This article first appeared in The Edge Malaysia Weekly on April 8, 2024 - April 14, 2024

Low-profile Johor-based property developer Crescendo Corp Bhd is turning out to be another winner in the data centre play in the southern state.

The company, which is not known to sweat its assets aggressively, has sold another parcel of land. It is its fourth land disposal in five months — all for data centre-related activities.

Most recently, it disposed of a 25.3-acre parcel to Microsoft Payments (Malaysia) Sdn Bhd for RM132.5 million. The relatively decent price of RM120 psf is in roughly the same range as the parcels that it disposed of last November.

Including the latest transaction, ­Cres­cendo has sold more than 135 acres for data centre-related development, bringing in sales proceeds of more than RM675 million.

The company’s rationale for the disposals is that the surrounding areas that it owns will gain from the spillover activities of the new land owners.

Crescendo seems to be the dark horse as the data centre and logistics play picks up in Johor. The company is not selling bare land, as the deals also involve Crescendo obtaining some basic approvals to facilitate the new owners to put up their buildings.

Apart from the disposals, Crescendo has also acquired land to take advantage of the Johor Bahru-Singapore Rapid Transit System (RTS) Link. Last September, it bought just over three acres near the RTS station in Johor Bahru to build serviced apartments.

Crescendo, whose major shareholders — the Gooi siblings — also control Kim Loong Resources Bhd, declared a special dividend two weeks ago. Its efforts at sweating its assets is paying off, as its share price has doubled in the last six months.

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