EPF, SP Setia and Sime Darby, the rakyat - set to reap Battersea investment

THE Battersea power station has always been a historic and iconic landmark in London, UK.

The power station which was built in 1955 used to power up a fifth of London until it was decommissioned in 1983.

Since then, the coal-fired plant was left abandoned to make way for nuclear plants and plans to re-develop it by various parties failed.

However, it remained as a national monument for the UK and was featured on numerous albums covers and music videos of many rock bands such as Pink Floyd.

But who would have thought that in 2012, two Malaysian conglomerates and a pension fund would team up to jointly develop the once dilapidated building.

Together, the Employees Provident Fund, SP Setia Berhad and Sime Darby Berhad forged an alliance to redevelop the behemoth and its surrounding riverside areas.

Everybody thought that it was foolhardy and doomed from the start.

Many were incredulous and dumbfounded by the consortium's decision to even consider embarking on such a risky venture.

London property scene, is the place to be

Despite the brickbats received by the entities in the past, only the property savvy realise that the London property scene is the place to be.

Property prices in London has always been appreciating and thus it was not surprising that the three Malaysian entities decided to "snap up" Battersea.

Needless to say, fast forward to 2022, Battersea was a investment well worth every cent and the consortium is set to recoup every investment they poured into the once decaying building.

The Star reported that to date, Battersea has already reaped in half of its gross development value of some RM50 billion and it will only be a matter of time before the three entities get their return on investment and subsequently start to rake in recurring profits.

Battersea - the new "hang out place" in town

Traditionally, Londoners and tourist alike always flock on one side of the river Thames.

This is where the famed and up market Oxford Street, Marble Arch and Piccadilly Circus are located appealing to the hip and trendy with the latest designer stores and glitzy cafes and pubs.

But times have changed. The younger generation is bored with the tried and tested. They want something new.

Battersea which is on the other side of the Thames River will be a whiff of fresh air for the young generation who wants to flock to this newest mall in town.

Battersea - a development with a difference

Battersea officially opened its doors last week and launched by Yang di-Pertuan Agong Al-Sultan Abdullah Ri'ayatuddin Al-Mustafa Billah Shah.

Unlike in Asia, shopping malls and complexes are virtually non-existent.

London in particular has always been proud of its heritage hence the preservation of all of its historical buildings and monuments.

These include the Buckingham palace, Trafalgar square, the Big Ben and many others.

On the other hand, the £9 billion Battersea development and its surrounding riverside attractions have taken the retail scene in London by storm.

The Battersea mall concept which is common in Malaysia and Asia but not in London, has literally enticed the Britons.

Newswires reports over the weekend said that Londoners made a beeline for Battersea awed by its 250 stores and riverside development spanning across 42 acres.

Once fully completed in 2043, Battersea will have hotels, convention centers and theatres and so many more with a population of some 25,000.

As for icing on the cake, Apple boss Tim Cook announced on Twitter last month that the technology giant will be shifting its headquarters to Battersea occupying six floors.

The rakyat will reap the dividends

Although Battersea is thousands of miles away, the EPF, Sime Darby and SP Setia never let their guards down.

The entities together with Permodalan Nasional Berhad which joined later, sniffed the opportunity and pounced on it.

From now onwards, the rakyat will perhaps get to earn better dividends from EPF and PNB.

Battersea's tenants and other commercial agreements will provide a recurring rental income for PNB and EPF.

In turn, the rakyat who are members of these two investment giants will also be able to earn recurring dividends.

Kudos to all the entities and continue with the good work towards the betterment of the country and rakyat. – Dagangnews.com