KUALA LUMPUR (July 1): Ivory Properties Group Bhd has acquired two pieces of adjoining land in Penang for RM142.79 million, where it aims to develop commercial space and service apartments.

The Penang-headquartered property developer said the 19,800 sq m freehold land is located strategically in the established neighbourhood of Bayan Lepas directly opposite Queensbay Mall, the largest shopping mall in the state.

"The proposed acquisition presents an opportunity for the Ivory group to scale up its development in the said vicinity and complement its existing development projects,” it said in a filing with Bursa Malaysia yesterday.

Ivory Properties said its board was optimistic about demand for the products to be developed on the land given the strategic location.

It said the land was zoned largely for commercial use and was currently used as car park space under tenancy.

The proposed acquisitions are expected to be funded by a combination of internally generated funds and external borrowings.

"Based on preliminary discussions, the indicative funding from internally generated funds is 30%, while indicative funding from borrowings is 70%," the company said.