JOHOR, Sept 21 (Bernama) -- Paragon Globe Bhd (PGB) is positioning itself beyond conventional property development as it seeks to create integrated economic and community ecosystems around its strategic landbank in Johor.
Executive chairman Dato’ Sri Edwin Tan Pei Seng said the group’s core business remains property development, but its approach to land has evolved.
“We look at what economic activity or community can be created around a space, and how we can make better use of it over time,” he said in an interview.
Tan said this could take the form of industrial facilities, residential developments, commercial components, worker accommodation or larger mixed-use projects, depending on the characteristics and demand surrounding each location.
A key example is the
PGB-GSP AutoPark in Iskandar Puteri, where GSP Automotive serves as the anchor for an automotive-focused ecosystem.
PGB provides the land, planning, development capability and local execution, while GSP brings its manufacturing experience, supplier network and industry relationships.
Tan said the objective is not merely to develop standalone factories, but to create an environment where manufacturers, suppliers, logistics operators and supporting businesses can operate closer together.
“As businesses move in, employment and human traffic follow. That creates further demand for other types of space,” he said.
The same philosophy also guides PGB’s landbank management and capital recycling strategy.
Tan said the group evaluates whether a parcel should be retained, developed or monetised based on where the highest value can be created.
PGB recently proposed a RM398.11 million disposal of land in Tanjung Kupang to a data centre infrastructure player, while also expanding its future pipeline through a proposed acquisition in Sedenak within the Kulai-Sedenak flagship zone of the Johor-Singapore Special Economic Zone (JS-SEZ).
He said the Tanjung Kupang transaction and the PGB-GSP AutoPark illustrate how different economic uses can be developed within the same broader corridor.
“One brings digital infrastructure. Another brings automotive manufacturing and potentially its supporting supply chain,” he said.
PGB is also exploring a preliminary RM1.69 billion industrial park concept in Sedenak, comprising industrial factories, commercial components and worker accommodation.
Tan stressed that the Sedenak plan remains at a preliminary stage and is subject to legal, title and regulatory approvals.
He said PGB’s longer-term aim is to create value not just from individual buildings, but from the economic activity that develops around its projects.
Execution, however, remains critical.
Tan cited the PGB-GSP AutoPark as an example, noting that the strategic collaboration was signed on March 30 and the project broke ground on June 11.
“At the end of the day, an announcement does not create value. Execution does,” he said.
SOURCE : Aegis Communication
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--BERNAMA