Cashflow Option1

PARTICULAR INFORMATION OF PROPOSED DEVELOPMENT
Lot : 948
Mukim : BESERAH
District : KUANTAN
State : PAHANG DARUL MAKMUR
Project type : RESORTS
No. Of Star : 3
Land area : 1.90 Hectares
4.70 Acres
204,732 sq.ft
Development period : 2 years

Development pattern : Built - Operate - Sell
Land value : RM8.00 psf
: RM1,637,856
All Risk Yield : 9%
Borrowing Rate : 8%
PROPOSED DEVELOPMENT
Types Of Room No. Of Rooms Size (sq.ft) Total
1.0 Deluxe 90 540 48,600
2.0 Chalet 40 364 14,560
TOTAL 130
Others No. of Unit Size (sq.ft)

Restaurant 1 3,000 3,000
Swimming Pool 1 2,690 2,690
Parking Bay 100 128 12,800
Multi Purpose Hall 1 32,000 32,000
Growth, IRF Yield, & 3 YP
k : All Risk Yield = 8.00%
e (f/h) : Equated Yield (freehold) = 10%
e (l/h) : Equated Yield (leasehold) = 12%
t : Rent Review Pattern = 3 years
xt = 88 years
r : Rent Review Pattern = 20 years
g : Growth = 2.1597%
Outgoings = 16% p.a
SC = RM 0.32 p.m / p.s.ft
IRFY = 7.67%
GROWTH
IRRG = YP perp @ k - YP t yrs @ e

YP perp @ k x PV t yrs @ e
= 12.5 - 2.4869
12.5 x 0.7513
= 10.0131
9.39
= 1.07
g = 2.1597% 2.16%
IRFY
= ( 1 + e(l/h)) -1
1+g
= 110% -1
102.16%
IRFY = 7.67%
3YP
= YP For (t) yrs @Xe (l/h) YP For (xt-r) yrs @ IRFY
YP For (t) yrs @ IRFY
YP For 3 yrs @ 11%

X YP For 68 yrs @ 9.63%
YP For 3 yrs @ 9.63%
= 2.4018 X 12.9447
2.5923
3YP = 11.9936
A. GROSS DEVELOPMENT VALUE
TYPE OF ROOM TOTAL UNIT ROOM RATE

ROOM PER DAY
(RM)
1.0 Deluxe
1.1 Weekdays 90 rooms RM140
1.2 Weekends 90 rooms RM160
1.3 Public Holidays 90 rooms RM160
2.0 Chalet
2.1 Weekdays 40 rooms RM120
2.2 Weekends 40 rooms RM140
2.3 Public Holidays 40 rooms RM140
Average occ. Rate
GROSS INCOME FROM ROOM
plus: OTHER INCOME
a) Restaurant 40% from RM5,014,540

less Purchasing Cost of Sale ( F&B ) 30% from RM2,005,816
b) Multi Purpose Hall 1 unit RM500

c) Pub and Lounge 1 unit RM2,000
d) Function 1 unit RM1,500
e) Souvenir and gift shop 1 unit RM1,500
OTHER GROSS INCOME FROM RESORT
less: OPERATING EXPENSES
a) Salary
1. General Manager 1 person RM7,000
2. Assistance General Manager 2 persons RM3,500
3. Administration 3 persons RM1,300
4. Cleaner & Housekeeping 10 persons RM1,000
5. Driver 1 persons RM1,300
6. Security 4 persons RM800
7. Gardener 3 persons RM700
8. Valet 2 persons RM800
b) income tax 3% of salary
c) EPF & SOCSO 11% of salary
d) Stationery RM700
e) Utility bills RM60,000
f) Promotion & Marketing
g) Transportation & Uniform
h) Room Up-keep
i) Insurance
j) Interest (on working capital)
k) Repairs and renewal

Pillows and mattress
Furniture
Bed Sheets
Electrical items
l) Laundry
TOTAL OPERATING EXPENSES
DIVISIBLE BALANCE
less: OPERATOR'S SHARE 40%
GROSS RENT
less: OUTGOINGS
a) Insurance
b) Maintenance
c) Quit Rent
d) Management
TOTAL NET RENT
YP in perp 9%
GROSS DEVELOPMENT VALUE

B. DEVELOPMENT COST
TYPE OF DEVELOPMENT COST QUANTITY UNIT COST

PERUNIT
1.0 PRELIMINARIES 4.7 acre RM10,000
2.0 SITE PREPARATION

2.1 Site Inspection 4.7 acre RM15,000
2.2 Site Clearance 4.7 acre RM10,000
2.3 Earthwork 4.7 acre RM20,000
3.0 INFRASTRUCTURE
3.1 Road and drainage
3.2 Sewerage
3.3 Electrical Supply
3.4 Water Supply
3.5 Telecommunication 130 unit RM200
3.6 Swimming Pool 2,690 sq.ft RM50
3.7 Sports Facilities
3.8 Parking Bay 12,800 sq.ft RM15
3.9 Lift 2 unit RM150,000
3.10 Contribution to relevant authorities
4.0 BUILDING COST

4.1 Main Building 59,400 sq.ft RM90
4.2 Chalet 14,560 sq.ft RM70
4.5 Restaurant 3,000 sq.ft RM70
4.6 Multi Purpose Hall 32,000 sq.ft RM50
4.7 Pub & Lounge 2,000 sq.ft RM60
Total building construction cost
5.0 LANDSCAPING 4.7 acre RM20,000
6.0 PROFESSIONAL FEES

5.1 Building Works 8% of 4.0 RM8,295,200
5.2 Infrastructure Works 6% of 3.0 RM1,002,500
7.0 PROJECT MANAGEMENT COST 24 months RM12,000
8.0 MARKETING & ADVERTISING 2% of RM23,548,122
9.0 FURNITURE
9.1 Room
a. Deluxe 90 rooms RM20,000
b. Chalet 40 rooms RM10,000
9.2 Main Lobby
9.3 Restaurant
9.4 Kitchen facilities
9.5 Pub & Lounge
10.0 INTEREST ON FINANCE

10.1 Project Financing 8% of RM12,575,466
1 year
11.0 CONTINGENCIES 5% of RM14,792,881
12.0 LAND COST

12.1 Land cost 204,732 sq.f RM8
12.2 Acquisition cost 5% of RM1,637,856
12.3 Holding cost for 2 years 8% of RM1,719,749
TOTAL DEVELOPMENT COST
ANALYSIS OF PROFIT PERCENTAGE
GROSS DEVELOPMENT VALUE RM23,548,122

less
TOTAL DEVELPOPMENT COST RM17,344,525
DEVELOPER'S PROFIT RM6,203,598
PROFIT % AS PER GDV = Total Profit

Gross Development Value
= 26%
PROFIT % AS PER TDC = Total Profit

Total Development Cost
= 36%
OCCUPANCY TOTAL DAYS GROSS
RATE PER YEAR DEVELOPMENT
VALUE
65% 234 RM1,916,460

90% 121 RM1,568,160
95% 10 RM136,800
83%
65% 234 RM730,080

90% 121 RM609,840
95% 10 RM53,200
83%
83%
RM5,014,540
RM1,404,071
60% 365 RM109,500

35% 365 RM255,500
35% 365 RM191,625
per month 12 RM18,000
RM6,993,236
x 12 months RM84,000
RM433,200 RM433,200
RM12,996 RM12,996
RM47,652 RM47,652
x 12 months RM8,400 RM8,400
x 12 months RM720,000 RM720,000
RM240,000 RM240,000
RM200,000 RM200,000
RM280,000 RM280,000
RM200,000 RM200,000
RM250,000 RM250,000
RM50,000
RM90,000
RM60,000
RM100,000
RM300,000
RM110,000 RM110,000
RM2,802,248
RM4,190,988
from divisible balance RM1,676,395
RM2,514,593
RM62,865
RM251,459
RM5,500
RM75,438
RM395,262
RM2,119,331
11.11
RM23,548,122
DEVELOPMENT TOTAL DEVELOPMENT
COST COST
RM47,000 RM47,000
RM70,500
RM47,000
RM94,000 RM211,500
RM50,000
RM100,000
RM50,000
RM50,000
RM26,000
RM134,500
RM50,000
RM192,000
RM300,000
RM50,000 RM1,002,500
RM5,346,000
RM1,019,200
RM210,000
RM1,600,000
RM120,000
RM8,295,200
RM94,000 RM94,000
RM663,616
RM60,150 RM723,766
RM288,000 RM288,000
RM470,962 RM470,962
RM1,800,000
RM400,000
RM70,000
RM65,000
RM75,000
RM50,000
RM2,460,000
RM1,006,037 RM1,006,037
RM739,644 RM739,644
RM1,637,856
RM81,893
RM286,166 RM2,005,915
RM17,344,525
NTAGE
Total Profit
oss Development Value
26% [15% - 25%]
Total Profit
otal Development Cost
36% [20% - 50%]

TYPE OF ROOM TOTAL UNIT ROOM RATE OCCUPANCY

ROOM PER DAY RATE
(RM)
1.0 Deluxe
1.1 Weekdays 90 rooms RM140 65%
1.2 Weekends 90 rooms RM160 90%
1.3 Public Holidays 90 rooms RM160 95%
83%
2.0 Chalet
2.1 Weekdays 40 rooms RM120 65%
2.2 Weekends 40 rooms RM140 90%
2.3 Public Holidays 40 rooms RM140 95%
83%
Average occ. Rate 83%
plus: OTHER INCOME
a) Food & Beverages 40% from RM5,014,540

less Purchasing Cost of Sale ( F&B ) 30% from RM2,005,816
b) Multi Purpose Hall 1 unit RM500 60%

c) Pub and Lounge 1 unit RM2,000 35%
d) Funtion 1 unit RM1,500 35%
e) Souvenir and gift shop 1 unit RM1,500 per month
GROSS INCOME FROM RESORT
a) Salary
1. General Manager 1 person RM7,000 x 12 months
2. Assistance Genaral Manager 2 persons RM3,500 x 12 months
3. Administration 3 persons RM1,300 x 12 months
4. Cleaner & Housekeeping 10 persons RM1,000 x 12 months
5. Driver 1 persons RM1,300 x 12 months
6. Security 4 persons RM800 x 12 months
7. Gardener 3 persons RM700 x 12 months
8. Valet 2 persons RM800 x 12 months
b) Income tax 3% of salary

d) Stationery RM700 x 12 months
e) Utility bills RM60,000 x 12 months
h) Room Up-keep
i) Insurance

Furniture
Bed Sheets
Electrical items
l) Laundry
DIVISIBLE BALANCE
less: OPERATOR'S SHARE 40% from divisible balance
GROSS RENT
less: OUTGOINGS
a) Insurance
b) Maintenance
c) Quit Rent
d) Management
TOTAL NET RENT
YP in perp 9%
B. DEVELOPMENT COST
TYPE OF DEVELOPMENT COST QUANTITY UNIT COST DEVELOPMENT
PERUNIT COST
1.0 PRELIMINARIES 4.7 acre RM10,000 RM47,000

2.1 Site Inspection 4.7 acre RM15,000 RM70,500
2.2 Site Clearance 4.7 acre RM10,000 RM47,000
2.3 Earthwork 4.7 acre RM20,000 RM94,000
3.0 INFRASTRUCTURE
3.1 Road and drainage RM50,000
3.2 Sewerage RM100,000
3.3 Electrical Supply RM50,000
3.4 Water Supply RM50,000
3.5 Telecommunication 130 unit RM200 RM26,000
3.6 Swimming Pool 2,690 sq.ft RM50 RM134,500
3.7 Sports RM50,000
3.8 Parking Bay 12,800 sq.ft RM15 RM192,000
3.9 Lift 2 unit RM150,000 RM300,000
3.10 Contribution to relevant authorities RM50,000
4.0 BUILDING COST

4.1 Main Building 59,400 sq.ft RM90 RM5,346,000
4.2 Chalet 14,560 sq.ft RM70 RM1,019,200
4.5 Restaurant 3,000 sq.ft RM70 RM210,000
4.6 Multi Purpose Hall 32,000 sq.ft RM50 RM1,600,000
4.7 Pub & Lounge 2,000 sq.ft RM60 RM120,000
Total building construction cost
5.0 LANDSCAPING 4.7 acre RM20,000 RM94,000

5.1 Building Works 8% of 4.0 RM8,295,200 RM663,616
5.2 Infrastructure Works 6% of 3.0 RM1,002,500 RM60,150
7.0 PROJECT MANAGEMENT COST 24 months RM12,000 RM288,000
8.0 MARKETING & ADVERTISING 2% of RM23,548,122 RM470,962
9.0 FURNITURE
9.1 Room
a. Deluxe 90 rooms RM20,000 RM1,800,000
b. Chalet 40 rooms RM10,000 RM400,000
9.2 Main Lobby RM70,000
9.3 Restaurant RM65,000
9.4 Kitchen facilities RM75,000
9.5 Pub & Lounge RM50,000

10.1 Project Financing 8% of RM12,575,466 RM1,006,037
1 year
11.0 CONTINGENCIES 5% % of RM14,792,881 RM739,644
12.0 LAND COST

12.1 Land cost 204,732 sq.f RM8 RM1,637,856
12.2 Acquisition cost 5% of RM1,637,856 RM81,893
12.3 Holding cost for 2 years 8% of RM1,719,749 RM286,166
SITE VALUE FOR LOT NO 948 PANTAI BALOK
GROSS DEVELOPMENT VALUE RM23,548,122

less
TOTAL DEVELPOPMENT COST RM17,344,525
RESIDUAL RM6,203,598
PV FOR RM 1 FOR 2 YEARS 9% per annum 0.8417
Site Value = RM5,221,444
= RM26 P.SF
TOTAL DAYS GROSS
PER YEAR DEVELOPMENT
VALUE
234 RM1,916,460
121 RM1,568,160
10 RM136,800
234 RM730,080
121 RM609,840
10 RM53,200
RM5,014,540
RM1,404,071
365 RM109,500
365 RM255,500
365 RM191,625
12 RM18,000
RM6,993,236
RM84,000
RM84,000
RM46,800
RM120,000
RM15,600
RM38,400
RM25,200
RM19,200
RM433,200 RM433,200
RM12,996 RM12,996
RM47,652 RM47,652
RM8,400 RM8,400
RM720,000 RM720,000
RM240,000 RM240,000
RM200,000 RM200,000
RM280,000 RM280,000
RM200,000 RM200,000
RM250,000 RM250,000
RM50,000
RM90,000
RM60,000
RM100,000
RM300,000
RM110,000 RM110,000
RM2,802,248
RM4,190,988
e balance RM1,676,395
RM2,514,593
RM62,865
RM251,459
RM5,500
RM75,438
RM395,262
RM2,119,331
11.11
RM23,548,122
TOTAL DEVELOPMENT
COST
RM47,000
RM211,500
RM1,002,500
RM8,295,200
RM94,000
RM723,766
RM288,000
RM470,962
RM2,460,000
RM1,006,037
RM739,644
RM2,005,915
RM17,344,525
PERIOD BY PERIOD CASHFLOW APPROACH
PARTICULARS DISCOUNTED CASHFLOW FOR THE PROPOSED RESORT DEVELOPM

FIRST YEAR
1st Quarter 2nd Quarter 3rd Quarter 4th Quarter
INCOME GROWTH
NET INCOME - - - -
DISPOSAL/TERMINAL VALUE
TOTAL INFLOW 0 0 0 0
DEVELOPMENT COST
1.0) Preliminaries 23,500 23,500 - -
2.0) Site Preparation 105,750 105,750 - -
3.0) Infrastructure 125,313 125,313 125,313 125,313
4.0) Building Cost - - 1,382,533 1,382,533
5.0) Landscaping - - - -
6.0) Professional fees 90,471 90,471 90,471 90,471
7.0) Project Management fee 36,000 36,000 36,000 36,000
8.0) Marketing & Advertising 58,870 58,870 58,870 58,870
9.0) Furniture - - - -
10.0) Contingencies 92,456 92,456 92,456 92,456
11.0) Land cost 5,221,444 - - -
TOTAL OUTFLOW 5,753,803 532,359 1,785,642 1,785,642
NET CASHFLOW (5,753,803) (532,359) (1,785,642) (1,785,642)
CAPITAL OUTSTANDING FROM PREVIOUS PERIOD 0 (5,753,803) (6,397,939) (8,307,871)
COST OF FUNDING/FINANCE 8% per annum

1.9427% per quarter 0 (111,777) (124,290) (161,393)
CAPITAL OUTSTANDING / SURPLUS (5,753,803) (6,397,939) (8,307,871) ###
DEVELOPER'S PROFIT AS AT THE END OF INVESTMENT PERIOD

GDV 128%
TDC 173%
PROPOSED RESORT DEVELOPMENT IN PANTAI BALOK
SECOND YEAR 2 3 4 5 6
1st Quarter 2nd Quarter 3rd Quarter 4th Quarter 2009 2010 2011 2012 2013
0% 0% 0% 10% 10%
- - - - 2,119,331 2,119,331 2,119,331 2,331,264 2,331,264
0 0 0 0 2,119,331 2,119,331 2,119,331 2,331,264 2,331,264
- - - -
- - - -
125,313 125,313 125,313 125,313
1,382,533 1,382,533 1,382,533 1,382,533
- - 47,000 47,000
90,471 90,471 90,471 90,471
36,000 36,000 36,000 36,000
58,870 58,870 58,870 58,870
- - 1,230,000 1,230,000
92,456 92,456 92,456 92,456
- - - -
1,785,642 1,785,642 3,062,642 3,062,642 - - - - -
(1,785,642) (1,785,642) ### (3,062,642) 2,119,331 2,119,331 2,119,331 2,331,264 2,331,264
### ### ### ### ### ### ### ### ###
(1,680,601) (1,645,503) (1,607,597) (1,566,658) (1,505,490)

(199,217) (237,776) (277,084) (341,964)
### ### ### ### ### ### ### ### ###

7 8 9 10 11 12 13 14 15
2014 2015 2016 2017 2018 2019 2020 2021 2022
10% 20% 20% 20% 30% 30% 30% 40% 40%
2,331,264 2,543,197 2,543,197 2,543,197 2,755,130 2,755,130 2,755,130 2,967,063 2,967,063
32,967,371
2,331,264 2,543,197 2,543,197 2,543,197 2,755,130 2,755,130 2,755,130 2,967,063 35,934,435
- - - - - - - - -
2,331,264 2,543,197 2,543,197 2,543,197 2,755,130 2,755,130 2,755,130 2,967,063 35,934,435
### ### ### ### ### ### (9,766,249) (7,792,419) (5,448,749)
(1,439,428) (1,368,081) (1,274,071) (1,172,541) (1,062,889) (927,510) (781,300) (623,394) (435,900)
### ### ### ### ### (9,766,249) (7,792,419) (5,448,749) 30,049,786
30,049,786
DISCOUNTED CASHFLOW APPROACH
PARTICULARS D
FIRST YEAR
1st Quarter 2nd Quarter 3rd Quarter 4th Quarter
INCOME GROWTH
NET INCOME - - - -
TERMINAL/DISPOSAL VALUE
TOTAL INFLOW 0 0 0 0
DEVELOPMENT COST
1.0) Preliminaries 23,500 23,500 - -
2.0) Site Preparation 105,750 105,750 - -
3.0) Infrastructure 125,313 125,313 125,313 125,313
4.0) Building Cost - - 1,382,533 1,382,533
5.0) Landscaping - - - -
6.0) Professional fees 90,471 90,471 90,471 90,471
7.0) Project Management fee 36,000 36,000 36,000 36,000
8.0) Marketing & Advertising 58,870 58,870 58,870 58,870
9.0) Furniture - - - -
10.0) Contingencies 92,456 92,456 92,456 92,456
11.0) Land cost 5,221,444 - - -
TOTAL OUTFLOW 5,753,803 532,359 1,785,642 1,785,642
NET CASHFLOW (5,753,803) (532,359) (1,785,642) (1,785,642)
Discount Factor 8% p.annum 1.0000 0.9809 0.9623 0.9439

1.9427% p.quarter
PRESENT VALUE (5,753,803) (522,214) (1,718,235) (1,685,492)
NET PRESENT VALUE
INTERNAL RATE OF RETURN
PV FACTOR @ R1 13% p.a 1.0000 0.9699 0.9407 0.9124

3.10% p.quater
NET PRESENT VALUE (NPV1) (5,753,803) (516,339) (1,679,791) (1,629,242)

NET PRESENT VALUE : 840,245
PV FACTOR @ R2 14% p.a 1.0000 0.9678 0.9366 0.9064

3.33% p.quater
NET PRESENT VALUE (NPV2) (5,753,803) (515,203) (1,672,407) (1,618,512)
NET PRESENT VALUE : (479,646)
IRR
IRR = R1 + [ R2-R1 ] X NPV1

[ NPV2 + NPV1 ]
= 13% + 1% X 840,245
1,319,891
= 13.6366%
D
SECOND YEAR 2 3 4 5
1st Quarter 2nd Quarter 3rd Quarter 4th Quarter 2009 2010 2011 2012
0% 0% 0% 10%
- - - - 2,119,331 2,119,331 2,119,331 2,331,264
0 0 0 0 2,119,331 2,119,331 2,119,331 2,331,264
- - - -
- - - -
125,313 125,313 125,313 125,313
1,382,533 1,382,533 1,382,533 1,382,533
- - 47,000 47,000
90,471 90,471 90,471 90,471
36,000 36,000 36,000 36,000
58,870 58,870 58,870 58,870
- - 1,230,000 1,230,000
92,456 92,456 92,456 92,456
- - - -
1,785,642 1,785,642 3,062,642 3,062,642 - - - -
(1,785,642) (1,785,642) (3,062,642) (3,062,642) 2,119,331 2,119,331 2,119,331 2,331,264
0.9259 0.9083 0.8910 0.8740 0.8573 0.7938 0.7350 0.6806
(1,653,373) (1,621,865) (2,728,731) (2,676,731) 1,816,985 1,682,393 1,557,772 1,586,619
0.8850 0.8583 0.8325 0.8074 0.7831 0.6931 0.6133 0.5428
(1,580,215) (1,532,662) (2,549,639) (2,472,914) 1,659,747 1,468,803 1,299,825 1,265,317

0.8772 0.8489 0.8216 0.7951 0.7695 0.6750 0.5921 0.5194
(1,566,353) (1,515,875) (2,516,164) (2,435,078) 1,630,756 1,430,488 1,254,814 1,210,786

6 7 8 9 10 11 12 13
2013 2014 2015 2016 2017 2018 2019 2020
10% 10% 20% 20% 20% 30% 30% 30%
2,331,264 2,331,264 2,543,197 2,543,197 2,543,197 2,755,130 2,755,130 2,755,130
2,331,264 2,331,264 2,543,197 2,543,197 2,543,197 2,755,130 2,755,130 2,755,130
- - - - - - - -
2,331,264 2,331,264 2,543,197 2,543,197 2,543,197 2,755,130 2,755,130 2,755,130
0.6302 0.5835 0.5403 0.5002 0.4632 0.4289 0.3971 0.3677
1,469,092 1,360,270 1,374,010 1,272,232 1,177,992 1,181,628 1,094,100 1,013,056
0.4803 0.4251 0.3762 0.3329 0.2946 0.2607 0.2307 0.2042
1,119,749 990,929 956,649 846,592 749,196 718,256 635,625 562,500

0.4556 0.3996 0.3506 0.3075 0.2697 0.2366 0.2076 0.1821
1,062,093 931,660 891,541 782,053 686,012 651,912 571,852 501,625

14 15
2021 2022
40% 40%
2,967,063 2,967,063
###
2,967,063 35,934,435
- -
2,967,063 35,934,435
0.3405 0.3152
1,010,170 11,328,032
11,328,032
0.1807 0.1599
536,079 5,745,584
0.1597 0.1401
473,870 5,034,288
DISCOUNTED CASHFLOW APPROACH
CASH INFLOW
RENTAL INCOME Year
NLA Rental Rate 2006
Year psf. 0
Rental Growth 0%
2-Storey office podium

Ground Floor 5,022 sq ft. 3.50 210,924
First Floor 6,997 sq ft. 2.60 218,306
13-Storey Office Building

Ground Floor 7,000 sq ft. 3.00 252,000
First Floor 7,683 sq ft. 2.60 239,710
Second Floor 8,185 sq ft. 2.60 255,372
Third - 11th Floor 75,321 sq ft. 2.60 2,350,015
12th Floor 8,369 sq ft. 2.80 281,198
Carpark 256 bay 105.00 322,560

385 bay 70.00 323,400
NET LETTABLE AREA 118,577

TOTAL RENTAL -
less:
VOID ALLOWANCE
-
TOTAL INFLOW -
CASH OUTFLOW
CAPITAL OUTLAY 30,000,000
SERVICE CHARGE 0.32 psf
GROSS RENT
OUTGOINGS 16% -
Disposal/Terminal Value
NET CASHFLOW (30,000,000)
CAPITAL OUTSTANDING FROM PREVIOUS PERIOD 0
COST OF FUNDING/FINANCE 8.75% 0
CAPITAL OUTSTANDING / SURPLUS (30,000,000)
PV FACTOR 8.75% 1.0000

NET PRESENT VALUE (30,000,000)
IRR <RI>
Net Cashflow (30,000,000)
discounted rate 11.00%
Discounted cashflow (30,000,000)
Net Present value 3,097,085

IRR <R2>
Net Cashflow (30,000,000)
Discounted Rrate 12.00%
Discounted cashflow (30,000,000)
Net Present value 264,330
IRFY = R1 + R2
= 11.00 + 12.00
= 11 + 1.0000
= 11 + 1
= 11 + 1.0933121
= 12.0933 %(Formula) 12.1009%

2007 2008 2009 2010 2011 2012
1 2 3 4 5 6
0% 0% 0% 6.62% 0% 0%
210,924 210,924 210,924 224,887 224,887 224,887

218,306 218,306 218,306 232,758 232,758 232,758
252,000 252,000 252,000 268,682 268,682 268,682

239,710 239,710 239,710 255,578 255,578 255,578
255,372 255,372 255,372 272,278 272,278 272,278
2,350,015 2,350,015 2,350,015 2,505,586 2,505,586 2,505,586
281,198 281,198 281,198 299,814 299,814 299,814
322,560 322,560 322,560 343,913 343,913 343,913

323,400 323,400 323,400 344,809 344,809 344,809
4,453,486 4,453,486 4,453,486 4,748,306 4,748,306 4,748,306
5% 5% 5% 6% 6% 6%
190,376 190,376 190,376 243,575 243,575 243,575
4,263,109 4,263,109 4,263,109 4,504,731 4,504,731 4,504,731
0 0 0 0 1,500,000 0
455,336 455,336 455,336 500,869 500,869 500,869
3,807,774 3,807,774 3,807,774 4,003,862 4,003,862 4,003,862
609,244 609,244 609,244 640,618 640,618 640,618
3,198,530 3,198,530 3,198,530 3,363,244 1,863,244 3,363,244
(30,000,000) (29,426,470) (28,802,756) (28,124,468) (27,222,115) (27,740,805)
(2,625,000) (2,574,816) (2,520,241) (2,460,891) (2,381,935) (2,427,320)
(29,426,470) (28,802,756) (28,124,468) (27,222,115) (27,740,805) (26,804,882)
0.9195 0.8456 0.7775 0.7150 0.6574 0.6045

2,941,177 2,704,530 2,486,925 2,404,592 1,224,964 2,033,213
3,198,530 3,198,530 3,198,530 3,363,244 1,863,244 3,363,244
0.9009 0.8116 0.7312 0.6587 0.5935 0.5346
2,881,558 2,595,999 2,338,737 2,215,473 1,105,745 1,798,128
3,198,530 3,198,530 3,198,530 3,363,244 1,863,244 3,363,244
0.8929 0.7972 0.7118 0.6355 0.5674 0.5066
2,855,830 2,549,848 2,276,650 2,137,402 1,057,255 1,703,924
- R1 x NPVR1
NPVR2 + NPVR1
- 11.00 x 3,097,085
264,330 + 3,097,085
x 3,097,085
2,832,755
x 1.0933
(using function)
2013 2014 2015 2016 2017 2018
7 8 9 10 11 12
6.62% 0% 0% 6.62% 0% 0%
239,775 239,775 239,775 255,648 255,648 255,648

248,167 248,167 248,167 264,596 264,596 264,596
286,469 286,469 286,469 305,433 305,433 305,433

272,498 272,498 272,498 290,537 290,537 290,537
290,302 290,302 290,302 309,520 309,520 309,520
2,671,456 2,671,456 2,671,456 2,848,306 2,848,306 2,848,306
319,661 319,661 319,661 340,823 340,823 340,823
366,681 366,681 366,681 390,955 390,955 390,955

367,635 367,635 367,635 391,973 391,973 391,973
5,062,644 5,062,644 5,062,644 5,397,791 5,397,791 5,397,791
6% 6% 6% 7% 7% 7%
259,700 259,700 259,700 323,040 323,040 323,040
4,802,945 4,802,945 4,802,945 5,074,751 5,074,751 5,074,751
0 0 0 1,500,000 0 0
546,403 546,403 546,403 591,936 591,936 591,936
4,256,542 4,256,542 4,256,542 4,482,814 4,482,814 4,482,814
681,047 681,047 681,047 717,250 717,250 717,250
3,575,495 3,575,495 3,575,495 2,265,564 3,765,564 3,765,564
(26,804,882) (25,574,814) (24,237,115) (22,782,368) (22,510,261) (20,714,344)
(2,345,427) (2,237,796) (2,120,748) (1,993,457) (1,969,648) (1,812,505)
(25,574,814) (24,237,115) (22,782,368) (22,510,261) (20,714,344) (18,761,285)
0.5559 0.5112 0.4700 0.4322 0.3974 0.3655

1,987,611 1,827,688 1,680,633 979,228 1,496,608 1,376,191
3,575,495 3,575,495 3,575,495 2,265,564 3,765,564 3,765,564
0.4817 0.4339 0.3909 0.3522 0.3173 0.2858
1,722,167 1,551,502 1,397,750 797,897 1,194,751 1,076,352
3,575,495 3,575,495 3,575,495 2,265,564 3,765,564 3,765,564
0.4523 0.4039 0.3606 0.3220 0.2875 0.2567
1,617,372 1,444,082 1,289,359 729,451 1,082,510 966,527

2019 2020 2021 2022 2023 2024
13 14 15 16 17 18
6.62% 0% 0% 6.62% 0% 0%
272,572 272,572 272,572 290,616 290,616 290,616

282,112 282,112 282,112 300,788 300,788 300,788
325,653 325,653 325,653 347,211 347,211 347,211

309,771 309,771 309,771 330,277 330,277 330,277
330,011 330,011 330,011 351,857 351,857 351,857
3,036,864 3,036,864 3,036,864 3,237,905 3,237,905 3,237,905
363,385 363,385 363,385 387,442 387,442 387,442
416,836 416,836 416,836 444,431 444,431 444,431

417,922 417,922 417,922 445,588 445,588 445,588
5,755,125 5,755,125 5,755,125 6,136,114 6,136,114 6,136,114
8% 8% 8% 8% 8% 8%
393,629 393,629 393,629 419,688 419,688 419,688
5,361,496 5,361,496 5,361,496 5,716,427 5,716,427 5,716,427
0 0 1,500,000 0 0 0
637,470 637,470 637,470 683,004 683,004 683,004
4,724,026 4,724,026 4,724,026 5,033,423 5,033,423 5,033,423
755,844 755,844 755,844 805,348 805,348 805,348
3,968,182 3,968,182 2,468,182 4,228,075 4,228,075 4,228,075
(18,761,285) (16,434,716) (13,904,572) (12,653,041) (9,532,106) (6,138,090)
(1,641,612) (1,438,038) (1,216,650) (1,107,141) (834,059) (537,083)
(16,434,716) (13,904,572) (12,653,041) (9,532,106) (6,138,090) (2,447,098)
0.3361 0.3090 0.2842 0.2613 0.2403 0.2209

1,333,555 1,226,258 701,355 1,104,777 1,015,887 934,149
3,968,182 3,968,182 2,468,182 4,228,075 4,228,075 4,228,075
0.2575 0.2320 0.2090 0.1883 0.1696 0.1528
1,021,863 920,598 515,861 796,114 717,219 646,144
3,968,182 3,968,182 2,468,182 4,228,075 4,228,075 4,228,075
0.2292 0.2046 0.1827 0.1631 0.1456 0.1300
909,405 811,969 450,928 689,691 615,795 549,817

2025 2026
19 20
6.62% 0%
309,855 309,855
320,700 320,700
370,197 370,197
352,142 352,142
375,150 375,150
3,452,254 3,452,254
413,090 413,090
473,852 473,852
475,086 475,086
6,542,325 6,542,325
9% 9%
503,405 503,405
6,038,920 6,038,920
0 0
728,537 728,537
5,310,383 5,310,383
849,661 849,661
53,499,939
4,460,722 57,960,661
(2,447,098) 1,799,503
(214,121) 157,457
1,799,503 59,917,621
0.2032 0.1868
906,252 10,827,994 NPV = 11,193,586.22
4,460,722 57,960,661
0.1377 0.1240
614,142 7,189,087
4,460,722 57,960,661
0.1161 0.1037
517,920 6,008,594
SENSITIVITY ANALYSIS
Change in variable Change in profit SENSITIVITY

RM % RM % INDEX
GDV
181,447,319 -10% 27,578,599 41% 4.11
base 201,608,132 46,787,376
221,768,945 10% 67,053,471 -43% 4.33
TDC
138,852,681 -10% 62,215,451 -33% -3.30
base 154,280,757 46,787,376
169,708,833 10% 31,359,299 33% -3.30
LANDSCAPING
COST
30,000 40% 46,848,276 -0.130% -0.0033
base 50,000 46,787,376
70,000 -40% 46,726,476 0.1302% -0.0033
OPERATOR'S
SHARE
35% 13% 63,733,713 -36% -2.90
base 40% 46,787,376
45% -13% 29,841,038 36% -2.90
FINANCE RATE
9% 10% 48,240,518 -3% -0.31
base 10% 46,787,376
11% -10% 45,325,320 3% -0.31
LAND VALUE
250 22% 58,583,732 -25% -1.15
base 320 46,787,376
350 -9% 41,731,794 11% -1.15
SENSITIVITY
Sensitive
Sensitive
Not Sensitive
Sensitive
Not Sensitive
Sensitive
THE VIABILITY OF A 10 STOREYS HOTEL BUILDING AT PRECINT 2, PUTRAJAYA.

ROOM PER DAY RATE
(RM)
1.0 Presidential Suite

1.1 Weekdays 1 room $5,000 50%
1.2 Weekends 1 room $5,000 50%
1.3 Public Holidays 1 room $5,000 50%
50%
2.0 Executive Suite
2.1 Weekdays 20 rooms $1,500 55%
2.2 Weekends 20 rooms $1,500 60%
2.3 Public Holidays 20 rooms $1,500 65%
60%
3.0 Standard Deluxe
3.1 Weekdays 85 rooms $500 70%
3.2 Weekends 85 rooms $500 75%
3.3 Public Holidays 85 rooms $500 80%
75%
4.0 Standard
75%
plus: OTHER INCOME
a) Food & Beverages 50% from 24,212,250

less Cost of Sale ( F&B ) 30% from 12,106,125
b) Cocktail Lounge 1 area $3,000 60%

c) Ballroom 40 tables $800 60%
d) Conference Room 2 rooms $2,800 65%
e) Meeting Room 1 area $2,000 65%
e) Coffee House 1 unit $2,500 65%
f) Telephone and Telex $1,200
g) Pub and Snooker 1 unit $50,000 per month
h) Fitness Centre 1 unit $2,500 per month
i) Convention centre 1 room $3,500 60%
j) Health & Beauty Treatment 1 room $8,400 60%
k) Business Centre 2 rooms $1,500 65%
l) Laundry $2,000 40%
plus: OTHER RENTAL
a) Gift Shop 377 sq.f $15 psf per mth
c) Theme Restaurant 14,000 sq.f $15 psf per mth
d) Money Changer 377 sq.f $15 psf per mth
e) Car parking 300 bay $100 per bay per mth
f) Karaoke 11,786 sq.f $15 psf per mth
g) Travel Agent 377 sq.f $15 psf per mth
GROSS INCOME

a) Salary
1. General Manager 1 person $10,000 x 12 months
2. Assistance Genaral Manager 4 persons $5,000 x 12 months
3. Administration 10 persons $2,000 x 12 months
4.Cleaner & Housekeeping 30 persons $1,000 x 12 months
5. Driver 5 persons $1,500 x 12 months
6.Security 15 persons $1,000 x 12 months
7.Gardener 7 persons $800 x 12 months
8. Valet 8 persons $1,000 x 12 months
d) Stationery $500 x 12 months
e) Utility bills $100,000 x 12 months
h) Room Up-keep
i) Insurance

Furniture
Bed Sheets
Electrical items
l) Laundry
DIVISIBLE BALANCE
GROSS RENT
less: OUTGOINGS
a) Insurance
b) Maintenance
c) Quit Rent
d) Management
TOTAL NET RENT
YP in perp 10%
B. DEVELOPMENT COST

PERUNIT COST
1.0 PRELIMINARIES 2.9 acre $15,000 $43,500

2.1 Site Inspection/ Soil Investigation 2.9 acre $20,000 $58,000
2.2 Site Clearance 2.9 acre $10,000 $29,000
2.3 Earthwork 2.9 acre $20,000 $58,000
3.0 INFRASTRUCTURE $45,440,248

3.1 Road and drainage 1.5% $681,604 $650,000
3.2 Sewerage 2% 908,805 $200,000
3.3 Electrical Supply 2% $908,805 $200,000
3.4 Telecommunication 1.5% $681,604 $80,000
3.5 Water Supply 2% $908,805 $200,000
3.6 Contribution to relevant authorities $4,089,622 $1,000,000
4.0 BUILDING COST

4.1 Substructure 30,505 sq.m $165.90 $5,060,780
4.2 Superstructure
4.2.1 Frame 30,505 sq.m $203.15 $6,196,938
4.2.2 Upper Floor 30,505 sq.m $111.51 $3,401,613
4.2.3 Roof 30,505 sq.m $6.57 $200,418
4.2.4 Stairs 30,505 sq.m $6.57 $200,418
4.2.5 External Wall 30,505 sq.m $6.20 $188,978
4.2.6 Windows & External Doors 30,505 sq.m $7.41 $226,042
4.2.7 External Wall & Partition 30,505 sq.m $49.55 $1,511,370
4.2.8 Internal Door 30,505 sq.m $23.28 $710,156
4.3 Finishes
Internal Wall Finishes 30,505 sq.m $43.71 $1,333,374
Internal Floor Finishes 30,505 sq.m $32.97 $1,005,750
Internal Ceiling Finishes 30,505 sq.m $13.55 $413,190
External Finishes 30,505 sq.m $33.87 $1,033,204
4.4 Fittings & Furnishing 30,505 sq.m $5.07 $154,660
4.5 Services
4.51 Sanitary Appliances 30,505 sq.m $7.39 $225,432
Plumbing Installation 30,505 sq.m $1.85 $56,282
Air-Conditioning System 30,505 sq.m $210.89 $6,433,047
Electrical Installation 30,505 sq.m $167.90 $5,121,637
Fire Protection Installation 30,505 sq.m $52.56 $1,603,343
Lift & Conveyor Installation 30,505 sq.m $52.65 $1,606,088
Communication Installation 30,505 sq.m $42.33 $1,291,277
Other Installation 30,505 sq.m $244.76 $7,466,251
total building construction cost

5.1 Building Works 7 % of $45,440,248 $3,180,817
5.2 Infrastructure Works 5 % of $2,330,000 $116,500
6.0 PROJECT MANAGEMENT FEE 5 % of $45,440,248 $2,272,012
7.0 MARKETING & LAWYERS' FEE 2 % of $201,068,132 $4,021,363
8.0 LANDSCAPING 2.9 acre $50,000 $145,000

9.1 Project Financing 12 % of $45,440,248 $4,544,025
for 1 year
10.0 CONTINGENCIES 5 % of $146,603,625 $7,330,181
11.0 FURNITURE
( Caunter,chair, table, bedstead,
blanket, pillow,towel,rostrum,a/c,
catering,counter bar,vase,
cabinet, light,kitchen,laundry,
TV,refrigerator,etc.)
11.1 Room 196 units $170,000 $33,320,000
11.2 Main Lobby 250,000
11.3 Meeting Room 180,000
11.4 Coffee House 150,000
11.5 Kitchen facilities 200,000
11.6 Cocktail Lounge 150,000
11.7 Ballroom 200,000
12.0 LAND COST

12.1 Land Purchased 126,324 sq.f $300 $37,897,200
12.2 Acquisition cost 5% of $37,897,200 $1,894,860
12.3 Holding cost for 2 years 12% of $39,792,060 $10,123,100
GROSS DEVELOPMENT VALUE $201,068,132

less
TOTAL DEVELPOPMENT COST $156,693,429
DEVELOPER'S PROFIT 44,374,703
% on GDV = 22%
% on TDC = 28%
TOTAL DAYS GROSS
VALUE
234 $585,000
121 $302,500
10 $25,000
234 $3,861,000
121 $2,178,000
10 $195,000
234 $6,961,500
121 $3,856,875
10 $340,000
234 $3,685,500
121 $2,041,875
10 $180,000
24,212,250
$8,474,288
365 $657,000
365 $7,008,000
365 $1,328,600
365 $474,500
365 $593,125
365 $438,000
12 $600,000
12 $30,000
365 $766,500
365 $1,839,600
365 $711,750
365 $292,000
x 12 months $67,860
x 12 months $2,520,000
x 12 months $67,860
x 12 months $180,000
x 12 months $2,121,480
x 12 months $67,860
52,450,673
$120,000
$240,000
$240,000
$360,000
$90,000
$180,000
$67,200
96000
$1,393,200
$41,796
$153,252
$6,000
$1,200,000
$1,700,000
$800,000
$2,740,000
$230,000
$500,000
$101,600
$140,000
$99,000
$40,000
$300,000
$9,444,848
43,005,825
divisible balance $17,202,330
25,803,495
645,087
4,386,594
7,000
658,000 5,696,681
20,106,813
10.00
$201,068,132
TOTAL DEVELOPMENT
COST
$43,500
$145,000
$2,330,000 5,089,622
$45,440,248
$3,297,317
$2,272,012
$4,021,363
$145,000
$4,544,025
$7,330,181
$34,450,000
$49,915,160
$156,693,429
THE VIABILITY OF A 10 STOREYS HOTEL BUILDING AT PRECINT 2, PUTRAJAYA.

ROOM PER DAY RATE
(RM)
1.0 Presidential Suite

1.1 Weekdays 1 room $5,000 50%
1.2 Weekends 1 room $5,000 50%
1.3 Public Holidays 1 room $5,000 50%
50%
2.0 Executive Suite
2.1 Weekdays 20 rooms $1,500 55%
2.2 Weekends 20 rooms $1,500 60%
2.3 Public Holidays 20 rooms $1,500 65%
60%
3.0 Standard Deluxe
75%
4.0 Standard
75%
plus: OTHER INCOME
a) Food & Beverages 50% from 24,212,250

less Cost of Sale ( F&B ) 30% from 12,106,125
b) Cocktail Lounge 1 area $3,000 60%

c) Ballroom 40 tables $800 60%
d) Conference Room 2 rooms $2,800 65%
e) Meeting Room 1 area $2,000 65%
e) Coffee House 1 unit $2,500 65%
f) Telephone and Telex $1,200
g) Pub and Snooker 1 unit $50,000 per month
h) Fitness Centre 1 unit $2,500 per month
i) Convention centre 1 room $3,500 60%
j) Health & Beauty Treatment 1 room $8,400 60%
k) Business Centre 2 rooms $1,500 65%
l) Laundry $2,000 40%
plus: OTHER RENTAL
a) Gift Shop 377 sq.f $15 psf per mth
c) Theme Restaurant 14,000 sq.f $15 psf per mth
d) Money Changer 377 sq.f $15 psf per mth
e) Car parking 300 bay $100 per bay per mth
f) Karaoke 11,786 sq.f $15 psf per mth
g) Travel Agent 377 sq.f $15 psf per mth
GROSS INCOME

a) Salary
1. General Manager 1 person $10,000 x 12 months
2. Assistance Genaral Manager 4 persons $5,000 x 12 months
3. Administration 10 persons $2,000 x 12 months
4.Cleaner & Housekeeping 30 persons $1,000 x 12 months
5. Driver 5 persons $1,500 x 12 months
6.Security 15 persons $1,000 x 12 months
7.Gardener 7 persons $800 x 12 months
8. Valet 8 persons $1,000 x 12 months
d) Stationery $500 x 12 months
e) Utility bills $100,000 x 12 months
h) Room Up-keep
i) Insurance

Furniture
Bed Sheets
Electrical items
l) Laundry
DIVISIBLE BALANCE
GROSS RENT
less: OUTGOINGS
a) Insurance
b) Maintenance
c) Quit Rent
d) Management
TOTAL NET RENT
YP in perp 10%
B. DEVELOPMENT COST

PERUNIT COST
1.0 PRELIMINARIES 2.9 acre $13,000 $37,700

2.1 Site Inspection/ Soil Investigation 2.9 acre $20,000 $58,000
2.2 Site Clearance 2.9 acre $10,000 $29,000
2.3 Earthwork 2.9 acre $20,000 $58,000
3.0 INFRASTRUCTURE
3.1 Road and drainage $650,000
3.2 Sewerage $200,000
3.3 Electrical Supply $200,000
3.4 Telecommunication $80,000
3.5 Water Supply $200,000
3.6 Contribution to relevant authorities $1,000,000
4.0 BUILDING COST

4.1 Lounge 16,870 sq.f $250 $4,217,500
4.2 Rooms
4.2.1 Presidential Suite 8,240 sq.f $300 $2,472,000
4.2.2 Executive Suite 24,960 sq.f $250 $6,240,000
4.2.3 Standard Deluxe 45,730 sq.f $200 $9,146,000
4.2.4 Standard 38,790 sq.f $200 $7,758,000
4.3 Swimming pool 3,500 sq.f $50 $175,000
4.3.1 Jacuzzi 75 sq.f $50 $3,750
4.3.2 Wading pool 100 sq.f $50 $5,000
4.3.3 Sauna 150 sq.f $30 $4,500
4.4 Ballroom 10,440 sq.f $200 $2,088,000
4.5 Conference & Meeting Room 7,084 sq.f $180 $1,275,120
4.6 Restaurant 14,000 sq.f $150 $2,100,000
4.7 Business Centre 600 sq.f $70 $42,000
4.8 M & E Room 2,064 sq.f $50 $103,200
4.9 Backroom 9,494 sq.f $70 $664,580
4.10 Laundry Room 581 sq.f $70 $40,670
4.11 Beauty & Health Treatment 12,000 sq.f $180 $2,160,000
4.12 Squash Court 1,548 sq.f $70 $108,360
4.13 Tennis Court $6,000
4.14 Retail shop 1,131 sq.f $100 $113,100
4.15 Management Office 1,076 sq.f $70 $75,320
4.16 Fitness Centre 504 sq.f $85 $42,840
4.17 Pub, Snooker & Karaoke 13,240 sq.f $70 $926,800
4.18 Other cost 78,909 sq.f $85 $6,707,265
total building construction cost

5.1 Building Works 7 % of $46,475,005 $3,253,250
5.2 Infrastructure Works 5 % of $2,330,000 $116,500
6.0 PROJECT MANAGEMENT FEE 5 % of $46,475,005 $2,323,750
7.0 MARKETING & LAWYERS' FEE 2 % of $201,068,132 $4,021,363
8.0 LANDSCAPING 2.9 acre $50,000 $145,000

for 1 year
10.0 CONTINGENCIES 5 % of $142,868,713 $7,143,436
11.0 FURNITURE
( Caunter,chair, table, bedstead,
blanket, pillow,towel,rostrum,a/c,
catering,facilities,counter bar,vase,
cabinet, light,kitchen,laundry,
TV,refrigerator,etc.)
11.1 Room 196 units $170,000 $33,320,000
11.2 Main Lobby 250,000
11.3 Meeting Room 180,000
11.4 Coffee House 150,000
11.5 Kitchen facilities 200,000
11.6 Cocktail Lounge 150,000
11.7 Ballroom 200,000
12.0 LAND COST

12.1 Land Purchased 126,324 sq.f $270 $34,107,480
12.2 Acquisition cost 5% of $34,107,480 $1,705,374
12.3 Holding cost for 2 years 12% of $35,812,854 $9,110,790

less
DEVELOPER'S PROFIT 51,055,984
% on GDV = 25%
% on TDC = 34%
TOTAL DAYS GROSS
VALUE
234 $585,000
121 $302,500
10 $25,000
234 $3,861,000
121 $2,178,000
10 $195,000
234 $6,961,500
121 $3,856,875
10 $340,000
234 $3,685,500
121 $2,041,875
10 $180,000
24,212,250
$8,474,288
365 $657,000
365 $7,008,000
365 $1,328,600
365 $474,500
365 $593,125
365 $438,000
12 $600,000
12 $30,000
365 $766,500
365 $1,839,600
365 $711,750
365 $292,000
x 12 months $67,860
x 12 months $2,520,000
x 12 months $67,860
x 12 months $180,000
x 12 months $2,121,480
x 12 months $67,860
52,450,673
$120,000
$240,000
$240,000
$360,000
$90,000
$180,000
$67,200
96000
$1,393,200
$41,796
$153,252
$6,000
$1,200,000
$1,700,000
$800,000
$2,740,000
$230,000
$500,000
$101,600
$140,000
$99,000
$40,000
$300,000
$9,444,848
43,005,825
divisible balance $17,202,330
25,803,495
645,087
4,386,594
7,000
658,000 5,696,681
20,106,813
10.00
$201,068,132
TOTAL DEVELOPMENT
COST
$37,700
$145,000
$2,330,000
$46,475,005
$3,369,750
$2,323,750
$4,021,363
$145,000
$4,647,501
$7,143,436
$34,450,000
$44,923,644
$150,012,148
SENSIVITY ANALYSIS
GDV PROFIT SI
181,447,319 27,578,599 4.11
base 201,608,132 46,787,376
221,768,945 67,053,471 4.33
TDC PROFIT SI
138,852,681 62,215,451 -3.30
base 154,280,757 46,787,376
169,708,833 31,359,299 -3.30
FINANCE RATE PROFIT SI

9% 48,240,518 -0.31
base 10% 46,787,376
11% 45,325,320 -0.31
LAND VALUE PROFIT SI

250 58,583,732 -1.15
base 320 46,787,376
350 41,731,794 -1.15
OPERATOR'S SHARE PROFIT SI

35% 63,733,713 -2.90
base 40% 46,787,376
45% 29,841,038 -2.90
LANDSCAPING COST PROFIT SI

(per acre)
30,000 46,848,276 -0.0033
base 50,000 46,787,376
70,000 46,726,476 -0.0033
PERIOD BY PERIOD CASHFLOW APPROACH
PARTICULARS DISCOUNTED CASHFLOW FOR THE PRO

FIRST YEAR
1st Quarter 2nd Quarter 3rd Quarter
NO RENTAL GROWTH
net income - - -
TOTAL INFLOW 0 0 0
DEVELOPMENT COST
a) Preliminaries 23,500 23,500 -
b) Site Preparation 105,750 105,750 -
c) Infrastructure 125,313 125,313 125,313
d) Building Cost - - 1,382,533
e) Professional fees - - 120,628
f) Project Management fee - - 48,000
g) Marketing & lawyer fee 58,870 58,870 58,870
h) Furniture - - -
i) Contingencies 92,456 92,456 92,456
j) Landscaping - - -
k) Land cost 2,005,915 - -
TOTAL OUTFLOW 2,411,803 405,888 1,827,799
NET CASHFLOW (2,411,803) (405,888) (1,827,799)
CAPITAL OUTSTANDING FROM PREVIOUS PERIOD 0 (2,411,803) (2,819,621)
COST OF FUNDING/FINANCE 0% 0 (1,929) (2,256)
CAPITAL OUTSTANDING / SURPLUS (2,411,803) (2,819,621) (4,649,676)

SHFLOW FOR THE PROPOSED HOTEL DEVELOPMENT IN CYBERJAYA
R SECOND YEAR
4th Quarter 1st Quarter 2nd Quarter 3rd Quarter 4th Quarter
- - - - -
0 0 0 0 0
- - - - -
- - - - -
125,313 125,313 125,313 125,313 125,313
1,382,533 1,382,533 1,382,533 1,382,533 1,382,533
120,628 120,628 120,628 120,628 120,628
48,000 48,000 48,000 48,000 48,000
58,870 58,870 58,870 58,870 58,870
- - -
92,456 92,456 92,456 92,456 92,456
- - - 47,000 47,000
- - - - -
1,827,799 1,827,799 1,827,799 1,874,799 1,874,799
(1,827,799) (1,827,799) (1,827,799) (1,874,799) (1,874,799)
(4,649,676) (6,481,195) (8,314,179) (10,148,630) (12,031,548)
(3,720) (5,185) (6,651) (8,119) (9,625)
(6,481,195) (8,314,179) (10,148,630) (12,031,548) (13,915,973)

1 2 3 4 5 6
2007 2008 2009 2010 2011 2012
2,119,331 2,119,331 2,119,331 2,119,331 2,119,331 2,119,331

2,119,331 2,119,331 2,119,331 2,119,331 2,119,331 2,119,331
2,119,331 2,119,331 2,119,331 2,119,331 2,119,331 2,119,331
(13,915,973) (11,807,775) (9,697,890) (7,586,317) (5,473,055) (3,358,103)
(11,133) (9,446) (7,758) (6,069) (4,378) (2,686)
(11,807,775) (9,697,890) (7,586,317) (5,473,055) (3,358,103) (1,241,458)

7 8 9 10 11 12
2013 2014 2015 2016 2017 2018
2,119,331 2,119,331 2,119,331 2,119,331 2,119,331 2,119,331

2,119,331 2,119,331 2,119,331 2,119,331 2,119,331 2,119,331
2,119,331 2,119,331 2,119,331 2,119,331 2,119,331 2,119,331
(1,241,458) 876,880 2,996,912 5,118,641 7,242,067 9,367,192
(993) 702 2,398 4,095 5,794 7,494
876,880 2,996,912 5,118,641 7,242,067 9,367,192 11,494,016

13 14 15 16 17 18
2019 2020 2021 2022 2023 2024
2,119,331 2,119,331 2,119,331 2,119,331 2,119,331 2,119,331

2,119,331 2,119,331 2,119,331 2,119,331 2,119,331 2,119,331
2,119,331 2,119,331 2,119,331 2,119,331 2,119,331 2,119,331
11,494,016 13,622,543 15,752,772 17,884,705 20,018,344 22,153,689
9,195 10,898 12,602 14,308 16,015 17,723
13,622,543 15,752,772 17,884,705 20,018,344 22,153,689 24,290,743

19 20 21 22 23 24
2025 2026 2027 2028 2029 2030
2,119,331 2,119,331 2,119,331 2,119,331 2,119,331 2,119,331

2,119,331 2,119,331 2,119,331 2,119,331 2,119,331 2,119,331
2,119,331 2,119,331 2,119,331 2,119,331 2,119,331 2,119,331
24,290,743 26,429,507 28,569,981 30,712,168 32,856,069 35,001,685
19,433 21,144 22,856 24,570 26,285 28,001
26,429,507 28,569,981 30,712,168 32,856,069 35,001,685 37,149,017

25 26 27 28 29 30
2031 2032 2033 2034 2035 2036
2,119,331 2,119,331 2,119,331 2,119,331 2,119,331 2,119,331

2,119,331 2,119,331 2,119,331 2,119,331 2,119,331 2,119,331
2,119,331 2,119,331 2,119,331 2,119,331 2,119,331 2,119,331
37,149,017 39,298,068 41,448,837 43,601,327 45,755,539 47,911,475
29,719 31,438 33,159 34,881 36,604 38,329
39,298,068 41,448,837 43,601,327 45,755,539 47,911,475 50,069,135

31 32 33 34 35
2037 2038 2039 2040 2041
2,119,331 2,119,331 2,119,331 2,119,331 2,119,331

2,119,331 2,119,331 2,119,331 2,119,331 2,119,331
2,119,331 2,119,331 2,119,331 2,119,331 2,119,331
50,069,135 52,228,521 54,389,635 56,552,478 58,717,051
40,055 41,783 43,512 45,242 46,974
52,228,521 54,389,635 56,552,478 58,717,051 60,883,356

36
2042
2,119,331
2,119,331
2,119,331
60,883,356
48,707
63,051,393
THE MARKET VALUE OF A 10 STOREYS HOTEL BUILDING AT PRECINT 2, PUTRAJAYA.
TYPE OF ROOM TOTAL UNIT ROOM RATE OCCUPANCY TOTAL DAYS GROSS
ROOM PER DAY RATE PER YEAR DEVELOPMENT
(RM) VALUE
1.0 Executive Suite

1.1 Weekdays 10 rooms $1,500 60% 234 $2,106,000
1.2 Weekends 10 rooms $1,500 65% 121 $1,179,750
1.3 Public Holidays 10 rooms $1,500 70% 10 $105,000
2.0 Precident Suite

2.1 Weekdays 20 rooms $1,000 60% 234 $2,808,000
2.2 Weekends 20 rooms $1,000 65% 121 $1,573,000
2.3 Public Holidays 20 rooms $1,000 70% 10 $140,000
3.0 Standard Deluxe

3.1 Weekdays 50 rooms $800 60% 234 $5,616,000
3.2 Weekends 50 rooms $800 65% 121 $3,146,000
3.3 Public Holidays 50 rooms $800 70% 10 $280,000
GROSS INCOME FROM ROOM 16,953,750
plus: OTHER INCOME
a) Food & Beverages 50% from 16,953,750 $8,476,875

b) Cocktail Lounge 1 unit $3,000 60% 365 $657,000
c) Ballroom 20 tables $800 60% 365 $3,504,000
d) 2 Conference Room 2 rooms $2,500 65% 365 $1,186,250
e) Coffee House 1 unit $1,000 65% 365 $237,250
f) Telephone and Telex $1,200 365 $438,000
g) Pub and Snooker 1 unit $1,700 365 $620,500
plus: OTHER RENTAL

a) Gift Shop 500 sq.f $15 psf per mth x 12 months $90,000
c) Theme Restaurant 1,210 sq.f $15 psf per mth x 12 months $217,800
d) Money Changes 285 sq.f $15 psf per mth x 12 months $51,300
GROSS INCOME 32,432,725

a) Salary
1. General Manager 1 person $10,000 x 12 months $120,000
2. Assistance Genaral Manager 2 person $5,000 x 12 months $120,000
3. Administration 5 person $2,000 x 12 months $120,000
4.Cleaner 10 person $1,000 x 12 months $120,000
5. Driver 2 person $1,500 x 12 months $36,000
6.Security 10 person $1,000 x 12 months $120,000
7.Gardener 4 person $800 x 12 months $38,400
$674,400
b) income tax 3% of salary $20,232
c) EPF 11% of salary $74,184
d) Stationery $500 x 12 months $6,000
e) Utility bills $55,000 x 12 months $660,000
f) Promotion $500,000
g) Transportation $400,000
TOTAL OPERATING EXPENSES $2,334,816
DIVISIBLE BALANCE 30,097,909
less: OPERATOR'S SHARE 40% from divisible balance $12,039,164
GROSS RENT 18,058,745
less: OUTGOINGS
a) Insurance 50,000
b) Maintenance 250,000
c) Quit Rent 5,000
d) Management 1,000 306,000
TOTAL NET RENT 17,752,745
YP in perp 8% 12.50
B. DEVELOPMENT COST
TYPE OF DEVELOPMENT COST QUANTITY UNIT COST DEVELOPMENT TOTAL DEV.

PERUNIT COST COST
1.0 PRELIMINARIES 3 acre $0 $0 $0

2.1 Site Inspection/ Soil Investigation 3 acre $0 $0
2.2 Site Clearance 3 acre $0 $0
2.3 Earthwork 3 acre $0 $0 $7,000
3.0 INFRASTRUCTURE
3.1 Road and drainage - high rise
3.2 Sewerage
3.3 Electrical Supply
3.4 Telecommunication
3.5 Water Supply
3.6 Contribution to relevant authorities $1,750,000
4.0 BUILDING COST

4.1 Basement 23,269 sq.f $50 $1,163,450
4.2 Ground Floor 9,464 sq.f $150 $1,419,600
4.3 Office Spaces (Level 2 - 18) 122,932 sq.f $150 $18,439,800
total building construction cost $21,022,850

5.1 Building Works 7 % of $21,022,850 $1,471,600 $1,471,600
6.0 PROJECT MANAGEMENT FEE 5 % of $21,022,850 $1,051,143 $1,051,143
7.0 MARKETING AND LAWYERS' FEE 2 % of $221,909,318 $4,438,186 $4,438,186

for 1 year
8.2 Letting Delay 10 % of $30,086,063 $1,468,466
for 6 months $3,570,751
9.0 CONTINGENCIES 2 % of $31,554,529 $631,091 $631,091
10.0 DEVELOPER'S PROFIT 20 % of $221,909,318 $44,381,864 $44,381,864
TOTAL DEVELOPMENT COST $78,324,484

less
RESIDUAL 143,584,834
PV OF RM1 FOR 3 YRS @ 10% 0.7513
$107,877,411
LESS
COST OF ACQUISITION 6% $6,472,645
SITE VALUE $101,404,766
$25,062,967 / ha
$2,506.30 / sq. meter
$232.84 /sq. feet
Assumptions:
Footnote 1
The rental value for Level 1 is at RM6.00 per square feet inclusive of service sharge. Therefore the service charge must be first
deducted as it is borne by the tenants. The service charge is RM1.00 per square feet which includes security, cleaning & upkeeping,
electricity and maintenance of common area.
Footnote 2 & 3:
As footnote 1
Footnote 4:
Void allowance must be made to take care of responsibility that the building may not be totally occupied at all time. However, due to
the strategic location of the property, it is assumed that the void allowance is at 0%.
Footnote 5:
The outgoings consists of:
a) external & internal repair 10%
b) taxation 5%
c) management 5%
total outgoings 20%
Footnote 6:
The typical site preparation cost is to estimated be at RM15,000 per hectare.
Footnote 7:
The building cost are normally calculated by reference to the gross internal floor area of building and based upon analysis of principal
elements such as foundation, basement, superstructure, services, finishes and external works (landscaping).
Footnote 8 & 9:
As footnote 7
Footnote 10:
Professional fees will vary considerably, depending upon the nature of the work. The break down of the professional fees are:
a) Architect 4%
b) Engineer (Civil & Structure) 1.5%
c) Quantity Surveyor 1.5%
Footnote 11:
Project management is assumed 5% of Building Cost as the fee for managing the whole project from initial stage until the completion of the development.
Footnote 12
The amount of budget allowed for promotion and marketing can vary accordingly, depending upon the nature of the work and
location of the project. The reasonable percentage for these letting fees and advertising ausually pitched at about 2% of GDV.
Footnote 13:
The cost of financing the project is based on the 'Build and Sell' concept.The full rate of interest is applied to the entire building cost
and half of the construction period. The building period has been taken as 2 years and therefore the finance costs are calculated over
half of the period, i.e 1 year. The formula of Amount of RM1 is adopted in the calculation taking into consideration the future element.
Footnote 14:
Upon completion the building work, there will be normally be a letting delay. It is normal practice to make allowance for this letting
delay depending on the location. Therefore finance will be required for the full period of the delay as the total cost (building cost,
infrastructure cost, prof.fees and finance incurred during the building period) will be outstanding until the building can be refinanced
which normally will not be until the building has been let.
Footnote 15:
A reasonable contingency budget is essential in the development to offset the degree of uncertainty. A contingency allowance
between 2% - 5% of the building cost and related cost incurred is usual, depending on the the type of development.
Footnote 16:
Developer's profit reflect the required margin of return for the organisation. The common practice for developer's profit is between
15% - 20% of GDV or 20% - 50% of the total development cost.
Footnote 17:
Cost of acquistion consists of:
a) Agent fee 2%
b) Legal fee 1%
c) Stamp duty (ad valorem) 3%
total acquisition cost 6%
CONCLUSION:
The market value for Lot 452, Section 67, Town of Kuala Lumpur by using the residual value method of valuation is at RM 101,404,766.28
RM 232.84psf
PERIOD BY PERIOD CASHFLOW METHOD
ASSET Example
Year Net Capital Outstanding Interest

Cashflow from previous
period 8.75%
0 0 0.00 0.00
1 (9,857,447) 0.00 0.00
2 (9,696,570) (9,857,446.93) (862,526.61)
3 2,119,331 (20,416,543.12) (1,786,447.52)
4 2,119,331 (20,083,659.63) (1,757,320.22)
5 2,119,331 (19,721,648.83) (1,725,644.27)
6 2,331,264 (19,327,962.08) (1,691,196.68)
7 2,331,264 (18,687,894.65) (1,635,190.78)
8 2,331,264 (17,991,821.31) (1,574,284.36)
9 2,543,197 (17,234,841.55) (1,508,048.64)
10 2,543,197 (16,199,692.97) (1,417,473.13)
11 2,543,197 (15,073,968.88) (1,318,972.28)
12 2,755,130 (13,849,743.94) (1,211,852.59)
13 2,755,130 (12,306,466.21) (1,076,815.79)
14 2,755,130 (10,628,151.68) (929,963.27)
15 2,967,063 (8,802,984.63) (770,261.16)
IRR 6.94%
Capital
Outstanding/
Surplus
0.00
(9,857,446.93)
(20,416,543.12)
(20,083,659.63)
(19,721,648.83)
(19,327,962.08)
(18,687,894.65)
(17,991,821.31)
(17,234,841.55)
(16,199,692.97)
(15,073,968.88)
(13,849,743.94)
(12,306,466.21)
(10,628,151.68)
(8,802,984.63)
(6,606,182.36)

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PARTICULAR INFORMATION OF PROPOSED DEVELOPMENT

Development period : 2 years

Others No. of Unit Size (sq.ft)

IRRG = YP perp @ k - YP t yrs @ e

YP For 3 yrs @ 11%

TYPE OF ROOM TOTAL UNIT ROOM RATE

Average occ. Rate

GROSS INCOME FROM ROOM

plus: OTHER INCOME

a) Restaurant 40% from RM5,014,540

b) Multi Purpose Hall 1 unit RM500

OTHER GROSS INCOME FROM RESORT

less: OPERATING EXPENSES

c) EPF & SOCSO 11% of salary

e) Utility bills RM60,000

f) Promotion & Marketing

g) Transportation & Uniform

j) Interest (on working capital)

k) Repairs and renewal

TOTAL OPERATING EXPENSES

less: OPERATOR'S SHARE 40%

TOTAL NET RENT

GROSS DEVELOPMENT VALUE

TYPE OF DEVELOPMENT COST QUANTITY UNIT COST

1.0 PRELIMINARIES 4.7 acre RM10,000

2.0 SITE PREPARATION

4.0 BUILDING COST

5.0 LANDSCAPING 4.7 acre RM20,000

6.0 PROFESSIONAL FEES

7.0 PROJECT MANAGEMENT COST 24 months RM12,000

8.0 MARKETING & ADVERTISING 2% of RM23,548,122

10.0 INTEREST ON FINANCE

11.0 CONTINGENCIES 5% of RM14,792,881

12.0 LAND COST

TOTAL DEVELOPMENT COST

ANALYSIS OF PROFIT PERCENTAGE

GROSS DEVELOPMENT VALUE RM23,548,122

DEVELOPER'S PROFIT RM6,203,598

PROFIT % AS PER GDV = Total Profit

PROFIT % AS PER TDC = Total Profit

65% 234 RM1,916,460

65% 234 RM730,080

60% 365 RM109,500

x 12 months RM8,400 RM8,400

x 12 months RM720,000 RM720,000

from divisible balance RM1,676,395

26% [15% - 25%]

36% [20% - 50%]

TYPE OF ROOM TOTAL UNIT ROOM RATE OCCUPANCY

Average occ. Rate 83%

GROSS INCOME FROM ROOM

plus: OTHER INCOME

a) Food & Beverages 40% from RM5,014,540

b) Multi Purpose Hall 1 unit RM500 60%

GROSS INCOME FROM RESORT

less: OPERATING EXPENSES

b) Income tax 3% of salary

c) EPF & SOCSO 11% of salary

e) Utility bills RM60,000 x 12 months

f) Promotion & Marketing

g) Transportation & Uniform

j) Interest (on working capital)

k) Repairs and renewal