In a bourse filing on Monday, Kerjaya Prospek said its wholly owned subsidiary Futuprop Sdn Bhd, and Aspen Vision, will form a 55:45 special purpose vehicle (SPV) named Rivanis Ventures Sdn Bhd to undertake the development.

The development, to span seven years from end-2024, will see the construction of 338 affordable housing units, 1,680 residential units, service apartments, as well as retail shops and offices.

The JV will acquire land for the development from Railway Asset Corp, a unit under the Ministry of Transport, for RM156.49 million, in the form of RM54.1 million in cash; and the entire 338 units of affordable homes, valued at RM102.39 million.

This is in accordance with the Affordable Housing Category C3 specifications set by the Penang state government, the statement read.

The proposed development is located in close proximity to Penang Sentral. Meanwhile, Rivanis Ventures will also be granted the first right of refusal to develop the adjacent 19.68-acre land.

Futuprop and Aspen Vision have entered into a JV and shareholders’ agreement for the project, Kerjaya Prospek said.

In a separate statement, Kerjaya chief executive officer and executive director Tee Eng Tiong said the project presents a unique opportunity for the group to create sustainable, high-quality residential and commercial spaces in Penang.

“This venture reflects our shared vision to support Penang’s urban development, and enhance accessibility for the community.

“The subsequent right of refusal to develop the adjacent land provides potential for further expansion, reinforcing our growing footprint in Penang’s property market,” he said.

Shares of Kerjaya Prospek were suspended from trading at 12.01pm on Monday. At 2.30pm, Kerjaya Prospek shares resumed trading at three sen or 1.4% lower at RM2.07, giving it a market capitalisation of RM2.62 billion. Year-to-date, the counter has risen 33.5%.