MBM Resources Bhd, an automotive distributor, has set aside RM8 million to build an automotive village in Johor Baharu.
Managing Director Looi Kok Loon said the project was expected to begin in the near-term and scheduled to be completed in 12 months.
"Johor Baharu (project) will be our own auto village, hosting multiple automotive brands under our distribution network," he told reporters after the ground-breaking ceremony for MBM Resources' new headquarters building, Menara MBMR, here today.
Also present at the event was MBM Resources Chairman Datuk Abdul Rahim Abdul Halim.
He said the auto village would be the second one after the auto village in Glenmarie but would have bigger capacity and would host more brands compared to only two by the Glenmarie site.
He said the company was also eyeing properties in Penang and Perak to build similar auto villages.
MBM Resources currently distributes seven brands including Volvo and Volkswagon and the company is aiming to add two more passenger car brands by year end.
However, Looi did not reveal the name of the brands.
Meanwhile, for Menara MBMR, he said the project, apart from housing a Volvo showroom and MBMR corporate headquarters, would also be offering 135 units of office space with sizes ranging from 1,060 to 3,836 square feet to buyers.
With a gross development value of RM240 million, the project is expected to be completed in the third quarter of 2014.
Looi said the 24-storey freehold property has already been certified as Grade A office building by the Green Building Index and was targeted at small and medium corporates.
The building, which is aiming for Multimedia Super Corridor-status, would also have a full-fledged serviced office to cater to automotive-related information and communication technologies start-ups that it plans to nurture.
Sitting on a 1.2-acre site next to Mid Valley City, the project will be developed by MBM Resources' subsidiary, Inai Benua Sdn Bhd, in partnership with Teknikhas Sdn Bhd and Meridian Residence Sdn Bhd.