Malaysia’s property sector continues to attract major tech investments as EcoWorld Development Group secures another multimillion-dollar land deal with a global technology giant. The developer announced the sale of 138.5 acres in its Johor-based Eco Business Park I to Microsoft Payments (Malaysia) for RM693.96 million, marking the second major transaction between the companies within a year.
This latest agreement follows Microsoft’s previous purchase of 123 acres in the same business park for RM402.3 million, reinforcing Johor’s growing reputation as a preferred location for hyperscale data centers. EcoWorld highlighted that these transactions validate the strategic positioning of its industrial parks, which cater to high-tech operations with their infrastructure and connectivity advantages. The deal involves 117 land parcels and is expected to contribute significantly to the group’s financial strength.
Proceeds from the sale will be allocated toward completing infrastructure development on the remaining land and covering transaction-related expenses, with the balance enhancing working capital. EcoWorld’s industrial segment has seen remarkable growth, surpassing RM1 billion in annual sales for the past two fiscal years. The company attributes this success to its diversified strategy, serving local SMEs, large industrial players, and international corporations alike.
With this latest transaction, EcoWorld’s total land sales to data center operators in under a year reach RM1.3 billion, bolstering its cash reserves to RM1.36 billion as of October 2024. The group now plans to expand its land bank and explore recurring income opportunities in commercial and industrial assets. While the exact financial impact remains uncertain pending final development costs, the deal is expected to strengthen the company’s balance sheet.