Building Investment (May - June 2022)

Tropicana plans to launch RM2.9 Billion
Worth Of properties
In a filing to Bursa Malaysia, property
developer Tropicana Corporation Berhad
(“Tropicana” or “The Group”) announced
its unaudited financial results for the
first quarter ended 31 March 2022 (“Q1
FY2022”). The Group posted revenue
of RM223.3 million (Q1 2021: RM240.5
million) which was RM17.2 million or 7.2%
lower compared to the corresponding
quarter in the preceding year. The higher
revenue in 2021 was buoyed by pentup
demand and the beneficial Home
Ownership Campaign (“HOC”) that ran
until 31 December 2021.
Dion Tan, Group Managing Director
of Tropicana emphasised that the Group’s
aggressive sales and partnership campaign
as well as gradual economic recovery will
help spur the growth of the Group.
“We performed well in 2021 but
noticed a slower pace in Q1 2022.
Nonetheless, we continue to strive
forward and rolled out various campaigns
such as the “Multi-Million Mania
Campaign” which offers millions of ringgit
worth of prizes and vouchers for home
seekers and shoppers at our mall, as well
as a grand prize of an Edelweiss SOFO
unit at Tropicana Gardens. To add more
push factor, we also unveiled “Tropicana
Power Up Campaign” from 01 March
2022 to 30 June 2022 which offers down
payment assistance, free stamp duties
for loan agreements and memorandums
of transfers, double referral rewards, and
bonuses on sale and purchase agreement
signings.”
“To accelerate our growth, we also
plan to launch up to RM2.9 billion worth
of properties in 2022. We believe these
campaigns will be timely and appeal to the
property seekers following the opening
of international borders. We will continue
to innovate our projects, as we adapt to
the market sentiment while staying true
to our Tropicana development DNA.” he
summarised.
The Group recorded loss before tax
(“LBT”) of RM35.5 million which was lower
by RM54.8 million when compared to the
corresponding quarter in the preceding
year. Despite posting good progress for its
property sales and development segment,
Tropicana’s first foray into Genting Highlands with the introduction of the holistic Tropicana
WindCity features 3 unique townships.
the Group’s weak performance was
attributed to its hotel business which has
not fully recovered.
Although the industry remains
challenging in the short term, the Group
believes that there will still be demand
for properties in prime locations in
Tropicana’s established, matured, and
developing townships, with attractive
pricing and innovative ownership packages
and offerings. Therefore, the Group will
continue to focus on being market-driven
in its product offerings whilst continuing
to unlock the value of its land bank, at
strategic locations across the Klang Valley,
Genting Highlands, Northern and Southern
Regions such as:
1. Gemala Residences, Tropicana Aman
@ Kota Kemuning;
2. Edela Residences & Square, Tropicana
Heights @ Kajang;
3. SouthPlace 2 Residences & Shoppes,
Tropicana Metropark @ Subang;
4. Tropicana WindCity, Genting Highlands
@ Pahang;
5. Merissa Villas, Tropicana Cenang @
Langkawi;
6. Aster Heights, Tropicana Uplands @
Johor;
7. Tropicana Industrial Park, Iskandar
Malaysia @ Johor.
Tropicana’s unbilled sales stood
at RM1.5 billion backed by its unique
residential, commercial and resort-themed
developments. Overall, Tropicana’s
total landbank spans 2,452 acres, with
a total potential GDV of approximately
RM152.2 billion, placing the Group in a
good position to unlock the value of its
strategic landbank and deliver sustainable
performance in the next few years.
May-June 2022 | www.b-i.biz 13