TT Vision commits RM92mil to a 153,000 sq ft factory on PDC’s Plot 81A, Bayan Lepas — RM160 psf land, RM600 psf to build, and a company worth RM105mil

A Penang machine-vision equipment maker with a RM105 million market value has committed to a RM92 million factory. TT Vision Holdings Berhad said on 7 September 2026 that its wholly owned TT Vision Technologies Sdn Bhd had issued a letter of award to Yu Tong Construction Sdn Bhd, after a tender, to build a factory-cum-office block on Plot 81A, Bayan Lepas Industrial Park. The formal contract is due on or before 10 October.

The land

TT Vision does not own the site. In July 2025 it signed a conditional 60-year lease with the Penang Development Corporation for Plot 81A: 3.600 acres (14,569 sq m, roughly 156,800 sq ft) of industrial land, for RM25,090,560 — exactly RM160 per sq ft for the full 60 years, or about RM2.67 per sq ft a year. The plot sits near TT Vision’s existing plant at Plot 106, Hilir Sungai Keluang 5, in Bayan Lepas Phase 4.

Plot 81A, Bayan Lepas Industrial Park — approximate location on Google Maps

TT Vision’s existing plant, Plot 106, Hilir Sungai Keluang 5 — Google Maps

The building

• Contract: about RM92 million to Yu Tong Construction, a Prai-based CIDB G7 design-and-build contractor set up in 1999 whose portfolio is factories and warehouses in Bayan Lepas, Batu Kawan, Kulim and Prai
• Built-up area: about 153,000 sq ft of factory and office
• Funding: an RM81 million Commodity Murabahah Term Financing-i from Maybank Islamic, accepted on 28 August, “to part finance the construction costs” — which covers 88% of the contract sum
• Purpose, in the company’s words: “to cater for future capacity expansion of TTVHB group”

No completion date, storey count or start-of-operations target was given in the filing.

The numbers

• Construction: about RM601 per sq ft of built-up area (RM92 million ÷ 153,000 sq ft). For a purpose-built equipment plant with office space
• Land: RM160 per sq ft for a 60-year PDC lease
• All-in, land plus building: about RM117 million, or roughly RM765 per sq ft of floor.
• Site coverage: 153,000 sq ft of floor on 156,800 sq ft of land is a plot ratio of about 0.98 — so almost certainly a multi-storey block rather than a single-storey shed, given that yards, loading and parking still have to fit.
• Scale of the jump: TT Vision’s CEO Goon Koon Yin said in 2025 that floor space had grown from 53,000 sq ft at IPO to 107,000 sq ft. Plot 81A adds 153,000 sq ft on top — the group’s footprint more than doubles again.

Why this is a bold bet

The timing is the story. TT Vision makes inspection and sorting machines for semiconductor, LED, solar-cell and battery lines. Its revenue has fallen off a cliff: RM35.0 million for 2025 (down 38%) with a net loss of RM11.8 million, then RM4.78 million in the first quarter of 2026 and just RM1.7 million in the second, with a RM5.2 million quarterly loss. The shares closed at 22 sen on the day of the announcement, down 10.2%, valuing the company at about RM105.5 million.

Against that, the group is taking on RM81 million of Islamic financing to build a factory costing almost as much as the whole company is worth. That is either a company building for the solar and semiconductor equipment cycle it expects to return — Goon spoke in 2025 of the site “multiplying” capacity for semiconductor, solar and battery customers — or a company that has locked itself into a capital commitment at the bottom of its order book. The Bursa filings do not say which, and this article does not pretend to.

What it means for Bayan Lepas industrial property

PDC is still the price-setter on the island. RM160 per sq ft for 60 years on Plot 81A is a public, recent data point for what state industrial land in Bayan Lepas costs an occupier — and it was set before the recent wave of medtech and E&E announcements.

Local contractors are winning the work. Yu Tong, from Prai, beat the field for a RM92 million job. The industrial build-out on both sides of the channel is sustaining a domestic construction industry, not just foreign investors.

SCOTT: RM160 psf for a 60-year PDC lease in Bayan Lepas is about market value or similar to recent past transaction. There's no direct freehold industrial land as comparison. I'm not sure what is included in the RM600 psf construction cost but generally I would say it is quite high.

*Cover image: TT Vision machine-vision equipment, courtesy of TT Vision Holdings. Google Maps links are approximate.*