Ormond Group begins construction on Desaru resort, targets Johor's mid-market hospitality segment

Traders Union
All News
Business & Wealth
Companies
Ormond begins Desaru resort construction

Highlights

Ormond Group has begun construction of the RM350 million Ormond Desaru on a 9.1-acre beachfront site, scheduled to open in the fourth quarter of 2029 and targeting the mid-market segment.
This resort project is Ormond Group's first resort-style launch, aimed at filling the gap between premium and budget hotels in the 4,000-acre Desaru Coast.
Phase 2 of the Desaru Coast master plan will also add a new RM10 million karting circuit and a racket club, expected to be operational by the end of 2026 to attract more visitors.

This article was translated from the original. Read the original version by our correspondent here.

Project details and opening plans

As reported by The Edge Malaysia, Ormond Group, the hospitality arm of ECM Libra Group Bhd, commenced construction of Ormond Desaru on Friday, with the resort scheduled to open in the fourth quarter of 2029. The property, located on a 9.1-acre beachfront site, will be Ormond Group's first resort-style property and forms part of Phase 2 of the Desaru Coast master plan, led by master developer Destination Resorts and Hotels Sdn Bhd.

ECM Libra Group chief executive officer Gareth Lim said Desaru Coast's existing infrastructure was a key factor in the company's investment decision. He said the group wanted to expand Ormond's products and brand identity in a location with beach quality and facilities already in place.

According to Lim, the average daily rate has yet to be finalised, but Ormond is targeting the mid-market segment, which is seen as underserved at Desaru Coast. The resort is aimed primarily at young families and is owned and developed by ECM Libra Group subsidiary Desaru Beachfront Sdn Bhd, while Ormond Group will manage and operate the property under the Ormond brand.

The project is designed by Post Company, HL Design Group and Philippe Villeroux, the team behind The Chow Kit, an Ormond hotel. Room offerings include spacious family layouts, including 1,400 sq ft two-bedroom suites with private balconies, while other facilities include a signature restaurant, an all-day dining venue, a beach bar, a main infinity pool, a kids' club, a 300-person ballroom, meeting rooms and open-air event spaces.

Impact on the Desaru Coast master plan

Ormond Desaru will be located next to The Westin Desaru within the 4,000-acre Desaru Coast master plan, managed by Desaru Coast Sdn Bhd, a DRH subsidiary under Khazanah Nasional Bhd. The project adds new accommodation inventory to an area that currently has more pronounced offerings at either the premium end or in budget hotels outside the centre, potentially broadening the visitor base into the mid-market segment.

In the same Phase 2, other upcoming developments include a new karting circuit backed by a RM10 million lease-and-build investment structure by Singapore-based Arina International Holding Pte Ltd, as well as a racket club. Both facilities are expected to begin operations by the end of 2026, adding lifestyle and recreational attractions that can support visitor flows to the Johor tourism corridor.

Ormond Group's current brand portfolio includes The Chow Kit, MoMo's, Tune Hotels, and The RuMa Hotel and Residences. With the Desaru resort as its first resort-style property, the group is expanding its presence in Malaysia's hospitality sector beyond its existing city hotel offerings.

In our earlier report on the Amora Serviced Residence project in Tampoi, Johor Bahru, Astaka Padu Sdn Bhd and Kimlun Corporation Bhd announced a RM450 million gross development through their joint venture, Astaka Kimlun Sdn Bhd. The two-tower project, comprising 617 serviced apartment units, is scheduled to be officially launched by the end of 2026 and will be a key residential component of the integrated Amora Park master plan, which also includes retail, hospitality and lifestyle elements.

This material may contain third-party opinions, none of the data and information on this webpage constitutes investment advice according to our Disclaimer. While we adhere to strict Editorial Integrity, this post may contain references to products from our partners.