Great Realty Sdn Bhd was set up by Belleview Sdn Bhd as a wholly-owned special purpose vehicle to redevelop an abandoned commercial property project on prime land in the heart of Alor Setar.
What was once the longest abandoned project in the state, which six other developers had failed to revive, is today Aman Central mall; the largest, most prestigious shopping mall in Kedah which attracts over a million shoppers monthly.
With a total development cost of RM450 million, the lack of shopping mall data in Kedah kept it off the radar of major financiers who were skeptical about the large project size and the cashflow ability to meet repayment. As it was increasingly unlikely for the banks to finance the project, it was absolutely critical for Great Realty to tap into the capital market to raise funding through Sukuk issuance.
We will continue our journey with Danajamin to access the capital market.
Danajamin provided guidance on how to structure mid and long-term financing models that would enable the project cashflow to withstand a longer-term repayment profile. With Danajamin’s AAA ratings by RAM Ratings and Malaysian Rating Corporation, the Bond Placement was attractive and we enjoyed good pricing on the coupon rate. Now in the 7th year, our journey with Danajamin has always been filled with trust and we are grateful for all the professional advice and guidance.
Danajamin’s guarantee has definitely elevated the status of Great Realty as a part of Belleview Group’s profile and has enabled the sourcing of large-scale funding for assets that require a longer repayment period and to undertake larger projects. Aman Central is a game changer project in Kedah and one of the most successful rescue projects in Malaysia, made possible by Danajamin’s successful fund-raising guarantee.
It is now recognised as a successful tourist and shopping destination for Kedah, which has helped to create thousands of jobs for Kedahans. As we explore new project undertakings, we will continue our journey with Danajamin to tap the capital market.