Bandar Bukit Raja sets the trend for modern industrial parks

Sime Darby Property offers all types of industrial properties in a clean and modern setting

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Bandar Bukit Raja (BBR) in Klang, which measures 4,333 acres, is massive. What makes it stand out even more is that 47% is earmarked for industrial development.

The development mix, while not commonly seen is meticulously planned and crafted, says Ir Mohd Idris Abdullah, General Manager of Business Unit 2 at Sime Darby Property Bhd.

 

TRENDSETTER

The plan to put in industrial development started when land in BBR was acquired for the West Coast Expressway (WCE). That resulted in the township being split into two.

“It doesn’t happen in a normal township for industrial properties to take up 47% of the area. It is an uphill task to have 869 acres of nett development area for this purpose but we have done our studies and planning carefully,” says Idris.

“When we took over the land from the plantation side (of Sime Darby), we were thinking of what to do with the land. It has a residential title and if we were to develop residential properties, we needed to link up the two sides, which would be expensive. So, when the market showed demand for industrial properties, we seized the opportunity.”

Sime Darby Property turned the highway into an opportunity. It became a natural buffer between the residential component, on the west side of the township, and the industrial portion on the east. The state government backed the move and approved a change of land use for the industrial area.  

Because the highway acts as a buffer, residents will not have the impression that they are living next to an industrial park. At the same time, those working in the industrial park can live in the homes in BBR, a livable neighbourhood with a 125-acre town park. This will help to enhance the value of the township, says Idris.

Sime Darby Property ventured into industrial development in BBR in a collaboration with Mitsui M-Co on a 39-acre land in May 2018. It proved to be a hit, with an overwhelming response to the industrial properties.

The developer describes itself as an industrial property supermarket, with all sorts of properties available in a clean and modern setting.

“I don’t think there is any player out there that has the same acreage we have in BBR. That size allows us to do what we want and provide the type of industrial property needed by the market — whether it is build-to-sell, build-to-suit, land sale or leasing,” he says.

The industrial component in BBR is targeted at logistics, food and beverage and automotive players, and tenants include Vinda Malaysia, 

Fiamma Logistics, Big Dutchman, MODU System and Schindler Group have set up their facilities there.

MODU System (M) Sdn Bhd’s activities include industrial conveyor, automation and robotics as well as sushi conveyor and automation systems. Managing director Desmund Chaw says the MODU Group of Companies has its global headquarters in BBR, with offices, research and development centre, production and warehousing.

“The pull factor of BBR is its location within Klang Valley and its good accessibility to expressways such as the North Klang Valley Expressway (NKVE), Federal Highway and the soon-to-open West Coast Expressway (WCE). It is within the reasonably new township of BBR, and next to Setia Alam, Setia Eco Park and Eco Ardence development,” he says.

“The industrial park is well developed with many amenities including a football field, food court and wide roads. It is a very presentable industrial park to house our global headquarters. We bought the three-acre freehold parcel in 2011 and started constructing a 120,000 sq ft building two years ago.” 

MODU System (M) Sdn Bhd moved into BBR in November 2018.

Big Dutchman, which is involved in modern pig and poultry production, moved into its BBR premises in April 2017, which also serves as its headquarters and distribution centre for Asia-Pacific.

Big Dutchman Asia President, Jan Hofstede says the site is close to its previous premises near Section 7 in Shah Alam. That made moving the headquarters and distribution centre much easier for the staff.

“The current site is on a freehold land with good infrastructure. Big Dutchman owns the site and buildings in BBR. The total land size is 19 acres and the built-up area is 26,000 sq m, with the office block taking up 6,000 sq m and the rest occupied by the warehouse,” she says.

Big Dutchman employs 380 workers and the warehouse has the capacity to ship 600 containers a month.

The WCE will have two interchanges to BBR and its gradual opening from June will enhance access to the township, which is currently linked to Jalan Meru, NKVE, Federal Highway and North Klang Straits Expressway.

The township is also fairly close to Port Klang, while the Sultan Abdul Aziz Shah Airport, Kuala Lumpur International Airport, Kuala Lumpur International Airport 2 and Petaling Jaya are fairly near as well.

“BBR thrives on its excellent connectivity, ample facilities, abundant job opportunities and the evolving infrastructure growth that benefits the whole population,” says Idris.

“This is made possible by our industrial parks which act as a catalyst for growth and development, while we constantly push and redefine our strategies to meet and exceed customers’ expectations. More businesses, community shops and job opportunities are created.”

 

CHALLENGES

Having been in the industry for 46 years, Idris says it is “easy as pie for Sime Darby Property to develop residential properties” but it is a different story when it comes to industrial properties.

“We know residential developments very well. When we embark on something new, we need to learn it very fast because we always want to be the leader,” he says.

“There is also a lack of mechanisms that can improve supply and demand matching of land. There is no typical or standard development checklist that can be applied to each industry segment in terms of size or infrastructure requirement.”

Idris notes that Selangor is the state that contributes the most to the Malaysian economy, while Klang was selected as the most preferred investment location by foreign companies during Selangor Investor Appreciation Awards 2018.

BBR is the pride of Klang and a township the community and Sime Darby Property can be proud of.


MODU Group of Companies
Global headquarters, with offices for four companies, research & development, production and warehouse

Three-acre freehold land

Built-up area: 120,000 sq ft building

“The pull factor of BBR is its location within Klang Valley and its good accessibility to expressways such as the NKVE (North Klang Valley Expressway), Federal Highway and the soon-to-open West Coast Expressway (WCE). The industrial park is well developed with many amenities including a football field, food court and wide roads. It is a very presentable industrial park to house our global headquarters. We bought the 3 acres of freehold parcel in 2011 and started constructing a 120,000 sq ft building two years ago,” — Managing director Desmund Chaw


Big Dutchman Asia
Headquarters and a distribution centre for the Asia Pacific region.

19-acre land

Built-up area: 26,000 sq m (office block: 6,000 sq m; the rest: warehouse)

380 staff

the warehouse has the capacity to ship 600 containers a month

“The site is close to its previous premises near Section 7 in Shah Alam. That made moving the headquarters and distribution centre much easier for the staff. The current site is on a freehold land with good infrastructure,” — President Jan Hofstede.

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