RM1.4 billion new launchings in H2 by Naza TTDI

I personally remain skeptical that sentiment can suddenly turn positive because of a cut in OPR by 25 basis points. However, this cut will help to convert a few people who were still considering into buying a home and I think this is what our BNM governor have in his mind. It will also allow businesses to have a bit more ‘extra’ whether to spend or to invest which is good for the economy. As for the
recovering second half
, I personally believe the growth is likely to be higher compared to H1 which I think should be reassuring enough for many when compared to the world out there.

One developer Naza TTDI Sdn Bhd will be launching new projects worth a combined RM1.4 billion in H2 2016.It said that these launches would be relying on the
expected recovery in demand
 for property investments, especially after the cut in OPR last week. Reported in Starbiz, its deputy executive chairman and group managing director SM Faliq SM Nasimuddin said, “The relatively weak market sentiments have pushed property buyers and investors to be more selective in their purchases.” In fact he expects properties with good rental yields and accessibility to continue to be in demand.

It will be launching TTDI Olivina in August 2016. Besides that it will also be developing another 4.3 acres in KL Metropolis which include two commercial towers and one high-end serviced residential block. It will be launched in November 2016. This high-end development is within the affluent neighbourhoods of Damansara Heights, Bangsar, Mont Kiara and Sri Hartamas. He further shared that one en-bloc buyer for the commercial towers have been found while another one is in progress before year-end. It’s always important to understand what we are looking for before we buy. Happy believing.

written on 19 July 2016

Next suggested article:
MRT Line 2, some recent positive updates

Share this:
Tweet
Telegram
WhatsApp
Like this:
Like

Loading...


Another RM1.88 billion coming into the property market

It’s always good to note that while sentiment among the first-time home buyers are not that positive, there are a lot of investors who have a firm belief with the long term potential of the Malaysian property market. Earlier article here:
RM10 billion by CPCG into the Malaysian property market
  Now, we have another one. Indonesia’s property developer Riyadh Group will be investing US$450 million (RM1.88 billion) into two projects; revamping a mall in Shah Alam and several developments over 10.35 ha of land in Serenia City, Sepang. This will be done via a joint venture with two local firms – Mainstay Holdings Sdn Bhd and Pembinaan Tetap Teguh Sdn Bhd (PTT). Riyadh will hold a 65% stake in the JV.
Here’s that article in TheStar.com.my

About the first project. This is the revamp of a 55,000 sq m Space U8 in Bukit Jelutong. (I have been there twice when I visited a customer nearby. It’s pretty empty even if location wise, I think it’s very accessible and could cater to the working population nearby) This revamp is expected to be completed in 6 months. Riyadh Group’s president director, Bally Saputra said that they planned to create a “Little Indonesia” within the mall, featuring popular Indonesian cuisine, and boutiques selling Indonesian brands of clothing, among others. The mall will also be renamed to “Maha Karya Town Square”.

Second project with a GDV of RM1.7bil, is an enhancement of the planned Horizon Village Outlet development in Sepang. Bally said, “The plans consist of a two-storey premium outlet village and six tower blocks which will house two hotels, high-end serviced apartments, as well as a Riyadh International Islamic Hospital.” Bally also shared that entering the Malaysian property market during a slow market is a good opportunity. He shared, “Malaysia also has very good tourist arrivals, and we expect our project based in Sepang, being near the airports, to benefit from this.”
Here’s that article in TheStar for reference.

It’s very common for many new investments into Malaysia to start within the Greater Kuala Lumpur property market scene. This is where most of the action is. What is important is that once these investments start to bear fruit, the investments would start to move into other major cities or towns too. A slow market represents a great opportunity, this is true. Growth comes slowly, usually. Speculations come and go extremely fast. This is the reason why the developers think 10, 15 and even 20 years ahead when they buy land and build townships. What’s missing today is a focused development of affordable homes to house as many Malaysian households as possible so that they do not miss out on property investment opportunities. Happy following.

written on
Property investments? My chiildren and their future

Share this:
Tweet
Telegram
WhatsApp
Like this:
Like

Loading...


Ever more benefits; property loans, 20-week paid maternity leave….

I believe the working conditions of today has improved tremendously compared to when I first started. There are now more benefits that was considered a luxury just 10 years ago. FREE Latte machines in the office? Where each cup of latte would still cost RM4.50 to the company? What about allowances in US$ so that fluctuations in exchange rate is not going to affect us much when we travel? Business trips to overseas locations as we are now considered on par with all the international expats from advanced nations? There are definitely more and I think for this part of the world, it’s getting better. The reason is because most of these benefits are now considered as ‘within cost of operations.’

We recently have a few more things to cheer about. Not directly but indirectly, these would provide some pressure to all existing companies. First, it was StanChart’s announcement which was shared by a female team-mate of mine. I told her, ‘please do not resign because of this benefit,ok?’ She laughed. StanChart will be offering a 20-week PAID maternity leave to its employees. This would be double of the current 2 months or between 8 – 10 weeks paid maternity leave. Its Head of Human Resource Florence Foo shared, “In our pursuit of becoming a human bank, StanChart commemorates Labour Day by placing importance on our people. We are always looking to strengthen our staff welfare, as well as to retain and groom talent.” Ready to join StanChart now? Full article in
 TheStar here.

What about a property related benefit? Actually, there’s another one for a home sweet home. This announcement from CIMB should spur all other banks to do the same, hopefully. As
reported in NST,
CIMB Group Holdings will be allocating about RM1 billion for their 4,000 employees from the lower income group to purchase their own homes. According to CIMB Group chief people officer Datuk Hamidah Naziadinm, “We want to make sure that our staff have roof over their heads and we believe they will be able to purchase a decent home with RM250,000.” This is applicable to staffs earning less than RM3,500 per month and will start from 1st May 2017.  With competition comes better benefits? Maybank has announced that it will be offering a 0% interest for staff housing loans for the first RM100,000. This is applicable for staffs with basic salary up to RM3,000 per month. It will be effective July 1 and will be applicable for new and existing loans of its employees in Malaysia. Full report in
theedgemarkets here.

Many years ago, when I was assigned to meet some new investors into Malaysia, their question has always been, ‘Besides basic salary, what are the common benefits that MNCs provide to the Malaysian workforce?’ It has never been just  about the salary range. To many who are still
struggling with low pay and below the average benefits in the same company,
 think about it seriously. The problem may not lie with the company. Malaysia is only a very small trading nation compared to the world even though number wise, we are punching above our weight. Here’s that
prediction for 2050 by an PWC.
 Yes, Malaysia is seen pretty positively here. One sentence about us? Here: “Colombia, Poland and Malaysia all possess great potential for sustainable long-term growth in the coming decades according to our country experts.” Yes, I will definitely continue to work in Malaysia.

written on LABOUR DAY 2017

Next suggested article:

Starting with a peanut salary? Think ahead

Share this:
Tweet
Telegram
WhatsApp
Like this:
Like

Loading...


Another RM1 billion investment coming into Johor from China.

Here’s one pretty big issue happening with Johor now. The state government says that it will raise the issue of raising the water price to Singapore. Its Menteri Besar Datuk Osman Sapian said the new price is likely to be the same as the raw water price set for the Melaka government that is RM0.50 sen for every 1,000 gallons.
 Here’s that full article for reading.
 Anyway, this issue is beyond just the state government. It’s more of a country to country kind of negotiation.Not sure how big impact would this have on Singapore visitors visiting Johor. I guess both governments would definitely negotiate in good faith and many Malaysians will continue to work in Singapore while many Singaporeans would be visiting Johor.  The next news will help to assure some of the investors in Iskandar Johor that more jobs are coming which meant that population growth within Iskandar will continue as well. Without PEOPLE (population), it’s tough for the property market to shed its seemingly oversupply as per many media reports.

Here’s that
Latest article in TheStar about Iskandar.
Johor state International Trade, Investment and Utilities Committee Chairman Jimmy Puah Wee Tse said that the Johor state government is in the midst of discussions with a company from China on its plans to invest more than RM1 billion to set up a tyre manufacturing plant in the state. The deal may be sealed by year-end. He shared, “We are now at an advanced stage of discussion with them, and hopefully by the end of this year we will be signing a memorandum of understanding.” (Okay, let’s be very objective yeah. A memorandum of understanding  (MOU) is not yet ‘an investment.’ Usually, a MOU meant that both parties wants something beneficial to happen and it may or may not result in an investment. Depends on how attractive the business is to the state and depends on how attractive is the proposal from the state to the Chinese company. So, still some time to go but definitely a positive news for now)

While waiting for even more investments, let’s look at another tourist puller. My good friend came back from Legoland Johor just three weeks ago. He said he ‘nearly died’ for agreeing to take the roller coaster with his daughter. He said his daughter does not want to sit next to a stranger. I laughed at him and I will be worried when I bring my kids there in the near future. Legoland Johor is one good reason for visitors to visit Johor and one good reason why accommodation is needed and the mushrooming of hotels and AirbnB units too. I asked him if the theme park was still well maintained because Legoland is already 6 years old currently. It was opened in 2012. He replied maintenance is still okay and Lego lovers would love Legoland. However there’s definitely some signs of the usual wear and tear. Visitors were still aplenty during his visit on a weekend. By the way, another attraction coming end of 2018 too.
SEA LIFE will open. Here’s that earlier media report.
 Happy evaluating Johor property market.

written on 6 July 2018

Next suggested article:
Recent updates: Iskandar, Johor. Ferry, RTS and flights

Share this:
Tweet
Telegram
WhatsApp
Like this:
Like

Loading...


RM1 billion investments and 3,300 new jobs within 5 years.

Latest updates about KLIA Aeropolis.  Malaysia Airports Holding Bhd (MAHB)’s initial investment of RM150 million for two business components will yield RM1 billion worth of investments within the next five years. MAHB general manager of land development Randhill Singh said there are multiple economic impact on this initial investment, namely the air cargo and logistic component well as the aerospace and aviation. He said, “One of our main priorities in 2019 is to continue develop the Digital Free Trade Zone (DFTZ) and the master planning for Subang Airport Regeneration which include the development of Subang Aerotech Park as part of the overall KLIA Aeropolis masterplan.”
Full article in NST here.

He added, “As of right now, RM60 million from the RM150 million have already been used for DFTZ and the rest would be used towards the development of Subang Aerotech Park.” Due to all these investments, a total of 3,300 jobs will be created within the next 5 years. Randhill also explained that out of the RM1 billion expected investment, 50 percent of it is likely to be from foreign direct investment (FDI). He stressed that MAHB is not looking to develop any kind of townships within the KLIA Aeropolis as the development’s focus is in industrial and residentials.  KLIA Aeropolis is envisioned as a state-of-the-art aviation hub surrounded by customised transportation links, differentiated commercial offerings as well as corporate suburbs connecting workers to the global marketplace once it is completed in 2050. It is twice the size of Putrajaya and is more than 100 sq km.
Full article in NST here.

I regard KLIA Aeropolis as a continuous catalyst to areas surrounding KLIA. As for people working in KL and buying over there, perhaps that’s not as likely. However, if we look at the number of visitors travelling to and from KLIA, the spillover of the need for accommodation, services and many others meant that there are lots of business opportunities. This is on top of all the workers working within KLIA and its surrounding areas as well as all the future new jobs which will be created from the hubs too. Happy following the progress of KLIA Aeropolis. I will too.

written on 21 Dec 2018

Next suggested article:
KL Aeropolis, major thrusts and RM7 billion of investments.

Share this:
Tweet
Telegram
WhatsApp
Like this:
Like

Loading...


With RM1 billion, PTMP will be carried out much faster

Penang Transport Master Plan (PTMP) is important to the future growth of Penang. Let’s not debate on how much benefits it could being versus the cost. Just like the HSR KL – SG, everything is now muddled. The question everyone should just understand is whether there’s a long term benefit. If it is a yes, then the cost is actually an investment. Simple decision.PTMP definitely would have a long term benefit too.  Earlier article here:
PTMP is needed for Penang

This is the reason why the faster it is implemented, the faster Penangites could enjoy the benefits. Perhaps even the property market could be rejuvenated too. (Currently, it’s a little quiet. Of course, there’s IKEA opening in 12 months but this is not a huge catalyst for Penang. Perhaps more for Batu Kawan. Earlier article here:
IKEA Penang opening in 9 months’ time. New catalyst?

Penang Chief Minister Chow Kon Yeow said that the state government will be be requesting for a RM1 billion soft loan from the Federal government to carry out both the Bayan Lepas Light Rail Transit (LRT) and the 19.5km Pan-Island Link I (PIL I) from Gurney Drive to the airport simultaneously.
Earlier report on the PIL 1 here.
An article in TheStar is available here.

He said, “If we carry out both at the same time, it will take us about five or six years. Otherwise, it will take 12 years to complete the two projects as we have to do one after the other. With the loan, we can also hold on to selling land to the project delivery partner. The longer we keep, the land value will also increase.”
(The last sentence makes quite a lot of sense. Perhaps good to also quantify the potential as well. Then, I am very sure it’s a much stronger request too)

The PIL 1’s Detailed Environmental Impact Assessment can now be viewed at 10 locations in Putrajaya, Kuala Lumpur and Penang until Aug 10. However, Chow said that it was too early to discuss the matter as they must first secure approval from the authorities to carry out the project. These approvals he hope to get them by end of the year. In terms of PIL 1’s effects on Penang City Park, Chow said the visual impact on the recreational area would be minimised. This is because the contractors would be building a cable bridge with two pillars near the area. (
I hope that besides PIL, that issue of Penang International Airport (PIA) expansion also be handled on a priority basis too. In fact, if you ask me, I would rate PIA as a much bigger catalyst compared to PIL 1.  One enhances the internal,the other pulls in more potential investments from elsewhere. Happy following.)

*Featured Image source:
http://www.penangheritagecity.com/heritage-buildings-penang.html

written on 29 July 2018

Next suggested article:
Buying is Yes. Following guidelines a MUST. Penang’s Unesco City.

Share this:
Tweet
Telegram
WhatsApp
Like this:
Like

Loading...


RM1 billion target challenging, says OSK Property

Reported in nst.com.my, the Chief Executive Officer of OSK Property said, “We are going through a very challenging economic cycle. There will be a time when the market is robust and there will be a time when the market is challenging.” He said the target of RM1 billion in sales this year will be tough. I think the CEO is quite frank in his assessment. Seriously, many developers are today struggling to sell their developments. Many times, it may not be a wrong product but just an unfortunate timing currently. This, coupled with all the amazing
negative sentiment comments
 meant the market is worse than it should be.

Ong also said that
OSK Property
 would focus on all their projects at hand. Earlier this year, OSK Property Holdings Bhd and the property arm of PJ Development Holdings merged to become OSK Property. On an overall basis, the group has projects with gross development value (GDV) of RM18 billion across Peninsular Malaysia and in Melbourne, Australia. OSK property had no projects in East Malaysia and has no plans to venture there. Some of their projects this year include TimurBay Seafront Residence in Kuantan; Luminari in Harbour Place, Butterworth; a bungalow development in Sungai Petani and the second phase of Windmill Upon Hills in Genting Permai, Pahang.

Besides that, they have also received approval from the state government of Victoria for the integrated property project in Kavanagh Street in Melbourne.
The Australian project is a huge one with a GDV of A$3 billion (RM9.17 billion)

and would be completed in eight years. It consists of four residential towers, an office block, a hotel and a retail podium with a total floor space of 411,000 square metres. He is also positive about the recent Overnight Policy Rate (OPR) reduction. He said, “Lower interest rates will help buyers. It also has a direct impact on us as borrowings become cheaper.” Happy reading.

written on 1 Aug 2016

Next suggested article:
OSK with a totalGDV of over RM18billion (via 1,400 hectares of land)

Share this:
Tweet
Telegram
WhatsApp
Like this:
Like

Loading...


RM10 a few months ago? That same thing may just be cheaper today.

They say prices always go up. I also think so. I have been buying the noodles when RM4 was considered expensive. These days, RM6.50 is considered cheap. 😛 That’s inflation… They also say the government does not understand that the inflation is increasing much faster than the official number. Erm… they may be wrong this time round. Haha… Inflation numbers are now in the red! Not red alert but red as in a negative number.

Just as oil price going up meant petrol price going up and thus bringing with it everything else going up, now that oil price is down, it has also affected the Consumer Price Index (CPI) too. By the way, just like the Overnight Policy Rate (OPR) which is at 10-year low, the CPI is also at a 10-year low too. I wonder if it can also affect the property prices in Selangor or Kuala Lumpur. More details below.

Article in themalaysianreserve.com
 Department of Statistics Malaysia (DoSM) chief statistician Datuk Seri Dr Mohd Uzir Mahidin said the decrease of Consumer Price Index (CPI) by 2.9% to 117.6 points in April from 121.1 in the same month last year — the lowest level since 2010 was because of the decline in transport (-21.5%), and housing, water, electricity, gas and other fuels (-2.2%) and this contributed 14.6% and 23.8% of overall weight respectively.

Food and non-alcoholic beverage rose 1.2% year -on-year and this contribute 29.5% of CPI weight.  If we look at states, for April 2020, the CPI fell between -2% and -3.9% across all states, led by Kedah and Perlis (-3.9%) and followed by Sarawak (-3.8%). CPI for Sabah and Wilayah Persekutuan Labuan declined -3.7% each. Meanwhile these states continue to show an increase in the index of food and non-alcoholic beverage. They are Selangor, Putrajaya, Perak and Terengganu.  Please do refer to full details in the article here.
Article in themalaysianreserve.com

Okay, so food price is still going up. Naturally, it should. In the world of food, the best food has the longest queue and higher price every year.  The not-so-good food is not famous, no queues and needed to sell at a cheaper price in order to get some order.  This is called ‘competitiveness’ yeah. This is why some food stalls, you can see them working hard for just a few hours and when they close their stalls, the car they drive home in will make most of us envy.

Earlier article here:
Is inflation your friend or foe?
  High inflation numbers every year is bad. Low inflation numbers for many quarters would also reflect the economic situation too yeah. Logically, no one would want to keep reducing the price they sell their goods and services unless the demand has gone down tremendously. So, grab opportunities to buy nice seafood yeah. Once the world market demand grows back, these XXL prawns will be grossly expensive again. For now…
XXL sized black tiger prawns
 Happy enjoying a low inflation for a while more.

Please LIKE
kopiandproperty.com FB page
 or
Sign Up for free
 to get daily updates about the property market. Else,
follow me on Twitter here.

Next suggested article:
Just a hedge against inflation. A power one.

Share this:
Tweet
Telegram
WhatsApp
Like this:
Like

Loading...


RM10 billion investment into Malaysia within 10 years by CPCG

Forget all those perceptions of Malaysia’s relationship with China. Chinese companies still love Malaysia and will continue to invest here. As usual, the more investments coming into Malaysia, the more will be the demand for properties too. This is especially if the professionals employed in these companies are the highly skilled ones. Let’s understand that highly skilled professionals are well remunerated because they could choose to work anywhere in the world and not necessarily Malaysia.

Latest news in TheStar:

A top 100 company in the 2018 Fortune Global 500 nonetheless. China’s Pacific Construction Group Ltd (CPCG)’s founder Yan Jiehe said Malaysia “is business friendly, and one of the most competitive countries in the region”. He has plans for a
RM10bil investment over 10 years in areas including infrastructure development and hi-tech machinery. He said,
“The country’s fundamentals are strong. You have excellent infrastructure, a robust eco-system and a big pool of trilingual talents. Kuala Lumpur, is thus, a strategic launch pad for our expansion into Asia Pacific.”

Yan also added, “With our track record of having successfully delivered complicated construction projects in China, we are confident that, in collaboration with local partners, we will be able to do the same in Malaysia.” It has set up CPCI Holdings Sdn Bhd (CPCI), a wholly-owned subsidiary in Kuala Lumpur as its regional technical competency centre.
CPCI is involved in a RM200mil construction project in Sahabat, Sabah. Yan added that they are planning to employ 150 highly skilled professionals of which HALF will be Malaysians as they will be positioning
CPCI as a major player across the Asia Pacific region. With CPCI, the group would be able to optimise its operations by centralising its regional decision making and key activities in Kuala Lumpur including accounting, strategic business planning, business development, bid and tender management, as well as engineering services.

CPCI plans to set up business schools and universities, and provide scholarships to local students. As a start, 500 scholarships for construction and engineering students will be provided. CPCG had a total revenue of RM319bil and it is the biggest private-owned construction company in the world.
Full article in TheStar here.
 Happy following.

written on 12th Oct 2018

Next suggested article:
RM1 billion investment from China into Johor

Share this:
Tweet
Telegram
WhatsApp
Like this:
Like

Loading...


RM10 million property, anybody? What’s the mortgage like?

I was recently involved in a simulation of a dual-bidding option for a Malaysian bank. Dual-bidding means the bidder may choose to register as a floor bidder or an online bidder to bid at an auction. Whether they are online or offline bidders, both would be bidding against one another at the same time, within the same auction and conducted by the same licensed auctioneer. During the bidding process, a bank officer bidder RM700 million for a property and she lost to another bank officer and she lost to another officer who put in RM800 million. Of course, this is just a simulation and both of them would not be asked to pay. 🙂  In real life, I have viewed condominiums which are a few million ringgit as well as landed bungalows which are also a few million ringgit. Assuming you suddenly win a lottery today and you decided to buy a property which is RM10 million, do you know what are your choices?

Let’s take a look at what I found in iproperty.com.my today. Image showing four  different properties which are both above RM10 million. These are your real options. So, which one would you choose? RM12 million for  9,500 sq ft land, RM16 million for 20,850 soft, RM10.3 million for 6,931 sq ft and RM12.5 million for 11,400 sq ft. Me? I am biased towards the super luxury condominium and second choice would be the BEST VALUE; lowest price per sq ft. Yeah, the RM16 million property since the land area is the biggest. For the super-rich, I think their major consideration is the area that the property is located. Birds of a feather flock together. We could see that the areas for these 4 properties are either Mont Kiara, Bangsar or Damansara Heights. All three are considered hotter areas. By the way, assuming we are buying a property which is RM10 million, do we know how much is our monthly repayment?

Let’s take a look at what I found in propertyguru.com.my’s mortgage calculator. Assuming we are buying a RM10 million property and we pay 10 percent downpayment and borrow the remaining. That’s RM9 million worth of loan. The payment per month is only RM44k. By the time we finished paying for it; end of 30 years, the total interest paid would be RM6.8 million. Now, do we know why property prices would be increasing as the year goes by? The owner would not want to part with the property if he / she suffer a substantial loss from the sale. These huge sized bungalows or even condominiums within a hot area will not be increasing in the future. It’s either buying further or paying higher. Choice is clear. 🙂  Okay, enough of day-dreaming. Start a business and we may one day buy one of these.
Working full-time and earning a basic salary?
All the best yeah. Happy learning.

Please LIKE
kopiandproperty.com FB page
 or
Sign Up for free
 to get daily updates about the property market.

written on 21 Sept 2017

Next suggested article:
Becoming a millionaire by working just 9 to 5?

Share this:
Tweet
Telegram
WhatsApp
Like this:
Like

Loading...


RM100 Billion Simpanan Shariah, 25% snapped up in week 1.

Yes, I shared about this a few weeks back. I think this an option which we should know, whether or not we decide to switch over. Read here for the earlier one.
EPF new Shariah-compliant savings scheme

Latest news is that out of the initial RM100 billion allocation, about quarter has already been snapped up within first week of registration. EPF chief executive officer Datuk Shahril Ridza Ridzuan said: “The take-up rate has been extremely encouraging this first week of registration and we believe that members will continue to come to our counters to register for Simpanan Shariah 2017.”

As per media reports, a total of 208,795 EPF members have registered for their EPF account to be switched from the conventional one into the Shariah one based on syariah principles. Closing date to register would be Dec 23 2016. For those who did not register in time, members could opt to register next year. Shahril said, “We expect to increase Simpanan Shariah by RM20bil to RM30bil every year, subject to members’ demand and availability of assets. Members will have the opportunity to switch in a future year even if the initial RM100bil allocation is finished for 2017.”

I think it’s more important to understand that where investments are concerned, this Simpanan Shariah would have to comply with requirements based on syariah principles while the good thing is that the Islamic banking outlook and growth remains positive. Just look at the number of countries trying to get a slice of this including our
ASEAN neighbours

and you would get the idea. Returns wise, I really do not expect it to be very different. This is because EPF has started to invest more overseas and this would of course be more volatile even if more lucrative at the same time.
Read more if needed.

written on 14 Aug 2016

Next suggested article:
Turning RM100 into Rm76,000, how to do it?

Share this:
Tweet
Telegram
WhatsApp
Like this:
Like

Loading...


Turning RM100 into RM76,000. How to do it?

My colleague is someone who looks through all the banknotes in her wallet every time and she would keep some pieces which have special numbers. For example, those with triple 8s. I do not think she intends to sell it to the highest bidder but it’s just an interest. I have also started doing this after my friend told me about the potential of banknotes with special serial numbers. However, both of us should bear in mind that the main issue with these banknotes would be that the note itself might no longer be in its original condition. It may even be oily or worn out due to wear and tear.

How about if we have a piece of banknote which we have kept for some time and the serial number happened to be AA8888888? Well, we should not because that particular banknote was kept by Bank Negara Malaysia and they have just gotten their official auctioneer, MNP Auctioneers to conduct the second edition of the banknote auction. First one was last year. Read here:
Banknote Auction Malaysia, First One Ended on a High Note.

This AA8888888 RM100 banknote was won by a Malaysian collector who bidded RM76,000 for it. Yes, it’s the price of a new Toyota Vios for one RM100 banknote. Before you say this is crazy, do google online and understand that banknote investment is indeed more of a norm in the developed markets.

MNP Auctioneer’s Managing Director, Stephen Soon said that, “The number eight is a homophone for the word ‘prosperity’ in Chinese, hence its popularity. In Malaysia, twin prefixes and solid numbers are the most popular among collectors.” For the second official BNM banknote auction, all the winers of the banknotes bidding would get a framed note and a certificate of authenticity signed by the BNM governor herself, Tan Sri Dr Zeti Akhtar Aziz. Perhaps the third auction would see a n even higher record bidding? From the looks of it, I think this is very possible.

I do not see myself as a serious banknote investor. Not now anyway but I think this type of alternative investment is pretty interesting. Just like in some countries, people even invest in wine or antiques. The reason is the same; scarcity. Of course, the extra benefit for wine investment would be that should one is too thirsty, one can also open a bottle to drink. Stamps can also be something worthwhile but between stamps versus banknotes, I think I would prefer the banknote. At least, the banknote is a legal tender and IF it is no longer a legal tender, then it’s even better as the value would be higher. Think about it and perhaps take action. Take notice of the 3rd auction in the near future.

written on 7 Apr 2015

Next suggested article:
BANKNOTES from BNM. Understand from the expert on investing in one.

Share this:
Tweet
Telegram
WhatsApp
Like this:
Like

Loading...


This RM100 is positive for the property market.

Some say they prefer to drive because it’s only very slightly more expensive than taking the LRT / MRT or public transport. It’s arguable because typical monthly parking in KL should be RM250 or higher. It is definitely untrue come 1st January 2019. The 30-day unlimited Rapid bus and rail pass will be available to Malaysians. The 30-day unlimited pass comes in two versions. The RM100 pass can be used on all Rapid Rail services, including LRT, MRT, Monorail, the Sunway BRT service as well as all Rapid buses, including the MRT feeder buses. The RM50 pass applies only for unlimited travel on all Rapid bus services in the Klang Valley. There’s no way drivers could beat this RM100 monthly pass yeah.

Our Transport Minister Anthony Loke said, “The usage of this unlimited Rapid bus and rail pass is limited only to Malaysians. Therefore, users can only subscribe to the pass using their MyKad or MyTentera identification cards.”  He added, “Users can start registering for the pass in December, and it can be utilised from 12.01am on Jan 1. So if you are out celebrating the New Year’s countdown, you can already use the pass to travel back home.” The more Unlimited Travel Pass users, the better it will be for the government due to economies of scale. (In brief, one person taking the train will incur the same cost as 100 persons within the same train) This pass does not apply to KTM Komuter because it has different cost and ticketing service.
Article in theStar here.

This is good news to the property market. Users can actually choose to stay further too because the properties are cheaper when it’s further. As soon as we see the number of users increase significantly, we should see property transactions for areas nearby these stations to increase. Hopefully property prices remain almost the same since there are now by far more property choices nearby the stations. In other words, the supply is now expanded too. Now the ball is in Malaysians’ court. Change lifestyle, save more money and perhaps a home sweet home upgrade once we have enough downpayment savings. Happy travelling cheaper.

written on 4 Nov 2018

Please LIKE
kopiandproperty.com FB page
 or
Sign Up for free
 to get daily updates about the property market. Else,
follow me on Twitter here.

Next suggested article:
Falling property prices, expectations and cooling measures

Share this:
Tweet
Telegram
WhatsApp
Like this:
Like

Loading...


RM100 per month, 190 rooms, max of 18 months.

[Header image from NST.]

Yesterday in a talk in Sunway Pyramid, I asked the audience about the home size which they could accept, assuming price is becoming such a huge issue that the size of homes must be made much smaller. The smallest answer I got was 400 sq ft. I showed them the image of a mosquito flat in Hong Kong and the size is merely 160 sq ft. Image as shown.  Well, that’s when they need to buy a home. What if it’s for a short-term rental then? Well, perhaps a room more likely a room in a budget hotel is acceptable then? DBKL’s solution for youngsters from the B40 income bracket will be ready soon.

Article in NST.com.my here.
 There are two phases and the first phase will be completed by the end of 2019. 190 tenants could then rent a room each for a maximum of 18 months. The room units measure 7 sq metres (73 sq ft) each. The furnishing, appliances and facilities provide are beds, microwaves, pantries, surau, reading corner and laundrette. There would also be a guard and warden to keep the facility and its tenants safe. KL Mayor Datuk Nor Hisham Ahmad Dahlan said the units are chiefly for single Malaysians aged 18 to 28, earning RM2,000 or below and working within a 25km radius of the facility. He said, “Registration for the first phase should open by August. Tenants have a choice of signing a tenancy for one year or 18 months. They cannot exceed this term because we need to rotate the units for the benefit of as many young and struggling Malaysian workers.”

DBKL will be spending RM5 – 7 million to remodel the homes. No maintenance charge would be imposed except for the RM200 and RM100 collected as deposit and rental, respectively. The mayor said that the other locations for these homes in the future include Jalan Putra, Jalan Tiong Nam and Jalan Haji Hussein. Please refer to the full
Article in NST.com.my here.

190 tenants x RM100 per month = RM19,000 per month. Hopefully, this is enough to cover the maintenance of these units and the salaries of the guard and the warden PLUS some extra amount for contingencies. Already the cost to remodel these homes are said to be RM5 million. For a unit with 190 rooms, it’s RM26k cost per room. I would not say this is a high amount as long as everything is durable to last at least a couple of years? Well, with more experience, I am very sure DBKL could reduce these costs further. Perhaps have a contest where the best design with the lowest cost is taken? Malaysians are pretty creative and I am sure everyone benefits from lower costs. Happy following.

Please LIKE
kopiandproperty.com FB page
 or
Sign Up for free
 to get daily updates about the property market.

written on 16 April 2019

Next suggested article:
Stop all new developments in Mont Kiara and Sri Hartamas (proposed already)

Share this:
Tweet
Telegram
WhatsApp
Like this:
Like

Loading...


What can RM100 so?  Unlimited rides? More, actually.

I think many people love our new Transport Minister Anthony Loke because of this statement, “Unlimited monthly public transportation pass to come on board early 2019, says
Loke.” That article was in TheEdgeMarkets.com.
  No, not just those who are taking the public transport today. It will also include those driving to work whose office are a couple of hundred metres from the LRT / MRT / KTM etc and is today losing so much of their cells due to traffic jam stress. Seriously, did you know that
Stress kills Cells? Even brain cells! Click to read what Scientic American publication has to say.
  I take the MRT once every week these days and frankly, when I do not have much appointments here and there, MRT is okay for me! So, what can this RM100 public transportation pass do? Let’s look at the potential for property market first shall we? This is more for the Greater KL property market yeah.

Property market with RM100 Unlimited Transport Pass (UTP).  Instead of spending a typical RM600 per month for petrol, toll and parking, it’s a RM500 savings! Did you know that if we put all this RM500 into the mortgage payment, we can afford to buy a home which is RM100,000 more? Technically, it’s possible for one to move up from renting a place or a room to owning an affordable property. It is totally possible from owning to upgrading. In other words, if one wants to stay more comfortably at a bigger place for example, that’s possible. Last but not least, from upgrading to investing! (yes, a second property). When it comes to owning a second property, that’s a whole new exciting story!

Okay, what happens if one is not driving then? A typical daily budget for public transport should be lower than RM10 per day. (Just to and fro home to office and not when one goes for shopping, eating etc and needs to pay more)  We assume it to be RM8 per day, that’s RM8 x 30 days = RM240.  In other words, one could easily have another RM100 every month which could be spent on something else! It could even be into a unit trust which could transform into lots of money. Take a look at some simple calculation of putting in just RM100 per month for 5 years. Over RM7k is very good money yeah. It could be spent whichever way one wants it or just continue doing the same thing for the next 30 years, the money would have tripled. RM100 x 12 months x for 30 years is RM36,000. Compounding interests would make the figure to be higher than RM100,000. That’s the power of a small RM100.

Before everyone thinks all the money MUST be invested, well why not we spend it? We could become a happy consumer too. There’s really no end to the things that we wanted to buy anyway and this RM100 per month will come in handy. This will provide a multiplier effect to the retail sector which is good. Then the employees in the retail sector would earn more money and well, buy even more properties. Haha. Anyway, do remember that not spending for petrol, toll and parking does not mean one is not buying a car yeah. Malaysians love to have a car. It gives convenience when they need them. Maybe in the future, we may forget cars. For now, unlikely. By the way, most Singaporeans would love to own a car too if the price and associated costs could have been lower. Not everyone loves to carry two shopping bags to take the MRT and standing for the next 40 minutes yeah. We have not even started with what happens when they have a baby. Taking the MRT with a baby or kids? Frankly, it’s not that friendly yeah unless it’s not the usual rush hour. Waiting for that RM100 plan to be executed soonest possible. Maybe if YB Anthony saw this article, he will implement this faster? It’s good for the economy!

Please LIKE
kopiandproperty.com FB page
 or
Sign Up for free
 to get daily updates about the property market.

written on 1 Aug 2018

Next suggested article:
How to invest when we are used to spending since young? Parents, take note.

Share this:
Tweet
Telegram
WhatsApp
Like this:
Like

Loading...


RM112,000 pocket money or a flight ticket? Flight ticket please.

It’s a privilege when kids have parents who are very rich.
When I was in Bristol, UK for my degree, I got to know a few students from Hong
Kong. One female and one guy. Both very nice people and have no arrogance
whatsoever to Malaysians. At the time, the advice was for all students to carry
with them GBP5,000 for one year living expenses. The exchange rate then was
around GBP1 to RM7.50 (final quarter of 1998).

So we had a few Hong Kong friends. One day, during one one
the conversations, the lady said to the guy. I have nearly ran out of my pocket
money for the month. The guy replied, ‘me too. I really wonder how could we
survive with just GBP2,500 per month.’ My wife (girl-friend then) smiled to me
and I smiled back. How could we reveal that we were surviving with GBP500 per
month? (roughly RM2,626 today) Okay, not everyone’s that rich yeah. We have a
more normal Hong Kong classmate who told us that she saves a lot because it’s a
virtue. Coming back to the present day, wealthy people could be from Hong Kong
or it could be from Shanghai too.

Article in thestar.com.my
 Jeff Gong, a lawyer in Shanghai, asked his daughter, a high school student in Wisconsin, if she wanted 180,000 yuan (RM112,753) as pocket money or a ticket on a private flight home. He said, “My daughter begged me to get her back home … She said ‘No papa, I don’t want the money, I want to go home.” The flight via private jets may take up to 60-hour with multiple transit hops.

US infections for COVID-19 is topping 50,000 while in China, it’s fallen to zero. The window for chartered flights are also closing fast. Beijing has banned all chartered flights from overseas and Shanghai is expected to follow suit soon. Hong Kong and Macau have blocked transit flights. Glenn Philips, a PR and advertising manager at Air Charter Service said, “We have arranged a number of private jets travelling from the US to China repatriating Chinese nationals with routes including New York and Boston to Shanghai, San Jose to Hong Kong and Los Angeles to Guangzhou.”
Please do read the full Article in thestar.com.my

It’s a scary fact. The number of new COVID-19 cases in the U.S is increasing so rapidly that it has just exceeded Italy’s as at 11:56pm (26th March 2020)
 Latest numbers here. (click)
 Having wealth is important but many are worried with their health at the moment. Never mind that the death rate from COVID-19, even in the US is still just a very small percentage point. What matters more would be the emotional fear of reading the news everywhere…

Hopefully, everyone gets home safely. I could almost feel the feeling of Malaysians who were stranded in Iran or India and finally touched down in the Kuala Lumpur International Airport. When it really matters, home is usually better. It’s familiar and it’s where we could get support even if not from family members, then at least fellow Malaysians. In a foreign country, it will always be much harder. Stay home and stay safe.

Please LIKE
kopiandproperty.com FB page
 or
Sign Up for free
 to get daily updates about the property market. Else,
follow me on Twitter here.

Next suggested article:
Potential cut in May 2020. Happy?

Share this:
Tweet
Telegram
WhatsApp
Like this:
Like

Loading...


RM1,480 psf only, Shah Alam, I-City

I was at I-City to watch the lights two days ago with my in-laws who came from Penang and Sandakan. Everyone had a great time with the lights though at times, we do feel it’s warm. Perhaps due to El-Nino which has started? I have no idea. Before I-City, we had dinner at my favourite mall, Setia City Mall. I think I can stay in Shah Alam happily if I have a chance.

Then, today I read a news about I-City intending to sell new property launches in 2016 at close to Rm1,480 psf. Let me repeat. That’s RM1,480 psf in I-City Shah Alam. An area that is not yet heavily populated and in an area which I cannot say low end but luxury is certainly not a term that I would use to describe their residential projects there either.

So, what makes a property worth RM1,480 psf? I think the location is very important. If I can afford RM1,480 psf, there are many locations which is open to me. Thus far, Shah Alam is considered premium when compared to many other secondary areas such as Selayang, Kepong or even the place I am staying today, Damansara Damai. However, I seriously think RM1,480 psf is not going to be a value I would personally be willing to pay. Fortunately, I-Berhad said, RM1,480 target is only going to be the launching price psf in 2016. Let’s remember though that location attractiveness can be man-made. In these two years, I am sure more developments would come up to support that launching price when the time comes.

Note that I did not talk about quality finishing, facilities etc because for RM1,480 psf, if the socket points are not double that of my RM540,000 condo, then the developer better not talk about quality at all. It should be a given. Even the tiles used, the swimming pool design, basically everything. For now, I-Berhad needs to build up the location to be sought after and first choice within 2 years. I said I can certainly stay happily in Shah Alam but I can’t say that I am open to that price yet.

written on 10 June 2014

Next suggested article:
Setia City Mall, a mall I like, more than Paradigm Mall.

Share this:
Tweet
Telegram
WhatsApp
Like this:
Like

Loading...


RM15 billion development in Bandar Puncak Alam

I attended an external training the other day in Klang and one of the participant came from Bandar Puncak Alam. When asked if Bandar Puncak Alam is inside Shah Alam, she said no. A check in google map showed that Bandar Puncak Alam is 35 minutes or 30km away! Shah Alam has always been a popular choice for many. So would Bandar Puncak Alam become the choice for many? EcoWorld will be launching their RM15 billion Eco Grandeur in Bandar Puncak Alam in September.

As per reported in The Edge, this is modern integrated green township and Eco World’s chief executive officer Datuk Chang Khim Wah said that the entire project will be completed in 12 to 15 years. Phase 1 will be completed in three years. Adjacent to the project would be Eco Business Park V. As usual, I would always use KLCC Jalan Ampang as a benchmark for how far is this project from the city centre. Take look at the image for the google map. Yes, this is definitely not a nearby KL kind of project. Thus buyers may have to change their lifestyle or it may be attracting
those working population from nearby areas

looking for an upgrade from their current smaller or less attractive homes.

Pricing wise, it looks “affordable.” Already lower priced than many condos within the 15km radius from KL city centre. Two types of landed homes were previewed. The two-storey garden homes and two-storey terrace homes, with prices starting from below RM500,000 and RM650,000 for the Graham Garden two-storey terraces and the Avenham Garden two-storey garden houses respectively.
Connectivity wise
, it has access to Guthrie Corridor Expressway, KL-Kuala Selangor Expressway, North-South Expressway, the proposed Damansara-Shah Alam Expressway and the upcoming West Coast Expressway, to be completed in 2019.

We may believe the property sales outlook is gloomy but according to Chang, Eco World is on track to meet is RM4 billion sales target for financial year ending 31 October 2016. He shared, “For us, for the segment that we are in, like here,
 the outlook is still very positive.
 Our sales so far, in terms of landed residential all over Malaysia, has been very strong. Sales of some of the commercial properties also remain very strong.” Yes, its sales gallery is already open. Perhaps one of these weekends when I am in KL, I will drop by. Happy viewing.

written on 12 Aug 2016

Next suggested article:
Eco World in Penang? RM875.24 million land for Eco Horizon and Eco Sun

Share this:
Tweet
Telegram
WhatsApp
Like this:
Like

Loading...


2016 Malaysia: RM150 billion worth of construction jobs is positive

These days, we are having an overdose of negative real estate related news right? Now I will share something positive and it is definitely related real estate as well. Let’s talk about the
construction industry Malaysia.
 In 2015, the value of construction jobs in Malaysia was RM124 billion. In 2016, this is expected to hit RM150 billion. According to Penang Master Builders and Building Materials Dealers’ Association (PMBBMDA) immediate past president Datuk Lim Kai Seng, this will help create more than 7,000 jobs this year compared to 6,885 in 2015. More jobs = more people with money to buy properties? Not necessarily but definitely good when more people have jobs.

Datuk Lim added, “The projected increase in value and the number of jobs takes into consideration new mega infrastructure schemes like the light rail transit,
mass rapid transit
, West Coast Expressway, Central Spine Road, and Pan Borneo Highway in Sabah.” This forecast is in line with the forecast of Works Minister Datuk Seri Fadillah Yusuf who said  who expected the growth of the construction industry to be between 8% and 10% in 2016.

According to Chief Minister Lim Guan Eng,
Penang would also be having MORE construction jobs
 to be tendered out and thus creating more jobs. However, value wise it is LOWER because most of the new developments are in the lower gross development value (GDV). Some of the Penang property developers with huge GDVs include Ideal Property (RM4.38bil GDV), Ivory Properties Group Bhd (RM1.8bil GDV), Eastern & Oriental Bhd (RM1bil GDV), and IJM Land Bhd (RM400mil GDV). There are also others such as Eco World Development Group Bhd and Mah Sing Group Bhd and affordable projects by others developers for first-time house buyers.

I think it’s clear that the economy is still moving and the current rout in both the stock market and the ringgit is likely to be triggered by external factors instead our own. In this case, the “awesome”
Brexit vs Bremain referendum
. Oh yeah, there’s now an online petition for ANOTHER referendum to determine if the first one should be abandoned. Well, for those happily searching fora new home, all the best year. Yes, banks are still approving loans as long as we are not spending more than necessary. Happy believing.

written on 27 June 2016

Next suggested article:
LRT 3: Bandar Utama to Johan Setia, Klang, updates

Share this:
Tweet
Telegram
WhatsApp
Like this:
Like

Loading...


Spending in Malaysian airports? Liquor, cigarettes and COSMETICS!

How early do most of us arrive at the airport? If it’s international and I am taking MAS, I usually arrive 2 hours before. If it’s a low cost airline, I would usually arrive 3 hours earlier, especially if I needed to drop my luggage. Assuming it’s 2 hours before, after we have checked in the luggage and walked into the departure hall and passed the immigration, we have perhaps 90 minutes left before the flight. Since we needed to board 30 minutes before, it meant that we only have around 60 minutes to shop. Is this enough? Haha. Okay, most of us do not shop in the airport. I also do not check in the luggage and then go to
Mitsui Outlet Store to shop too.

Within that remaining 60 minutes, occasionally, I would buy some chocolates or liquor at the airport. I bought a bottle of Baileys just a few months back. It would last me a year, usually. I consider it cheap and the fact that I get additional discount because of my CIMB credit card meant it’s value for money.

I used to spend for food but these days I would
eat and drink in the Plaza Premium Lounge instead.

The reason for buying chocolates is mostly for colleagues. I think most visitors to KLIA does the same as me, right? According to an
article in TheStar
, liquor and cigarettes were the two best-selling items in Malaysian airports. The reason according to Malaysia Airports commercial services senior general manager Mohammad Nazli Abdul Aziz was because these items are duty-free. However he revealed that cosmetics are now catching up, especially because of Chinese travellers. He further shared that Chinese travellers spend an average of RM1,700 per person for shopping at Sepang, Bayan Lepas, Langkawi, Kota Kinabalu and Kuching airports. Yes, it’s RM1,700 per person! Usually within that one or two hours of shopping time since no one stays inside airport departure hall for many hours unless they are waiting for flights. Sometime back, I wrote an article about cosmetics companies too.
Defensive stocks? How about ‘cosmetics’ related ones?

This is the reason why I think airports must have LOTS of brands for everyone to browse. Come on, how many like to just sit on the chair and do nothing for 90 minutes? Recent few weeks, I have travelled a bit. In fact for the month of May, I was in KL only for 6 full days. Rest of the time was spend in other countries or states. I have been to HK International Airport a few times and I still think I need more time if I would like to view all shops thoroughly. Changi Airport is the same too. There are enough shops to keep everyone occupied and well, attracted to buy too. This applies to even Thailand’s Suvarnhabumi airport. (So much to buy even if some souvenir shops are the same) Fortunately these days, KLIA has also improved a lot and the results above has shown that we can do even more. We can have an increasing number of passengers using KLIA. Just make sure these people SPEND too… Dear non-Malaysians reading this, welcome to Malaysia, a shopping haven. Your shopping starts and ends at the airport! Cheers.

written on 3 June 2017

Next suggested article:
Freeze licenses for shopping malls? Well….

Share this:
Tweet
Telegram
WhatsApp
Like this:
Like

Loading...


EcoWorld: RM1.1 Billion for 2,198.4 acres of land in Kuala Selangor

Sometimes, some land deals would surprise me. Reported in The Star, this one surprised me tremendously. EcoWorld has proposed to buy 2,198.4 acres of land in Kuala Selangor for RM1.181 Billion for a mixed eco township with a gross development value (GDV) of about RM15bil. This is approximately RM12.33 per sq ft. According to EcoWorld, this price is at a discount of 0.7 percent versus the value of the lands. Overall land cost vs GDV is thus at 7.9 percent, considered low but do note that this depends on the final GDV number which can change depending on the type of developments and relevant economic circumstances.

Some planned developments include 1,400 acres of mixed eco township development to be known as “Eco Gardens” consisting mainly landed and high rise residential homes. There would also be a 518 acres of integrated gated industrial hub to be known as Eco Business Park V. Another 280 acres would be for Laman Indah which is an affordable homes project. The estimated RM15 Billion GDV will be for a development period of 15 years. This piece of land is approximately 45km from Kuala Lumpur city centre, 40km from Petaling Jaya city centre and 18km from Sungai Buloh town centre.

This purchase would be undertaken by its unit, Paragon Pinnacle Sdn Bhd (PPSB). The deposit for this acquisition would be funded by internal funds while the balance deposit and balance sum will be funded through a combination of internal fund, bank borrowings and/or equity funding. EcoWorld also said that its management intends to acquire this sizeable piece of strategic land without over-extending its balance sheet. Thus, it would be inviting “like-minded” institutional, private equity, corporate partners to co-invest and fund PPSB. This would of course reduce EcoWorld’s stake in PPSB but it will maintain a minimum of 30 percent equity to ensure the group continues to enjoy a meaningful share of the development profits. This deal is expected to be completed by the second quarter of 2016.

Latest Update: Reported in The Edge. This acquisition may face some problems after the Mentor Besar Incorporated Selangor (MBI) said that one tract; the 14 pieces of land that EcoWorld is acquiring from Mujur Zaman Sdn Bhd (MZSB) are currently involved in an ongoing legal case.

Land acquisition of this size is never easy and development of this scale is likely to garner huge attention as it is being undertaken by one of the largest developers in Malaysia. I support this development because this is going to extend the availability and location choices into a much wider choice. I think it will benefit the market, especially those who are okay to stay slightly further away and driving instead. Anyway, the distance of Klang into KL city centre, as per Google Map is already at least 40km. I have many colleagues who are driving from Klang to office everyday. My office is in downtown KL. Yes, would love to drop by when the deal has materialised. Happy waiting.

written on 23 Sept 2015

Next suggested article:
“We prefer the Klang Valley and Penang over Iskandar”

Share this:
Tweet
Telegram
WhatsApp
Like this:
Like

Loading...


RM2.5 billion sales target? No sweat. As for branding….

Times are slow. It’s hard to sell. So, should developers postpone or still launch? I personally think that the number of units being launched is not lesser than previously. These days, SMSes about new launches come to me every other day. However, with this huge new numbers, it meant that the prices would also have to adjust accordingly; downwards. According to Sun Tzu’ Art of War, “Attack is the secret of defense; defense is the planning of an attack.” I think this is a sign for developers to continue launching new developments BUT with the right product at the right pricing levels. Based on the occasional news about the many successful launches where buyers camp overnights etc, perhaps the market demand is still there but the projects better be a good one. One developer has just confidently shared that it should hit its RM2.5 billion sales target for its financial year ending June 30 2017. Here’s the full article in
thestar.com.my

Its managing director Datuk Jauhari Hamidi said one major reason for the confidence is due to its launching of more than 2,000 affordable homes. Here’s an earlier article about it
Sime Darby’s affordable housing project in City of Elmina

He shared, “Affordable housing, that’s the theme. This financial year, we’ll be launching more than 2,000 affordable homes. It’s at the right pricing level. The prices are determined by the Government, so we should be hitting a good take-up rate.” Besides selling more of these affordable homes, Sime Darby is also seeking to boost its brand image. One such initiative is through the sponsorship of the WTA Malaysia Open 2017 tennis tournament. With this title sponsorship, it will be known as Alya WTA Malaysian Open 2017.
Alya
 is a RM8 billion gross development value project in Bukit Kiara, Kuala Lumpur. It is 8km from the city centre.

I have many friends who play tennis. Somehow, they are always the richer lot when compared to my friends who play badminton or even squash. Perhaps this is the reason why Sime Darby Property Bhd is looking at the tennis tournament. Perhaps their target would also be foreigners who are also watching the tournament as well. Oh yeah, do you want to know how’s the reach for Alya whether directly or indirectly? Actually not too bad. It’s on a worldwide basis. Take a look at the image from google search bar. On a separate note, when we look at the typical prize money offered by either a tennis tournament versus a badminton tournament, the former would offer much higher payout. This sometimes help tremendously in alleviating the image of the sports and yes, the sponsors too. I love squash the most by the way but it’s impossible to get casual players to play squash with me. Sigh…  Happy watching your favourite sports and the sponsor’s brands yeah.

written on 9 Feb 2017

Next suggested article:
Sime Darby’s 4388 ha of Labu land and High Speed Rail

Share this:
Tweet
Telegram
WhatsApp
Like this:
Like

Loading...


RM2.6 Billion GDV for affordable homes within Penang island

When it comes to Penang properties, those within the island has always been seen more favourably than those in mainland. Most of my Penangite colleagues would favour the island part but according to some friends from the industry, it is changing.
Mainland is rising in popularity
 because of new developments there. For example, it’s connected to the Bayan Lepas Industrial area via the second bridge. The
Penang Design Village

has also opened for business. As of now however, affordable homes are considered favourable when it is developed within the island. Another huge one is coming up. As per reported in
thestar.com.my
 It is a RM2.6 billion affordable housing project in Paya Terubong on a 113-acre site in the island. The developer is PLB Engineering Bhd.

Paya Terubong is along the same road as the area I once stayed for over 4 years; Relau. My sister-in-law stays there and I have visited her a few times. It’s always hard to find car parks because long time ago when it was being developed, there were not as many cars as there are today. When we do a search for what’s available within Paya Terubong today, the results showed that the area is a mature one. There are new condos, old condos, mid-priced apartments and even flats. Take a look at the image from propertyguru.com.my Thus, I think many of the buyers would be those already staying there today. Those who just got married and wanted to move out of their parents’ home. I think it includes non-Penangites working in Penang today and even couples with a new baby looking to upgrade from their current rented home for example. There are lots of good food and distance wise, it is nearly 10km away from Georgetown. It will however take around 20-40 minutes on most days. (Google Map also confirmed similar durations)

The project is expected to start in mid 2017. On an overall basis, total number of units as per its Group executive chairman Datuk Seri Ong Choo Hoon is 7,658 affordable units priced between RM300,000 and RM390,000. This will be launched over a six-year period. (I think this meant that construction should take 9-10 years to complete assuming everything is sold quickly as soon as they launched). The first launch would be for a total of 1,280 affordable units with a GDV of RM450 million.  In the near future, another 2,000 units of commercial and residential properties would also be developed. As this is under the affordable project, I think an application via
Penang state government’s site is necessary.
 There are many choices too. Happy applying and wishing you success.

written on 31 Jan 2017

Next suggested article:
Penang property outlook 2017 by Ken Lim, penangpropertytalk.com

Share this:
Tweet
Telegram
WhatsApp
Like this:
Like

Loading...


RM2.6 billion investment into Penang. (one of the partners is IKEA…)

Reported in many articles. This is one of them:
FreeMalaysiaToday.com:
Aspen-Ikea JV invests RM2.6 bil on metropolis in mainland Penang

Aspen Vision City Sdn Bhd, a joint venture (JV) company between Aspen Group Holdings Ltd and Ikea Southeast Asia, has invested more than RM2.6 billion in its 99.15ha master-planned metropolis in mainland Penang. Aspen Group president M Murly said that RM105 million was invested in the first phase of Central Island Park with a 50m-high water jet, which is currently a hotspot in Penang ever since its grand opening in October last year. He also shared about Vervea which was completed in December 2018. He said, “We are targeting to open Vervea for business from the first quarter onwards. We welcome all established local tenants and brands that can cater for the community’s needs in the urban township.”

There will also be a new hotel coming up by Marriott International Inc Hotel Development Asia Pacific. Marriott will operate a 308-room, five-star hotel under the Aloft brand in Batu Kawan. Marriott’s senior vice-president Kevin Chen said that this hotel for Aspen Vision City marked Marriott International’s 29th hotel in Malaysia. Another 25 are either in the planning phase or under construction. He said, “This makes Marriott International the largest international hotel in Malaysia.” Marriott International Inc is based in Bethesda, Maryland, United States, with a portfolio of more than 6,900 properties, including 30 leading hotel brands spanning 130 countries and territories.
Article in FreeMalaysiaToday.com here.

IKEA Penang’s team was in Ipoh last weekend to sign up more members for its privilege card. I think it’s safe to assume that IKEA is going to target most of everyone within a 1.5 hour radius from its Penang store because it is not going to be enough to cater only to Penangites. As for whether the whole Batu Kawan area will now be a hotspot, it depends on employment opportunities and cannot just be due to IKEA alone. This is where more manufacturing plants (FDIs hopefully) would help tremendously. More workers meant more demand for homes and they can choose to stay nearby. This will then enable more businesses to set up and even more people to move into the area. Happy understanding.

LIKE
kopiandproperty.com FB page
 or
Sign Up for free
 to get daily updates about the property market.

written on 6 Feb 2019

Next suggested article:
Now I can buy affordable properties in Penang too.

Share this:
Tweet
Telegram
WhatsApp
Like this:
Like

Loading...


RM2.8 million for one parking spot! World record. Not in KL…. yet.

How much would you be willing to pay for a car park spot? Assuming this spot is your favourite spot? RM50,000? Well, someone just paid RM2.8 million for one.
 This is the full article in NST.
The price was paid by Kwan Wai-ming, the executive director of Huarong Investment Stock Corp. It is his third parking spot at the Upton apartment complex in western Hong Kong’s Sai Ying Pun. The price paid has surpassed the previous high of HK$4.8 million set in October 2016. The price paid is equivalent to the price of a 200-sq ft apartment unit at the One Prestige apartment complex in North Point. Major reason for such crazy prices?
Hong Kong’s property prices. This meant that the prices of offices, apartment units and villas have also lifted the costs of car parks.Only the wealthiest could afford this symbol of status. Next month,
Sun Hung Kai Properties, Hong Kong’s biggest developer by market value will release 224 car parking lots for sale at its upscale project The Ultima in Ho Man Tin. Prices per lot? Only between HK$3.2 million and HK$4 million each.
Full article here in NST.

Actually the price of parking spots in Hong Kong has always been crazy. Land is expensive okay. Here’s an earlier article:
RM348,000 for a 12-square metre car park slot

Obviously no comparison at all. Then again, beyond just car park prices, even the taxi licenses in Hong Kong is expensive. Read about it here:

Even taxi licenses are over RM4 million

How could Hong Kongers afford such a parking space price? Well, they really do earn by far more money than the average professionals in Malaysia. In fact, I think only Singaporean professionals earn close to what Hong Kong professionals earn. The difference may be  that Singapore’s HDB flats are cheaper for successful Singaporean applicants.

Most of my manager colleagues here in Hong Kong own a car, especially those with a family. However they do not drive because the parking is way too expensive. Fuel is still bearable. They would take the MTR or the public bus instead. They told me that it’s best to save for a property instead. Actually, I do agree because affordability wise, only a couple would be able to afford an apartment of a decent size.
Marriage provides property affordability, seriously
 One question though. Oh yeah, do you know that the number of car park spaces in Hong Kong numbers around 700,000? Here’s the
Transport Department of Hong Kong site providing that information.
 The number of taxis are also certain because the licenses are regulated and UBER is currently illegal. Total number of the red coloured taxis are only slightly above 15,000 units.
Here’s the information from the Transport Department of Hong Kong.
 I love Hong Kong for many reasons. Car park prices and property prices are not those reasons. Hopefully, those senior citizens who are staying in ridiculously small spaces would get attention from the government.

written on 15 June 2017

Next suggested article:
Buy smaller, then try to make bigger?

Share this:
Tweet
Telegram
WhatsApp
Like this:
Like

Loading...


HK$5.6 billion? “You can’t bring the money in your bank account with you after you die.”

To those who may not know him, this is a HK famous actor who’s now famous throughout the world after appearing in many Hollywood movies. An earlier article tells of how frugal Chow Yun-fat is. Here’s that article:
It’s about being comfortable and not how much we spend
 Hespends just roughly HK$800 (RM426) per month. He takes the bus instead of driving and queues to buy movie tickets too. Now here’s another one about his estimated HK$5.6 billion (RM2.98 billion) fortune. Of his vast fortune, he said, “This money isn’t something you possess for ever. When you’re gone one day, you have to leave it to others to use it.”
Article in TheGuardian.com here.

The multimillionaire Chow joined the Forbes list of the highest-paid actors in the world for the first time in 2015, sharing 24th place with Russell Crowe.  He said, “You can’t bring the money in your bank account with you after you die.” He also added that his wife “strongly supports” his decision. This is a huge announcement even as Hong Kong’s wealth gap becoming widest last year for nearly half a century. Sky-high prices and the cost of living outstrip many ordinary residents’ salaries, with apartments becoming increasingly cramped and generations of families forced to share.  Despite this, the city’s mega-rich continue their displays of extreme wealth and pursuit of status symbols.
Article in TheGuardian.com here.

Do we want to do what Chow is going to do in the future; donating his wealth to charity? The first thing we may want to do is to take up acting classes but if that’s not something we like, then perhaps learning how to invest is an easier route. By the way, spending money like how Chow is spending helps tremendously too. Question is, how many could do it
when even kids today may be used to spending.
We can only decide to donate to charity when we really have something big enough to catch the attention of world media yeah. Till then, happy working hard and investing smart too. Cheers.

Please LIKE
kopiandproperty.com FB page
 or
Sign Up for free
 to get daily updates about the property market. Else,
follow me on Twitter here.

written on 25 Dec 2018

Next suggested article: kk

Share this:
Tweet
Telegram
WhatsApp
Like this:
Like

Loading...


RM2 billion AirportCity and Aerotropolis development by Ivory.

Anything which is in billions has to be reported yeah. Furthermore this is not in the Klang Valley or in Penang or Johore but it’s in Kedah. In this case, to be very specific it is in Kuala Muda! In case anyone is wondering what’s the potential of such a place, just need to note that a development would usually take years. Furthermore this is such a huge development.

Article in nst.com.my
   Ivory Properties Group Bhd will develop the residential components at AirportCity and Aerotropolis in Kedah, generating almost RM2 billion in gross development value. The AirportCity and Aerotropolis form part of the larger Kulim International Airport (KXP) development in Sidam Kiri, Kuala Muda.

The Penang-based developer said in a statement that the residential components would cover 55 hectares (ha) and it will be developed in a joint venture (JV) with ECK Development Sdn Bhd.

Ivory group chief executive officer Datuk Low Eng Hock said, “We look forward to opportunities to be involved in the development of commercial components down the line and are optimistic that the group’s involvement will create a range of attractive, cutting-edge architecture and environmentally sustainable commercial buildings with innovative yet pragmatic master planning.” Do read here for the full article:
Article in nst.com.my

Yes, I still own a property by Ivory Properties

I bought this property, a condominium of 1,100 sq ft in Penang many years ago. Thus far, the offer price from the market is not up to my expectations, so will continue to rent it out. I used to tell all my friends about the ‘friend price’ if they like to buy. Actually, today I do not even want the offer if they hit the ‘friend price.’

That friend price was if they offered to buy many years ago. It’s not today. 🙂  Just suffice to say that if I were to sell even at the offer price which is lower than my friend price offer, it is still above the price I paid. So, at least that’s a good positive sign that property price in Penang has largely stayed intact. In the mean time, happy reading and following.

Love news like this and more?
Sign up for daily investment news updates.
 Alternatively, Follow me on
 Telegram here
.

Please LIKE
kopiandproperty.com FB page
 to get daily updates about the property market beyond kopiandproperty.com articles. Else,
follow me on Twitter here.

Sign up for KopiWeekly. (only once per week of property, finance, investment news and more)

Next suggested article:

One day the property price will reach RM1,000,000. Are we ready?

Share this:
Tweet
Telegram
WhatsApp
Like this:
Like

Loading...


RM2 billion of savings if state takes over federal project.

Save money and not spend excessively. That’s the right message for all. Pan Borneo Highway is a very important connectivity project. The total length is 872km and this project connects Tawau in Sabah all the way to Telok Melano in Sarawak. Having travelled in car for a few trips from Sandakan to Kota Kinabalu and back, I can safely say that this highway will be extremely important and will do a lot for the communities along the route. “Now everyone can travel” easily from Sabah to Sarawak. Tourists will also have more options of visiting more towns instead of relying only on flights. Currently, travelling will take too much time and definitely not comfortable at all.

There is news that the cost for this Pan Borneo Highway may have been a tad too high. Sabah State Infrastructure Development Minister Datuk Peter Anthony said it’s possible to save RM2 billion if the state takes over the job. He said, “There were issues on questionable quality (of the work) and doubts over the way the project was carried out in terms of material use and thickness of the road, for example. All these evidence support the need for restructuring or enhancement for Pan Borneo. For the savings aspect, I believe it can potentially even be up to RM2 billion after new improvements are made to the project.”
Full article in dailyexpress.com.my

RM2 billion is a huge amount. If this is indeed the potential savings, then the state government could do a lot more with the savings. It should also be transparently showed to everyone where the savings actually come from. Then, all other state governments could learn too and the whole nation benefits in all future developments. Happy following.

written on 7 Dec 2018

Next suggested article:
Q3 recovery for Sabah property. Launching value lowest since 2013

Share this:
Tweet
Telegram
WhatsApp
Like this:
Like

Loading...


RM2 exchanged for RM26.3million, after over 20 years.

I dislike gamblers because I have a close friend whose family was destroyed because the father gambled so much that they had to run away from their home town to live somewhere else. Everything they had was sold and the father borrowed a lot of money from relatives too. Another friend who’s top management with an international financial institution would drop by Macao once a month and would bet US$1,000 at one go. One time, either win or lose. He said, it’s for fun. I do not think that is fun for me. Haha. Anyway, on a yearly basis, I would buy once or twice when some very friendly lottery ticket salesman approached me. So, on a yearly basis, RM6 is “invested”. I believe if I am lucky, I do not need to buy every day. For the first 5 months of this year, I have yet to buy any.

Today, I smiled when I read an exciting news article in NST today. It goes like this, One man who has been ‘investing’ non-stop for over 20 years has won RM26.4 million from Sports Toto Jackpot. He is a 50-year old company manager. He said, “I have been playing Sports Toto games ranging from Toto 6D, Power Toto 6/55, Supreme Toto 6/58, Grand Toto 6/63, Toto 4D to Toto 4D Jackpot for over 20 years and I had only won RM2,500 the most. “I never thought that my new car registration number, which I had been buying for 1 year and with my house number, would win me a whopping RM26 million.” His winning numbers? 7584 and 8899.

Do not think too much. The winner has spent over 20 years of his time and he got lucky. How many would actually get so lucky? Should people still try? Well, hope is one major reason why many are still trying. If they could still carry on a normalise and trying with just RM2 every week, I would think it’s okay. However, many people can start investing and have much more when they retire too. They can do this easily, even when they are still working. Keep dreaming but at the same time, start investing in something. Happy trying, investing or just doing nothing.

written on 2 June 2016

Next suggested article:
Why rush? Why not immediate, since you are gambling

Share this:
Tweet
Telegram
WhatsApp
Like this:
Like

Loading...


RM200 billion worth of construction jobs and 7,000 jobs

We should be aware of what’s happening with the construction sector in Malaysia. Regardless of any type of economic activity, it usually has to start with construction. We cannot get more international students or medical tourists without more buildings being built in advance. This is true even for the electronics exports; no new factories meant the number of export numbers would remain limited or same as the year before. In brief, construction numbers must move up first before other numbers. There’s an article on construction numbers in
thestar.com.my

The quoted number in the article is certainly big. Hopefully everything goes on as planned smoothly. According to Penang Master Builders and Building Materials Dealers’ Association (PMBBMDA) immediate past president Datuk Lim Kai Seng, the value of construction jobs in Malaysia should hit RM200bil and this would help create 7,000 jobs. In comparison, total for 2015 was RM135 billion and 6,885 jobs. He shared, “According to the Construction Industry Development Board (CIDB) report, the first six months of 2016 saw 2,179 jobs with a value of RM58.6bil being given out, compared to 2,183 jobs valued at RM38.6bil in 2015.”

Some of the mega-infrastructure projects include the
light rail transit (LRT),

mass rapid transit (MRT)
, West Coast Expressway, Central Spine Road linking Kuala Krai in Kelantan and Simpang Pelangai in Pahang, and the Pan-Borneo Highway in Sabah. Where Penang is concerned, the numbers are smaller for 2016 versus 2015. From an estimated RM6bil for 2016  compared with RM7.5bil in 2015. Major reason is because most of the housing construction jobs in Penang are for the affordable category.Due to this, it has a lower gross development value (GDV). Lim added that value of construction is typically 40 percent that of the GDV.

Now we know another sector to consider if we intend to
buy some stocks.

This is beyond just the property developer stock choices. I personally have no stock holdings of any construction companies as I have not been reading much about them. Perhaps I should read a bit more, especially those involved with mega-infrastructure projects. Anyone with some
good stock investing knowledge
 for these construction companies, feel free to share yeah. Cheers.

written on 4 Oct 2016

Next suggested article:
MRTLine 2, Sungai Buloh- Serdang – Putrajaya (SSP) updates

Share this:
Tweet
Telegram
WhatsApp
Like this:
Like

Loading...


RM2,300psf in KL and confidence of nearly full take up

Today, a good friend asked me about Penang property price per sf. I told her, I seriously think anything above RM1,000 per sf is considered too high based on the current Malaysian household income. This is despite the fact that there were already many projects in Penang exceeding that level. Then, I chanced upon a service apartment in Jalan Kia Peng, Kuala Lumpur. It will be called Grand i-Residence, by I-Bhd. The price per sf? RM2,300 on average. Yes, RM2,300 per sf, on average. I-Bhd deputy chairman Datuk Eu Hong Chew told reporters that they expected it to be nearly fully taken up. There are only 450 units and they are all small sized.

If the prices are firm, then this will double the current typical prices of units nearby KLCC. Why would he be so confident? There are a few reasons I could think of. Firstly, if the pre-launch has seen huge interest and registration far beyond the total units which are being offered. Secondly, the location which I also agree is very strategic, especially to the expat community who likes serviced suites nearby KLCC. Thirdly, they have a huge group of buyers who follows them and buy whatever they launch. However, at RM2,300 per sf, once completed would it have the usual further capital appreciation?

I am not sure if they would be building a show unit or even allow public viewing. Perhaps the viewing is based on invitation only? Once it opens, I will go view it. Buying it is impossible but it would my first time viewing a RM2,300 psf property in Malaysia. There were no further details in the report in The Star but I am very sure when this happens, the media would be the first to report about it. Yes, I do welcome these developments because if there’s no market for them, why build? If there’s market for them, then you can be sure that the interest in these luxury developments in KL continue to be well supported if not strong currently.

written on 24 July 2014

Next suggested article:
RM1,480 psf only, Shah Alam, I-City

Share this:
Tweet
Telegram
WhatsApp
Like this:
Like

Loading...


RM250,001 – RM500,000 may be 40% in 2014, I think.

First of all, thanks to Michael Geh, Senior Partner from Raine & Horne, we have the two charts used today.

The average property transaction price in KL is RM673,000 in 2013. Yet, we do not find that many properties around this price. In 2012, the total transactions for properties priced between RM250,001 – RM500,000 was 18%. This was 4 times lower than the transactions for RM0 – RM250,000. In 2013, this has grown to 27% or only half of the transactions for RM0-RM250,000. Looking at the property launches thus far, I think we are seeing the shifting of the % even further skewed towards the RM250,001 – RM500,000 category, at least for next few years. The reason is simple, DEMAND is there but the affordability remains an issue which is holding back the transactions. This is more for primary. In terms of secondary, due to the uncertainty at this particular moment, there are still people who are thinking if they should buy now. Some are even awaiting for property prices to drop!

What would happen to the chart in 2014? I have no access to any data yet but if all the readings, launches, predictions that I read everyday everywhere is to be taken into account, including all the new affordable schemes by both the federal and state governments, I can see the the % for RM250,001 – RM500,000 will soon form the majority of all transactions. What does this mean for those who are looking for secondary properties? Well, if you are in search of your first home and needs a roof over your head, you should be more serious. No, I am not talking about the primary properties which are being launched at locations which you think is even further than those secondary ones. I am talking about secondary properties in a less attractive location that you can accept by changing your lifestyle a bit. Anyway, after a while, you would not even notice this change.

3 weeks ago, I decided to start waking up at 6am and go to a gym near my office for a workout before starting work at 830am. It was not solely due to health. It was also because I would soon be moving to a ‘lesser attractive’ area called Damansara Damai and I do not want to only change then. I would like to get used to this new lifestyle which thus far has been superb. Oh yeah, I have no idea if Damansara Damai would ever become Mont Kiara or Bangsar but just fyi, I bought my condo at just RM300 psf. (Fully renovated and partially furnished). Let’s not talk about RM700psf. Let’s talk about just RM420 psf within 5 years? Haha. I think you get what I am trying to imply. Oh yeah, OSK’s townhouses within minutes from my current place is close to RM1 million and fully sold out.

So, in 2014 and perhaps for a few years, I seriously hope the % of transactions for RM250,001 – RM500,000 would continue increasing because as much as people wants affordable properties, it is already impossible to build a decent apartment with some facilities for below RM250,000 / unit of 1,000sf. (This one, every developer whom I know told me.)  The material, land, labour cost is just much higher these days.

written on 4 April 2014

Next suggested article:
Are buyers really desperate?

Share this:
Tweet
Telegram
WhatsApp
Like this:
Like

Loading...


RM270 million is a lot of money. Good deal.

You know why some young people today have a lot of spending power? It’s because of what their parents did long time back yeah. It’s like if someone bought a house in 2007 for example, today the house would have given them lots of EXTRA in capital appreciation. Even if everyone is talking about buyers’ market, these owners who bought much earlier can still afford to smile. By the way, when people talk again in 2035 for example, then those who bought in 2015 would most probably be smiling too. Sime Darby Bhd has a similar story to share too.

Article in themalaysianreserve.com
  Sime Darby’s current 30% stake in Tesco Malaysia will be sold to Thailand’s Charoen Pokphand (CP) Group. Sime Darby said its wholly-owned subsidiaries, Sime Darby Allied Products Bhd (SDAPB) and Sime Darby Holdings Bhd (SDHB), have entered into conditional agreements with CP Retail Development Co Ltd (CP), Tesco Holdings BV and Tesco plc for the disposal.

The total proceeds to be received by Sime Darby upon completion of the proposed disposal is RM300 million, which consist of consideration for the disposal of 30% ordinary shares to CP, as well as a consideration from Tesco plc for consenting to the transfer of Tesco BV’s shares in Tesco Malaysia to CP. Sime Darby is expected to gain RM270 million from the disposal. Please do read the full article for more details here:
Article in themalaysianreserve.com

I also read a bit and there was an analysis as to what Sime Darby could do with
the gain. The report in theedgemarkets.com here.
 If Sime Darby were to pay out these as a special dividends, it could be 1.85 sen per share. Alternatively if they use it to pare down borrowings, then its net gearing ratio will be reduced slightly to 0.11 times from 0.12 times. If you google ‘Sime Darby price’ you will get the below image too. Good base reference.

I do not at the moment have any Sime Darby Berhad shares. Please also do not ask if this is a buy or not a buy.  If you refer to the Div yield at the current price, it’s around 4.5%.  Compared to the current Fixed Deposit rates, I think the dividend yield is healthy. Do note yeah, past performance does not mean future performance will be the same or better. So, that is a decision you will have to make yourself. Happy shopping online and stay at home!

Please LIKE
kopiandproperty.com FB page
 or
Sign Up for free
 to get daily updates about the property market. Else,
follow me on Twitter here.

Next suggested article:
Sime Darby Property achieves target of RM3.1 billion sales

Share this:
Tweet
Telegram
WhatsApp
Like this:
Like

Loading...


RM299,000 for a unit along Embassy Row, Jalan Ampang?

To be honest, not everyone wants to stay further away from the city centre or further away from their working place. Many love to just wake up around 8am, shower and walk to their office located just 10 minutes away. If I am still a single, I would love a similar lifestyle too. Well, as long as I could afford it anyway because I would still want to save some money for a place I could call my own in future. For many, taking an hour via the MRT and changing station midway to reach their office
(like me once every week)

is definitely not within their daily agenda. Perhaps the below can be a choice then. It’s below RM300,000 and it’s along Embassy Row. Let’s be savvy about it, the size cannot be close to those affordable apartments currently offered in the market in areas which are further away from the city centre.

The project is 3rdNvenue and the developer is Titijaya Land Berhad (Titijaya), a Bursa Malaysia Main Market Listed Company. The development will be built on a piece of 6.06 acre land and there would be four blocks with a total of 2,400 units of lifestyle office suites, serviced apartments, and retail lots. With its modern industrial design and vibrant colour scheme, 3rdNvenue is equipped with various facilities, such as swimming pool, gym, jacuzzi, sauna, business lounge, BBQ lounge, sky dining, nursery, entertainment room, and multipurpose hall, offering great convenience for its residents to promote a healthy work life balance.

3rdNvenue is a mixed property development jointly developed by Titijaya Land and CREC Development (M) Sdn Bhd (CREC). The price for the first phase starts from RM299,000 for a 430 sq. ft. unit which is definitely considered very affordable in terms of total unit price. Location wise, 3rdNvenue is just 3km away from KLCC. One has to just spend 4 minutes to walk to Great Eastern Mall or take 10 minutes to walk to LRT Jelatek. Titijaya Berhad Group Managing DIrector Tan Sri Dato’ Lim Soon Peng also said, “We believe the accessibility of 3rdNvenue and especially as a project in downtown KL priced less than RM300,000, the property is affordable and worth buying for most Malaysians. Let us look forward to the completion of 3rdNvenue in 2024.” 3rdVenue targets young professionals, entrepreneurs, and social high-flyers. The full
article in iProperty.com.my here.
Happy thinking about it.

written on 2 Oct 2017

Next suggested article:
KL’s luxury condominium market? An update

Share this:
Tweet
Telegram
WhatsApp
Like this:
Like

Loading...


RM3.90 today, RM4.85 near future and 300% up in profits.

How many listed companies in BURSA can claim to have a 300% increase in net profit? Not many if you look around. In fact for banks, if they can grow by 20%, that’s like a record. MKH Berhad did just that. It’s net profit for Quarter 2 ended March 31 increased 300%. This was contributed by both its property development and oil palm plantations divisions. There’s however an additional announcement too. Part of the profit was due to the inclusion of an unrealised foreign exchange gain of RM29.4 million due to the stronger Indonesian Rupiah.

For the development side, the contribution was due to higher percentage of revenue recognition from ongoing projects like Pelangi Semenyih 2, Hill Park Home, Saville@Melawati, Pelangi Seri Alam, Saville@the Park, Bangsar, Mewah 9 Residence, Kajang 2 and MKH Boulevard, and newly-launched projects like Hill Park Shah Alam, Pelangi Heights and Kajang East. More importantly, the unbilled sales as at 31 March 2014 is RM601.8 million.

More importantly, the group plans to launch many new developments with a GDV of RM1.4 Billion and 50% are expected to be launched in the second half of the year. That’s anytime now. Some of the upcoming launches include mixed residential Hillpark Home 3 and Saville@Kajang located near the upcoming MRT station. Besides these residential ones, there’s also a new commercial development, MKH Avenue II as well as new phases of ongoing projects Kajang East, Pelangi Heights, Hillpark@Shah Alam North and MKH Avenue I.

Thinking of buying in areas which are growing instead of already way too popular areas? I think there are quite a few MKH projects which falls into what I personally feel would be great first time properties, especially for those looking to own a place of their own. If you are thinking of speculation, I don’t think Kajang as an area provides a huge upside within these short period of time.

If you are thinking about its stock, the target price by Kenanga is also very positive. It gave a target price of RM4.85. This is based on a 30% discount to its RNAV (realised net asset value) of RM6.93  The discount given is because MKH Berhad is considered a mid sized developer. In other words, if MKH is a bigger developer, the discount given may be lesser and the price, higher. At RM4.85, it also implies a FY15 forward price-to-earnings ratio (PER) of 11.7 times. Their price today (30 May 2014) is RM3.90

written on 30 May 2014

Next suggested article:
New property prices up 50%, how much is your profit?

Share this:
Tweet
Telegram
WhatsApp
Like this:
Like

Loading...


RM3 Billion new town centre, are you ready?

For those who do not know Kwasa Damansara is the master developer of the RM50 billion township development in Sungai Buloh. There were 20 Tier 1 developers selected earlier for the submission of proposals for the development of a town centre project. However, despite the deadline being 27 May which is a matter of days away, no submission has been received as yet, reported The New Straits Times. This township project alone is estimated to be around RM3 billion in gross development value. Personally, I like Sungai Buloh. This is because it’s still development at its early stages. Many still consider this being way too far. With MRT, this may change the perception a little and over time, Sungai Buloh may just be another sought after area. To be honest, maybe not Bangsar or Mont Kiara within few years but how about becoming the Bangsar or Mont Kiara of today within the next 6-8 years? Now, that’s interesting.

According to sources, only top three would be shortlisted and winner announced 6 months later. The developers invited for the RFP earlier includes Sunway Bhd, SP Setia Bhd, UEM Sunrise Bhd, Tropicana Corp Bhd, YTL Corp Bhd, WCT Bhd, Bandar Raya Developments Bhd, Malaysian Resources Corp Bhd, IOI Properties Bhd and IJM Land Bhd, Eastern & Oriental Bhd, DRB-HICOM Bhd, Mah Sing Group Bhd, Gamuda Bhd, Guocoland Malaysia Bhd, Goldis Bhd, I&P Group Sdn Bhd, Bandar Utama City Corp Sdn Bhd, Perbadanan Kemajuan Negeri Selangor and Putrajaya Holdings Sdn Bhd. Actually, there are some in this list which I personally do not think qualifies in terms of actual experience in township developments. Nevertheless, no one knows, perhaps after they win, they may do a joint venture with other more established ones? I seriously think so.

Today, properties in Sungai Buloh are considered affordable, especially the landed ones. The prices are not even anywhere near the condo prices in some part of Kuala Lumpur as yet. However, the main issues with this is that many felt the developments were not integrated enough, there are not enough attractions, for example a huge mall or even the upscale feeling that one would feel when one talk about certain upscale neighbourhood. The mindset remain that it’s just an area far out currently. Personally, if you are buying a new home, I think this is an area to consider. Go beyond just the typical mindset and you can see that for much lesser amount of money, you get much more bang for your buck. You are after all the one staying and not your friends.

written on 24 May 2014

Next suggested article:
Greater KL – Sungai Buloh

Share this:
Tweet
Telegram
WhatsApp
Like this:
Like

Loading...