Malaysian property developer, Tanco Holdings Bhd, has secured a RM12.8 million government grant to fund a Splash Park water theme park and hotel development.
Tanco Holdings Bhd’s subsidiary, Palm Spring Development Sdn Bhd, has executed a facilitation fund agreement with the Public Private Partnership Unit under the Prime Minister’s Department and Bank Pembangunan Malaysia Bhd, reports The Edge Markets.
The deal means the government will provide the multi-million grant for the planning, designing and construction of Splash Park in Port Dickson.
The project is set to feature a water park alongside an 18-storey hotel and convention hall.
In addition plans show two serviced apartment blocks, one of 24-storeys, the other of 20-storeys.
The government will make the grant available from the date of fulfilment of certain conditions precedent and up to March 31st 2021. It is to be used solely for the purpose of funding the cost and expenses of the project. Bank Pembangunan Malaysia has been appointed to manage and disburse the grant to Palm Spring.
Splash Park forms part of a 400-acre integrated resort development in Port Dickson being built by Tanco. Port Dickson lies on Malaysia’s west coast, south of Kuala Lumpur. It is renowned for its beautiful beaches, wildlife reserve and 16th century lighthouse.
Last March Tanco proposed issuing redeemable convertible commercial paper or medium term notes to raise up to RM100 million. In the proposal the company said Splash Park’s first phase (the waterpark and one block of serviced suites) has a gross development value of RM148 million. Subscribers will be Cayman Island-incorporated funds Advance Opportunities Fund and Singapore-domiciled company Advance Capital Partners Pte Ltd.
Tan Choon Wee is the sole director of both these entities. He has held significant roles in banking and stockbroking since 1991. He was associate director of institutional sales in UOB Kay Hian Pte Ltd before joining RHB Securities Sdn Bhd as head of institutional sales and securities dealing.