Monday, August 10, 2015

Yet another reason why Tabung Haji cannot sell its TRX land

Updated:
CEO blogger Big Dog says Affin's strategic initiative on TRX is a classic case of "Who dares win" which servicemen and ex-servicemen alike will immeidately identify with. Read his Hurrah for Ex-Servicemen, in which he underscores why the Affin deal is ny property buyer's dream deal. 
Excerpts:
"Affin Bank did get a sweeter deal as compared to Tabung Haji, which was more focused on developing a totally syariah compliant investment.
"There is no reason for servicemen and ex-servicemen to doubt their welfare post-retirement from active service. This sweet deal is the Malaysian Government’s way of expressing a nation’s debt of gratitude to their sacrifice."


Original posting:

 If Azeez Rahim, the Tabung Haji chairman, still feels compelled to cancel the deal the Malaysian piligrimage fund made with TRX, then he should be ready to kick himself in the butt when other big names in the corporate world set up their bases in the KL financial district. 
The latest after Indonesia's Mulia Group to announce  moving to TRX is Affin Bank (see statement below).
In May, when the brouhaha over Tabung Haji's deal with TRX happened, Azeez was accused of using pilgrims' savings to bail out the 1MDB, even though the fact is the deal had taken two long years to conclude, not overnight as claimed. 
Following the arrest of ex-PetroSaudi IT expert Xavier Justo and his relationship with the likes of Sarawak Report and Tong Kooi Ong, a lot more has been made known about 1MDB. None of the accusations levelled at 1MDB has ever been proven, as succinctly put by 1MDB champion YB Rahman Dahlan.
And by middle June, MPs were urging Tabung Haji not to sell... [The Star 2015]. 
So, if Azeez thinks Tabung Haji has to sell TRX land to end the controversy, well he'll be mistaken. The controversy, by the way, has moved away from 1MDB to more juicy issues

p.s. Please note that negotiations between Affin and 1MDB started in 2012, not last week, accroding to the Press statement: 


Tun Razak Exchange Seals Deal With Affin Bank


KUALA LUMPUR, 10 August 2015: Tun Razak Exchange (TRX), Kuala Lumpur’s upcoming international financial district, announced today that Affin Bank Berhad’s new headquarters will be housed on a site located in the district’s Financial Quarter, following the signing of a Sale and Purchase agreement. 
The plot, earmarked for a 35-storey Prime Grade A office block, will bring the Affin Group’s financial services entities to co-locate under one roof and cater for the Group’s future expansion plans.
A master-planned development with a world-class eco-system, TRX continues to see keen interest from investors and tenants alike. Affin Bank’s new head office will be part of TRX’s financial quarter, essentially the Central Business District of TRX that occupies the most visible corner of the site, fronting both Jalan Tun Razak and Jalan Sultan Ismail.
“We are pleased with the progress we are making in our negotiations with local and international parties, and we are happy to have Affin Bank with us as we continue to realise our aspirations to create a world-class financial district," said CEO 1MDB Real Estate Dato' Azmar.
The Sale and Purchase agreement was signed following an extensive negotiations that began in 2012, and it covers the development rights to build a commercial tower for a consideration of RM255 million. The development will have a Gross Floor Area (GFA) of 823,439 sq ft, with the price per sq ft GFA of approximately RM310.
TRX’s comprehensive master plan includes implementing site-wide infrastructure with a sizable public realm and excellent transport connectivity. The financial district is investing close to RM3.8 billion for its infrastructure, and the amount is factored into the selling price of the land.
Investors will get fully serviced plots on net land with high plot ratios. Affin Bank’s new head office has an attractive plot ratio of 15.2, while the entire TRX district – which will boast an urban central park and amenities such as on-site water treatment system and district cooling plant – has a plot ratio of 6.8.
Slated for Phase 1 completion in 2018, tenants of the financial district are expected to enjoy unrivalled connectivity to Greater Kuala Lumpur and beyond, with the TRX MRT interchange station on site, direct links to Kuala Lumpur arterial roads and major highways, as well as connections to the planned KL-Singapore HSR in Bandar Malaysia via the MRT Line 2. 
To date, TRX has signed global property and infrastructure group Lendlease to develop the Lifestyle Quarter; Indonesia’s leading property developer Mulia Group to develop the Signature Tower plot; Lembaga Tabung Haji for a residential plot, and global leader in water management Veolia Water Technologies South East Asia to provide water recycling and treatment plant.
-END-

21 comments:

Anonymous said...

Dato,
What happened to you? What is right is right & wrong is wrong .. Used to like your unbiased view but now you are becoming loyal & not bright - criteria of our PM for his bloggers that got hammered by him... Pls do the right thing. Me the confused & sad umno man.

Anonymous said...

Who is the Chairman of 1MDB? TS Lodin Wok Kamaruddin
Who is the Executive Director of Affin Bank? TS Lodin Wok Kamaruddin.
Main shareholders of Affin Bank?
LTAT (34.4%)
Boustead (20.69%)
Who is the Executive Director of LTAT? TS Lodin Wok Kamaruddin
Who is the Executive Director of Boustead? TS Lodin Wok Kamaruddin
Conflict of interest? WTF!!!!!

Anonymous said...

Of course it is, 1mdb is not a failure, it's a target to bring down Najib. We haven't seen the success but we can see the seeds of it. Just like what Mahathir did to it's own mega projects. And now Mahathir helped to bring down Umno and it's leader.

Mahathir should have passed long ago but he's still around to destroy this nation.

Damn him.

Tebing Tinggi said...

TRX is coming late into the game.

Singapore has it's Marina Bay Financial Centre (part of the city's new downtown) which is better planned in terms of access and infrastructure than TRX.

Hong Kong has it's Central financial district.

How many international banks will be willing to uproot and relocate their regional HQs from Singapore and HK to KL's TRX?

What more with Islamic conservatism coming to the fore in Malaysia, Singapore and HK provide better cultural and live-work-play environments for international bankers and their families.

The promoters of TRX are deluding themselves that international banks, financial institutions, hedge funds, private equity funds, asset managers etc will be making a beeline to set up in TRX.

Anonymous said...

The real story is Tabung Haji has approached Affin to sell the 0.64ha land. But which idiot will pay 100% upon signing of S&P agreement? And now Rocky is trying to spin storyto please those big liars in Tabung Haji, esp. Azeez Rempit, Ismee & Co. Ptuii….!!!

Anonymous said...

Tabung Haji paid rm188.5 mil for a 1.56 acre VACANT PLOT (kosong maa, no building) at rm2773 psf.

Affin Bank paid rm255 mil for a 1.25 acre Plot with a 823,400sq. ft. COMMERCIAL TOWER, at rm310 psf.

I believe this transaction comparison makes TH's purchase look like a DUMB STUPID DECISION.

Anonymous said...

"None of the accusations levelled at 1MDB has ever been proven, as succinctly put by 1MDB champion YB Rahman Dahlan."

-----what a silly statement to quote. Only dumb*** will believe.

Anonymous said...


Latuk,

The gomen most certainly overpaid when it bought your ass (at least the seller was fully willing) but you are missing one teeny weeny detail:

Tabung Haji's own Risk Assessment Committee advised AGAINST the purchase of the TRX land. That advice (commercial, not political) was ignored for no good reason.

There's also a severe conflict of interest in the personnel involved in the deal.

However, I think Affin needs to placate 'someone' fast, lest something very, very heavy sits on them.

That might explain it, no?

Zack said...

You are proud to write such statements?Huh. Mulia Group=Najib's friend. Affin=government related. Can you quote some more prominent independent names like IBM etc. Why the non-government related giants are not participating?Please stop all those Bull-Shit.

Anonymous said...

It amazes me to note that people look at the "deal" of Affin etc. for TRX. How about the questionable act of 1MDB buying the land dirt cheap from the gomen and sells it for ridiculous profits, and mind you, mostly to foreigners?! Whatever happens to the idea of creating a Bumiputra business hub there? Money really talks...the prince booogis way, I suppose?

DS

Anonymous said...


UMNO keeps gambling with people's money. Just flip a coin. Untung, we are a genius. Kalah, it is market's forces.

Orang - orang umno berkeliaran dalam semua institusi kerajaan. Semua pemimpin - pemimpin pencen je ada pangkat. Betul ke berjuang untuk orang melayu. Ke berjuang untuk harta dan pangkat.

Tu yang kes Najib susah nak selesai one way or the other tu. Betul salah lain kira, tapi kalau dah banyak tu punya masalah takkan tak ada sape sape bertanggungjawab?

Anonymous said...


Nobody cares anymore. Do what you want, TH.

Donplaypuks® said...

You forgot to mention that:

1. Between Tabung Haji and Boustead, they own about 55% of Affin shares. They effectively control Affin and Tan Sri Lodin Wok sits on the BOD of both Affin and Boustead and is Chairman of 1MDB. Tabung Haji also own 57% of Boustead!!!

2. The actual price per square foot (psf) of land works out at $4,645 psf (!!??) which is 67% higher than the $2,774 psf that Tabung Haji paid for the 1.56 acres (already regarded as inflated) it acquired from KLIFD just 2 months ago. How could land anywhere rise by such a stratospherical amount within the space of 60 days?

3. How could such ridiculous pricing be reagrded as genuine arm's length transaction and not as bailout of 1MDB?

4. Are Tabung Haji shareholders, the pak ciks and mak ciks in the Malay heartland, being once again diddled (shagged) in not maximising profits by Affin buying TRX land at a grossly inflated valution?

5. I think this is another case for MACC investigation. Check out my analysis at http://donplaypuks.blogspot.com/2015/08/affin-bank-buys-trx-land-rm4645-per-sq.html


Dpp
we are all of 1 Race, the Human Race

Anonymous said...

Most likely another interest payment is due pretty soon. More or our money being wasted in the bottomless pit of 1MDB.

Anonymous said...

Hello, I see Wok Lodin had prints in TH, Affin and 1MDB. kalau nak spin tu jangan laf fikir kami ni bodoh!

Anonymous said...

Gdp is not growing but spin masters are growing...

Anonymous said...

Dulu Desaru pun big land deal juga. Apaalh jadi. Apalh jadi apalah lah jadi.

Anonymous said...

Who cares about at what price people pay if it can generate very much more profit in the future? Those who commented negatively on this issue actually shows that they only want to tarnish reputation, thats all. They have very bad heart.

Anonymous said...

If we go by the number of hit & comments, i think people is more with Che Det as compared to pro PM. See his facebook, pity him. Never in the history of Malaysia PM kena komen yg bukan2. It used to be just by oppositions or political fanatics but now the normal & ordinary start to screaming at the PM...

Anonymous said...



Latuk,

If you can pull that pile of PMO cash out of your ears that clearly affects your hearing, guess what bro?

The CEO of 1MalaysiaDisasterBerhad is the same mamat who is on the BOD of Affin Bank and is the same mamat who got involved in very unsavoury dealings with your paymaster in the matter of some submarines (still under investigation in France.)

Small world, eh?

Can you say "conflict of interest"?

I guess the market can, because Affin shares went down as soon as this bail-out was announced.



Anonymous said...


Latuk,

What happened to The Mole?

It seems to be run by pre-pubertal teenagers with a pre-pubertal level of maturity in their "writing".

Worth reading? No.

Is this another scam by LockyBru Enterprises to siphon even more money from the clueless PMO?