THE Iskandar Malaysia project has attracted another foreign investor, Damac Properties LLC, which is pumping RM397 million to develop three parcels of commercial land at Nusajaya in Gelang Patah, the largest urban development in Southeast Asia.

Damac Properties, a unit of Dubai-based Damac Holding, yesterday entered into a sale and purchase agreement through its Malaysian subsidiary, Damac Properties (M) Sdn Bhd, with UEM Land Bhd, the master developer of Nusajaya.

Under the deal, Damac Properties will purchase three parcels spreading over 17.4ha that forms part of the 275ha Puteri Harbour development.

It plans to develop commercial and residential properties and a private marina at a gross development value of RM3.8 billion.

Damac Properties chief executive officer Peter Riddoch said it is excited about its role in the development of Nusajaya, adding that the value of properties developed by Damac appreciates as it always carefully selects its investments.

He said the company has already undertaken 60.3 million sq m of development across seven countries.

"Our plans in Nusajaya is just another example of our pursuit of providing our customers with the highest levels of luxury in the region.

"We are now at the design and development stage. Hopefully, we will kick off our work by the end of the year or early next year," he said.

During the signing ceremony, Damac Properties was represented by Riddoch and Damac Holdings general manager Shabir Yousef, while UEM Land managing director Wan Abdullah Wan Ibrahim and UEM Group Bhd chief executive officer Datuk Ahmad Pardas Senin signed on behalf of the company.

Witnessing the ceremony were Johor Menteri Besar Datuk Abdul Ghani Othman and UEM World Bhd chairman Tan Sri Ahmad Tajuddin Ali.

In his speech, Abdul Ghani said the Johor state government welcomes Damac Properties' investment in Nusajaya.

"We envisage the development will attract both international and local investors," he said.

Nusajaya, with its seven signature developments, is positioned as the "World in One City" and poised to become a regional city.

To date, works on the Inner Lagoon of Puteri Harbour waterfront development has been completed and the marina is expected to receive its first boat by year-end, complete with a Marina Clubhouse catering to the needs of the seafarers and a promenade for the general public.