Property Investment & Management in Malaysia

Riana Green@Wangsa Maju

2009-05-25T20:32:00.000-07:00

Riana Green east.KL is a 13.96 acre development with a central focus of harmoniously blending greenery and homes. Rather than remove you from nature, you will be given the opportunity to commune within the lush vegetation while still in the center of a thriving metropolis. Nestled on a hill in Wangsa Maju with a total building height of 832 feet above sea level. Enjoy the spectacular view of the Kuala Lumpur skyline from the comfort of your home while also immersing yourself in the view of your abode from a distance - Riana Green east.KL, a truly prominent development. Exclusively designed, Riana Green east.KL is fashionably functional to complement your contemporary lifestyle. The development entails a 36-storey tower, 2 low-medium rise blocks and 1 plaza block with a conservatory within. There are 391 units of 16 various types with sizes ranging from a cosy 790 sq.ft. to an imperious 4,625 sq.ft within 5.85 acres.

Facilities / Amenities
Facilities:
Swimming pools
Bubbler Jacuzzi with sun decks and linear water troughs
Tennis court
Squash court
Games room
Gym
Sauna
Barbecue pit
Multi-purpose room Amenities:
Serviced Shop Offices
Wangsa office towers
400m pedestrian mall with outdoor kiosks and restaurants
4.2 acre landscaped plaza
A retail outlet, food and beverage outlet and wet market No. of car parks: 776

Malaysia Home Sales Suprisingly Strong.

2009-05-18T19:24:00.000-07:00

There was still a lot of fear in the stock market in March or earlier, when buyers applied for loans, but the behaviour of home buyers is different from that of businesses or market punters.
Home buyers are sensitive to interest rates, especially when they fall to base lending rate (BLR) minus two percentage points, and when job losses are not extensive here.

Their behaviour is in contrast to businesses that might not borrow, and stock market investors who might not invest, even when interest rates are low.
The March loans data invalidated the perception that housing sales were robust in a few pockets of projects only. The data showed sales must have been brisk in many property projects.
To some extent, the upbeat data could also have been due to approvals for refinanced loans as borrowers sought the new, lower rates.
But, remarks from property developers support the case that it was also partly due to a rebound in housing sales. Home buyers were also attracted by an interest-free loan package that S. P. Setia Bhd is credited with introducing in the industry.
SP Setia calls its scheme the 5/95 Home Loan Package which is offered in an arrangement with three banks. Under this package, buyers pay a downpayment of 5%, and pay interest on the bank loan of 95% only after the house is completed.
Its CEO Tan Sri Liew Kee Sin told the media last month sales under the scheme had reached RM500mil from mid-January when it was launched. That’s an average of about RM170mil a month over the four months, a marked increase from RM62mil in October last year, according to an analyst.
It should be noted that sales as referred to by the man-in-the-street are understood differently by analysts.
For the man-in-the-street, sales are made when a house is sold, that is, when a sale and purchase agreement is signed. For analysts, sales are progressively booked into the profit and loss accounts only after the house is gradually constructed and billed to the buyer.
Current conditions are a marked change since November when a brokerage summed up its view as “No light in sight,” and at that time, analysts preferred landlords, companies that owned investment properties, over developers.
That preference has now been reversed, with analysts preferring developers over landlords. That’s only to be expected in view of sales recovery although sales are generally below that of 2007 when high-priced bungalows sold like hot cakes.
Since SP Setia’s launch of its 5/95 loan package, many other developers have introduced their own financing packages to attract buyers.
Mah Sing Group Bhd offered its own financing scheme shortly after SP Setia while IJM Land Bhd and Sunway City Bhd introduced their own home loan plans last month.
Likewise, Sime Darby Bhd’s property division promoted its Parade of Homes programme from March, and since then it has drawn sales of over RM600mil, the company said in a statement last week.
LBS Bina Group Bhd also reported that buyers have returned. The company said late last month the latest launch of a new phase in its Bandar Saujana Putra – Iris Garden – was 85% sold within two months.
The financial results of developers in the first quarter may be weak as their revenues would be based on sales made some months ago. It would only be later this year that revenues from sales made under the various financing packages would be recognised in their profit and loss accounts.
Earlier, there had been concerns the property development industry would be driven to the boondocks, including fears of fire-sales in the secondary market, but the catchy marketing programmes of developers have re-built business conditions and consumer confidence.

Neocyber@Domain

2009-02-05T16:25:00.000-08:00

Being the first and the only studio apartment in Cyberjaya (as to date), The Domain Serviced Apartment is designed to cater for the modern working population in particular the knowledge workers in Cyberjaya. It is designed for practical living to suit the fast pace lifestyle of young population in Cyberjaya. At present, the total population in Cyberjaya is 39,000 people, the working community (MNCs, foreign-owned and local developed companies with MSC status) account for the majority of 39% of total population in Cyberjaya, students population 33% and residence contributing to 28%.
Facilities available at The Domain Serviced Apartment include swimming and wading pools, gymnasium, multi-purpose hall, surau, BBQ area, Study Cell, card access & CCTV security system in the parking area and main entrance, broadband connection ready and wireless ‘hot-spot’ at facilities area. Other optional services include home engineering and rental management services to be provided by a renowned property management company. The earthworks for The Domain Serviced Apartment had been completed and piling works is scheduled in November 2006 and full completion of its building and infrastructure works by early 2009.

Target markets for the Domain Serviced Apartment are investors and house owners whom will capitalize the current shortage of residential units in Cyberjaya।

2009-01-08T21:15:00.000-08:00

OVER the years, real estate has proven time and again its stability, attractive returns and ability to hedge against inflation. Thus, it is not surprising that most of the rich invest substantially in properties.
It is an expert opinion that most people's Asset Allocation Model and Investment Portfolio should look something like this (give or take 5%):
Assuming you have RM100,000 set aside for investment purposes, at least RM60,000 should be invested in properties. Less than RM30,000 go directly into the stock market and the balance (less than RM5,000) into high risks, highly leveraged, volatile investments such as Options, Futures or Foreign Exchange (Forex).
Many people make the mistake of concentrating too much of their time and money into the upper levels of the pyramid, as their portfolio returns are highly volatile and unpredictable.
First, it's extremely important to build up a solid investment base using real estate before venturing into other investments to give your portfolio regular and predictable rental income and to enjoy capital appreciation.
If you have an hour per day to look after your various investments, you ought to be spending 60% of that time for properties, 30% for equities and less than 5% for high risk investments.
Some trainers mention that you only need less than 20 minutes a day.
Yes, only if you have invested at least two hours per day over the next three years mastering the subject - a hidden fact many are unaware of.
In Malaysia, two main direct investment vehicles are real estate and stocks. Properties are stable and long term in nature, whereas the stock market is volatile and short term.
Hence one needs to practice Tactical Asset Allocation between these two.
Another mistake is buying investment products giving single digit returns with high upfront charges.
You should only take the risks and invest when you see the opportunity to make more than double of what you can save with minimal risks.
For real estate, it is advisable to have a portfolio of various property types.
Whichever way the property cycle goes, you will be able to enjoy benefits either from Rentals or Appreciation.
Your foundation must be solid. For beginners, start investing for rental returns beginning with medium cost apartments.
The risks are minimal as long as your chosen location is strategic. ''Using creative financing techniques, many of our graduates have even bought properties with little or zero Down Payment and achieved a positive cash flow.
It's extremely easy to earn long term compounded returns from both Rental Yields and Capital Appreciation of 10-12% p.a.'' according to Milan Doshi, best-selling author and independent financial trainer.
Once you have built a firm base, move up and invest in landed houses for capital appreciation.
The risks here are higher as landed properties will give you negative cash flow if you put in the minimum down payment.
Your ultimate goal in property investments is to eventually move to the commercial sector once your budget grows to RM1 million.

Property Goes Strong

2009-01-08T21:14:00.000-08:00

High-end landed property still in demand

2009-01-08T20:44:00.000-08:00

WHAT are some project launches that can be expected from Mah Sing in the coming months?
We believe this year will see continued demand for medium- to high-end landed products and we have planned our launches accordingly.
For example, we will have Garden Bungalows in Hijauan Residence and designer bungalows in the re-branded One Legenda in Cheras.
The 30 Garden Bungalows come with a land size of 45’x80’ and a built-up area of about 3,407 sq ft and will be priced from RM1.1mil per unit.
One Legenda will offer only 26 limited-edition bungalows with a generous land size of more than 8,000 sq ft and a built-up area of about 5,000 sq ft. They will be priced from RM2.5mil each.
Kemuning Residence in Shah Alam is reaching completion and there will be a few last bungalows which we are offering on a build-and-sell concept.
We will also continue to launch semi-detached houses and bungalows in Aman Perdana, where the take-up rate has been very good.
For our commercial projects, we are optimistic about Southgate Commercial Centre which has done very well, with 90% of Vivo and 80% of Vox & Vertex blocks sold at about RM1,100 per sq ft (psf) for retail and RM550 psf for office suites.
We will also launch our new project, StarParc Point, a freehold commercial project in Setapak directly opposite the upcoming Parkson.
In Penang, we are offering medium- to high-end homes with Residence @Southbay, where there will be some 288 super-link homes with land size from 22’x75’ and built-up from about 3,000 sq ft, priced from RM755,000.
We also have 88 resort bungalows in Legenda @Southbay, which offers land size from 5,000 sq ft to more than 10,000 sq ft, as well as built-up areas of 3,800 to 8,000 sq ft.
These bungalows are priced from RM2mil to RM5mil.
In Johor, we plan to launch more phases in Sierra Perdana and Sri Pulai Perdana 2. Sierra Perdana is enjoying more visibility now as the construction of the upgraded six-lane coastal highway, which will cut through Sierra Perdana, has reached an advanced stage.
With the highway, we are only a few minutes to Permas Jaya and Johor Baru city centre. Sri Pulai Perdana 2 will ride on the success of Sri Pulai Perdana and the spill-over demand from this matured township where UTM is one of the key attractions for people moving into this area.
In your opinion, how has the global financial meltdown impacted the performance of the local property market?
We can still see transactions, albeit at a slower pace, as the medium- to high- end segment has a pool of buyers who are higher income earners. These people have a wider savings/expense ratio, and generally look to invest their excess funds in properties as there are limited investment options right now.
What is the impact on the company’s property sales and new project launches?
We achieved RM367mil in sales in the first nine months of 2008, against our sales target of RM450mil for the year. During the period, we launched properties worth RM399mil against our 2008 target of RM484mil.
For 2009, we are looking to maintain our sales and launch numbers. Besides that, we have pre-constructed projects worth some RM282mil for sale and launch, which will allow us to ride out these challenging times.
How is Mah Sing riding out the current property market slowdown?
Our balance sheet is very healthy with RM143mil cash as at Sept 30. We shall receive an additional RM213mil this year when our The Icon project at Jalan Tun Razak is completed by June.
We still have about RM3.9bil in outstanding gross development value and unbilled sales to last us for the next five years, of which RM282mil is pre-constructed products locked in at old construction costs. Our strong research and development, unique business model of quick turnaround and the right product mix have put us in a better position to ride through these challenges.
What is your outlook for the local property market in the next 12 months?
We expect the medium- to high-end landed property segment to continue to yield decent long-term positive capital appreciation going forward.

2008-12-22T20:17:00.000-08:00

SP Setia Bhd group managing director and chief executive officer Tan Sri Liew Kee Sin says the company will focus next year on cash-generative and cash-accretive projects that will further strengthen its balance sheet. It plans to take advantage of opportunities which may arise during the current financial crisis.
WHAT is your outlook for the local property market in the coming 12 months?
The global economic slowdown will be a challenging time for all developers. Securing sales as well as maintaining profit margins will not be easy. However, we should not talk ourselves into a recession. There is still ample liquidity in the market and the country is in a strong position this time around compared to many other Asian countries.
The reduction of EPF contributions from 11% to 8% has also provided support in increasing the nation’s disposable income. On the assumption that the slowdown in developed countries does not last beyond 2009, the country should be able to weather this storm relatively well.
Where SP Setia is concerned, we are in a solid position because of the width and depth of our market. Most of our properties are catered towards landed residential homes within townships. On top of that, prices of our products start from as low as RM200,000.
Although there are predictions that the mass housing market segment will be the worst hit by the current external environment, our view and experience with the mass housing market is that it is in fact a very resilient market segment supported by strong demographics and a fundamental demand for homes.
The sub-urbanisation trend – where households move away from the congestion of the KL city centre into more spacious and modern suburban dwellings – is also unlikely to be reversed, given the scarcity of affordable homes closer to the city centre which offer the kind of lifestyle amenities sought by the current generation of housebuyers.
Tan Sri Liew Kee Sin
Townships that are connected along the main highway arteries should see robust and sustained demand for commercial properties over the mid- to long-term. By this reasoning, high-end residential properties in more central locations should also do well by virtue of the fact that it is likely to be in short supply given the expected increase in demand from people working in the city centre.
In your opinion, how has the global financial meltdown impacted the performance of the local property market (in terms of project launches, take-up rate and unit price)?
Developers are taking a more cautious approach in business given the economic outlook. Launches are slowing down but that does not mean that we should stop building. The mass housing sector has proven to be a resilient market in the past. In fact, it was this sector that contributed to SP Setia’s success and growth during the 1998 crisis. From one brand called Setia, we now have five brands which are Setia, Duta, Sky Residences, Eco and Commercial. I believe if you have the right product mix, there will be sales.
Has the market slowdown affected SP Setia’s project launches and product pricing?
Not really. As a company, we are coping very well. Our financial position is strong and we will finish off 2008 with a record sales performance of RM1.4bil. Our main focus for 2009 is on cash-generative and cash-accretive projects which will further strengthen our balance sheet to enable us to take advantage of any good opportunities which may arise during the current financial crisis.
Even in current conditions, we are making investments in projects which have long-term growth or yield enhancing potential such as the Setia City Mall in our Setia Alam township. We will also continue to brand-build – our experience from the last crisis has proven that an economic downturn can sometimes be the best time to grow a brand.
What are some of the company’s strategic plans to ride out the challenging market, including plans for its Vietnam project?
The group’s strategy is to maintain a diversified range of properties in different geographical locations and across all income brackets so that we can attract a wide spectrum of customers. Currently, SP Setia has projects in three different states in the country – the Klang Valley, Johor and Penang.
We have to continue to reinvent ourselves, setting new benchmarks and pushing the envelope to deliver the best to customers. We strongly believe in continuously differentiating ourselves to stay on top of the game. There is always a continuous flow of marketing-driven activities and customer appreciation events to keep buyers and prospective buyers in the loop as the best form of advertising is through word-of-mouth. About 60% of our customers are actually through referrals.
Despite the current macroeconomic instabilities coupled with the suburban living trend being a relatively new concept in Vietnam, we are confident that the idea will take off. Our show village should be ready in the first quarter of next year and this should help give a better visualisation to potential purchasers of what SP Setia is capable of.
We feel that the sub-urbanisation of housing and offices is inevitable given the congestion, inadequate infrastructure, cramped living quarters and expensive office space in central cities like Ho Chi Minh City and Hanoi. In this sense, we feel that SP Setia has a distinct advantage in Vietnam as building suburban townships is our forte.
What will be the main growth drivers for SP Setia for the coming one to two years?
The current uncertainty surrounding the global economy will undoubtedly have an impact on the business environments and domestic economies of countries around the world, and Malaysia is unlikely to be spared. In this context, it is more prudent in the short to medium term to adopt a more flexible business model that is centered on projects that are cash-accretive and cash-generative.
In short, we will refocus on our forte, which is building townships which offers stable earnings growth by targeting the resilient middle-income segment of the property market. In the light of the positive demographics, high household savings rate and relative job security of this particular income segment, the fundamental demand for township properties is likely to be sustainable, particularly in townships where significant investments in infrastructure and amenities have been made upfront.
A good example here is our Setia Alam township in Shah Alam. Apart from the RM150mil interchange that we built to connect the township from the NKVE expressway two years ago, today, we have a Tesco hypermarket that opened in October and the Tenby Private and International School which opened in neighbouring Setia Eco Park in September.

2008-12-22T20:13:00.001-08:00

International and local property buyers looking to invest in Malaysia have a wealth of urban residential real estate and tropical holiday accommodation to choose from. All generic options currently offer both strong yield potential and medium to long term stable growth and mean that the real estate sector in Malaysia is considered to be a good long term bet by industry analysts.

The attraction of the property market in Malaysia comes from a number of sources but the fundamental reason is that the Malaysian economy has some incredibly strong factors underpinning its predicted sustainable long term growth and as a direct result foreign investment into many economic sectors including the real estate sector in Malaysia is significant.

2008-11-06T22:36:00.003-08:00

“On earth there is no heaven, but there are pieces of it” -Jules Renard (Kiaraville sales tagline)We were out looking for another development launch around Mont’Kiara the other day (it’s a bad thing for a property launch when people can’t find your sales office!), but we found Kiaraville. Since we were fed up of looking for the other launch, we parked our car and checked out this place we have been seeing featured in The Edge and Trends magazine.We were quite pleasantly surprised.First the location. A lot can be said about the conquest of forest reserve and nice greenery by condos and luxury homes in Bukit Kiara, so we won’t go into it. What is obvious is that the entire area right from Desa Sri Hartamas all the way up to the Segambut road / Wilayah Mosque has become a status symbol among housebuyers, making it the new (and much better) Bangsar.We can rattle off the long list of up-market projects completed and under construction there, but let’s talk about Kiaraville today. To get there, turn off the Sprint highway after Desa Sri Hartamas, follow the imposing walled road. Then turn right at Mont’Kiara, pass the well guarded Sunrise territory, and go ALL the way to the end of the road, past the dozens of worker camps and ongoing projects.It’s located next to the NKVE highway, and with existing greenery and a decent view of the KL skyline. The advantage of the condo is that there are two bungalow projects just next to it, thereby guaranteeing an unobstructed view in that direction.As for the condo itself, the first impression we got was a many different unit types set in 6 different towers (of varying heights), giving buyers a good range of choice. Some blocks are 9 floors, some are 18 floors. Each floor has 1-6 units, ensuring an excellent mix of height, view and pricing for everyone.We kind of like some of the unit layout. They have introduced many corners, instead of straight walls. This give a angular façade outside, and interesting nooks and crannies inside. Another interesting feature is the covered balcony with ample windows, which they call ‘lanai’. Very interesting concept. Furthermore, French windows are preferred here.The common facilities provided are above the average in the market, with gym, function room, multiple pools (including play pool and a kid’s pool), squash and tennis courts, private walled garden and the works. Parking is provided in 3 levels of basement. The development is enveloped in lush greenery, something which is very attractive and appealing to potential buyers. This aspect of landscaping is very easy and affordable for developers to implement, however sad to say most condo developers we see prefer to fill up every available space with parking lots or grey inefficient structures. Score brownie points for Kiaraville.We were very impressed with the timber decked pool lounge with a cascading pool, surrounded by shady trees. The entrance was equally impressive, with a fair-faced curved concrete wall inviting the visitor in to Kiaraville. A touch of class, I must say. The architect for the project is none other than BEP Akitek, one of the premier architect firms in the country. (Incidentally, one of the partners, the late Dato’ Kington Loo, was a personal acquaintance).Being in Mont’Kiara, it suffers/enjoys the usual problems/perks. First the perks: High class address, expatriate tenants, good return on investment, near to international schools. Near to KL, shopping paradise, gourmet food heaven in Desa Sri Hartamas. Near to Sprint, NKVE, LDP, Jalan Duta. Then the problems: Only one access road at Mont’Kiara at the moment. You cannot even begin to imagine to congestion during peak hour. There is another alternative route planned out to KL, but that’s in the future. Area will suffer from over-development soon.The sales and marketing for this project is handled by an international real estate agent, in association with a local agent.For the record, this is a joint venture between Binaderas with Singapore property giant Capitaland (no relations to the Malaysia company Capital Land) and OCBC Bank, Singapore. Binaderas is owned by the same people from Ireka Corporation, who have a property arm called i-Zen, currently also marketing some projects in the area (opposite Plaza Mont’Kiara). Many of the units are actually booked for the coming launch in Hong Kong, so that may be a good sign for investors looking for appreciation in price.
Project NameKiaravilleLocationMont’Kiara, Kuala LumpurDescription6 towers of Residential apartments with common facilitiesPriceRM696,000 to RM3,062,000(starting from about RM400psf.)Unit size1650sq.ft. to 3500sq.ft.No of units404(Second phase coming soon)Type of developmentResidential apartment units on freehold landLaunch DateFeb 2005, currently availableExpected CompletionDecember 2007DeveloperJV between Binaderas Sdn. Bhd., Capitaland and OCBC Bank (Singapore)(Binaderas is owned by the directors of Ireka Corporation Bhd.)

Contact:6012-224 1238

2008-11-06T22:36:00.001-08:00

AMPANG PUTRA RESIDENCY

2008-06-17T00:54:00.000-07:00

AMPANG PUTRA RESIDENCY

• 10 Mins Drive To KLCC
• Near International Schools
• Good Infrastructure
• Near LRT Station
• Ready Built Amenities Location Is Everything

Although many aspects of interior design are subject to personal preference, there is one thing most homeowners will agree on — the importance of their home’s location. Proximity to one’s workplace, family, schooling — or even highway access — often plays a key role in determining where people choose to live.

The Ampang Putra Residency, developed by Valencia Homes Sdn Bhd, is a new condominium development built just a stone’s throw from Kuala Lumpur's long-established One Ampang Avenue. Situated within the largest Korean community in Malaysia, the development is surrounded by well-known commercial and residential areas, and is within easy reach of the area’s many amenities. A ten-minute drive to Kuala Lumpur’s city centre via the elevated highway, and one minute from the MRR2, the Ampang Putra Residency sits above 18 boutique stores. It is close to public transport, the Ampang Point shopping complex and the Ampang Puteri Specialist Centre.
The development comprises serviced apartments in three options — studios measuring 56.4m², or three-bedroom suites available in 114.6m² and 119.8m² plans. The apartments incorporate modern interior trends, quality finishes, and the latest in kitchen appliance technology. Ceiling-height windows increase natural lighting and ventilation. Clever design ideas mean the studios use the available space well and include hanging wine racks, kitchen countertop space for dining, and built-in sofas. The building’s orientation allows all apartments views of Kuala Lumpur's city centre or the Genting Highland forest and mountain range. Full condominium facilities include gymnasium and swimming pool, ample parking spaces, and 24-hour security services with CCTV.

Kiara Designer Suites-Mont Kiara

2008-06-04T09:49:00.000-07:00

Mont Kiara. (Kiara Designer Suite)

Condominium living combines the best of an inner-city lifestyle with the benefits of living in a landed property, such as spaciousness and amenity. Mont'Kiara is one of Malaysia's most recognised condominium developments, says Sunrise Berhad chief marketing officer, Lee Meng Tuck. "Mont'Kiara is a purpose-designed, award winning condominium village that offers residents an array of resort-style living options." Featured on this page is Mont'Kiara Damai, one of Sunrise Berhad's lowest-density condominium projects so far, at just 26 units per acre. Completed in 2004, its high-level finishes and facilities are typical of a Sunrise Berhad development, says Lee

The latest addition to Mont'Kiara will be Sunrise Berhad's Kiara Designer Suites. "Kiara Designer Suites is located on three acres of freehold land and holds a total of 324 suites in the 29-storey tower block, as well as a further 14 cabana suites located on the fully landscaped recreation deck. Unit sizes range from 100m2 to 133m2," says Lee.Continuing Sunrise Berhad's reputation for discerning residences, Kiara Designer Suites will feature a 15-metre high rainforest-themed entrance lobby. Like other Sunrise Berhad condominiums, Kiara Designer Suites will also offer a range of sports facilities for residents. Kiara Walk – a boutique retail and commercial zone – will also be a feature of the development.

Selling price: below RM 650K
Rental: RM 3K- RM 5K depending upon furnitures given