09/04/2021
Can the Mammoth-Exsim JV finally complete Empire City Damansara?
There are still 5 more towers/components to be completed. 😏
The ambitious RM5 billion Empire City Damansara (ECD1) was launched in 2011 by Mammoth Empire Holding Sdn Bhd (MEH) may finally see light at the end if the tunnel, if things go as planned for its joint venture (JV) with Exsim Group.
For the past few years, there has been fair bit of newsflow on ECD1, from glitzy “Party of The Century” that MEH threw in 2015 to showcase the development that was attended by American socialite Paris Hilton, to not-so-flattering reports of the company being strapped for cash and the construction delays faced by the project.
The settlement of the group’s debts comes on the heels of the sale of multiple assets it had - including a 65-acre tract that was meant for Empire City Damansara 2 in Petaling Jaya and 4.5 acres of undeveloped land that was part of ECD1 - to Exsim, a former timber company turned property developer.
Previous reports stated that property developer Aset Kayamas Group had paid RM236 million or RM270.90 psf of 20 out of 65 acres.
However, the deal with Aset Kayamas was terminated, as mutually agreed by both parties.
So, Exsim is now the SOLE owner of the 65 acres of land.
Exsim intend to turn the 65 acres of land into mixed-use development with GDV of RM9 billion. The 1st phase will be affordable houses (rumah mampu milik) that are scheduled to be launched in September 2019.
Meanwhile, MEH will be using its entitlement from the JV to fund the completion of Empire City Mall, which Exsim will not be involved in the mall as the company has no experience in such projects.
Empire City Mall will boast 2 million square feet of net lettable area and house the largest ice skating rink in the country, is now 80% completion. Through its construction is expected to be completed in the next two year, it will only be fully opened for business by 2022, once the unfinished portions of EDC1 are completed.
If the JV succeeds in completing the development, it would do right by those who had long invested in the project in the hope of owning a piece of prime property with a Damansara address.
Credit to Nick Tan
By Dr Victor Gan