Taiwan real estate broker acquires $31 mil. remote island parcel in Malaysia for tourism development

26, Sep. 2019

TAIPEI, NNA – Taiwan’s major property broker Sinyi Realty Inc. said it had acquired usage rights for a parcel in Malaysia’s Sabah state for 980 million New Taiwan dollars ($31.3 million) with the option to develop its first-ever tourism project there.

The deal with the Malaysian firm Mengalum Beach Centre Sdn. Bhd. gives Sin Chiun Holding Sdn. Bhd., Sinyi’s Malaysian subsidiary, the right to operate on a 201.6-hectare tract on Sabah’s Mengalum Island, Sinyi said in a statement on September 18.

The location is about 1.5 hours from state capital Kota Kinabalu by ferry, and its natural environment is considered undeveloped.

“Easy access and the future prospect are the reasons behind the investment,” the company said in a statement.

The company has not yet made formal plans for the site. Its statement says only that options including resorts, hotels and housing are under consideration.

Sabah has seen a steady growth of visitors over the past decade, from 2.2 million in 2009 to 3.9 million in 2018, according to Sabah Tourism Board data. The state received 2 million travelers in the first six months of this year, a 6.6 percent increase over the same period of 2018, the data show.

The isolated, donut-shaped Mengalum Island had earned a name for deep-sea fishing before opening to the public in 2010 as a tropical beach getaway. Chinese tourists have taken a shine to the island since then.

Sinyi begun operating rental services in Malaysia in 2017 as its third overseas subsidiary. It had previously set up subsidiaries in Japan and China.