MALAYSIAN HAJJ PILGRIMS FUND BOARD TO INVEST MORE IN REAL ESTATE IN MECCA, MADINAH

KUALA LUMPUR, March 29 (Bernama) -- Malaysian hajj pilgrims fund board
(Lembaga Tabung Haji) expects to invest more in real estate in Mecca and Madinah
in the next one to two years in its move to keep the cost of Hajj performance at
affordable rates.

Its Group Managing Director and Chief Executive Officer, Ismee Ismail,
said the group has been seriously looking at investment opportunities there
since 2008.

"We are actively looking for investment opportunities especially in Mecca.
There have been many proposals but we need to check the pricing, distance from
the mosque to the hotel and other needs," he told reporters.

Ismee was responding to a question on why the cost of performing Hajj was
still increasing despite the various investment strategies by the group.

In terms of Hajj, the flight ticket and accommodation are the two major
costs involved, he said.

"If we look at accommodation in Mecca right now, many buildings have been
torn down to make way for new buildings. So currently, there is a shortage of
accommodation during the Hajj period," Ismee said.

Besides this, Lembaga Tabung Haji is also negotiating with house owners in
the city not to increase drastically the cost of accommodation.

The group has so far invested RM600 million (US$1=RM3.29) on two buildings
in Mecca and Madinah for the accommodation of pilgrims.

"We have leased one building which is Hajar Tower in Mecca where we have
taken five floors with 220 rooms. They are expected to be ready either next
month or by latest this Ramadan (September)," he said.

--BERNAMA