Crescendo Signs RM201 Million Johor Land Deal, Grants Buyer Option for Second RM249 Million Parcel

Crescendo Corp Bhd has entered another major land disposal in Johor, continuing a strategic divestment trend that has accelerated over the past two years. The Johor-based developer has agreed to sell a 40.10-acre industrial parcel in Kota Tinggi for RM200.88 million, while also offering the purchaser an option to acquire a second adjoining tract valued at RM249.07 million.

According to the group’s filing, its wholly owned unit Crescendo Development Sdn Bhd (CDSB) signed a conditional sale and purchase agreement with Pioneer Real Estate Development Sdn Bhd (PRED) for the first parcel. A separate right-of-first-refusal arrangement gives PRED the option—valid until May 31, 2026—to buy the adjacent 49.72-acre site.

Both plots, located in the Mukim and District of Kota Tinggi, are vacant industrial lands that have not yet generated any cash flow for the group.

Strengthening Cash Reserves and Unlocking Land Value

Crescendo said the disposals align with its ongoing monetisation strategy, aimed at unlocking asset value, capturing disposal gains, and bolstering its financial position. The company highlighted that these lands have remained undeveloped, making them prime candidates for divestment amid strong demand for sizeable industrial tracts.

The two disposals are expected to generate gross cash proceeds of RM449.95 million. From this amount, Crescendo plans to allocate RM106.15 million towards post-completion development works and RM70 million for partial repayment of its Medium-Term Notes (MTN), enhancing liquidity and lowering gearing.

Part of the group’s broader strategy also includes staying flexible for future landbanking and joint-venture opportunities—an approach similar to large-scale property players seeking strategic plots, whether for industrial land in Selangor, new factory setups in Puchong, or redevelopment-linked commercial property in KL. Market shifts have shown that connectivity-focused assets, much like office space in Bukit Jalil and industrial property in the Subang area, continue to draw sustained investor interest.

Riding Johor’s Data Centre Wave

Johor’s rapid emergence as a data centre hub has directly benefitted Crescendo. Since late 2023, eight land parcels—several acquired by data centre investors—have been sold by the group, bringing in more than RM1 billion.

With the latest RM200.88 million deal and the RM249.07 million ROFR-linked consideration included, Crescendo’s cumulative land disposals from 2023 to 2025 now total approximately RM1.45 billion.

Shares of Crescendo closed marginally lower by one sen at RM1.26 on Friday, valuing the developer at RM1.07 billion.