KUALA LUMPUR: Kha Seng Group will be seeking to replicate the success of its investments in Kenanga Wholesale City (KWC) and Viva Home shopping Mall but the immediate focus is to complete Vivatel, a four-star boutique hotel.
The group is building Vivatel, which sits on Viva Home, for more than RM100 million, said its founder Bernard Bong.
Construction on the 305-room hotel commenced in November 2011 and it was slated to be completed by November, he said.
"We have other boutique developments coming up. We are planning to launch a niche mall soon in the Klang Valley. We like to focus on few developments at any one time," Bong told Business Times at the official opening of KWC on Saturday.
Kha Seng, established in 1989, is a fast-growing group of companies with strength in niche retail property development.
KWC, the first-of-its-kind retail development in Malaysia, is developed by Kha Seng's subsidiary, Kenanga Wholesale City Sdn Bhd.
The 22-storey building located in Jalan Kenanga, near Pudu Prison, offers everything under the fashion umbrella.
Besides fashion-related outlets, KWC also features banking and logistic facilities, as well as halal and non-halal food outlets.
The building has nine floors for retail and eight levels of carpark, with the rest to comprise a convention centre and warehouse.
The retail component, launched in 2008, has 800 shops and the group sold half the units within the first few weeks of its launch.
"The good thing about KWC is that we recouped our investments in the project during the launch period. We are keeping the remaining 400 units for recurring income.
"Occupancy is at around 80 per cent currently and we hope to have it fully occupied by early next year," Bong said.
The gross development value for KWC exceeded RM1 billion, he added.
Viva Home, formerly called Plaza Uncang Emas 3 (Plaza UE3) and located in Jalan Loke Yew, Cheras, offers home-furnishing and home-related products, as well as leisure and entertainment.
Kha Seng had invested RM280 million to transform Viva Home into a one-stop centre for home shopping, said Bong.
The group also owns Central Market in Kuala Lumpur, which is an art deco heritage building that has been transformed into a cultural market.
-- BUSINESS TIMES