Property Quotient 2012 - Issue 2

Page 1

FACILITAT ING & PROMOT I N G I N VE ST M E N T F O R M A LAY S I A N R E A L E S TAT E | www.malaysiapropertyinc.com

COVER STORY

2

2012 issue 2

pg

Connect with us now

8

pg

POLICY

MALAYSIA REAL ESTATE PERFORMANCE OVERVIEW AND OUTLOOK 2012 MALAYSIA’S InstitutionalFIRST investment drive growth “INTELLIGENT CITY”

AN OVERVIEW OF MULTIMEDIA SUPER (MSC) MALAYSIA

CORRIDOR

>> >>Read Readmore more

SPOTLIGHT

5

pg

KUALA LUMPUR, A REGIONAL BUSINESS HUB OF CHOICE

9

pg

GRAPHICALLY SPEAKING

>> Read more

IN A NUTSHELL

>> Read more

6

pg

SHIFTING TRENDS WITHIN ASIA AS AN ATTRACTIVE CBD

SHARE

PERCENTAGE OF NUMBER OF PROPERTY TRANSACTION BY SUB-SECTOR AND PRICE RANGE, 2011 >> Read more

>> Read more

NEWSFLASH MALAYSIA ATTAINS HIGHEST RANKING IN GLOBAL PEACE INDEX WITHIN SOUTHEAST ASIA >> Read more

10

pg

7

pg

CROSSBORDER QUERIES LOOKING FOR

INVESTMENT >> View details


COVER STORY

2

MALAYSIA’S FIRST

Thailand

INTELLIGENT CITY

Cyberjaya is home to multinational companies, academic institutions and expatriates

Penang

Kota Kinabalu Kuala Lumpur

by Hazrul Izwan & Michael A. David

Cyberjaya

Cyberjaya, a fully integrated city aspires to be known as the “Silicon Valley” of Malaysia. Its development to serves affirm Malaysia’s status as a country of “Knowledge-Based Economy”. It is conceptualized to provide a comprehensive infrastructure for both enterprise and office development and act as the catalyst for the growth of government Multimedia Super Corridor (MSC) ICT enterprises and the multimedia industries in Malaysia. Cyberjaya was launched in 1999 by the fourth Prime Minister Tun Dr Mahathir Mohamad as the regional and glocal ICT hub to rival the best in the world. Cyberjaya has an internationalconnectivity advantage where it is located near to Kuala Lumpur international Airport and less than 30 minutes travelling time to Kuala Lumpur City Centre via Maju Expressway (MEX). Figure 1: Number and Value of Property Transactions in Selangor, 2006-2011 Transaction (Units)

Value (RM’b)

120

50

100

40

80

30

60 20 40 10

Legend:

2011

2010

2009

2008

2007

0

2006

20

0

Number of transactions (LHS) Value of transactions (RHS)

Source: NAPIC

Brunei

Johor Bahru Singapore

Kuching

Cyberjaya will become an ideal city to house 180,000 residents, 70,000 employees and institutional establishments providing for 30,000 students in the next 10 to 15 years With a total development area of 7,000 acres, the Cyberjaya flagship is zoned for residential areas (29.3%), low-density urban enterprise (11.6%), commercial zone (4.5%) and the remaining balance is reserved for mixed developments, institutional developments and green areas. This self-contained city is well-supported by world-class IT infrastructure as well as modern amenities and facilities. With the current population standing at 45,000, Cyberjaya will eventually grow to become an ideal city to house 180,000 residents, 70,000 employees and institutional establishments providing for 30,000 students in the next 10 to 15 years.

Kalimantan, Indonesia

institutional buildings. The IT office buildings nearby include those occupied by multinational companies such as Shell, Ericsson, BMW and DHL, Hong Kong & Shanghai Bank Corporation (HSBC), Hewlett-Packard (HP) and Dell. The institutional buildings include the Multimedia University (MMU) and Lim Kok Wing University. Up until recently, Cyberjaya has mainly been an IT and institutional area. On the property market front, the State of Selangor Darul Ehsan continued to reflect an active market. According to the National Property Information Centre (NAPIC), 8,000 new residential units in 2011 were built in Selangor with average house price of RM374,689 per unit. Strong demand has driven an average house price growth of 25.5% over the past five years with landed property segment appreciated the most between 15% to 46.5%. More than 35% of transacted units are situated in the Sepang district where Cyberjaya is located. Another improvement worthy of note is near doubling (94.5%) in condominium/ apartment segment in this district in 2011 from 2007. On the Sepang district’s 2-storey terrace segment, the average price shows an improvement of 77.6%.

In line with MSC Cybercity status, the surrounding development in Cyberjaya (continued next page) consists of IT office buildings and


COVER STORY

(from previous page) The Sepang district saw a rise in residential developments. Among the upcoming residential projects in Cyberjaya are those by major developers such as OSK and SP Setia. Some of the completed and upcoming residential projects include Serin Residency, Symphony Hills, Garden Residence and Perdana Lakeview. Demand for condominiums/ apartment is strong as seen in the sales performance of the new launches. For example, Shaftburry Square, a mixed development comprising an office tower, service suites and retail lots were sold out less than two months after it was launched. The retail lots were sold at prices ranging from RM900 to RM1,000 psf, whilst the serviced suites were sold starting at RM420psf.

3

Here are excerpts from Ir. Hafidz’s interview:

Ir. Hafidz Hashim, Managing Director, Cyberview Sdn. Bhd

What are the primary factors that has drawn these foreign investors to Cyberjaya? Cyberview’s role is not limited to plan; they also oversee the whole city-wide maintenance and spearhead investor interface and communitycentric programmes in Cyberjaya

The implementation of real estate initiatives was privatized to Cyberview Sdn. Bhd as an entity to implement va r i o u s d e ve l o p m e n t f r o m t h e beginning. On the other side, Setia Haruman Sdn. Bhd.acted as the master developer of Cyberjaya. Cyberview’s role is not limited to plan; they also oversee the whole city-wide maintenance and spearhead investor interface and community-centric programmes in Cyberjaya. Cyberview Sdn. Bhd. managing director Ir. Hafidz Hashim emphasizes that Cyberjaya has own strenght as its unique selling proposition. In an interview with Property Quotient (PQ) recently, Ir. Hafidz said Cyberview will rollout initiatives to improve its connectivity as well as a plan to make Cyberjaya a new CBD precint.

(continued next page)

Cyberjaya is the strategic choice for international investment location, it has a conducive environment for business, living and study as well as attractive destination for various players. Potential-wise, Cyberjaya has a great world-class infrastructure that draws foreign investors here.

What is the unique selling proposition for Cyberjaya? Our location is just next to the Kuala Lumpur International Airport as an international gateway. But we are not always reliant on our location. The township development itself focuses on information technology (IT) and IT-enabler industries is the key point.

What are the plans and strategies that you have put in place to make sure Cyberjaya succeed as a CBD precint? The 141 acre Cyberjaya city centre that kick start by the end of this year will have enough content to serve investors as a real CBD precint. Right now, we are in midst of an evalution process of the master plan for this project.

What is your next plan to improve Cyberjaya’s connectivity? At a later stage, the real public transport with the full combination of LRT/ MRT and public buses will be expanded until a radius of 50km.


COVER STORY

4

(from previous page)

The availability of multinational companies, academic institutions and other upcoming projects coupled with initiatives by InvestKL and Talent Corporation will drive a steady stream of population to the locality

As a conclusion, in the immediate term, the number of condominiums/ apartments available by 2013/2014 is approximately 4,916 units. At present, there is no SOHO/ SOVO/ SOFO development in Cyberjaya. Based on the selected developments survey conducted within a radius of 10km, most of the developments in Cyberjaya are condominiums/ serviced apartments. The existing supplies of condominiums/ serviced apartment are shown in the Figure 2.

base for Multimedia Super Corridor (MSC) companies into an attractive residential enclave. Lastly, the current population in Cyberjaya is comparatively low in comparison to its neighbouring areas such Puchong and Sepang town. This may hamper the sales growth. However, this factor is mitigated by the availability of multi-national companies, academic institutions and other upcoming projects coupled with initiatives by InvestKL and Talent Corporation which provide a steady stream of population to the locality and ensure Cyberjaya flourishes into a vibrant township.

Any risk of economic crisis recurring is mitigated by the present robust local The notable projects expected to change the scenario of the Cyberjaya’s property property market. market is redevelopment of Smart City The premium residential properties such involving GDV of RM10 billion. as Symphony Hills, Garden Residence, Perdana Lakeview series and the commercial developments such as the For more information about Cyberjaya Neocyber, Shaftsbury Square and the and Cyberview, visit phase of CBD Perdana will transform http://www.cyberjaya-msc.com.my; http://www.cyberview.com.my Cyberjaya from being just primarily a

Figure 2: Notable Projects With Foreign Involvement in Infrastructure Hospitality, Commercial and Industrial Development in Malaysia Project

Type

Launched in

Expected completion

Built-up area (sq.ft)

Selling price rate per sq.ft (RM)

Sales performance (as of July ‘11)

Total Units

Serin Residency

Condominium

2011

2014

965 - 3,527

280

75%

600

The Arc

Condominium

2011

2013

913 - 1,915

394

60%

1,000

The Place@ Cyberjaya

Serviced Apartment

2010

2014

549 - 750

450

Sold out

190

Garden Plaza

Serviced Apartment

2010

2014

450 - 1,000

571

Sold out

980

Emkay Laketown

Domain@ Cyberjaya

Serviced Apartment

2010

2013

550 - 750

255

90%

242

Shaftsbury Capital

Shaftsbury Square

Serviced Apartment

2010

2013

463 - 906

423

Sold out (Block A)

366

D Pulze

Serviced Apartment

2010

2013

453 - 676

520

No data

482

Cyberia Crescent 3

Condominium

2005

2007

1,246

228

Sold out

186

Cyberia Crescent

Condominium

2004

2007

1,050 1,890

286

Sold out

102

Cyberia Smarthomes

Condominium

2000

2002

915 - 1,150

180

Sold out

348

Cyberia Condominium

Condominium

2000

2002

900 - 1,050

168

Sold out

420

Developer Villamas Maju Puncakbumi S/B MCT Homes MyVilla Department

D Pulze Venture Paramoden (subsidiary of MKLand)

Source: MPI Research


SPOTLIGHT

KUALA LUMPUR,

A REGIONAL BUSINESS

HUB OF CHOICE Zainal Amanshah shares his views on Malaysian commercial real estate and outlook for headquarters relocation and business expansion for 2012

by Hazrul Izwan Zainal Amanshah is currently the Chief Executive Officer of InvestKL, an investment promotion agency (IPA) under purview of the Ministry of International Trade and Industry (MITI) and Ministry of Federal Territories and Urban Wellbeing. InvestKL’s key role is to attract 100 of the world’s largest multinationals to invest in the Greater Kuala Lumpur (GKL) area by 2020. Prior to this position, Zainal has 22 years of experience in the private sector as the Group CEO and co-founder of REDtone, a Malaysian public-listed telecommunications provider. In the course of his career, Zainal is also well versed with the public sector especially in foreign investment.

Property Quotient (PQ) interviewed him recently to gain insight into Invest KL’s initiatives and how multinational companies (MNCs) will influence the commercial property market in Kuala Lumpur. PQ: Invest KL’s mandate focus on attracting large global multinationals to set up their business in Greater Kuala Lumpur/ Klang Valley. What is the rationale behind this? Zainal: With total population of 6 million and a GNI contribution of 30%, Kuala Lumpur needs to be recognised as a vibrant place in terms of doing business and liveability in order to attract more foreign direct investment (FDI), create jobs etc. So to that extent, our government has set this vision under Greater Kuala Lumpur (GKL) plan for KL

5

to be top 20 in terms of economic activities and top 20 in terms of deliverability by the year 2020. Invest KL is the dedicated entity that will bring this to fruition. This is how we are complementing Malaysian Industrial Development Authority’s (MIDA’s) role as the lead investment agency in the country, but we are more specialised when it comes to KL. PQ: “Moderation of growth in the economy could cause a slowdown investment, while companies wait for conditions to improve at a better rate”. How will Invest KL react to drive a positive sentiment back on track this year? Zainal: I think in any crisis there are also opportunities and we see that there are opportunities in this scenario. One can learn from Warren Buffet’s famous quote. “Be fearful when others are greedy and be greedy when others are fearful”. While Japan is facing a natural disaster crisis, the European economies and the US are in bad shape as unemployment remains at an all time high, there are opportunities for Kuala Lumpur and Malaysia. A lot of economic activities is here and the outlook is good. Politically we are still stable even though election is round the corner and if you talk about liveability and the cost of doing business, we are extremely cost competitive.

Zainal Amanshah, Chief Executive Officer, InvestKL

buildings in order to boost the demand? Zainal: Property developments are very encouraging. A lot of the new hubs coming in are what I call selfsufficient and self-contained. My advice to the developers would be that these developments should have features like green, MSC status, good high-speed broadband and if they don’t have that, then they need to upgrade. It’s not so much on promoting real estate but we are encouraging them (developers) to create an identity. If KLCC decided to be the oil & gas hub, Petronas should have enough base in order to accommodate the surrounding ecosystem. Same goes to KL Metropolis, you have the office, you must have the connectivity to it and the rest will follow. On the softer side, the walkway and the connectivity is PQ: Malaysia has shown tremendous important as LRT/MRT are now become improvement in ranking in terms of doing extremely necessary to compliment business, global competitiveness as well those buildings. as foreign direct investment confidence index in 2012. Can you comment on the PQ: As a closing statement, what is the improvement in ranking? outlook for headquarters relocation and Zainal: The improvement in the ranking businesses expansion throughout Asia actually needs effort; you need to show in 2012? results before you can really move up the Zainal: I think 2012 and beyond until ranking. It doesn’t happen just purely by 2020 does look positive due to the chance and shows that the government’s growth of Asia. Many companies now Economic Transformation Programme are really expanding; they are looking (ETP) is working. We are moving at the potential sectors of growth and deliberately towards the right direction scaling up their operations accordingly. and it will further emphasise the point Some of the ETP announcement does that Malaysia is a hidden jewel. As Datuk involve regional headquarters activities Seri Idris Jala said,” this is not a sprint, or even regional centres of excellence it’s a marathon”. There appears to be a So this is a very encouraging trend. Of structural change in perception as we course the competition is very stiff but can clearly see that the FDI confidence I think the fundamentals are all there ranking moved up from 31 st to 10 th for KL. When you look at headquarter position in 2012. All these rankings hub of opportunities, companies would prove that we are getting better and are naturally look to the city because of the able to answer many of investor’s liberality, connectivity and lifestyle they want. PQ: On the real estate front, a large proportion of Kuala Lumpur’s office space is vacant in recent years. What sort For more information about InvestKL, of quality should we have in commercial visit http://www.investkl.gov.my


IN A NUTSHELL

6

SHIFTING

Figure 3: An overview and outlook by the Economist Corporate Network (ECN)

TRENDS WITHIN

ASIA

Back in 2000, China’s economy was just 12% the size of America. By 2018, the ECN forecast China will overtake the USA and 54% of respondents expect their sales in China to grow by 10% or more this year.

AS AN ATTRACTIVE CBD Survey shows China and India remain dominant but the tide is turnings towards Indonesia, Vietnam and Malaysia according to Asia Business Outlook 2012

Japan is the one part of Asia where expectations for sales growth in 2012 are moderately higher than in 2011. More than half of respondents expect sales in 2012 to be flat or to decline (57%).

by Faza Sakinah & Hazrul Izwan Mr. Justin Wood, Director of Southeast Asia, The Economist Corporate Network (ECN) emphasised that businesses expect their sales growth in Asia to moderate at the “Asia Business Outlook 2012” forum on 18th January 2012. “Based on the survey carried out in December 2011, 64% of respondents recorded sales growth of 10% or more in China and 48% of respondents reported the same sales growth in India”, he added. China and India had been ranked the most attractive countries in Asia in terms of growing sales in production in the manufacturing sector over the past 5 years. In 2012 that trend has shifted towards Indonesia as the being the most attractive followed by China and India. Malaysia is ranked sixth in place for the attractiveness of sales growth with 31%

In 2011, 48% of respondents saw sales grow by 10% and 46% of respondents expect sales to grow by 10% or more in 2012.

The economies of South-east Asia are more exposed to the vagaries of the global economy than China and India, the one exception is Indonesia, where sales growth is expected to remain strong and consistent this year.

of respondents stating it. This change is due to the progress that Indonesia has made over the years such in public debts reduction, a clearer banking sector has cleaned up and a political shift to world democracy.

Figure 4: Are the following countries becoming more or less attractive for revenue growth and manufacturing & production? China Hong Kong India Indonesia Japan Malaysia Pakistan Philippines Singapore S Korea Legend:

Taiwan

Revenue growth

Thailand

90

80

60

50

40

30

20

10

0

-10

-20

-30

-40

-50

Less attractive More attractive Source: Economist Corporate Network

70

Manufacturing & production

Vietnam

Due to the rising cost in China, Indonesia has overtaken China in the attractiveness for revenue growth. As for the attractiveness for manufacturing and production, Indonesia is ranked first place followed by Vietnam, India, Malaysia, while China takes fifth place. 28% of respondents stated that Malaysia is more attractive than other countries. In the past 10 years, Malaysia has lost out to China due to the rise of China but now with the rising cost of China, the tide has turned back to South-east Asia, particularly Malaysia. However Singapore, Pakistan, Hong Kong and Japan fall under the less attractive category for manufacturing and production. Lastly, even though Asia is forecasted to be the world’s central business district this year, experts advice global businessman employ the following measures to tide over slowdown. To manage cost; reduce business class travel, encourage videoconferencing as an option for overseas face-to-face meetings and reduce research and development spending (R&D).


NEWSFLASH

MALAYSIA ATTAINS

HIGHEST RANKING IN GLOBAL

PEACE

INDEX WITHIN SOUTHEAST ASIA

7

all crime index had decreased by 11 per Figure 6: Selected Asia Pacific cent which had exceeded the current Countries in GPI Ranking 2011 government targeted reduction rate of five per cent. Reducing crime Country/ Territory Overall Regional Rank Rank rate is a priority for the present Government under the Government New Zealand 2 1 Transformation Programme. The Japan 3 2 Government’s confidence is reflected in the introduction of a new Bill which Australia 18 3 cuts drastically the detention period Malaysia 19 4 before a suspect is freed or brought to trial under the Internal Security Act on Singapore 24 5 10 April 2012.

GPI which is published by the Institute for Economics & Peace, is a bold attempt to measure the peacefulness of a country based on 23 indicators, ranging from a nation’s level of military expenditure to its relations with neighbouring by Afiq Syarifuddin countries and the level of respect for Malaysia experienced a stellar human rights. improvement in its Global Peace Index (GPI) score for the fifth successive year and it rose by three places to number 19 th supplanting Singapore as the Malaysia experienced highest ranked South-East Asian nation a stellar improvement that is safe and peaceful in 2011. The in its GPI score for the GPI is a measurement of peace as the fifth successive year “absence of violence” that seeks to determine what cultural attributes and and it rose by three institutions are associated with states places to number 19th of peace. This can be attributed to growing peacefulness reflected by a rise in political stability, and improving relations with neighbouring countries i.e. Singapore and China. Malaysia’s over-

supplanting Singapore as the highest ranked SEA nation in 2010 GPI

Figure 5: Functioning of Government against Overall GPI Score

Taiwan

27

6

Vietnam

30

7

Laos

32

8

South Korea

50

10

Indonesia

68

12

Average

77

China

80

13

Bangladesh

83

14

Thailand

107

17

Myanmar

133

20

India

135

21

Philippines

136

22

Pakistan

146

23

North Korea

149

24

Source: GPI

The Asia Pacific (APAC) region is, on average, the fourth most peaceful region. APAC countries, however, exhibit wide variation in the GPI where the OECD nations rank highly, with New Zealand coming second overall and Japan third, a two-pronged impact of very strong scores for overall domestic peace and low levels of militarisation. 2011 GPI continues to be strongly determined by the internal measure of peace than the external measure of peace. Deputy Prime Minister Tan Sri Muhyiddin Yassin was quoted saying that the increase in security and peace has benefited the country, leading to a higher confidence level among foreign investors. Foreign investments increased by RM33 billion last year, exceeding the RM29 billion achieved before the world economic crunch in 2007. These are significantly displayed with the rise of Johor foreign property transaction value which has appreciated by 7.15% since 1H2011.

Source: GPI 2011


POLICY

8

AN OVERVIEW

OF MULTIMEDIA SUPER

CORRIDOR (MSC) MALAYSIA

Introducing MSC Malaysia Cybercentre roles and criteria to drive the uptake of Information and Communication Technology (ICT) sector

Figure 8: List of Cybercentres in Greater Kuala Lumpur, 2011 Building Name

Location

KL Sentral

KL Sentral, Kuala Lumpur

Menara TM

Pantai Baru, Kuala Lumpur

Mid Valley City

Seputeh, Kuala Lumpur

Bangsar South City

Kerinchi, Kuala Lumpur

G-Tower

Jalan Tun Razak, Kuala Lumpur

The Intermark

Jalan Tun Razak, Kuala Lumpur

Wisma Hamzah Kwong Hing

Lebuh Ampang, Kuala Lumpur

Bandar Utama

Bandar Utama, Petaling Jaya

Symphony House

Ara Damansara, Petaling Jaya

Quill 9

Section 14, Petaling jaya

i-City

Section 7, Shah Alam

UPM-MTDC

Serdang

Source: MSC Malaysia

by Sharun Nidzam MSC Malaysia is the gateway to growing profits in Asia’s booming ICT markets. Modeled to be a world-class hub for development and nurturing of the nation’s ICT industry, it gives you the best of first-world knowledge and infrastructure, at developing-nation costs. Since its inception in 1996, the MSC Malaysia initiative has shown results that have exceeded expectations. In the Phase 2 rolled out between 2004 to 2010, MSC Malaysia contributed RM34.57 billion to the nation’s GDP, the figure is generated by good initiation Figure 7: Qualifiying Criteria For MSC Malaysia Cybercity/ Cybercentre 1

Driven by State Government and Cybercity/ Cybercentre stakeholder

2

Broadband and infrastructure readiness

3

Customer focused management with Key Performance Indexes (KPIs)

4

Competitive environment to attract investment, nurture start-ups / SMEs and house knowledge workers

5

Talent pool availability

6

Proximity and linkages to universities and research centres

7

Use relevant Flagship Applications to enhance services delivery

8

State ICT Blueprint providing value propositions for local economy

Source: MSC Malaysia

MSC Malaysia Cybercentres, serve as the physical location and environment to catalyse and support the growth of ICT and ICT-enabled industries

stage emphasising on visioning and physical infrastructure in Phase 1. Now, the Phase 3 scheduled until 2020 run in tandem with 10th Malaysian Plan is built on the foundation and successes achieved under Phase 1 and 2. MSC Malaysia Cybercentres, serve as the physical location and environment to catalyse and support the growth of ICT and ICT-enabled industries. This helps the government’s ETP in the creation of knowledge-based jobs.The recent statistics shows that MSC Malaysia created 111,367 high-value jobs with average net salary of RM4,385 per month, 137% higher than the global pay scale. Focused, reliable and trusted onestop centre is readily available to attend to enquires, complaints, suggestions and feedbacks. All these make it an ideal location for investments and business activities.

panies to become global players. On the Shared Services Outsourcing (SSO) side, MSC Malaysia’s SSO sub-sector contributed 220 companies as of 2011. The Cybercentre also acts as a delivery partner of Multimedia Development Corporation (MDeC) and the Government of Malaysia on the delivery of MSC Malaysia Bills of Guarantees (BoG) to MSC Malaysia Status companies. To date, there are 12 MSC Cybercentres in scattered locations within Klang Valley. Each building offers its own unique value proposition that feature different strength and niche area in ICT. These features will be the main focus for the Incubation Centre for MSC Malaysia companies and usually also represents their anchor tenant. Some buildings are existing buildings that have been upgraded and refurbished while the others are new buildings constructed specifically according to the criteria and specification that meets the eligibility requirements. Those buildings also needed to comply with the Performance Standard set by MDeC to ensure the Performance Guarantees towards providing high level of service delivery to its tenant. As a conclusion, MPI sees MSC Malaysia as a value-added that will drive Malaysian commercial property market especially in Kuala Lumpur against negative perception due to a temporary oversupply and rental rate compression.

MSC Cybercentre’s major role is to provide a conducive environment and ecosystem that can attract and house Part 2: How MPI can facilitate foreign major ICT players, house and nurture companies to obtain a MSC Cybercentre local ICT and MSC Malaysia Status com- status?


GRAPHICALLY SPEAKING

9

PERCENTAGE

INDUSTRIAL

SHARE OF NUMBER OF

PROPERTY

62.3%

TRANSACTION BY SUB-SECTOR AND PRICE RANGE, 2011

10,479 units 37.7%

RESIDENTIAL

91.9%

DEVELOPMENT LAND

269,789 units 8.1% 78.3%

21,713 units

COMMERCIAL

21.7%

70.9%

43,674 units

Legend:

29.1%

Less than RM500,000

RM500,001 and above

Value of Property Transactions by Sub-sector and Price Range (RM’m) in 2011 Less than RM500,000

Average RM500,001 price / unit and above

Average price / unit

Residential

38,016.35

0.15

23,815.21

1.09

Commercial

7,230.06

0.23

20,406.16

1.61

Industrial

1,464.57

0.22

10,077.66

2.55

Development Land

2,133.76

0.13

15,844.29

3.36

Total Source: NAPIC

55,717.07

82,110.97


CROSS-BORDER QUERIES

10

LOOKING FOR

INVESTMENT

Malaysia Property Incorporated (MPI) receives foreign investor queries on an ongoing basis. For any parties interested to pursue these investment requirements, please contact the MPI team at info@malaysiapropertyinc.com Request

Client

Requirement

Location

Landbank

Guangzhou, China

10 - 20 acres of land for furniture mall

Greater KL

Landbank, Development rights

Dhaka, Bangladesh

5 - 7 acres of land for development

Greater KL (Southern part)

Dubai, UAE

10,000 square feet area

Klang Valley

Landbank, Development rights

Singapore

10 acres and above of freehold land to built a logistic park

Klang Valley (Shah Alam, Bukit Raja)

Landbank, Development JV

Singapore

Mixed development with medical component, medical resort e.g medical themed service apartments, retirement village

Klang Valley, Johor, Penang

Landbank, Development rights

Seoul, Korea

20 acres, mixed development

KL City Centre

Asset acquisition

Shenzen, China

Golf course with land for residential development

Greater KL vicinity

Landbank, Development rights

Singapore

Industrial park development (size TBA)

Greater KL vicinity, Iskandar region

Landbank, Development JV

Jakarta, Indonesia

High-end residential development (size TBA)

Greater KL vicinity, Iskandar region

Asset acquisition, Development JV

Kuala Lumpur, Malaysia

Commercial development opportunities, Grade A office en-bloc

Greater KL vicinity

Landbank, Development rights, Development JV

Shaanxi, China

Mixed development land or construction

Kuala Lumpur or Johor Bahru

Landbank, Development JV

Bangalore, India

12 - 15 acres of land in KL for JV to build school & boarding facilities

Greater KL vicinity

Seoul, Korea

Infrastructure projects with Minimum Return Guarantee

Nationwide

1Q 2012

4Q 2011 Factory cum distributor office

3Q 2011

2Q 2011

1Q 2011 Construction JV


ABOUT US Malaysia Property Incorporated is a Government initiative set up under the Economic Planning Unit to drive investments in real estate into Malaysia. As the first port-of-call for real estate investment queries, Malaysia Property Inc. connects interested parties through an extensive network of government agencies, private sector companies, real estate firms, business councils and real estaterelated associations. MPI has two core objectives; to create international awareness and to establish connections between foreign interests and Malaysian real estate industry players, ultimately contributing to real estate investments into the country.

For further information and up-to-date tracking of Malaysian real estate data, visit: www.malaysiapropertyinc.com For further enquiry, write to: info@malaysiapropertyinc.com

Disclamer: This report contains information that is publicly-available and has been relied on by Malaysia Property Incorporated on the basis that it is accurate and complete. MPI is not liable if the case proves to be otherwise. No warranty or representation, express or implied, is made to the accuracy or completeness of the information contained herein, and the same is submitted subject to errors, omissions, change of price, rental or other conditions, withdrawal without notice, and to any special listing conditions imposed.


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