FEASIBILITY STATEMENT

PROPOSED HOTEL DEVELOPMENT

AT JALAN NANAS, KLANG

august 2011
GROSS DEVELOPMENT VALUE (GDV)



SCHEDULE OF AREAS
Land Area 0.55 acres 24,000 FS
Development Area 18,000 FS
Nett Lettable Area 180,000 FS
Efficiency 75.00%
Plot Ratio 7.5
FS.GFA
GROSS DEVELOPMENT VALUE incl. 15% circ. price psf price/room
8-storey Hotel 200 rooms 144,000 550 396,000 79,200,000 74%
2-storey Business Center 36,000 380 13,680,000 13%
4-storey Carparks 72,000 200 14,400,000 13%
200 NLA 252,000
Gross Development Value (GDV) 107,280,000








TOTAL DEVELOPMENT COST (TDC)
Building Works & Piling Cost RM psf
8-storey Hotel 144,000 FS @ 250 36,000,000 38.7%
2-storey Business Center 36,000 FS @ 240 8,640,000 9.3%
4-storey Carparks 72,000 FS @ 110 7,920,000 8.5%
Piling Works (Bored piling) 252,000 FS @ 35 8,820,000 9.5%
Infra. & External Works 1 ac. @ 11 264,000 0.3%
Landscape (Hardscape) 500,000 0.5%
Pre- & Post Construction (Survey/S.I.) 50,000 0.1%
Total Construction Cost (TCC) 246.80 /FS 62,194,000
Professional Fees @ 7.45% 4,633,000 5.0%
Site Supervision allow, 360,000 0.4%
Local Authorities allow, 2,000,000 2.1%
Promotions & Marketing 1.00% 1,072,800 1.2%
Sales Management 1% 536,400 0.6%
Conversion, Sub division, etc. allow, - 0.0%
Survey Fees, Legal, etc. allow, 500,000 0.5%
Property Management Sundries 0.50% 396,000 0.4%
Others allow, - 0.0%
71,692,200
Contingencies & Miscellaneous allow, 1% 620,000 0.7%
Sub-Total 72,312,200
Land Cost (including stamp duties) 0.55 ac. 120 psf 2,880,000 3%
Financing Cost (including stamp duty & legal fees) @ 11% p.a., 75% financing 17,897,000 19%
Total Development Cost (TDC) 93,089,200
RETURN ON INVESTMENT







Total Development Cost (TDC) 93,089,200
Profit (before tax) 14,190,800
Return on GDV (before tax) 13%
Return on TDC (before tax) 15%
Developer 70% 9,933,560 9%
CLIENT 30% 4,257,240 4%
incl. land 7,137,240
Developer 80% 11,352,640 11%
CLIENT 20% 2,838,160 3%
incl. land 5,718,160