Published November 03, 2012

Boon Siew Group, Katana eye mixed-development project here

But they'll start looking for sites via government land sale tenders only from next year

By Mindy Tan

ON the coattails of the launch of their maiden project called The Landmark in Penang, Boon Siew Group (BSG) and Katana Developments are turning their focus to Singapore, with the aim of entering the market with a mixed- development project.

Better known in Singapore as the company behind Kah Motor and Honda, BSG and sister company Katana are hoping to introduce a mixed development that is likely to include hotel, residential and commercial components.

Said Sherman Lim, director at homegrown Katana Developments: "We are targeting the more affluent districts. But land is limited, so we will analyse each site (that comes up). But we'd like to target the middle to higher end of the market, which we are comfortable with and which we think we can add value to."

While Mr Lim has had an eye on the market for some time, he said the duo is likely to start actively looking for sites via government land sale tenders only from next year.

This is because the tie-up is in the midst of planning two projects in Malaysia, for which announcements are likely to be made next year.

While The Landmark does not mark BSG's maiden foray into property development - the company has done large-scale, township-type projects in Penang previously - the tie-up with Katana does signal its intention to make real estate a core business going forward.

The relationship is mutually beneficial as BSG is able to leverage Katana's experience in providing design-driven products while Katana is able to tap BSG's financial strength and experience.

Said Mr Lim: "This new platform allows for rapid expansion for both Katana and BSG to embark aggressively on new projects and to target new markets at a faster pace."

"More importantly, it allows for the introduction of design- driven, lifestyle-focused concepts for bigger-scale projects, instead of having design concepts in predominantly boutique projects only," he added.

The Landmark is being launched in Singapore this weekend.

It comprises 66 residential units, 242 small office/home office (Soho) units, and 11 food-and-beverage loft outlets.

Located in the heart of downtown Georgetown in Penang, units in the development range from 799 to 7,266 square feet for one of the villas.

The project, which is being marketed by Knight Frank, has an average selling price of RM1,000-1,500 psf (S$400-600 psf).