Indonesia-based real estate group Podo Joyo Masyhur inked a deal on Sept. 10 with Spanish hotelier Melia Hotels International to build two luxury hotels in Malaysia for the Iskandar City project, in a move that will push forward the Indonesian company’s oversea expansion plans.
The deal, which is estimated at $300 million, will be rolled out with a development of the five-star Melia Iskandar Malaysia hotel with 450 rooms as well as the four-star Innside Iskandar Johir with 350 rooms.
"We believe that with Melia, our two hotels can satisfy the growing demand in Iskandar, which has been the focus of development by the Malaysian government," Teguh Kinarto, owner and chairman of PJM and its subsidiaries, said during the signing ceremony.
"We're currently waiting for planning approval,” said N. Irena Tee, a director at PJM “We're targeting to start construction next year.”
The project, also will include supporting facilities such as a major shopping centre, office buildings and a 150,000-square-meter convention centre, is expected to be finished by 2020.