KUALA LUMPUR (April 24): OCR Group Bhd on Wednesday entered into a deal with a landowner to jointly develop a residential project on 18.37 acres (7.43 hectares) of freehold land in Templer, Rawang, with an estimated gross development value of RM313 million.

The project comprises 118 semi-detached houses, 37 bungalow lots, and five shoplots, the property developer said in a bourse filing.

OCR said that under the joint-venture (JV) agreement, the landowner, Lecca Properties (M) Sdn Bhd, stands to gain RM45 million for partnering with the developer.

Any profit sharing depends on the difference between 50% of the development profit and Lecca's minimum entitlement, and if 50% of the development profit falls short of RM45 million, no additional payment is due to Lecca.

OCR said that the project is expected to be launched in 2025, and will be financed by the group's internally generated funds and/or bank borrowings.

OCR managing director Billy Ong Kah Hoe said the landed residential development in Templer boasts a strategic location, offering private and tranquil surroundings appealing to Klang Valley residents seeking both urban convenience and a close-to-nature lifestyle.

"With its prime location and attractive merits, we are confident in its success, and look forward to delivering a unique development that enriches the lifestyle of its residents," Ong added.

Shares in OCR closed half a sen or 8.33% lower at 5.5 sen on Wednesday, giving the group a market capitalisation of RM76.23 million.