Sarawak Consolidated Industries Berhad (“SCIB” or the “Company”), a construction and EPCC specialist, announced that its wholly-owned subsidiary, SCIB Ecobuild Sdn. Bhd. (“SCIBE”), has entered into a Sale and Purchase Agreement with East Liberty Sdn. Bhd. to acquire three leasehold parcels in Kolombong, Kota Kinabalu, Sabah, together with rights and interests in an adjoining road reserve for RM15.20 million.
Parcel A comprises six existing two-storey shoplots, while Parcels B and C are undeveloped. The existing shoplots are multi-tenanted and currently generate aggregate monthly rental income of RM43,600, providing SCIB with an immediate recurring income stream upon completion of the acquisition.
The purchase consideration was arrived at on a willing-buyer willing-seller basis. Knight Frank Malaysia Sdn. Bhd., the independent professional valuer, assessed the market value of Parcels A, B and C at RM15.20 million as at 23 July 2026. Parcel D, which serves as the road reserve for Parcels A, B and C, will be dealt with through a Deed of Substitution of Power of Attorney in favour of SCIBE.
Parcels B and C provide potential for the future development of additional two-storey shoplots, subject to prevailing market conditions, relevant regulatory approvals and applicable title conditions.
SCIB also intends to retain one proposed unit for an SCIB Sabah branch office. The acquisition will be funded through a combination of bank borrowings and internally generated funds and, barring any unforeseen circumstances and subject to the fulfilment of the terms and conditions of the SPA, is expected to be completed by the first quarter of 2027.
Non-Independent Non-Executive Chairman Datuk Chong Loong Men commented:
“This acquisition gives SCIB a practical platform to deepen our presence in Sabah. It combines immediate recurring rental income with future development potential, while the planned Sabah branch office will place our team closer to the projects and opportunities we are pursuing in the state.
We remain disciplined in how we deploy capital. The acquisition complements our construction and EPCC capabilities and gives us a sensible mix of income-producing assets, development potential and operational use as we build a broader business base in Sabah.”
SCIB has been progressively expanding its project and development pipeline in Sabah. Since April 2026, the Group has secured four project awards in the state with a combined value of approximately RM90.28 million, covering works for SMK Balaban Jaya in Beluran, Universiti Malaysia Sabah, Sekolah Kebangsaan Kaingaran in Tambunan and the student hostel block at Institut Pendidikan Guru Kampus Keningau.
On 19 August 2026, SCIBE also entered into a co-development agreement for a 144-unit high-rise residential project in Penampang, Sabah, with an estimated gross development value of approximately RM83.19 million. Together with the Kolombong acquisition, these initiatives broaden SCIB’s participation in Sabah while leveraging the Group’s existing construction capabilities.
The Lands are located in Kolombong, Kota Kinabalu, an established area with residential, commercial and light industrial activities supported by existing infrastructure and road connectivity. Moving forward, SCIB intends to optimise the development potential of Parcels B and C while maintaining disciplined project execution, cost management and funding practices as it strengthens its long-term presence across East Malaysia.
