PETALING JAYA: With the re-opening of Malaysia’s borders on April 1, Sime Darby Property Bhd (SimeProp), which is one of the largest industrial park owners, could attract foreign demand for its industrial properties.

       Meanwhile, the demand for its bread-and-butter township projects is expected to remain resilient, providing a strong foundation for earnings, said Maybank Investment Bank Group Research.

       The research firm said that of the RM2.8bil planned launches in 2022, 16% (or RM456mil) is derived from industrial products.

       While landed properties remain the key sales contributor over the medium term, the research firm pointed out that SimeProp planned to diversify its product launches to include more high-rise residential and industrial products.

       “Industrial developments will also be used to expand its recurring income.

       “Management is looking to transform SimeProp into a real estate company from being a pure play developer by 2025,” it said.

       It added that the aim was a 70:30 operating income derived from its property development and recurring income.

       Industrial products are currently the third-largest sales contributor, making up 18% of financial year 2021’s sales.