019 but were hindered by the Covid-19 pandemic.

Azman Ibrahim, group chief executive officer of TH Properties group and director of 59 Inc., said that the company is grateful that TH Properties Group remained resilient and continues to receive strong interest from buyers.

He said there has been growth despite the turbulent global backdrop in the last couple of years caused by the pandemic, wars, and economic uncertainties that slowed growth.

"The appetite for our products remains strong as demonstrated by the sales of our industrial and residential products in Bandar Enstek," he said after the Kota Semarak ground-breaking and memorandum of understanding signing ceremonies with the panel of end-financiers over the weekend.

The JV company has secured financing from Bank Islam Bhd and MBSB Bank Bhd for the development.

Kota Semarak, which is situated on a prime 27-acre plot of land on Jalan Sultan Yahya Petra (previously Jalan Semarak), will be developed in three phases.

It will have serviced apartments, retail space, and office space.

Phase 1A will have 1,226 units of serviced apartments, including 100 units of the Federal Territories Affordable Housing Project or Rumawip in four towers, and 87 shop offices.

With a GDV of RM850 million and 2.9 ha of land, Phase 1A is scheduled to be completed in February 2027.

The cost of the dwelling units will start at RM570,000 or at RM650 per square foot (sq ft).

Phases 2 and 3 will be built on parcels measuring 3.7 hectares and 4.4 ha, respectively.

Azman said that the company and MRCB intend to use Kota Semarak as a launching point for a long-term plan to provide a more ecologically friendly and sustainable living environment in its projects.

"We realised the importance of minimising our ecological footprint and aligning our practices with the Sustainable Development Goals of the United Nations, especially in the wake of the Covid-19 pandemic," he said.

Kota Semarak provides modern, thoughtful designs for two to four-bedroom units with sizes ranging from 802 square feet to 2,400 square feet.

An electric vehicle charging station, a Beam scooter station, multi-tiered security, a solid waste management system, and rainfall harvesting are among the project's proposed features.

Azman said buyers of the Kota Semarak property can expect all the conveniences of an urban lifestyle and superb amenities due to the development's advantageous location, which is just 5km from KLCC.

"We believe such convenience will appeal to young professionals and small families looking to experience a better quality of life," he said.

Azman said that going forward, TH Properties is reevaluating how to include more environmentally friendly elements in its developments and to meet the expanding need for designs that are centred on people.

Other developments by TH Properties include Tierra in Bandar Warisan Puteri 2, Seremban, Techpark, The Villas, Hundred East, and Pristine 3 in Bandar Enstek, as well as Pesisiran Residences in Kuantan, Pahang.