Ikano Builds Homes: New MYR 600M Project to Reshape Johor's Tebrau Hub

JOHOR BAHRU, Malaysia – May 19, 2026 – In a landmark move that signals a strategic evolution beyond its retail roots, Ikano Centres today announced a partnership with Welton Group of Companies to develop 'Habitation Plus+', a major mixed-use residential project in Johor Bahru. The MYR 600 million (approx. €130 million) development will introduce approximately 1,230 homes adjacent to the popular IKEA Tebrau and Toppen Shopping Centre, transforming the bustling retail destination into a fully integrated urban ecosystem.

This venture represents the most significant step yet in Ikano Centres' long-term strategy to evolve from a manager of shopping malls into a comprehensive developer of people-centric communities. By integrating a substantial residential component, the company aims to create a vibrant hub where people can live, work, and play, capitalizing on the strong demand for well-connected and modern living spaces in southern Malaysia.

Beyond Shopping Carts: A Strategic Pivot to Placemaking

The 'Habitation Plus+' project is the culmination of a vision that has been years in the making. Ikano Centres, part of the Ikano Retail group owned by the founding family of IKEA, began its land activation strategy in Tebrau after acquiring the site in 2008. The first phases saw the successful launch of IKEA Tebrau in 2017, followed by the 1.25 million square foot Toppen Shopping Centre in 2019, which quickly established the area as a premier retail and leisure destination.

"Our vision for Tebrau has always been to create a customer-centric destination that extends beyond retail," said Adrian Mirea, Managing Director of Ikano Centres. He emphasized the company's continuous investment in the area, which includes a 100,000 sq. ft. expansion of Toppen, the introduction of Johor Bahru's first Decathlon store, and enhanced accessibility with a new multi-storey car park.

"These investments reflect our long-term commitment to shaping a vibrant environment where people can live, play, and connect," Mirea added. "Habitation Plus+ represents the next phase of this evolution, completing the ecosystem with homes seamlessly integrated into everyday life."

This strategic pivot aligns with a global trend where retail developers are increasingly creating mixed-use properties to future-proof their assets. By adding residential, office, and community components, they create self-sustaining environments that generate constant foot traffic and foster a deeper sense of community, moving beyond transactional retail to holistic placemaking.

Tapping into Johor's Booming Property Market

The timing of the 'Habitation Plus+' launch is particularly astute, tapping directly into the robust growth of Johor's residential property market. The region has recently outperformed other major Malaysian markets, fueled by significant economic drivers like the upcoming Johor-Singapore Special Economic Zone (JS-SEZ) and the highly anticipated Johor-Singapore Rapid Transit System (RTS) Link, slated for completion by the end of 2026.

Recent market data underscores this momentum. In 2025, serviced apartment prices in Johor Bahru surged by nearly 21%, while landed home prices also saw double-digit growth. With a median housing price of around RM450,000, the demand for affordable and mid-range properties remains exceptionally strong. The 'Habitation Plus+' project is squarely aimed at this segment, seeking to provide quality, integrated living solutions that stand apart from the oversupplied luxury high-rise market.

By offering homes within an established lifestyle hub, the development addresses a clear market need for convenience and connectivity. Future residents will have direct access to a wide array of retail, dining, and entertainment options, a value proposition that is increasingly sought after by modern urbanites and multi-generational families.

A Synergy of Retail and Residential Expertise

Central to the project's success is the strategic partnership between Ikano Centres and Welton Group of Companies. The collaboration leverages the complementary strengths of both entities: Ikano's deep expertise in creating high-traffic, community-focused meeting places and Welton's proven track record in delivering quality residential projects.

Welton Group is recognized for its technology-led, innovation-driven approach, with a portfolio that includes the recently completed Orion Residence in Kuala Lumpur's bustling Bukit Bintang and Green Haven in Johor Bahru. Their philosophy of 'designing homes, not buildings' aligns with the project's people-centric goals.

"We are excited to partner with Ikano Centres to set a new benchmark for urban living," said Thomas Ling, Co-founder and Director of Welton Group of Companies. "Habitation Plus+ reflects our commitment to delivering quality, well-designed homes that prioritise liveability and functionality. Inspired by IKEA's philosophy of practical and sustainable living, the mixed-use development is seamlessly integrated with Toppen Shopping Centre and IKEA Tebrau, offering a unique level of convenience and quality of life in Johor Bahru."

Designing for Modern, Integrated Living

'Habitation Plus+' will consist of two residential towers featuring approximately 1,230 units designed for modern, multi-generational living. The project places a strong emphasis on the principles that have made IKEA a global household name: smart space planning, practical layouts, and functional design. Each home is being crafted to be flexible and adaptable, catering to the evolving lifestyle needs of its residents.

Beyond the individual units, the development promises a well-curated living environment supported by a network of communal spaces designed to foster social interaction and connection. Planned lifestyle facilities include wellness centres, social lounges, and co-working zones, giving residents the flexibility to work from home, socialize with neighbours, or simply recharge in a quiet corner.

The seamless integration with the adjacent retail hub means that daily errands, dining out, and leisure activities are just a short walk away. This level of connectivity is a core feature, reinforcing the vision of a cohesive precinct where every need is within easy reach, reducing reliance on vehicles and promoting a more sustainable, pedestrian-friendly lifestyle.