Business Review Malaysia Real Estate Strait of Malacca 马六甲海峡 Penang Bridge 槟城大桥 Penang Second Bridge 槟城第二大桥 Penang Strait 槟城海峡 Tun Dr Lim Chong Eu Expressway 林倉祐大道 Gurney Drive 新关仔角 Jalan Sultan Azlan Shah 苏丹阿兹兰莎路 North-South Expressway Northern Route 南北大道北段 ButterworthKulim Expressway 北海‒居林大道 North-South Expressway Northern Route 南北大道北段 Butterworth Outer Ring Road 北海外环公路 Penang Strait 槟城海峡 Penang Island 槟岛 Butterworth 北海 Bukit Mertajam 大山脚 George Town 乔治市 Raja Tun Uda Ferry Terminal 乔治市码头 Penang Sentral 槟城中环广场 Swettenham Pier Cruise Terminal 槟城瑞天咸 邮轮码头 Sungai Nibong Bus Terminal 双溪里蒙 巴士总站 Prai Free Industrial Zone 北赖自由贸易 工业区 Bayan Lepas Free Industrial Zone 峇六拜自由 贸易工业区 Permatang Pauh 峇东埔 Perai 北赖 Batu Maung 峇都茅 Gelugor 牛汝莪 Tanjung Tokong 丹绒道光 Tanjung Bungah 丹绒武雅 Batu Ferringhi 峇都丁宜 The Light City Penang Hill 升旗山 Jerejak Island 木寇山岛 Aman Island 安曼岛 Gedung Island 葛东岛 Penang International Airport 槟城国际机场 Map of The Light City, Penang Perennial Holdings’ Owned Asset 鹏瑞利的自有资产 Expressway 高速公路 Airport 国际机场 Bus Terminal 巴士总站 Transportation Hub 交通枢纽 Cruise Terminal 邮轮码头 Ferry Terminal 渡轮码头 Perennial Holdings has footprints beyond its core markets of Singapore and China in two promising Southeast Asian countries, Malaysia and Indonesia. Malaysia boasts a vibrant economy filled with opportunities, and The Light City embodies these elements by offering residents and visitors a range of exciting, varied and premium lifestyle experiences. In Indonesia, Perennial Holdings is focused on developing The Sanctuary Collection, a luxurious landed residential development in a pivotal greater Jakarta region. MARKET OUTLOOK In 2025, Malaysia recorded a Gross Domestic Product Growth (“GDP”) of 5.2%, up from 5.1% in 2024 and exceeding the government’s forecast of 4.9%1. Among the fastest growing economies in Southeast Asia, Malaysia’s economic growth was fuelled by resilient domestic demand, a stable labour market and continued investments in high-growth highvalue sectors2. Meanwhile, inflation has moderated to 1.6% for the year3 and unemployment rate of 2.9% in January 2026 reflecting stability4. The real estate sector saw transaction values rise to 64.39 billion Malaysian Ringgit (“MYR”) in Q3 2025, a 12.5% increase from the same period last year. This growth can be attributed to several factors, including an increase in completed residential units, improved buyer affordability resulting from a reduction in the Overnight Policy Rate and ongoing government support through tax relief and financing schemes5. A key transformative initiative in Penang is the implementation of the Penang Light Rail Transit (“LRT”) system, which 1 Bernama, Feb 2026 (https://www.bernama.com/en/news.php?id=2523673) 2 Ministry of Finance, Nov 2025 (https://www.mof.gov.my/portal/en/news/press-citations/malaysia-on-track-for-higher-end-2025-growth-afterstrong-3q-gdp-pm-anwar) 3 Ministry of Economy Department of Statistics Malaysia OpenDOSM, Jan 2026 (https://open.dosm.gov.my/dashboard/consumer-prices) 4 Trading Economics (https://tradingeconomics.com/malaysia/unemployment-rate) 5 Malay Mail, Nov 2025 (https://www.malaymail.com/news/malaysia/2025/11/14/malaysias-property-market-posts-moderate-q3-growth-despitecautious-sentiment/198323) 6 The Star, Jan 2025 (https://www.thestar.com.my/news/nation/2025/01/11/pm-anwar-officiates-penang039s-mutiara-line-lrt-projectgroundbreaking-ceremony) 7 MRT Corp, LRT Mutiara Line (https://laluanmutiara.mymrt.com.my/lrt-mutiara-line/) 8 MRT Corp, LRT Mutiara Line (https://laluanmutiara.mymrt.com.my/lrt-mutiara-line/) 9 Bernama, Jul 2025 (https://bernama.com/en/news.php?id=2446593) 10 New StraitsTimes, Oct 2025 (https://www.nst.com.my/news/regional/2025/10/1299731/chow-penanginternational-airport-expansion-project-progressing) 11 The Star, Nov 2025 (https://www.thestar.com.my/news/nation/2025/11/20/penang-financially-back-on-stable-ground-says-cm) 12 The Edge Malaysia, Nov 2025 (https://theedgemalaysia.com/node/779228) 13 Travel Weekly Asia, Jan 2026 (https://www.travelweekly-asia.com/Marketing/It-s-official-Visit-Malaysia-2026-kicks-off) 14 Bernama, Jan 2026 (https://www.bernama.com/en/general/news.php?id=2510923) 15 The Edge Malaysia, Nov 2025 (https://theedgemalaysia.com/node/779228) broke ground in early 20256. The 29.5-kilometre Mutiara Line will feature 22 stations, enhancing connectivity support between key areas such as George Town, Banyan Lepas and the Penang International Airport7. Scheduled for completion by 2031, the LRT will make Penang a more connected, inclusive and thriving region8. Concurrently, Malaysia is advancing the expansion of Penang International Airport, which ranks among the country’s busiest airports. With an estimated cost of MYR1.55 billion, the project is designed to address ongoing capacity challenges and elevate the passenger experience. Upon completion, Penang International Airport will have the capacity to handle 12 million passengers annually, up from the existing 6.5 million9. The expansion will strengthen Penang's position as a business hub and seaside destination, in line with the aspirations of its community and economy10. Penang, which has seen robust GDP growth in 202511, is strengthening its capabilities as a world-class tourism and meetings, incentives, conferences and exhibitions (“MICE”) destination. In 1H 2025, Penang recorded 4.02 million guests, up from 3.8 million a year ago12. The Penang hospitality market is expected to remain vibrant over the coming year, supported by strong tourism fundamentals and proactive government initiatives under various campaigns, including “Visit Malaysia 2026”13, “Malaysia Year of Medical Tourism 2026”14 and the “Not the Penang You Know”15. The positive developments will reinforce Penang’s positioning as a premier travel destination. Located on the coastline of Penang Island, The Light City, is poised to become one of the city’s premier mega integrated waterfront landmarks, offering residents and visitors a diverse mix of offerings, including The Waterfront Shoppes retail mall, the Penang Waterfront Convention Centre (“PWCC”), hotel and office spaces and residential developments, Mezzo and Lightwater Residences. MARKET REVIEW The Light City is under development in two phases: The first phase includes The Waterfront Shoppes retail mall; a tower housing a dual-branded hotel featuring Malaysia's first 5-star 'JdV by Hyatt' brand and The Light Exchange office spaces, as well as residential developments Mezzo and Lightwater Residences. The first phase also comprises the PWCC, a state-of-the-art convention centre and the largest in Penang, spanning nearly 280,000 sq ft (“sq ft”). The second phase includes commercial components. The Light City’s PWCC is operated by South Korean convention centre specialist KINTEX, renowned for delivering world-class events and exhibitions. Having opened its doors in 4Q 2025, PWCC has played host to events such as the K-Brand Week 2025, a first-in-Malaysia event featuring the K-Beauty Expo and K-MediTech Expo; and HOMEs - OVERVIEW PERFORMANCE SUSTAINABILITY FINANCIALS APPENDIX 77 ANNUAL REPORT 2025 76 PERENNIAL HOLDINGS PRIVATE LIMITED The Light City, Penang
RkJQdWJsaXNoZXIy NTM2MDQ5