Joint Venture

Aseana Properties Limited
16 August 2007

Date:                       16 August 2007

On behalf of:               Aseana Properties Limited ('Aseana' or 'the Company')





Aseana Properties Limited

  • Aseana Properties Limited and MRCB form joint-venture for Office Towers
    and Hotel development



Aseana Properties Limited (LSE: ASPL), an Asian property developer investing in
Malaysia and Vietnam, announces it has entered into a joint venture with
Malaysian Resources Corporation Berhad, a leading property and construction
company in Malaysia, to acquire 95,131 square feet of land in Kuala Lumpur
Sentral's Lot G ('the Land') from Kuala Lumpur Sentral Sdn. Bhd. (KLSSB) for a
total consideration of approximately US$29 million.



A Sale and Purchase Agreement was signed earlier today between KLSSB and
Excellent Bonanza Sdn. Bhd, a company incorporated in Malaysia.  Its
shareholders are Malaysian Resources Corporation Berhad, with 60% of the shares,
and Aseana Properties Limited, which holds the remaining 40% of the shares.



The development plan for the Land is for a boutique business hotel and two
office towers with a combined floor area of approximately 1,146,000 square feet
and a gross development value of approximately US$180million.



Kuala Lumpur Sentral is an exclusive urban centre built around Malaysia's
largest transit hub, supporting six rail networks, namely the exclusive Kuala
Lumpur International Airport Express Rail Link, Light Rail Transit, Monorail,
Commuter and intercity services. It is close to Kuala Lumpur's Central Business
District with direct connections to the major arterial roads of Kuala Lumpur and
a number of major highways. The whole development is well-placed for access,
within an integrated, self contained environment.  Many multinational companies
have offices in the area, including General Electric, Cisco Systems and
PricewaterhouseCoopers, as well as The Hilton Kuala Lumpur and Le Meridien.



Commenting on the latest acquisition, Dato' Mohammed Azlan bin Hashim, Chairman
of Aseana Properties Limited, said:



'We believe this to be a sound investment as Kuala Lumpur Sentral is fast
emerging as a premier development in Malaysia due to its location and successful
infrastructure. Aseana Properties will typically invest in development projects
at the pre-construction stage and selectively invest in projects-in-construction
and newly completed projects with potential for high capital appreciation,
making Kuala Lumpur Sentral an attractive investment due its physical quality,
standards and accessibility.'



Enquiries:


Aseana Properties Limited                              Contactable via Redleaf

Redleaf Communications                                 Tel: [phone]
Emma Kane / Samantha Robbins                           Email: [e-mail]

Fairfax I.S. PLC                                       Tel: [phone]
James King







Notes to Editors



About Aseana Properties

•         Ireka Development Management, the Manager, is a wholly-owned
subsidiary of Ireka Corporation Berhad, a company listed on the Bursa Malaysia
since 1993, which has 40 years of experience in construction and property
development.



•         The Company will typically invest in development projects at the
pre-construction stage, with a primary focus on location within the major cities
of Malaysia and Vietnam.



•         Investment will be made in projects where it is believed there will
be a minimum 30% annualised return on equity ('ROE') on investments in Vietnam
and a minimum 20% ROE on investments in Malaysia.



•         No one underlying single asset will account for more than 30% of the
gross assets of the Company at the time of investment.



•         It is the intention that the Net Proceeds of the Placing will be
fully invested in accordance with the investment policy within 12 months of
Admission.



•         The Directors believe the following factors should provide
sustainable growth in the real estate sectors of both Malaysia and Vietnam:

o        An increasing standard of living and urbanisation driven by a
burgeoning young and middle class population

o        Clear Government role in encouraging participation of private sectors
in real estate development, as well as encouraging and promoting land and
property ownership

o        Improving availability of mortgages to encourage property ownership

o        Favoured Foreign Direct Investment (FDI) destinations driving demand
for commercial and industrial properties





About MRCB

Malaysian Resources Corporation Berhad is one of the leading urban property
developers and engineering and construction players in the country.  The Group
specializes in civil and energy infrastructure development including beach
rehabilitation projects, road works, road concessions, educational colleges,
hospitals, power plants, and is the nation's biggest developer of high-voltage
transmission networks.  The Group currently maintains an order book of RM2.4
billion.



About Kuala Lumpur Sentral

Kuala Lumpur Sentral is an exclusive urban centre built around Malaysia's
largest transit hub, offering global connectivity, excellent investment
opportunities, business convenience and an international lifestyle.



At the nucleus of Kuala Lumpur Sentral is the RM1.1 billion world-class transit
hub, Stesen Sentral.  Its infrastructure supports six rail networks, namely the
exclusive KLIA Express Rail Link, LRT, Monorail, Commuter and intercity
services.  With direct connections to the major arterial roads of Kuala Lumpur
and a number of major highways, the development is well-placed for access,
within an integrated and self-contained live, work and play environment.



Kuala Lumpur Sentral is focused on offering an international lifestyle
experience incorporating prestigious business offices, five-star hotels, retail
and lifestyle amenities and ultra-modern condominiums.




                      This information is provided by RNS
            The company news service from the London Stock Exchange