According to latest statement,KSK Land, one of Malaysia’s leading lifestyle property developers and a wholly owned subsidiary of KSK Group Berhad has obtained a RM650 million syndicated facility from MALAYAN Banking Bhd (Maybank) and Bank Pembangunan Malaysia Berhad (BPMB) for the completion of the 8 Conlay Kempinski Hotel and Residences (Tower C) as part of the 8 Conlay integrated luxury development.
8 Conlay, the three-tower integrated property in the heart of Kuala Lumpur’s golden triangle is poised to elevate the art of living with a five-star Kempinski Hotel, experiential retail lifestyle quarters and two towers of branded residences called YOO8 serviced by Kempinski, which have been curated exclusively by Steve Leung & YOO (Tower A) and Kelly Hoppen for YOO (Tower B). The development has already attracted considerable attention from international and local investors looking for branded lifestyle properties, a rare commodity in Malaysia.
The syndicated financing amounts to RM650 million, jointly funded by Maybank and Bank Pembangunan Malaysia Berhad (BPMB) for a tenure of up to 7 years for financing the construction and development costs of the 8 Conlay Kempinski Hotel and Residences.
“KSK Land is positive on the outlook of the hospitality industry post Covid-19, where long lasting brand prestige and value of luxury hotels such as Kempinski will still prevail among discerning travellers. Travel and tourism will see a recovery and rebound by then when the 8 Conlay Kempinski Hotel and Residences completes in 2023. KSK Land is a strong company and has the financial backing required to be sustainable well into the future. Leveraging off this strength will allow us to attract high net worth individuals looking to participate in branded property asset class”, Joanne Kua, Chief Executive Officer of KSK Group and Managing Director of KSK Land.
“On behalf of KSK Land, I would like to thank our new partners Maybank and Bank Pembangunan Malaysia Berhad (BPMB), and we look forward to growing together with you on this important journey”, added Kua.
Maybank Investment Bank Berhad acted as the mandated lead arranger and book runner as well as the security agent for the RM650 million syndicated financing term facility for the company.
The property industry is expected to directly benefit from the economic rebound post COVID19 pandemic. The approval of various vaccines in several developed countries will set the trend in Asia in the coming months. The government has projected that Malaysia’s gross domestic product (GDP) is expected to grow between 6.5% and 7.5% in 2021.
At the same time KSK Land is expected to benefit from the ongoing expansion of the population in the Kuala Lumpur City Centre which stands at 2.79% per annum. The current population totals approximately 7,997,000 and this demographic trend coupled with an expansion of the economy will see a direct co-relation with demand for branded properties, which are an exciting new asset class which includes 5-star luxury hotels and branded residences.
“We are honored to be a part of this milestone with KSK Land, our partner for the iconic 8 Conlay project which will introduce the celebrated Kempinski brand into Malaysia, with the 8 Conlay Kempinski Hotel and Residences. By blending Kempinski’s legendary hospitality with the diverse history, culture and influence of Malaysia, we truly will create a ‘confluential’ experience, a term coined by Kempinski and KSK Land to describe the seamless blend of the unique offerings by Kempinski and 8 Conlay”, said Michael Hennsler, Chief Operating Officer Asia, Kempinski Hotels.
Kempinski is known for its enriched heritage designs, bespoke personal service and superb hospitality complemented by the exclusivity and individuality of its properties. The five-star 8 Conlay Kempinski Hotel will mark Kuala Lumpur to be one of the demanded luxurious cities in Asia attracting more investors and visitors globally.
To date, KSK Land has achieved more than 80% and 40% take up rate respectively for Tower A and Tower B of YOO8, the branded serviced residences serviced by Kempinski.
Upon completion, 8 Conlay will own the world’s tallest twisted twin residential towers with a total of 1,062 units; including a water-lounge on the 26th floor and a multi-tier green refuge on its 44th floor.