Issue93

EAST MALAYSIA’S LEADING PROPERTY PORTAL, MAGAZINE & EXPO ISSUE 93 RM9.50 (Inc GST)

PLAZA SHELL

FIABCI

MALAYSIA PROPERTY AWARD TM

2017

Winner of Office Category

HOT TOPIC

SPECIAL FEATURE

CONTRIBUTOR

Inside: Retail Malls

PLAZA SHELL Sabah’s First Grade A Building

Faizul Ridzuan : Why I Never Liked GRRs

2

www.PropertyHunter.com.my

www.PropertyHunter.com.my

3

4

www.PropertyHunter.com.my

www.PropertyHunter.com.my

5

6

www.PropertyHunter.com.my

www.PropertyHunter.com.my

7

8

www.PropertyHunter.com.my

TITLE ZONED FOR COMMERCIAL USAGE.

SOVO SUITE @ LIKAS BAY

PERFECT FOR AIRBNB BUSINESS LIMITED UNIT

A NEW BENCHMARK OF COUTURE LIFESTYLE IN LIKAS BAY Your next chapter starts here at SPINNAKER SOVO Suites.

Strategically located in Likas, this 18 luxurious duplex office space development is surrounded with a number of established housing and neighbourhood such as The Bay Residences Condominium and other residential properties. Luxuriously planned and artistically crafted, this development creates a colourful place to live, work and play.

Development by Solid Destiny Sdn Bhd (749807-W) Email: info@spinnakerlikasbay.com Website: www.spinnakerlikasbay.com Tel: 6088 277 701 Fax: 6088 277 702 Please contact Mariclarissa Selveno Fu on 6017 818 8199 or 6016 833 4638

www.PropertyHunter.com.my

9

10

www.PropertyHunter.com.my

www.PropertyHunter.com.my

11

Weekly Contest

12

www.PropertyHunter.com.my

Weekly Contest

www.PropertyHunter.com.my

13

TM

Property Hunter is published by: Maxx Media (S) Sdn Bhd (1043783-T) Lot 4, 1st & 2nd Floor, Block A, Heritage Plaza, Jalan Lintas, 88300 Kota Kinabalu, Sabah, Malaysia Level 13A, Wisma Mont’ Kiara, No 1, Jalan Kiara, Mont’ Kiara 50480, Wilayah Persekutuan Kuala Lumpur, Malaysia.

Office Hours: 9:00am – 6:00pm (Monday – Friday) T: +6088-719 787 F: +6088-728 387 E: info@maxxmedia.com.my

EDITOR’S NOTE HO HO HO! It’s that time of year again – when that slightly overweight man in red hops on his rickety deer-powered sleigh to deliver colourfully wrapped boxes to good boys and girls around the world. It is also a time when people hop into their cars and head to the nearest shopping mall to do some last-minute gift shopping. Which brings us to a special topic: Malls. Recalling memories of past holidays, it hits how many an eve I’ve

PropertyHunterMalaysia

PropertyHunter

Editorial Lawrence Julius Rebecca Michelle

Propertyhunt3r

Media & Events Enquiries Victor Yong (Key Account Manager) T: +6013-835 1898 E: victor@maxxmedia.com.my

Creative & Design Stephenson Foo Danny Miki IT Research & Development Caleb Tseu Clifton Chin Jalon Juanis Datu Mohd Fadzli B. Datu Basrun Mohd Syarif Akmal bin Jamar Finance & Operation Elson Kho Marketing & Branding Magdelene Muh Debbie Eva Denis Estherina Rosalind

Circulation & Subscription Albee Chung Mohd Azrie Ikhwan Bin Mohd Jaya

may have been subtle, but the link is now forever engrained in my cerebral. This association is what the malls evoke and strive for, why they inject a fine budget into ambience and decor. The epitome of retail. When done right.

Read into the pages and discover how some of Kota

Alan Wong (Key Account Executive) T: +6013-881 7898 E : alan@maxxmedia.com.my

Kinabalu’s top malls are managed and what to expect from

Bryan Chang (Key Account Executive) T: +6013-852 2898 E : bryan@maxxmedia.com.my

insights into progress, like for Oceanus Mall and how its new

Mohd Ikmal Shaffis (Key Account Executive) T: +6013-865 2898 E : ikmal@maxxmedia.com.my

For the industry, this time of year also means awards

Cherlynna Aprillisa Santos (Media Executive)

Events Marketing Italia Nayenti Boniface Hilda Lim

personally spent wandering the halls of a shopping mall. It

Printing: Percetakan Kolombong Ria Sdn Bhd: Lot 3A & 5, Mile 5.5, Tuaran Road, Neutron Park, 88450 Kota Kinabalu, Sabah, Malaysia T: +6088-426 691

the retail segment in general. With so much talk about a retail glut floating in the air, we investigate if it is really true and what the players are saying. You will also find some management is trying to refresh the waterfront in an interview piece with CK Wong.

season. In the pages you will find two stories of success, one recognized for his endearing commitment to his craft as a real estate negotiator and another on how a building became an iconic landmark for the city. I will leave it to you to find out. But I believe you may have gotten a big hint when you picked up this magazine.

Property buyers be prepared for some knowledge: This edition’s contributors Chris and Charles – both sharing the same surname, though they are not related – are dropping some helpful insights on buying in the secondary market. Not

Administration & Accounts Jerace Lee

to be missed. These and more between the bindings.

Available bi-monthly at leading bookstores and newsstands throughout Malaysia

Finally, on behalf of everyone at Property Hunter I would like to express our heartfelt thanks to you – our readers and friends, and wish everyone a happy and blessed holiday. We are excited and looking forward progressing together come the new year. So we hope you stick around. With that, au revoir 2017 and we’ll see you in 2018. Cheers!

Respon si

P

e Forestry bl

ces acti Pr

ted in Sab rin

ah

14

e in Saba ad

h

M

Printed on environmentally responsible paper from imported high quality grade woodfree recycled paper in a Sabah based facility.

Supporting Local Talents & Businesses. www.PropertyHunter.com.my

Lawrence Julius Editor

CONTENTS Special Feature 16 PLAZA SHELL: Sabah’s First Grade A Building 22 Lane 15:“Lane One-Five” Elegance and Grace Property Showcase 26 When You Create a Place, You Create a Personality Hot Topic 16

30 Inside: Retail Malls Contributor 38 5 Things You Need to Know if You are Buying Your Property from the Secondary Market 40 Why I Never Liked GRRs 42 Buying in the Secondary Market 44 Branding in the 21st Century Interview 46 Planting the Roots 50 Top Man: Joel Low 56 New Wave for Oceanus

26 Hot Topic 62 Hotels Vs Airbnb 64 Budget at a Glance Featured Events 66 Baker Tilly Organises Seminar for Leading Malaysian Property Developers 67 5th Borneo Architecture Festival International Design Conference 68 Gamuda Land Celebrates Success with Octoberfeast 69 Handover Key Ceremony for Taman Limbai Ria Phase 1 70 Unveiling the Brand-New Mercure Hotel in KK City 34

72 Property Hunter Signs MoU with SHAREDA Property News 75 Director Nabbed in Fraud Probe into ‘Karambunai Project’ 76 MoA Signed, CSCEC Engaged to Build Jesselton Twin Towers 77 KK City First in Malaysia with Free Seamless WiFi Service 78 Airbnb Statement on Sabah Market

Disclaimer, Permission & Reprints: This publication is not an investment advice. It is intended only to inform and illustrate. No reader should act on the basis of any matter contained in this publication without first seeking appropriate professional advice that takes into account their own particular circumstances.The publisher and editors give no representations and make no warranties, express, or implied, with responsibility of any of the material (including statistics, maps, articles, loan product tables, advertisements and advertising features) contained in this publication. The publisher and editors expressedly disclaim all responsibility for any errors in or omissions from the information contained in this publication, including all liability for any loss or damage suffered or incurred by any person as a result of or arising out of that person placing any reliance, weather whole or partial, upon the whole or any part of the contains of this publication. No correspondents will be entered into a relation to this publication by the publishers, editors or authors. The publishers do not endorse any company, organisation, person, investment strategy or technique mentioned in this publication unless expressly stated otherwise. The publishers do not endorse any advertisements or any special advertising features in this publication, nor does the publisher endorse any advertiser(s) or their products / services unless expressly stated to the contrary. Articles are published in the reliance upon the representations and warranties of the authors of the articles and without our knowledge of any infringement of any third party’s copyright. The publishers and editors do not authorise, sanction, approve or countenance any copyright infringement. This publication is protected under the Law of Malaysia Act 332 Copyrights Act 1987 and may not, in whole or part, be lent, copied, photocopied, reproduced, translated or reduced to any electronic medium or machine-readable format without the express written permission of the publisher. Copyrights 2013 Maxx Media (S) Sdn Bhd. All rights reserved.

www.PropertyHunter.com.my

15

SPECIAL FEATURE  by Hap Seng Properties Development Sdn Bhd

PLAZA SHELL

Sabah’s First Grade A Building FIABCI Malaysian Chapter celebrated their 25th anniversary of Malaysia Property AwardTM at One World Hotel, Selangor on 25th November and saw Hap Seng Properties’ Plaza Shell winning the prestigious Office Category Award. The Aw ard serves as a benchmark and drives force for developers to continue to develop more creative and innovative projects that will benefit the entire industry.

Once a swampy area where houses then were built on stilts and had zinc roofs, Kampung Air is now rejuvenated as one of the prominent areas in downtown Kota Kinabalu.

This historical area captured the heart of Hap Seng Group, a developer with a proven track record of over 50 years in property development, and inspired the group to raise the 14-storey, eco-friendly building that would eventually be named Plaza Shell. Today, it is regarded as one of the key landmarks of Kota Kinabalu city.

The first Grade A office and Green Building in Sabah is more than just an office tower. With 24-hour security and top-ofthe-range finishes, this purpose-built office tower radiates a corporate style that’s in a league of its own. It also offers select retail components, ample conference space and meeting facilities to cater to Kota Kinabalu’s elite.

16

www.PropertyHunter.com.my

Mercedes Benz Showroom www.PropertyHunter.com.my

17

SPECIAL FEATURE

Level 8 Office lobby 18

www.PropertyHunter.com.my

SABAH’S FIRST GREEN BUILDING Constructed by VINCI Construction, a renowned French company, the impressive façade has become the talk of the town as it has set the standards of how buildings are constructed in Kota Kinabalu. With Leadership in Energy & Environmental Design (LEED) Silver certification from the US Green Building Council, Hap Seng Group has brought an office tower that has truly reshaped the skyline of Kota Kinabalu.

“Apart from its prominent location which provides spectacular views, the building is also the first Grade A office tower in the State and it is set to revolutionise the office and retail space standards, bringing Kota Kinabalu’s corporate lifestyle to the next level”, said John Tan, Hap Seng Properties Development Sdn Bhd Chief Operating Officer (East Malaysia).

This new eco-friendly building features a double-glazed glass for heat and noise insulation - the first ever in Kota Kinabalu, attracting big-name international conglomerates such as Shell and Honda.

www.PropertyHunter.com.my

19

SPECIAL FEATURE

OLD GOLDEN SCREEN CINEMAS BUILDING, KOTA KINABALU, 1990’S

Banking Facilities

20

www.PropertyHunter.com.my

BEYOND THE BUSINESS FRONT

S

ix units of passenger lifts service the 10 floors of office space to achieve high level of passenger comfort and two units of car park lifts for its four-level basement carpark which can accommodate 567 cars, 82 motorcycles and 147 bicycles at any one time.

Corporate event

For lifestyle, Plaza Shell is equipped with flagship showrooms as well as a gallery, home furnishing centres, clinics, banking facilities, F&B outlets, beauty salons and a fitness studio.

Whether it is meeting a client over a cup of coffee or searching for the perfect kitchen for your home, Plaza Shell is a one-stop gem for lifestyle and corporate needs. With a total gross floor area of 742,730 sqft, the office tower is much more than an efficient Grade A building but is a prime benchmark that is difficult to beat in Kota Kinabalu.

F&B outlet

Hap Seng Property Gallery

HS Clinic

www.PropertyHunter.com.my

21

SPECIAL FEATURE  by Rebecca Michelle PHOTOS  by Aznan Johary

Lane 15: “Lane 0ne- Five”

Elegance and Grace With passion, from Thailand.

N

ew and exclusive to Kota Kinabalu, furniture store with multiple brands including Niiq, Mobella, Filobula, LOQ, PDM Brand, Ease Studio and Hove have shown timeless elegance and grace in its designs. One of the founders of Lane 15, Ethan Chong – a charismatic Sabahan – through his passion for interior design and furnishing, found himself opening a double storey unit in Kota Kinabalu together with three Thai partners.

Asian accents in designs may actually be the key in “wow”ing your clients with your design – creating a unique selling point and setting yourself apart from your competitors. Beyond the aesthetic reasons, there may be psychological reasons to incorporate Asian elements into one’s furniture design. “A table is just a table to everyone’s eyes, but to me, it’s an art. I admire and appreciate its details, materials and quality of the craftsmanship,” says Ethan, adding that every piece of hand-picked furniture in the store has its own characteristics.

J

ust like its furniture, Lane 15 too has its own connotation; the path to be No.1 is to enjoy what you do with passion, creating a symbolic meaning to the figure “5”. Lane 15 hopes to influence East Malaysians through its carefully cultured award-winning furniture designs. The DEmark Award (Thailand) and Good Design Award (Japan) winning furniture are available in Lane 15.

Since 2005, Mobella’s experienced creative minds have been designing sofas, armchairs, bed, and accessories for both domestic Thai market and international projects including Japan and Europe. With 10 years’ worth of experience up his sleeves, Mobella’s Design Director, Anupol Yooyuen, is one of Bangkok’s finest designers. Through his undying passion and many cultural inspirations, some of Anupol’s best, Award-Winning work of art was inspired by the Asian culture. With that knowledge, he designed something that would eventually create a sense of comfort. The Noomnim sofa, is the first sofa in Thailand to win an Award; the G-Mark Award, presented by Japan. The sofa was designed with the Thai culture in mind.

One’s interior space reflects how they see themselves. At Lane 15, the customers’ demands are always met. “We want our customers to be happy with what they buy from us. Customers are welcomed to customize their own furniture from its materials, dimensions, and colors,” says Ethan, adding that that is the company’s unique selling point.

LANE 15, KK

22

www.PropertyHunter.com.my

“Seeing the clients happy with my design is probably my greatest achievement. If they’re happy, I’m happy. It is my hope that with my designs, people can enjoy the furniture they choose and enjoy it as a lifestyle piece, instead of just treating it as a furniture,” says Anupol.

BED - Baker bed in premium leather

RUG - Muria rug for indoor and outdoor use

CHAIR - Jay chair in 3D veneer

SOFA - Whip cream duck down sofa

STOOL - Macaron bar stool in ash wood

EASY CHAIR - Ethan easy chair in oak wood and fabric

CHAIR - Chulip swivel chair TABLE - Thumb center table and side table

“Every home tells a story, what we live with defines who we are”

DESK - Smith desk in walnut with drawer racks

WALL DECOR - Prism in natural linen and teak frame

OTTOMAN - Macaron ottoman in ash wood

WALL DECOR Complex in natural linen and teak frame

CHAIR - Smith chair in walnut wood SOFA - Island-II corner set in premium leather

BAR STOOL Loku bar stool

by Shin Azumi

CHAIR - Arte Chair in oil leather

TABLE - D2 dining table in oak wood RUG - Katve rug for indoor and outdoor use www.PropertyHunter.com.my

23

SPECIAL FEATURE

Group photo with founder of Niiq

M

obella and Niiq are one of few brands in Thailand that have been exhibiting in Milan’s Furniture Fair and Maison & Objet consecutively for years.

The Milan Furniture Fair is a furniture fair held annually in Milan and it is the largest trade fair of its kind in the world, showcasing the latest furniture and design worldwide.

LANE 15, KK

Niiq’s founder and designer Rangsan Narathasajan has more than 15 years’ experience in the modern interior and furniture design field. “Functionality is our first contemplation as well as the sense of natural beauty. We want it to be simple, yet be in harmony with its daily use”, says Rangsan. Most of the products are made from solid wood and some are assembled with assorted materials such as fabric, metal, stainless steel, granite, rattan, to name a few.

Set to spread its wings further, Ethan shares that the company plans to open a second branch, focusing on high quality finishing accessories such as homewares, wooden products, leather goods and little trinkets. The second branch will most likely see itself in a shopping mall, targeting the wider range of market.

NIIQ Showroom, Bangkok

24

www.PropertyHunter.com.my

“We want to expose the locals to different designs and lifestyles by giving them a different quality of living with our products. It’s not only always about price but the value and how an item is crafted. Every home tells a story, what we live with defines who we are,” says Ethan.

LANE 15, KK

PDM

LANE 15, KK

LANE 15, KK

For more information, please contact: : +6019 853 0015 : ethan@laneonefive.com : laneonefive : laneonefive : No.1, Jalan Limau Manis, Off Jalan Lintas, 88450 Kota Kinabalu, Sabah

www.PropertyHunter.com.my

25

PROPERTY SHOWCASE ď‚„ by Gamuda Land

When You Create a Place, You Create a Personality Highland Resort Living at the hilltop of Inanam, Kota Kinabalu The notion of buying a home no longer applies to the four walls and a roof over your head. Discerning buyers have higher expectations when they purchase their homes.

They look for homes that not only provide them with the facilities and amenities but also a home that reflects their personality and lifestyle.

As a town-maker, Gamuda Land creates places that people will call home, want to be a part of, grow up and grow old in. The planning and architectural design of Gamuda Land’s developments promote connectivity so that residents can truly get to know their neighbours.

Developed by Gamuda Land, Bukit Bantayan Residences has been thoughtfully planned and involves bringing together key elements such as the architecture of the buildings, landscapes, views as well as connectivity. Being able to integrate the home and social place are the key to ensuring that residents can experience a real difference, get a feel for the place and want to be a part of it.

26

www.PropertyHunter.com.my

Aerial View www.PropertyHunter.com.my

27

Village Square

Getting the places right, makes it work During the planning stage of the development, aside from the home place, considerations were taken to plan the play place, wellness place, shopping place, gathering place and eating places.

The development provides its community with an array of avenues to socialise in a cosy environment at the Village Square. It

is packed with a wide range of facilities like the Green Canopy ‘Sky’ walk, reflexology path, children playground, 50m infinity pool complete with a lounge, wading pool, BBQ area, yoga deck, multipurpose court and a gymnasium. The Village Square also houses 25 units of retail outlets.

Staying connected and adding value to the community, Bukit Bantayan Residences will also introduce its Residence Management App that will allow residents to manage bookings of meeting rooms, registration of visitors, maintenance billing schedules,

report defects and even a panic button in cases of emergency.

Surrounded by nature Working with the land, Bukit Bantayan Residences has allowed for the natural setting to be part of the development. Like how the hillside view and sea view are integrated to each floor and how nature blends in with the social spaces where the mountain foliage and infinity pool are set against the backdrop of the sunset skies.

Podium

28

www.PropertyHunter.com.my

Infinity Pool

The Project Since its inception in 2016, Bukit Bantayan Residences has introduced two out of three residential towers in phase one namely the Ebena and Cemara towers. Ebena Tower is fully sold to non-bumiputera while Cemara Tower is 85% sold to non-bumiputera.

Homes in Bukit Bantayan Residences are

tastefully crafted to ensure a harmonious and amicable environment for the community, featuring three-bedroom family and dual-key units with spacious interior that offers both comfort and privacy for the young and youngat-heart.

In the pipeline to be launched is the final tower of phase one; Dilenia Tower which consists of 320 units which will offer five types of layout with built-ups ranging from 904 sq.

ft. to 1,100 sq. ft. Most higher floor units facing the South China Sea will have spectacular sea front views.

Bukit Bantayan Residences is also introducing its all new Paling Menang Easy Payment Scheme V3.0 to all prospective customers.

When all these elements come together, it’s a place where people can experience a real difference, get a feel for the place and want to be part of it.

For more information, please visit the Bukit Bantayan Residences Sales Gallery or call 088 254 436.

www.PropertyHunter.com.my

29

HOT TOPIC  by Rebecca Michelle

Inside: Retail Malls A thorough sweep of the commercial centre segment in Kota Kinabalu.

K

ota Kinabalu may soon be known

retail sector in 1Q2017 recorded a decline

Calculating the footfall of shopping malls

for its “ghost malls” as retail space

to 85.1% for the whole of Sabah from 86%

may give a clearer look at how the market is

progressively rises amidst a flat

in 2H2016. This drop could be due to the

reacting. However, this is a tedious process

economic growth pattern and a relatively

increase in retail supply and the sluggish

and according to SHAREDA President Mr

small population of less than 500,000 people

economy.

Chew Sang Hai data from NAPIC may be

in the Kota Kinabalu’s Central Business

inaccurate and influenced by the high

District (CBD). An ominous truth or an

According to NAPIC and Knight Frank

value market. Shop lots, hypermarkets,

unjustified statement?

Research, Sabah registered 18 transactions

supermarkets and the likes are not shopping

with a total value of RM20.5 million in

malls says Mr Chew, as these segments are

The total retail space in Kota Kinabalu

1Q2017 for real estate in shopping malls.

lumped together in NAPIC’s research. To

currently stands at circa 5.65 million sqft with

While volume of transactions declined by

accurately calculate footfall of malls in Kota

the addition of 74,666 sqft courtesy of the

around 44% as compared to the preceding

Kinabalu, one must divide the total square

newly completed Jesselton Mall @ Jesselton

quarter (1Q2016), the value of transactions

footage – excluding shop lots, hypermarkets

Residences and approximately 65,000 sqft

has increased slightly by approximately 5%

and supermarkets – by the population of the

more from T1 Bundusan. A recent data from

as compared to RM19.5 million, recorded in

whole of Kota Kinabalu he explains.

the National Property Information Centre

4Q2016.

(NAPIC) shows that occupancy rates for the

Table: Transaction Prices of Shortlisted Shopping Malls according to Levels Scheme

Location

IMAGO Shopping Mall

Sembulan

Average Transacted Price

(Ground Floor)

(Concourse; First Floor and Above)

Fully retained by Developer

Wisma Merdeka

KK CBD

RM 2,068 – RM 4,184 psf

RM 328 – RM 976 psf

Centre Point Sabah

KK CBD

RM 2,100 – RM 2,759 psf

RM 203 – RM 1,800 psf

Suria Sabah

KK CBD

Oceanus Waterfront Mall*

KK CBD

RM 2,688 – RM 2,988 psf

RM 988 – RM 1,788 psf

Sembulan

RM 3,479 psf

1st floor: RM 2,613 psf 2nd floor: RM 2,082 psf

Riverson Walk Komplex Karamunsing

Karamunsing

One Borneo Hypermall

Jalan Sulaman

City Mall

Jalan Lintas

Jesselton Mall*

KK CBD

Source: NAPIC / JPPH and Knight Frank Research

30

Average Transacted Price

www.PropertyHunter.com.my

88% retained by Developer

Majority retained by current owners RM1,500 – RM3,100 psf

RM790 – RM1,950 psf

93% retained by Developer Retained by Developer

RM2,050 – RM2,300 psf

Occupancy rates (%) of shopping malls in KK for the last 10 years

Occupancy Rate (%)

100

91

89

90

86

88

83

86

86

89

91 78

75

80

86

70 60 50 40 30 20 10 0 2004

Year 2006

2008

2010

2012

2014

2016

Sources: NAPIC / knight Frank Research

The shopping mall industry has enjoyed

“We do see some retail glut in the market

One of the root dilemmas the retail segment

a huge growth in retail space from 2007 to

now. What makes it worst is most of them are

face is that tourists are the prime spenders

2010. Malls built during that period are City

less than 2km from one another!� says David

upon which shopping malls survive. There

Mall, One Borneo, Suria Sabah, Warisan

Lau, Head of Marketing for City Mall. He says

is just not enough people to support the

Square, plus the expansion of Komplex

that from 2015 to date, there are more than 2

robust growth in retail space. To put it simply,

Karamunsing. With these malls, 1.5 million

million sqft of additional retail space coming

there is no buying power. Last year, Sabah

sqft of retail space were created, and the

into the market with no less than 5 new malls

recorded tourist receipts of RM7.25 billion on

market took almost 36 months to absorb the

being built and under construction.

the back of close to 3.5 million tourists.

excess space.

www.PropertyHunter.com.my

31

HOT TOPIC

IMAGO Shopping Mall

Ghost malls haunting the retail industry?

Located strategically adjacent to Gleneagles Mr Chew shared that the “super boom”

Medical Centre, opposite Imago Shopping

Owning and operating a mall is an endearing

of the real estate industry that happened

Mall, Riverson Walk has fuelled fears as two

and challenging task that entails managing

between 2009 and 2014, had encouraged

years since its launch, its some 600,000 sqft

the tenant mix, ensuring the property

developments to sprout over the years and

of retail remains sparsely tenanted. However,

keeps up with trends, offering promotions,

a popular segment was the shopping mall

Riverson is supported by a very good location,

maintaining visitor traffic, sustaining

niche. He added that we are currently facing

for one, and may be an attractive prospect

relationships with tenants, etc. The economic

a “market problem” and not so much of a

once the market adjusts and demand for

downturn is one of few contributing factors

crisis similar to that in 1998. He explained

space returns.

stifling the realisation of lavish development

that demand will pick up sooner rather than

ideas. Sometimes though, the death of a mall

later as there will be no influx of retail space

Oceanus Waterfront Mall, which houses

is simply due to bad town planning and mall

in the coming future which will in turn spike

Sabah’s first Hard Rock Café, has also fallen

management.

demand.

short of expectations as foot-traffic declined

When a shopping mall starts losing consumer

Taylor Hobbs’ principal consultant Sr Liaw

corrected with the appointment of Azmi &

traffic and its tenancy hits 60-70%, it is

Lam Thye commented that the incoming

Co as its new management, officially taking

said to be on a “death spiral” and is widely

splurge of retail space is indeed “worrisome”.

office on 1 September 2017.

considered a dead or ghost mall according

He too believes that the existing population

to a recent article by Focus Malaysia.

in Kota Kinabalu is insufficient to support

1Borneo Hypermall, Sabah’s largest mall with

Retail experts point their fingers at the

the boom in retail space, especially with the

a net lettable area (NLA) of approximately

unprecedented property boom, which

online retail sector growing at a fast pace. As

1.5 million sqft, is also experiencing a decline

prompted developers to build far too many

a result, empty retail spaces are being seen in

in footfall, with some retailers switching

shopping malls.

Kota Kinabalu.

to newer malls while others succumb to

alongside occupancy. This is set to be

economic pressures and are forced to close.

32

www.PropertyHunter.com.my

Grand Merdeka Mall

What makes a mall?

There are many factors that define a good

How is a mall categorised? It starts off with

Grand Merdeka Mall contributed to the retail

shopping mall. The mall business is a

its size. A retail development with a built

segment with approximately 270,000 sqft of

whole new ball game. The purpose of a

up of less than 300,000 sqft is considered

NLA since opening its doors in June. To date,

good mall is to be able to serve the target

as a suburban mall, catering to 15km of its

Grand Merdeka said that 40% of the mall’s

market with the right tenant mix. But that’s

catchment area. A mall is considered as a

units are sold to various buyers, and the rest

a very text book based answer, there are

regional mall if the built up exceeds 500,000

are owned by the developer. Occupancy is a

more factors that mall management must

sqft, with its catchment area of 30km.

definite challenge being a suburban mall.

demographic, culture, spending habits,

“The retail mall market is suffering and has

Grand Merdeka Mall aims to serve the needs

income level, to name a few. “A good mall

its own challenges to overcome. One would

of approximately 380,000 people living at

does not mean that it is a successful mall.

need to go back to the start and see which

the Northern part of Kota Kinabalu who

Another important factor is to create a USP

sector is oversupplied”, said Mr Chew before

are within 15 minutes from the mall. In any

(unique selling point) to differentiate one mall

adding that most people only talk or report

strata mall, especially a suburban mall, to

from other competitors,” says David.

on the catchment area per sqft of the malls.

fill up the space with 80% -100% of the mall

Look at the market sector as a whole.

“We (GM) did a study on cinema seatings in

says, “Grand Merdeka Mall is a stratified

Each mall will have its own speciality and

the Petaling Jaya region. Take Paradigm Mall

mall and majority of the retailers would

demographic and it can range from the

for example, the LDP Highway has numerous

not be interested in stratified malls due to

low-medium, medium market and finally

malls along the way,” says Mr Chew. The case

the possible tenancy complications with

the tourist market, which can be divided into

study shows that in that region, the ratio of

unit owners, but we are not deterred by the

two categories; domestic and international

cinemas seats to people is 20 persons to 1

negative feedback from the public because

market.

seat. The study on Kota Kinabalu’s cineplex

we will work hard in making this mall a

was recorded at 300 persons per seat.

success”.

take into consideration such as its location,

is impossible. General Manager, Emily Chew

www.PropertyHunter.com.my

33

HOT TOPIC

Suria Sabah

To stay on top of the game, over the course of

adapt to the rapid changes in retail, the mall

regarded by many as the best commercial

the year, City Mall managed to increase their

management has also worked with shop

centre in Kota Kinabalu.

footfall by revamping their entertainment

owners on a long-term lease back, to provide

zones through the introduction of a new

flexibility to manage the retail mix for the

Staying in the game

cineplex among others. On a micro level,

mutual benefit of unit owners and the mall,”

Jesselton Mall, a small mall located in

space constraint is the current challenge for

says Mr Tan King Way, General Manager of

Jesselton Residence, has recently obtained is

City Mall, but David is confident that with

Suria Sabah.

OC and will see it housing high-end brands.

upgrades to the aging equipment and a little

The ground floor of the mall is also duty-free.

facelift here and there, the mall will be able

In February this year, Pacific Sanctuary

Another mall in the pipeline is Inanam Mall,

to serve the ever-growing market better. “It

Holdings announced the latest addition to

which will approximately add 100,000 sqft of

is important for the mall management to

its list of confirmed anchor tenants – Harvey

NLA.

identify and react fast enough to plug the

Norman, an Australian-based multi-national

leak. City Mall has come a long way and she

retailer with a wide range of world renowned

The State Government’s controversial

just had her 10th anniversary,” says David.

brands in home furnishings and bedding,

mixed development project, Tanjung Aru

computers, communications and consumer

Eco Development (TAED), with a gross

Suria Sabah is tightly controlled by the

electrical products, to its PACIFICITY

development value (GDV) of RM7.1 billion is

developer, who owns more than 88% of

Shopping Mall. News of this received much

believed to have been recently awarded to

the NLA. Key locations and floors are held

traction and shows how much of an impact

contractors and works on the development

by the developer and its sister company.

good anchor tenants can have on the

is expected to commence soon. This

Suria Sabah will be 9 years old come 2018

perception of “success” of a shopping centre,

development will contribute another 645,000

and she is currently undergoing some

even before the doors actually open.

sqft of boutique retail and F&B space.

established brands such as Dragon Palace

As for Imago Shopping Mall, it is still

Sr Liaw says, in order for a mall to stay in the

Dim Sum and Seafood Restaurant from Perth,

gaining its momentum by maintain a mix

retail game in Kota Kinabalu, it must have a

New WK Restaurant, Kuo Man Restaurant, a

of renowned retailers such as Morganfields,

USP or cater to a specific niche market. He

24-hours McDonald’s, Ichizo Ramen, Taiwan

Cortina Watch, Baskin Robins, Pandora and

mentions Komplex Karamunsing’s IT arcade

Original Cake, I Love Yoo and more.

Ripcurl, to name a few. The occupancy rate

as an example and Plaza 333, which is known

in Imago Shopping Mall improved from 85%

for its wide selection of F&B.

major restructuring to bring in special and

“Understanding the need to evolve and

34

www.PropertyHunter.com.my

in 1H2016 to 87% as of 2H2016 and is still

It is a given that malls with an entertainment element tend to surpass its competitors.

Imago Shopping Mall, which houses the famous MBO Cinema is a prime example.

Similarly, Suria Sabah and 1Borneo malls house GSC Cinemas, while City Mall and Centre Point have home-grown cinema brands and PACIFICITY Shopping Mall is expected to tie-up with TGV Cinema. Grand Merdeka is also planning to open their own cinema, with a seating capacity ranging from 80 to 180 across six halls, each with its own theme façade.

Suria Sabah will be elevated to offer more affordable luxury items such as leather goods, renowned watches and jewelleries, cosmetics

“It’s all about mall management and survival

NLA at saturated levels, property consultants

and the only full-ledge MANGO store catering

of the fittest. If you have the capital and

are calling for more creative options.

for men, ladies and children. “Stores such as

you’re threading your business carefully, of

Coach, Pandora, Esprit, Sushi Tei and Watson

course, you can succeed because by doing

Many hope the commercial development

(to name a few) have upgraded their units,

things right, you’re gaining the public’s

idea will be ditched altogether in favour of

refreshing it into a more modern concept,”

confidence. And that’s a very important thing,

more marketable options like self-contained

says Mr Tan adding that with the current

public confidence,” said Mr Chew.

living and leisure type villages that are

market challenges today, it is only natural

targeted at specific tourist groups frequenting

for the company to restructure and look into

“Demand can change overnight, supply

incorporating retail and F&B sectors to the

cannot,” says Mr Chew in a firmly adds

mall.

before saying that the glut is not only in Kota

In a statement made by Sunny Kelvin, Smiths

Kinabalu, but everywhere. It is a challenging

Gore Sabah’s senior valuer and head of

industry to be in now. Developers must be

property management to Focus Malaysia, he

In a statement made by CH William, Talhar

in the industry for long-term, not short-term

said that to meet demands, developers need

& Wong’s Director (Sabah) Cornelius Koh, he

gain.

to carefully study the market requirements,

Light at the end of the tunnel

agrees that the growing number of malls in

Kota Kinabalu.

adding that he sees a void in the market for

Kota Kinabalu is a cause for concern, but he

With the escalation of cost of living,

self-contained mini villages, fronting the

says that “property is not built overnight.”

shoppers are reluctant to spend as freely as

beach.

before, forcing malls to carefully introduce “If developers were to wait for the market

merchandises that would suit the shoppers’

“Instead of the mundane retail, offices and

to be up and running to start building, they

budget level. “With the advancement of

high-end condominiums, it’s time developers

will lag behind competitors”, he said adding

mobile technology, shoppers get great deals

looked at creating something different to gain

that while the economic sentiments may be

from Lazada and Taobao which adds salt to

a niche foothold,” says Sunny.

dampened right now, it will definitely recover

the wound”, says David, adding that this is the

in future, seeing a more prominent recovery

key challenge for brick and mortar stores. He

Another untapped potential is the outlet

towards the later part of 2018.

also shared that his group is also planning to

malls. Sr Liaw says while there is an

build and run another suburban mall in the

insufficient population to meet turnover

West Coast in the near future.

needs, he believes the 3.5 million tourists

To survive the hard times, Cornelius says many malls are turning to “creative rental

who use Kota Kinabalu as a transit hub would

Moving away from the chestnut

compensate for it. “It’s just selling branded

Developers that want to maximise profits

apparels, but at a fair price. So, this can create

says creative rental schemes such as rent-free

often seek a magnet for their developments in

a new tourist attraction for the city,” he says.

periods are a crucial sweetener to entice the

the form of shop lots or a retail mall. But with

schemes” to attract retailers and beefing up promotional campaigns to draw footfall. He

right tenant mix.

www.PropertyHunter.com.my

35

HOT TOPIC

‘Tis the season!

period, and we estimate an even higher spike

expect to generate almost half of the sale

For the last 2 years, Imago Shopping Mall

this Christmas. It will most probably be our

for the year from pre-Christmas period until

achieved its highest sales records during the

highest sales month ever,” shared Shathish

Chinese New Year.

Christmas period. This year, they promised

Nair, Marketing Executive of Imago Shopping

a visitors Boxing Day Crazy Sales Events,

Mall.

“Half of your yearly sales is from this period.

If you can’t make it during this time, then

coupled with other interactive activities. The mall’s decorations will primarily be the first of

People generally feel good about the end

you’re probably not in a very good shape.

its kind in Kota Kinabalu.

of the year, especially the Christmas period,

However, most retailers have started giving

says David. It is traditionally the time to give

out discounts even before the festive season

“Tenants sales spiked during the Raya and

good tidings and share with your family and

starts, which may adversely affect them,” says

Kaamatan periods and maintained for a few

friends. But for shopping malls, it’s the time

David and said that with the sluggish market,

weeks before the hype slowly died down.

for sales to increase, and retailers hoping

when one person starts a trend, the rest will

We saw a spike again during the Halloween

to make some good sales to cover up the

follow.

drought months. Malls that do it right can 36

www.PropertyHunter.com.my

What to expect?

“The market has started to pick up and there

end of expansion soon and hence, there will

From the management’s point of view, the

may be slight improvements going into

be an adjustment happening let’s say in the

retail market will improve in certain sectors

2018. I think the overall market will remain

next 12-18 months and the effect will reduce

but not all. For example, tourist focused

flat with less than 5% growth for us,” says

the number of foreign travellers visiting the

shopping malls in KK CBD will continue to do

David, adding that with the GST remaining

city and indirectly affecting tourists focused

well because of the influx of tourists. F&Bs

unchanged at 6%, it has removed some

malls,” says David.

will remain upbeat whilst fashion retailers will

uncertainties from retailers.

Most newly opened malls, except one,

continue to suffer due to the competitions The evolution of shopping malls in Kota

suffer in the retail glut. The retail market will

Kinabalu is no longer simply a space to shop.

probably take around three years to absorb

In the near future, there will be approximately

Malls are transforming away from traditional

the existing retail space. Too many developers

1.2 million sqft of retail space entering the

shopping centres into a community within

are following the standard textbook method

market, according to Knight Frank Research.

itself, which seamlessly offers both retail and

to develop their malls, not taking into

There is still concern on the “sustainability” of

entertainment options, and even services.

account the changes of lifestyle and trends,

from online shopping.

customer behaviours and preferences, which

the retail sector in view of the high impending supply. With heightened competition, the

Nowadays, shopping to the modern

retail sector is said to face more challenging

consumer is not only about consumption,

phases and turnovers are expected to be

but also an experience. “To meet such

There are, indeed, a lot of shopping malls

diluted.

expectations and be sustainable in the

around Kota Kinabalu but these pockets

longer-term, shopping malls have to

of development will take time to boom,

According to Knight Frank Research’s

offer good quality public spaces, ease of

given the current subdued market. It is

Assistant Manager, Welton Chin, occupancy

movement as well as places where people

only a matter of how long can they sustain

rates are anticipated to be affected with new

can meet, relax, or be entertained. The

and weather the storm. There is no doubt

malls coming on-stream coupled with slower

increasing demand for ‘shopping experience’

that in the years to come, with the people’s

take-up rate for new retail space. On the

is one of the reasons for growth in the

confidence in mind, existing and new

contrary, occupancy rates for well-managed

number of lifestyle centres,” says Welton.

shopping malls will be successful, despite some premature obituaries written for them.

malls with good tenant mix are expected to hold firm.

may play out to be ineffective.

“With my experience in investment banking, I feel that the world economy is coming to an www.PropertyHunter.com.my

37

CONTRIBUTOR

CONTRIBUTOR ď‚„ by Chris Tan

5 Things You Need to Know if You are Buying Your Property from the Secondary Market

securitization for the Bank in consideration of the loan given will be the registration of the Charge on the Title.

If the separate individual/ strata title has not yet been issued for the subject property, the transfer of ownership will be by way of a Deed of Assignment, to be recorded with the Developer pending the title issuance later. The securitization for the Bank in consideration of the loan given will be another Deed of Assignment but in favour of the Bank.

In both instances, there will be stamp duty payable to the government to recognize the transfer of ownership.

If you are looking for a ready, more secure,

process of ownership transaction.

and less speculative type of property, you

It is also important to note that some banks

would look in to the secondary market rather

Here are the 5 things that you should

have policies against lending for properties

than those that are still under construction

consider if you are buying from the

that are yet to be issued separate titles over a

offered by the housing developers. The

secondary market:

certain period of time.

market compared to buying from housing

1. Title Issuance

developers (for starters, immediate payment

2. Title Tenure

Typically, in secondary property transactions,

Another FAQ by the Buyer is whether the

of stamp duty on transaction rather than

the very first question would be whether

subject property is freehold or leasehold. The

issuance of the title later).

there is any title to the subject property

answer to this question is not only critical in

or not. The more accurate version of the

assessing the values of the subject property

The legal documents and processes are

question is whether the title of the subject

but relevant for the policy consideration of

different as well. Individual property sellers

property has been issued at the time

many banks and financial institutions. Some

of constructed properties are not subject

of transaction. The key difference is the

banks have a policy of not lending if the

to the legal regime that regulates housing

documents and the authority involved.

balance tenure of the leasehold property is

cost of entry is higher in the secondary

developments, there is no statutory

shorter than a certain number of years.

prescribed format of agreement and the

If the separate individual/ strata title has

Furthermore, dealings in leasehold property

parties are free to negotiate the terms

been issued for the subject property, the

is most often subject to the consent of the

and conditions of the Sale and Purchase

instrument of transferring ownership would

State Authority thus requires more time to

Agreement – subject to certain commercial

be the Memorandum of Transfer (MoT), to be

complete a transaction.

norms, banking practices and the applicable

processed by the relevant Land Office. The

38

www.PropertyHunter.com.my

Buyers should also be aware of the process

Compile a comprehensive list of furniture

“3+1” can also be suspended and resumed

and requirements in extending the leasehold

and fittings that are part of the purchase

in the process, similar to the “injury time”

period and accept that it is ultimately based

and consult your lawyer on the practical

at the end of football matches. The parties

on the discretion of the authority.

meaning of “as is, where is”. These are all

are allocated a fixed time frame to deliver

important to prevent unnecessary disputes.

and perform certain contractual obligations

3. Joint Inspection Before and After

and the delay or the extra time required to

Inspection of the subject property is crucial

4. Realistic Expectation of Completion

comply will be added back in. Therefore,

in making the decision to purchase, but

Date

“3+1” is not necessarily 4-months per se.

not many are prudent enough to do one

As a rule of thumb, transactions in the

more round of joint inspection during the

secondary market take approximately 3 to

5. Post Completion Updating of

completion of the transaction and handing

4 months to complete and to settle loan

Ownership Record

over of vacant possession. It is an important

arrangements both ways. “3+1” is a common

Most parties will be happily moving on

step to ensure all remaining issues on the

term used to describe the first 3 months

after the transaction is completed with the

conditions of the subject property can be

of the interest-free transaction period and

payment of the full purchase, taking over of

dealt with between the parties.

the automatic 1-month extension with the

possession and formalization in the transfer

prescribed contractual interest.

of ownership. It is easy to forget to follow

If you were inspecting a furnished unit

Firstly, “3+1” is a not a mathematic equation

through on necessary updating of other

before the purchase but you are buying it

but a simplified understanding of the

relevant ownership records.

unfurnished, you should be concerned of

transaction time that is subject to the sales

the condition after all the furnishings are

and purchase agreement.

removed.

These include the change of the name for quit rent, assessment, management

“3+1” shall only start ticking if the contract

office and all the utility providers. Updating

If you are purchasing a furnished unit, you

is unconditional. If it is subject to certain

these records are useful in preventing any

should be concerned whether you are

consents, there might be a further period

ownership disputes.

delivered all the furnishing that you expect

allocated before the commencement

to remain in the property when you take

of “3+1” after the procurement of these

over possession.

consents.

Chris Tan One of the industry’s most prolific speakers, he is a lawyer by trade and is the founder of Chur Associates, a boutique legal service provider. He was elected to serve the Malaysian Chapter of FIABCI (International Real Estate Federation) for two terms from 2006 to 2010 and was appointed to the Board of Directors of FIABCI International to preside over the portfolio of Young Members aged 35 and below for the term 2009/2010. www.PropertyHunter.com.my

39

CONTRIBUTOR

CONTRIBUTOR  by Faizul Ridzuan

Why I Never Liked GRRs I started educating people on how to start

land location for RM800,000 instead.

their investment journey in 2013. I have

breakeven, the idea of getting a 7% return on a property sounds damn good! Developer B

since advised over 3,000 students on the

Now, Developer B knows that if he sells it out

would also guarantee that you, as a home

needs to be careful and to shy away from any

rightly at RM800,000, no one would bat an

owner, would not need to do anything but

developments that offer guaranteed rental

eyelash at it because once potential buyers

to sit back, relax and collect the fantastic

returns (GRR).

do their studies, they would realise that the

cashflow. Sounds good, right?

market value for Property X is only RM400,000.

Why, you may ask? Well, the reason for this

By now, the number of buyers would have

is that GRR is often used to sell over-priced

Therefore, GRR is used as an illusion to

increased and these hungry investors are

properties. Most of the time, the price you

make us think that Property X is valued at

thinking of grabbing more units. Developer

are paying already includes “the guaranteed

RM800,000. How is that done? Developer B

B takes that opportunity to say that there

rental portion”, and the story goes like this.

would introduce the buyers to a guaranteed

are only 3 units left and if you don’t grab it,

rental return of 7% for 200 years.

the politicians will sapu it for themselves.

Imagine property X’s fair value is RM400,000 but Developer B sells property X in a la-la-

40

www.PropertyHunter.com.my

Since it’s hard to find properties that can

Of course, at this rate, the buyers will say “F U politician, these are all mine.”

Guys, the only time you should consider GRR is when you are buying a property at fair market price and as a BONUS, it has GRR. That way, even if the GRR collapses, you can still rent out at a fair value instead of bleeding few thousands every month. Most GRRs ends up in failure – just study any resort/ holiday based properties in Sabah, Melaka, Port Dickson, to name a few.

Life seems like a bed of roses for them signing

Lo and behold, the moment you have been

Guys, the only time you should consider GRR

their Sales and Purchase Agreement (SPA).

dreading. Developer B, who has guaranteed

is when you are buying a property at fair

They will then go on to say, “take that Faizul. I

your rental for 200 years, is forced into

market price and as a BONUS, it has GRR.

don’t need to attend any investment classes

liquidation due to the lack of funds. The

That way, even if the GRR collapses, you can

to get a 7% return and a positive cashflow. I’m

owners take back their units from Developer B

still rent out at a fair value instead of bleeding

an effing genius! I, too, can start teaching and

and desperately tries to rent it out themselves

few thousands every month. Most GRRs end

sharing on my investment journey tomorrow.”

to cover up what they’ve lost. Rental offers

up in failure – just study any resort/holiday

come in, at RM1,500 a month which is the

based properties in Sabah, Melaka, Port

It all looks promising for the first six months

market rate for the la-la-land location. But,

Dickson, to name a few.

after Property X is completed. Happy buyers,

the buyers’ loans and maintenance fees are

happy life. But what comes after was beyond

above RM4,000 a month. Shocker!

their expectation. Payment starts to become

I pity those who bet their retirement funds on GRR based developments. They end up losing

irregular, calls start pouring into the rental

So instead of getting a positive cashflow, you

all their life savings.

office and all Ms Admin can say is, “Sorry Sir,

now have to fork out an additional RM2,500

we will get your payment to you as soon as

a month to let someone stay in your unit.

So, the next time you see anything with GRR

possible. We are waiting for our boss to sign

You begin to question your choices and tell

that sells way above the market values for

the cheques.”

everyone you know that property investment

similar completed properties nearby, please

is a scam, Faizul is no one to teach you

RFF (Run-Fast-Fast). I’ve been saying this to

After nine months of waiting, the only thing

about property investment and it’s all the

my students since 2013, and I hope you will

the buyers can do, is wait even more than

government’s fault.

benefit from this article.

no sign of the guaranteed rental payment

Well, the truth is, you just bought a white

Off the record, I’m predicting more of this will

made to the buyers. Much to the buyers’

elephant that wears a lipstick. It was a

surface in the next 24 months. So don’t be a

surprise, Ms Admin has now resigned from

doomed plan from Day 1, and you probably

victim of bad GRRs. Study the development

her position due to constant nagging from the

already know it too.

well and make wise choices.

they have already been waiting. There is still

fuming buyers.

#IfSeeGRRPleaseRFF #KnowledgeIsNotImportantAtAllUntilWeLoseMoney

Faizul Ridzuan CEO of FAR Capital, and bestselling author of “WTF? 23 Properties by 30”. With just RM2,000 in his bank account, he eschewed the mantra of “location, location, location” and took the path less taken in the subsidiary market, where he made his ringgit stretch as far as it could.

www.PropertyHunter.com.my

41

CONTRIBUTOR  by Charles Tan

Buying in the Secondary Market

B

Choices. Let’s be savvy about this fact.

eyond new property launches,

planning can start sooner. Yes, as an owner,

there is also the vibrant secondary

I have granted this flexibility before as long

property market. In fact, the

as all the documentations are already

beat the number of available secondary

secondary market makes up the majority of

completed and I have confidence with the

units. Choose the area you like, drive around

property transactions. As someone who has

buyer.

and even explore the neighbourhoods

purchased from both the developers as well

The number of new launches can never

next door. Understanding all the different

as owners, let me share that both do have

Price. There are bargains in the secondary

their advantages. Today, let’s focus on the

property market. A close friend managed to

Excel helps too. Plenty of times, people miss

secondary market.

buy a condo unit near KLCC for RM100,000

out on good deals with low prices simply

below the usual market price. The reason?

because they are too pre-occupied with the

She was keeping an eye on the development

usual few hotspots.

Time. If you need a property that you

choices, putting them down into Microsoft

could move in sooner rather than later,

EVERYDAY and she called the real estate

then the secondary property market fits the

negotiator within 5 minutes of the advert

Have a look at what you want to buy, before

bill. Renting a place will make the owner

being released by the owner. Why was it

you buy. You can view the actual unit. You

richer. Buying a place would make you

RM100,000 below the market price? The

can chat with your potential neighbours. You

richer instead, even if not in the medium

owner was moving back to Hong Kong and

can touch the actual walls and walk around

term. In fact, in many cases, when it comes

did not want to wait for other buyers. The

a bit. You can even negotiate for a lower

to secondary properties, it is possible to

idea of getting into more negotiations wasn’t

price if there are issues and things which are

negotiate with the owner for access to the

appealing and the owner didn’t want the

really not working. You can also drive around

property earlier so that your renovation

hassle.

42

www.PropertyHunter.com.my

the area in the morning and in the evening

Secondary units may not evoke emotions

The most important thing is that you love

to know what the dynamics are. Last but

comparable to owning a new place

what you buy. To love what you buy, you

not least, you can read reviews online for

complete with a new coat of paint,

need to get to know what you buy. To

the good, the bad and the ugly.

fully functioning facilities and even the

get to know what you buy, it is important

excitement of meeting new neighbours,

to view, view and view before buying.

Beyond just the usual advantages

equally excited, who bought the unit

Property investment starts from the

however, do note that secondary

next to yours. Normally one may share

secondary market onwards. Buy your first

properties may also mean some

a lot more in common with these new

one, enjoy it and perhaps upgrade in the

renovations are necessary. You may not

neighbours versus moving into a new area

near future. For those with kids, it is even

like what the previous owner has done to

where the people have been staying there

more important to hedge for their future

the unit. Be reminded that you can change

for the past 10 years, with you being the

with property investments. Whether it’s

it! That’s the reason why higher renovation

‘newbie’ to the area. It does take a bit more

secondary or new ones, I wish you happy

costs may not correspond to higher

time to get to know everyone.

buying.

property prices when the owner wants to sell in the future.

Charles Tan Charles Tan is the Editor of online portal www.kopiandproperty.com where he shares his property investment experiences.

www.PropertyHunter.com.my

43

CONTRIBUTOR  by Pamela Phui

Branding in the 21st Century

I

magine walking into Starbucks and buying

Misconception of Branding

a cup of coffee for RM18 and enjoying

Branding is one of the most misunderstood

the ambience of the coffee house. Now,

terms in business, many people think

imagine yourself in another scenario whereby

branding is a series of processes that

you walk into a normal ‘mamak’ restaurant

involve developing logo designs and a lot

and get yourself a cup of coffee for only

of advertising run-time. In actual fact, your

RM 2.20. The difference between the two

company branding is the total sum of your

environments would be a huge gap; from

company’s identity; from its name and logo

price, to ambience, to taste, service and more.

to every piece of communication, internal

The fact is that Starbucks is not just about

the two and their definition? To put it simply,

or external, to every encounter with your

selling coffee but also the Starbucks lifestyle,

during the knowledge based economy

customer.

experience and brand. The keyword to focus

consumers were hungry for knowledge and

on here is “Brand”.

information about goods and services. During

It is also apparent that in Malaysia, branding

this era, advertisements were loaded with

is mostly done by Multi-National Corporations

Branding

know-how information. However, as time

(MNCs) and seldom executed by Small and

Malaysian companies are undervaluing their

passed consumers got smarter and were

Medium Enterprises (SMEs). One of the main

intangible assets. As the global economic

better equipped. This spurred the experiential

perceptions is that branding activities involve

paradigm shifts from one that values tangible

economy, as consumers progressed by having

hundreds of thousands, if not millions of

assets to one that increasingly favours

the need to feel and experience the goods

ringgits to execute. Again, this is a serious

intangible assets, developed economies are

and services after receiving the knowledge

misconception and an old-school train of

relying more on intangible assets to generate

and information. The Starbucks analogy

thought.

economic value. The intangible asset I am

explains the experiential economy in action.

talking about here is Branding. Hence, in

As mentioned before, the shift in the economy

order for Malaysian organizations to compete

As business owners, it is crucial that you take

and customer behaviour has influenced

effectively in the global economy, Malaysia

note of these changes and be prepared for a

the shifts in branding strategies as well.

has to step up efforts to recognize and invest

big hurdle, as the market is not going to be a

Conventionally, graphic design firms and

in intangible assets.

fair and nice place. So, put on your thinking

advertising agencies has often positioned

caps and start to plan and ponder for your

themselves as the ‘Miracle man’ in branding

organization.

that would perform for a company’s brand

Changing From the Knowledge Based Economy to The Experiential Economy.

image – these activities translate to spending

The world economy is changing rapidly and

Understanding all that, we are here to share

millions of ringgits on prime-time TV slots,

we now have moved from the Knowledge-

with you a few impactful pointers that may

gigantic billboards and radio air-time. This

Based Economy into the Experiential

be simple and beneficial for you and your

also explains why only MNCs can afford it

Economy. What is the difference between

organization.

while SMEs cannot.

44

www.PropertyHunter.com.my

Impact of Our Branding

products, reputation and customer service. A

In short, if branding is done correctly, it makes

brand strategy is essential because it provides

the buyer believe and trust you over your

clarity about landscape, market position and

competitors. Branding is the reason people

customer expectations. This information

perceive you as the only solution to their

is critical to develop effective marketing

problem and even willing to pay extra for your

strategies. It also fine-tunes marketing

products or services. However, in our current

messages to maximize your competitiveness

situation, perception of brands is in decline.

and build strong brands. Branding

Sure, branding may be more common,

significantly enhances the brand’s market

apparent, colourful, loud, and wilder than

performance and profitability by improving

ever before, but it accomplishes less, almost

name recognition, builds credibility and

consumers from just being aware to making

in inverse proportion to the corporation or

trust, increases advertising effectiveness

repeat purchases. A Brand is first and

invention behind it.

and inspires employees. As entrepreneurs,

foremost a series of behaviours — not ideas

business owners, stakeholders or a corporate

or creative copies — that companies and their

I believe it is time to start asking a

person, you need to stand out from the

customers both share and exhibit.

different set of questions, starting with

myriad of others so that the world is able to

You can no longer afford to just talk about

the acknowledgment that “branding as

differentiate you from your competitors. You

brands and branding in this era anymore.

awareness” may no longer be a valid starting

must be aware that in every brand there is

You must translate it into action. Brands

point for your marketing strategy. Shouting

a product but not every product is a brand.

are words, images, ideas, logos, colours,

out-loud about awareness is no longer the

Products are made in the factory but brands

emotions, expectations, promises, people

norm, but transforming branding into a series

are created in the mind

and more people- well, you get the idea.

Branding In Action

The question is, as a property developer are

We live in a world that is driven by a

Now, to communicate your brand through

you still stuck in the past, branding the old

perception and brands represent customer’s

actual behaviour the involvement of

way? Or are you ready to move with the times

perception of a company’s credibility,

your people is a must. It is what changes

and embrace 21st century branding?

of activities, services and promises is.

BrandImage Consultancy (BIC) BIC is a full-fledged business and brand management organization for the 21st century where the economy has shifted to an experiential economy. At BIC, we strongly believe that providing strategies and solutions for businesses alone is not enough. To achieve a successful brand identity, company employees need to live and breathe the corporate brand. Hence, we provide extensive consulting and training for strategic branding solutions. For inquiries email Pamela Phui at pamela@ brandimageconsultancy.com or check out www.brandimageinstitute.com and www.brandimageconsultancy.com www.PropertyHunter.com.my

45

INTERVIEW  by Rebecca Michelle PHOTOS  by Aznan Johary

Planting the Roots Behind every great daughter is a truly remarkable dad.

Not every woman can be a queen to her husband, but she is always a princess to her father. Taking over a family’s business and living up to one’s family legacy is not an

you can say my mall management journey started by accident. Of course every parent would want their children to take over their family business and preserve the family legacy, and I think I’m doing just that.

easy thing to do. We sat down with Mr Chew Sang Hai and his daughter Emily Chew Fei Sean, pioneers of Grand Merdeka Sdn Bhd, to learn of their father-daughter working relationship.

PH: Emily, your field of study is in Accounts and Management, right? What made you move into mall management instead?

Emily: Yes. I graduated with a Bachelor in E-Commerce. Accountancy and management were never my forte. In fact, I had wanted to become a lawyer. It had never occurred to me that one day, I’d follow into my dad’s footsteps. He was always encouraging me to learn new things. I guess 46

www.PropertyHunter.com.my

PH: How close do you both work together in terms of managing the mall?

Emily: Managing the mall can be a very challenging task. My dad and I work closely together but, yet, at the same time, we do work independently too. My dad would be the architect of the masterplan in terms of organising the direction of the mall, while I would be assisting him in the execution part.

Mr Chew: The mall is basically managed

by Fei Sean from advertising to promoting and operating the mall. My job is to get financing and approval like constructing and completing the Cineplex and to look for joint venture partnerships or anchor tenants to fill up the remaining units in the mall. I’m also

in charge of monitoring the progression and completion of GM Home, which is targeted for completion by the end of 2017.

PH: What is it like to have a fatherdaughter working relationship?

Emily: I’m grateful to be working together with my dad by my side every day. Of course, I feel a sense of humility too, but he is a man of wisdom and knowledge. I believe that there is still so much more for me to learn from him. There are times when we fall into disagreements and have different opinions but at the end of the day, it all boils back down to the bigger picture; the bigger purpose of the business and of course, our family.

Mr Chew: I’d say we have a harmonious and workable relationship. As a father, I feel it’s only necessary for me to be a mentor to my daughter and to guide her through any shortcomings.

www.PropertyHunter.com.my

47

INTERVIEW

open our 42,000 sqft hypermart and electrical appliance hub.

Emily: It is a challenge for us to have an edge in getting bigger and branded tenants because most retailers would not be interested in stratified malls simply due to the possible tenancy complications with unit owners. Despite all these, we are not deterred by the negative feedback from the public because we know we must work harder to make the mall a success.

PH: How do you plan to gain the public’s confidence?

Emily: We organize various events and activities throughout the year and we will celebrate all sorts of events from Valentine’s Day to Hari Raya to Summer Festivals, Christmas, you name it. We want to encourage people to come to the mall. I believe that will be a stepping stone in giving confidence to future retailers and of course, our existing retailers.

We have also worked out various strategies such as joint ventures and special rental packages with retailers to convince them to take up the tenancy with us.

PH: Wisma Merdeka is an adored shopping mall in KK. What do you see in its future?

PH: What do you think are the key points

felt the need to diversify from that. Grand

in maintaining a healthy father-daughter

Merdeka Mall aims to provide a convenience

working relationship?

and serve the needs of the 380,000 people living in the Northern part of Kota Kinabalu.

Emily: In my opinion, I am still learning to improve and learning new ways to make our

Mr Chew: We’re conservative developers and

working relationship effective. I believe that

have been blessed with financial stability.

the mutual respect and admiration help in

In any stratified mall, especially a suburban

making a good working relationship.

mall, filling up 80%-100% of retail space

Mr Chew: For me, I think that trust and a fully

with a snap of the finger is impossible. Most

delegated approach with fatherly mentorship

suburban and urban malls take 5 years to

would make a good relationship.

reach its heights. Having said that, we and other friendly parties own more than 60% of

PH: Grand Merdeka received some

the mall and have offered incentives to attract

criticism from the public for being too far

tenants.

and not having tenants. What do you say to them in response?

Since our opening in June, the occupancy rate of the mall stands at around 30% to date.

Emily: The city centre has been rapidly

We expect a 45% occupancy rate in the first

developing for the past 5-10 years and we

half of 2018, and by mid-2018, we expect to

48

www.PropertyHunter.com.my

Emily: Wisma Merdeka has been a household name for more than 30 years in Sabah. The mall has experienced its fair share of ups and downs but has continuously served the surrounding community. With the existence of newer malls, Wisma Merdeka has seen a decline in its occupancy rate and has lost some of its market share to the newer malls.

Despite all that, it has been observed that many patrons that throng Wisma Merdeka are mainly tourists. So, I still believe that there is hope for the mall to do well.

Mr Chew: Being the oldest mall in KK is a bit of a disadvantage for Wisma Merdeka. It is difficult to expand and compete for new anchor mixes and to attract new trends now, and it’s sad because the mall would slowly lose its glory. This can already be seen in the decrease of rentals.

PH: What can Wisma Merdeka do to keep

much as I can from him, and be inspired by

PH: Lastly, where do you see the company

up with the newer malls around it?

his triumphs and tribulations.

heading and what are your ambitions for

Emily: In order to stay in the game, Wisma

PH: Mr Chew, what are your hopes for

Merdeka would need to give the mall some

your daughter, in terms of progressing

Emily: The Company is still in its infancy

revamping work or a “makeover”. Wisma

in the company as well as her role(s) in

stage. There are lots of work that still needs

Merdeka is a stratified mall and getting the

SHAREDA?

to be done. I believe that while we’re building

the company?

consensus from all owners of the mall for a

this company, we’re also building capacity

“makeover” can be a very daunting matter.

Mr Chew: Through the many learning

and cultivating talents. We recruit and

My humble suggestion for Wisma Merdeka

processes in SHAREDA and Grand Merdeka

train our supporting team, nurturing and

would be to revisit the demography of the

Group, I hope Fei Sean would grab the

developing independent and capable team of

catchment and re-strategize its marketing

opportunity to develop herself and develop

young, enthusiastic people.

approach and exposure. This will surely give

her own entrepreneurship in the future. But

confidence back to the market.

nonetheless, I’m very proud of her.

Mr Chew: Unit owners have deep pockets

PH: Emily, what is the most valuable

others, we are looking forward to the

and most of them have their own loyal

lesson or advice you picked up from your

development of the water theme park and

customers, hence they’re able to withstand

father?

the four towers of business haven and retail

We are in the midst of developing the 2nd and 3rd phases of Grand Merdeka. Amongst

the retail challenges. I think that the

commercial outlets.

management corporation of Wisma Merdeka

Emily: My dad is a man of his word and he

should be innovative and try to bring back the

will never back down even when the road gets

Mr Chew: Property development is a highly

mall’s glory because it is, after all, situated in

tough. Through my working journey with him,

challenging and capitalised industry. We

the best location in town.

he has showed me the importance of being

are planning to launch the next phase of

trustworthy and reliable. And it is only natural

development in Grand Merdeka, which has a

PH: Emily, do you feel pressured to take

that with his selflessness and teachings, that

Gross Development Value of RM1.2 billion. To

over and follow your dad’s footsteps?

I too, honour my promise and never go back

date, we are planning to acquire more land

on my words when it comes to delivering

banks and to explore new innovative fund-

Emily: I would be lying if I say that I’m not

to our clients. I believe that, when we are

raising methods like an initial public offering

pressured. It is a big shoe to fill. It is definitely

given an obligation, it is our responsibility to

or joint ventures with strategic partners for

a steep learning curve for me to follow in

honour it.

future developments.

his footsteps. All I can hope for is to learn as www.PropertyHunter.com.my

49

50

www.PropertyHunter.com.my

INTERVIEW  by Rebecca Michelle PHOTOS  by Datu Mohd Fadzli B. Datu Basrun

Top Man: Joel Low An interview with Sabah’s Award Winning Real Estate Negotiator

J

oel Low of Property Hub started off in the event management world doing stand-up comedy shows. The boy from Petaling Jaya found his way to a new home in Kota Kinabalu and started his journey in the real estate industry.

Fast forward to 22 October 2017, Joel was awarded Rookie State REN of the Year and State REN of the Year at

the National Real Estate Awards 2017 (NREA) organized by the Malaysian Institute of Estate Agents (MIEA). With such accomplishments under his belt, we had to sit and chat with the award-winning negotiator and get some insights.

PH: Hi Joel! Can you share a brief

PH: Are you still doing stand-up

PH: It’s quite interesting that you

history of your journey, how did

comedy shows and events?

started with event organizing but

you start?

ended up doing real estate. What It’s only once in a year, whenever our

made you do it?

It’s quite a long journey. The last

buddies like Douglas (Lim), Harith

job I worked was in events. I’m not

(Iskander) calls, telling us that there’s

It’s a good industry. But event

sure if you know but we organized

a show that needs to be organized.

management wasn’t making much,

some stand-up comedy shows and

Only then will we do it. If not, I’m just

companies were cutting budgets

other events. No one actually grows

dealing in property.

and when you have kids and family

up wanting to be a property agent

you’ve got to find a way.

(laughter). I started in late 2014, so

PH: So you’re not a stand-up

it’s coming to 3 years now.

comedian yourself?

Joel: No, no. I organize. A lot of

PH: That’s true but do you still do it on the side?

people get it wrong. I don’t do stand-

Joel: No, not really. Just maybe

up, I only organize.

once or twice a year.

www.PropertyHunter.com.my

51

INTERVIEW

PH: Do you remember what it was

such thing as part-time in this industry.

borrowed money from them except for

just like starting-off as a REN?

Because if you’re doing part-time, your

that one time, as having my own family

part-time income won’t be great. You

was a very big challenge..

I remember starting sometime when

won’t see your career grow. So that’s

Enoch (Khoo) came back from KL. He

why I took that loan and decided to go

did some career talks and I joined out

full-time.

of curiosity. I went to MIEA to do the

Of course. Who wouldn’t get motivated?

two-day negotiator course and really

PH: Did your parents ever told you

gave it a go. It seemed to be simple but

that maybe it was time to call it quits

lo and behold, the first 10 months I had

at that point?

before this?

sales it was quite stressful and I thought

Joel: Of course they did, they were

Mostly it was just Property Hub’s internal

about quitting, but instead ended up

asking me to think about my family and

borrowing a soft loan from my dad. This

kids. They said you shouldn’t be making

was so that I can continue for another

risky decisions. I persisted on asking

6 months as a full-time REN, unlike the

them for a loan and they eventually gave

first 10 months which I only did part-time

in to me. I’m not sure if you guys know

doing both events and property.

but I’m actually from KL. I’ve been here

no deals at all. Even if I closed some

for 11 years and I’ve been away from my

52

PH: It must’ve really motivated you.

A lot of people come to us, asking if they

family for about 13, 14 years now. I’ve

can do part-time, I would say there’s no

worked here and there but never once

www.PropertyHunter.com.my

PH: Have you received any awards

company awards, like Monthly Top Achiever and Top in Sabah awards. Last year I won Top in Sabah. We have 3 branches under Property Hub Malaysia.

I managed to come up as the first runner up among 150 agents all around Malaysia. That was in 2016.

PH: What was your biggest deal

it was a perfume as I’ve never seen a

matter how small. Having on file that

you closed and most memorable

RM2,000 pen but when I pulled it out of

you’ve closed at least one transaction

experience?

the box and saw that leather casing, I was

a month is a good way to keep you

going “Ohhh man!”. That must be one of

going. Whereas closing a few big deals

My biggest deal was RM15.5 million and

my happiest moments for me, especially

in a year won’t really make you feel like

that was in land. I closed another RM12.3

because I didn’t expect it at all.

you’re on point or in the game. You’ll

this year and another RM10.3 last year.

eventually reach a point where your

But the biggest and happiest moment

PH: What properties do you specialize

work feels empty and you’ll end up with

was when I closed a deal for RM5.4

in?

no direction in your career. Of course,

million and when we signed the letter, the couple not only gave me a bottle

I specialize in commercial, industrial and

of champagne but a Mont Blanc pen. It

land. Whereas in residential, it will be

really made me feel appreciated. It was

high-end condos and villas.

really a surprised because they actually had someone deliver it to my desk when I was away and I came back to a parcel saying “Malory” and thought it was lingerie brand. But when I opened it up, there was thank you card from my client and the Mont Blanc box. At first, I thought

PH: So for you, is it quantity over quality or quality over quantity?

The thing about this industry is people will always say “Quality over quantity”

people can easily label someone as a “good agent” but there is so much more that another agent could be good at, such as selling land at millions, or an agent that specialises only in sea-view condominiums. It’s not so much about title or quality over quantity but instead focusing on what you’re really good at and sticking with it.

but it’s always good to close deals, no

www.PropertyHunter.com.my

53

INTERVIEW

PH: Winning this award, to what do

PH: What’s the best advice you’ve

speculating. The thing that gets me down

you owe this accomplishment?

gotten?

the most is always hearing others saying,

God, my dad and the loan he gave me,

I get a lot from Enoch, not only is he my

Enoch and his leadership, and this

mentor or boss, he’s my partner-in-crime.

PH: What’s your goal for the year and

agency I’m in. They position everyone to

We always hang out and get together

the future?

become winners. And of course, my wife.

whenever we can. It’s hard to say what’s

“Market’s bad. This is bad. That is bad.”

I would say that there are agents out

the best advice he’s given as he’s given

I’m planning to start a division that

so much.

Property Hub has given us as a platform

there who are performing a lot better than me but have not been submitting

to grow. One of the perks of being a PH: If you had to pick one?

their report and performance. I would

54

leader is that I am able to create my own team. My division would be focused on a

encourage them to submit it to

That’s real tough. Let me think. It’s

very specific property range and we want

achieve recognition because it looks at

probably “It’s about people. Not

to be known for it, so to separate us from

everything in-between. It shows how well

business. Focus on the people.” Which

other agents and divisions. I’m recruiting.

you handle clients, marketing, deals and

inspired my motto, “We’re negotiators

Another goal I would like to achieve next

closing. So it’s definitely not only about

not speculators,” which means that we

year is having a gross of RM2 million.

closing the most deals in a year.

should be focusing on our art and not

www.PropertyHunter.com.my

www.PropertyHunter.com.my

55

INTERVIEW  by Lawrence Julius

New Wave for Oceanus An insightful talk with Azmi & Co Sabah’s CK Wong on retail and Oceanus

Oceanus Shopping Mall was touted as the new epicentre of the city when it opened at the tail end of 2014 with its strategic waterfront location offering gorgeous vistas of the ocean and Kota Kinabalu’s iconic sunset. However, it has only seen tides rising as it tries to fill its spaces with tenants and maintain constant foot traffic. That is set to be corrected with the appointment of Azmi & Co as the new management of the commercial centre, officially taking the helm on 1 September 2017. There is now as sense of excitement and for some, nervousness as the tenure of new management rolls in bringing in hopes of a new lease in life for Oceanus. With that, we took the opportunity to speak to Azmi & Co Sabah’s Managing Director, Mr CK Wong to question on how things will change and what the future looks like for ‘the mall by the ocean’.

56

www.PropertyHunter.com.my

PH: What kind of expertise does Azmi

At the moment, we are the largest estate

assisting PR1MA and fulfilling the ordinary

& Co bring to the management of

agency team in Sabah and can therefore

folks’ dreams of owning a house. We hope

Oceanus Shopping Mall?

provide deep market distribution and

to similarly assist the owners of Oceanus

exposure to property owners including

Mall in this regard.

CK: We provide a full range of property

developers. We have also been appointed

services as we are an established firm of

as the outsource agents by PR1MA

Mr Sani Javed leads our team of property

property consultants, property managers

Homes. This is a feather in our cap which

managers. He has more than 30 years’

and registered estate agents with

we are proud of and of course we have to

experience in this field. We are ex-

nationwide branches. I was a shareholder

live up to this challenge. We are pleased

colleagues before this and have managed

in Smiths Gore Sabah before setting up

to say that in a short 6-week period we

Wisma Merdeka, Warisan Square, Menara

Azmi & Co Sabah. I am a registered valuer

have managed to sell more than 150

Jubili, Wisma Perkasa and several other

with 35 years of working experience in the

PR1MA homes. This is a small role in

residential projects.

Sabah property market.

www.PropertyHunter.com.my

57

INTERVIEW

PH: What kind of potential do you see in

CK: Oceanus is unique in a sense that it is

waterfront, as the extension of this stretch’s

Oceanus Shopping Mall?

the only development currently that has a

entertainment scene to the mall should

wide and lengthy boardwalk, apart from its

be a natural thing given its position and

CK: The mall has great potential as it is

location at the heart of the CBD. We intend

its boardwalk. As mentioned, the tourism

right in the City Centre and enjoys a prime

to leverage on this by organising events

industry will drive demand apart from

waterfront position. As we are enjoying

complementing the F&B outlets and the

natural demand (generated by economic

strong tourist arrivals, we are positioning it

overall tourism theme. Being right in the City

and population growth) for retail space in

as a ‘Tourist Destination Mall’ with a huge

Centre, with several high-end hotels nearby

the City Centre. Therefore, we should try and

F&B component. The rest of the space shall

is, in itself a great advantage for Oceanus.

attract or create an entertainment scene

be for souvenirs and local products for

that will appeal to these visitors. Because of

tourists and elements of high end or luxury

PH: The waterfront stretch is a location

the mall’s low occupancy status presently

goods. Hopefully, we can achieve it within a

with an array of entertainment spots.

we will have to provide attractive leasing

relatively short time frame.

Will you be looking to fit Oceanus into

packages for a short period as an incentive.

this scheme?

We believe that this is a great opportunity

PH: How is Oceanus unique and how do you plan to use it to the mall’s

CK: I don’t think we have to try very

advantage?

hard to replicate the feel of the existing

58

www.PropertyHunter.com.my

that enterprising entrepreneurs should take advantage of as there are nice lots within the mall still available.

PH: What are the main challenges you

task to get everyone to have the same vision

the retail market i.e. shopping malls. This

see in turning Oceanus into a vibrant

and pull in the same direction, although they

view must be qualified, as quite often

commercial centre?

are all in the same boat.

comments are in a general context which do

CK: First, is the mall’s present low

Lastly, is the lack of large anchor tenants,

circumstances. To go into this will require

occupancy status and the slower economic

although this is not a must-have. Wisma

a fairly lengthy discourse and for which I

environment putting downward pressure

Merdeka is a good example.

charge hefty fees.

worried about the trading potential of the

PH: Finally, we’d like to get your take

(Laughter)

mall. So, we have advised owners to provide

on a heated subject. Do you see a

concessions to improve its occupancy status.

commercial glut in the Sabah Market?

Anyway, I say that shopping malls are very

What is your opinion on this?

location-centric, more so than say residential

not reflect actual dynamics and locational

on rentals. Potential tenants are naturally

Secondly, this is a subsidiary titled complex.

or industrial, and are also dependent upon a

Different owners have different expectations

CK: From recent media news, there is a

good layout and design, again more so than

and we have to manage that. It is not an easy

general perception that there is a glut in

other real estate types.

www.PropertyHunter.com.my

59

INTERVIEW

A recent news article concluded that retail

expenditure and thus supporting spatial

Jesselton Rural District Council and part of

space is at 14.6 sqft per person based on

requirements for retail space.

Kota Kinabalu. To me, we should include

KK’s population of half a million and the

these 3 districts, which can also be referred

present and incoming supply of about 7.3

So, that article provided facts that are not

to as Greater KK, for want of a better

million sqft, comparing this to Klang Valley’s

accurate and neglects an important driver

description. Accordingly, we are looking at a

ratio of 8 sqft per person. This may not

of demand which is tourism. The population

catchment of about a million. If we include

present a genuine picture as KK is a capital

was quoted at 500,000, which is for KK

districts within an hour’s drive up to Kota

city that serves the west coast region with

District only and ignores its immediate

Belud and Papar, it would be around 1.5

a population that is definitely more than

surrounding districts like Penampang,

million. This adds up to a rate of about 7 sqft

a million, in fact about 1.4 to 1.5 million.

Putatan and Tuaran. In fact, Putatan and

per person which is lower than the rate of 8

Also, tourism arrivals will increase retail

Penampang districts were formerly under

sqft in the Klang Valley.

60

www.PropertyHunter.com.my

Therefore, that article is not doing KK any

driven requirements and factors specific to

proper insights. Real estate is an imperfect

favours and provide a misleading idea

their localities. There is no-one-size-fits-all

market full of different issues and factors that

particularly to funders based in KL. I think this

method when it comes to malls and in any

must be carefully studied. There are so called

is likely to create a problem for developers

property development, study or analysis.

‘Kings and Queens’ of property who have

seeking financing. Maybe bankers who are

Malls on the whole have to differentiate and

authored books and given commentaries

reading this can take note. Furthermore,

position themselves correctly as this sector

and so on but at the end of the day, pay

malls in the City Centre should be looked at

is now relatively mature compared to 3 or 4

your consultants well for professional advice

in the regional context and not on the local

decades ago.

and do not just rely on opinions given in

district’s population alone. Suburban malls in KK of course have to rely primarily on locally

the media which are quite often attention My point is, statistics must be correctly

grabbing, but lacking in substance.

collected, applied and interpreted with

CK Wong Mr Wong started his career as a valuation assistant after high school. He qualified as a Chartered Surveyor by completing the direct examinations with the Royal Institution of Chartered Surveyors, U.K. This was done by correspondence and as a candidate based in Sabah. This rare feat was achieved in a near record time of 4 years. He is registered with BOVEA and is authorised to provide valuations, property management and estate agency services www.PropertyHunter.com.my

61

HOT TOPIC

HOT TOPIC  by Lawrence Julius

Hotels Vs Airbnb What is legal and what is illegal?

T

he digital age has brought about a revolution in the way we do business and how we operate. With the tech

boom comes the disruption of traditional businesses. Uber and its ride-hailing service is the best example of a disruption to a traditional business model, specifically the taxi industry in this case. In terms of property, Airbnb is the talk of the town in how it is reshaping the hotel and rental market by opening the door of short-term rentals for home owners to consider. What makes Airbnb such a disruption, how is it affecting the hotel

The Hotel Industry

business and how do they differ?

Undeniably the hotel industry has seen a growth spurt with the influx of tourists into Sabah. However, room space is still needed to cater to the incoming traffic from abroad.

According to Christopher Chan, President of the Sabah Hotel Association it is really not a matter of competition, rather a matter of compliance and safety. “Hotels adhere to strict guidelines and regulation,” says Christopher. He points out that while hotels need to follow a number of directives set by

All-in Tourism

the authorities, Airbnb does not. Hotels are

Tourism is a major industry for the likes of

diligent in their compliance as not to get their

Sabah. According to Sabah Tourism Board,

license to operate revoked thus ensuring

the tourism industry has moved up as

patrons that their stay is a covered in terms

the top revenue stream for Sabah. Tourist

of standard operating procedures and from

arrivals have hit over 3.43 million for 2016,

a safety standpoint. “From a hotel operator’s

contributing roughly RM7.25 billion to the

point of view, the risk factors are high and the

state’s economy. International arrivals into

guests are not protected against any third-

the state accounted for 32.93% of total

party liabilities in the event of fire, theft and

visitors with China and South Korea being

burglary, accidents, etc,” says Christopher.

the majority with 50.75%. It is safe to say that

Under the Kota Kinabalu Municipal Council

tourism will remain a vital part of the Sabah

(Hotels and Lodging Houses) By-laws, 1966,

economy and looking at the numbers, is it

hotel operators are liable and may get their

also safe to say that it is growing rapidly with

license revoked if there are found breaching

our Asian neighbours to the north being a big

the guidelines. Under these By-laws hotels are

influence. This has paved the way for hotels

held accountable and answerable. This is a

and Airbnb to thrive.

clear differentiator between hotels and Airbnb operations.

62

www.PropertyHunter.com.my

The Short-Term Rental Industry Airbnb is an intermediary service for shortterm rentals. There are other service such as Airbnb in the market but this company in particular, has taken the market by storm and truly paved the way for disruption. To home in on Airbnb would be a bit narrow-sighted, instead it would be appropriate to look at the broader picture and at the short-term rental and vacation home industry and all of its enablers. Please do regard Airbnb as a representation of the short-term rental market in general from this point forward.

In Sabah, it is still a searching of balance as authorities try to table new regulations for Airbnb. Complaints from residents living in the same building as short-term rental operators have forced local authorities to look at Airbnb more closely. It is still a grey area in which Airbnb operates in Sabah as there is yet to be regulations catered to the short-term rental segment. DBKK or Kota Kinabalu City Hall is, at the time of writing, still discussing the matter and is vowing to come up with regulations in the near future. That said, Stanley Chong, Director of City Planning Kota Kinabalu stresses that Airbnb falls under the Hotels and Lodging Houses By-Laws 1966

and that authorities have the right to take

on the short-term rental market in Kota

action on operators who do not comply.

Kinabalu but it seems that many are torn between a strict shutdown and a lenient

On the positive side, Airbnb has enabled

let-off. What is comforting to hear for hosts

thousands of people generate a side income

or operators is that the authorities are taking

and give property investors another channel

an “allow-but-regulate” stand on Airbnb. It is

to explore. Also, Airbnb is filling a gap in

interesting to see what becomes of Airbnb,

the market where the hotel industry simply

whether it is celebrated and accepted or

cannot support and has left a void. It remains

ridiculed and banned outright. For now, the

to be seen what regulation will be imposed

verdict is still out.

Extract from Kota Kinabalu Municipal Council (Hotels and Lodging Houses) By-Laws 1966 License for hotel or lodging house

Fees

1st class hotel – a hotel with international

1. No person shall use any building as a hotel

1. The following fees are payable for license:

standard of facilities and services as the

or lodging house except in accordance with a

Council deems fit to classify it under that

license from the Council.

Ringgit (Per month based on occupancy)

Health certificate If the Council so requires, an applicant for a license or for a renewal thereof shall forward a certificate of health from a Government Medical Officer or registered medical

class.

2nd class hotel – a hotel with reasonable standard of facilities and services as the Council dens fit to classify under that class.

1st Class Hotel

140

2nd Class Hotel

80

3rd class hotel – a hotel with minimum

40

standard of facilities and services as the

3rd Class Hotel

practitioner.

Council deems fit to classify under that class.

Total days any room is

Total licence fee payable

=

Rate or amount of

Equals

license fee payable per

occupied in the mont

X (multiply)

room per month

(Divided by) Number of days in the month

Hotel and lodging house registers

4. Any person who contravenes any of the

Cancellation of license

1. A licensee of a hotel or lodging house shall

provision of these By-laws shall be guilty of

The Council may cancel or suspend a license

keep a register in which shall be entered the

an offence and shall be liable to a fine not

if the licensee or any assistant of the licensee:

name, sex, nationality, occupation identity

exceeding five hundred Ringgit, and in the

1. is convicted of any offence under these

card or travel document number, time and

case of a continuing offence a fine of fifty

By-Laws

date of arrival and departure of every lodger.

Ringgit for every day during which the offence

2. is convicted of any offence under any

is continued.

written law relating to public health; or

2. Such entry shall be made at the time the

3. on the certificate of a Government Medical

lodger is accommodated in the hotel or

Compounding of offence

Officer or registered medical practitioner

lodging house.

1. The Mayor may compound any offence

is suffering from a contagious or infectious

including but not limited to breach of license

disease.

3. Hotel and lodging house registers shall be

condition imposed by the Mayor under

4. fails to pay the required license fee on the

made available at all times for inspection

these By-laws by making a written offer to

due date or make a false declaration under

by any police officer not below the rank of

such person to compound the offence upon

the by-law 6A.

Sergeant, or with the written authority of the

payment to the Mayor of such amount not

President of the Council by the Health Officer

exceeding Ringgit Malaysia five hundred.

and any Council Inspector who may take extracts therefrom.

Sources: 1. Hotel Vs Airbnb by Christopher Chan, President of Sabah Hotel Association 2. DBKK’s Planning Guideline for “Airbnb” in Mixed Use Development by Stanley Chong, Director of City Planning Department Kota Kinabalu City Hall 3. Kota Kinabalu Municipal Council (Hotels and Lodging Houses) By-Laws 1966

www.PropertyHunter.com.my

63

HOT TOPIC ď‚„ by Lawrence Julius

Budget at a Glance Prospering an inclusive economy, balancing between worldly and hereafter, for the wellbeing of the Rakyat. Here are some of the picks from Budget 2018.

RM

RM

Billion

64

www.PropertyHunter.com.my

672

RM

RM

RM

RM

www.PropertyHunter.com.my

65

FEATURED EVENT

FEATURED EVENT  by Property Hunter

Baker Tilly Organises Seminar for Leading Malaysian Property Developers Baker Tilly x Property Hunter Collaboration

Jointly organised by Baker Tilly TFW, Baker

event was attended by leading Malaysian

Singapore’, while Deal Advisory Practice

Tilly Malaysia and Property Hunter, the ‘Let’s

property developers who were also members

Leader Mun Siong Yoong spoke on ‘Real

Talk’ seminar took place at the Hilton Kota

of the Sabah Housing and Real Estate

Estate M&A Market Trends and Funding

Kinabalu Hotel on 20 October 2017. Centred

Developers Association (SHAREDA).

Options’. Other key speakers include Baker

on the topic of fundraising opportunities

Tilly Sabah Managing Partner Chong Ken

amid the challenging property climate and

Baker Tilly TFW Assurance Practice Leader

Vun and FHMH Advisory Corporate Advisory

taxation issues concerning developers, the

Joshua Ong spoke on the topic of ‘IPO in

Director Ng Woon Lit.

66

www.PropertyHunter.com.my

FEATURED EVENT  by Property Hunter

5th Borneo Architecture Festival International Design Conference Art of Architects

The 5th edition of Borneo Architecture

will be of great value to all of us especially

The conference featured renowned speakers

Festival International Design Conference (BAF

as architects and those involved in the

namely Dan Bube, Ed Baker, Sibylla Hartel

2017) organized by the Malaysian Institute

innovative and creative industry. This is

and Marta Pozo, attracting professionals and

of Architects or Pertubuhan Arkitek Malaysia

because we can find creative inspiration,

conference goers near and far. Leading up

(PAM) took place today (21 October 2017)

learn about the latest trends and discourse

to the event, two other subevents namely a

at Shangri-La’s Tanjung Aru Resort, Kota

of architecture, network with of peers and

kiosk design competition as well as a Sabah

Kinabalu. It is organized annually to celebrate

vendors, broker new friendships, meet design

Tourism Board Building sketches took place.

Architecture Day.

luminaries such as our 4 notable architect

The competitions were concluded 2 to 3

speakers from other parts of the world, and

weeks prior to the conference.

Ar Arnold Kwan, Chairman of PAM Sabah

for those who are not local, to experience

Chapter gave the opening speech at the

the local hospitality of our beloved city, Kota

event. He said, “I hope this design conference

Kinabalu.”

www.PropertyHunter.com.my

67

FEATURED EVENT

FEATURED EVENT  by Property Hunter

Gamuda Land Celebrates Success with Octoberfeast Tonight we dine in Bukit Bantayan

Gamuda Land celebrated diversity and its

story of Bukit Bantayan Residences.

Payment Scheme V3.0.

October 21 and 22 at their Bukit Bantayan

Since it was introduced in 2016, Bukit

“For further details on this scheme,

Residences Sales Gallery.

Bantayan Residences has introduced two out

prospective customers may contact our

of its three apartment towers in phase one,

sales agents or visit our sales gallery at Bukit

namely the Ebena and Cemara towers.

Bantayan,” Cheo explained.

“Ebena and Cemara towers have received

Prior to their Octoberfeast festival, Gamuda

success story by holding its Octoberfeast on

General Manager, Ir Cheo Yuan Ping, said that the festival is meant to illustrate the city’s transformation into an international city.

such an overwhelming response. One

Land a Buyers’ Appreciation Night for the

Visitors who attended the event were

hundred percent and 85 percent of the non-

buyers of Bukit Bantayan Residences at The

treated to mouth-watering dishes from

Bumi units from these two towers have been

Pacific Sutera Hotel on 13 October.

countries such as Germany, France, Australia,

sold respectively,” Cheo said.

The event, which carried the theme

Korea, Japan and many more. There were also various dance activities and live

This said figure is equivalent to almost 450

Celebrate Community, was attended by

performances.

units, reaching up RM230 million in value.

over 450 people. The crowd was treated to a

Apart from celebrating diversity, the event

Cheo had also revealed that Gamuda will be

was also aimed at celebrating the success

introducing its all new Paling Menang Easy

traditional Chinese orchestra and dance and

68

www.PropertyHunter.com.my

other singing performances.

FEATURED EVENT ď‚„ by Property Hunter

Handover Key Ceremony for Taman Limbai Ria Phase 1 Doors will now open and close on a regular basis

Saturday, 21 October, marks an auspicious

Located at the heart of Tuaran township,

A green sanctuary flanked by sandy beaches,

day for 32 homeowners as they received

the Taman Limbai Ria development is easily

this exciting new project by Tropicana Legacy

their keys to their Taman Limbai Ria

accessible to a complete range of education,

gives residents the opportunity to own a

(Phase 1) units from Ms. Ge Fai, the Head of

healthcare and other general amenities, and

quality, spacious home with resort-style living

Department for Sales and Marketing.

is a mere 5 minutes’ drive from Tuaran Town.

affordable prices.

www.PropertyHunter.com.my

69

FEATURED EVENT

FEATURED EVENT  by Property Hunter

Unveiling the Brand-New Mercure Hotel in KK City Does not rhyme with Mercury

Kota Kinabalu has long been a popular

travellers to base themselves. While leisure

Panglima Musa bin Haji Aman, Chief

gateway for international travellers headed

visitors will be thrilled with the walking

Minister of Sabah. In his opening speech,

to the rainforests and pristine coral reefs of

distance to entertainment venues, eateries,

Musa welcomes this well established hotel

eastern Sabah and Borneo.

shopping malls and tourists attractions.

chain’s decision to set up their business

Just a stone’s throw away is the historical

here in Kota Kinabalu to complement the

This coastal city; a short flight away from

Jesselton Port with ferries to nearby

current and projected future economic

Kuala Lumpur, is home to the UNESCO

islands, such as Pulau Gaya, Pulau Sapi,

growth in the tourism and services sectors.

World Heritage Mount Kinabalu, the fifth

Pulau Manukan and Pulau Mamutik.

highest point in South-East Asia, and

“Your location in one of the older parts of

renowned for its indigenous tribes and

The 4-star hotel offers a choice of 310

this city has further transformed the face

cultural diversity, despite being one of

contemporary guest rooms comprising

of Kota Kinabalu. This second Mercure

Malaysia’s fastest growing cities.

135 superior rooms, 40 executive suites

Hotel in Sabah after the one in 1Borneo

and 135 suites in configurations of one-,

Hypermall, is another milestone for your

Only 15 minutes’ drive from Kota Kinabalu

two- and three- bedroom, spread over the

owners and it’s a testimony of confidence

International Airport, Mercure Kota

25-storey building with guests residing on

that investors have in Sabah”, said Musa.

Kinabalu City Centre with its convenient

the higher floors enjoying the view of the

access to and from the city’s major roads,

ocean.

banks, office complexes and the new

70

Garth Simmons, Chief Operating Officer of AccorHotels for Malaysia, Indonesia

Sabah International Convention Centre

The Grand Opening of Mercure Hotel

and Singapore, says that “the opening of

(SICC), is the ideal place for business

was officiated by Y.A.B Tan Sri Datuk Seri

Mercure in KK City strengthens our network

www.PropertyHunter.com.my

“Your location in one of the older parts of this city has further transformed the face of Kota Kinabalu. This second Mercure Hotel in Sabah after the one in 1Borneo Hypermall, is another milestone for your owners and it’s a testimony of confidence that investors have in Sabah”, said Musa.

in Malaysia, where we currently operate 16

of-the-art audio visual equipment and can

Hotel General Manager, Mr Jacques

hotels offering more than 5,000 rooms”. Of

accommodate up to 40 guests.

Leizerovici, who fell in love with the city 11

the 27 properties AccorHotels plans to open

years ago and stayed for good says that

in Malaysia, adding some 8,400 rooms to

For those who wish to dine in, Maupassant

“Mercure in KK City is well positioned to cater

KK’s network over the next three years, three

offers all-day dining while Fratini’s serves a

to the needs of both business and leisure

developments are in Sabah.

wide range of Italian favourites. Phileas Cafe

travellers, and it is the ideal location for social

in the lobby is another rest stop for a quick

and corporate events. With the ambience and

For events, meetings, weddings or social

hearty meal, while the Compass Lounge on

facilities offered within this hotel, we hope to

gatherings, the hotel’s function room on

the rooftop is the perfect place for a leisurely

achieve a standard of guest experience that

the rooftop, which also houses the hotel’s

wine and diner affair while admiring the

surpasses others in this city”.

gym and swimming pool, features state-

beautiful ocean in the distant.

www.PropertyHunter.com.my

71

FEATURED EVENT

FEATURED EVENT  by Property Hunter

Property Hunter Signs MoU with SHAREDA Joining forces to promote the real estate industry in Sabah

Property Hunter (PH) signs a Memorandum

Property Hunter on the other hand is

investment. In line with SHAREDA’s

of Understanding (MoU) with Sabah

the largest property media company in

vision to empower property buyers with

Housing and Real Estate Developers

East Malaysia. The homegrown brand

knowledge, Property Hunter will work with

Association (SHAREDA) to become the

consists of cross media platforms such

the association to disseminate accurate

Official Media Partner for the association.

as a bi-monthly magazine, a web portal

and timely property news and information

The collaboration will see both parties

and mobile app for news and property

to the public.

joining hands to promote the real estate

listings, as well as a property gallery in

industry in Sabah.

Imago Shopping Mall. The company also

The MOU also seals the partnership

organises a series of property exhibitions

between the two in organising large scale

SHAREDA, one of the most influential

and roadshows namely PH Expo and

property exhibitions in Sabah. SHAREDA

business associations in Sabah, is the key

PIHex.

will continue to organise PropEX in the

driving force behind the development

second half of the year, one of the longest

of the state. Property development has

One of Property Hunter’s key strengths lies

running property exhibition in the state.

a profound impact affecting more than

in its media coverage both online and in

Property Hunter on the other hand will

165 related industries, supply chains and

print. They strive to deliver quality content

introduce a whole new exhibition and

employment sectors.

and educate the public about property-

convention experience in April 2018.

related news and knowledge in property

72

www.PropertyHunter.com.my

Setting foot in the KK International

With the signing of the MOU, both parties

“SHAREDA’s collaboration with Property

Convention Centre

look to create a mutually beneficial working

Hunter is strategic, we can promote our

relationship and further strengthen ties with

members’ projects through their media

Both parties have also agreed to form a task

members to grow the real estate segment,

channel, at the same time educating the

force to liaise with Yayasan Sabah on the

create a more open and accessible property

public with the right property buying

utilization of the Kota Kinabalu International

market for the public and to keep everyone

message” said Mr Chew Sang Hai, President

Convention Centre (KKICC) to explore

updated on the latest happenings of the

of SHAREDA.

innovative ways of executing events and to

property industry.

deliver better value to event goers.

The MoU was signed at the opening Director of Property Hunter, Michael Hiew

ceremony of PropEX 2017 in Sabah Trade

The convention centre which is expected to

commented the MOU further strengthens the

Centre on 28 September.

be completed by end of 2018 will be a catalyst

relationship between the two parties. “We

for change in the MICE industry, bringing

are committed to empower the public with

positive impact to the local economy.

a wealth of property investment knowledge,

SHAREDA and Property Hunter is looking

so to assist them in their decision-making

forward to host their future events in the

process.”

purpose-built venue.

www.PropertyHunter.com.my

73

PROPERTY NEWS

75 Director Nabbed in Fraud Probe Into ‘Karambunai Project’

77

KK City First in Malaysia With Free Seamless WiFi Service

76 MoA Signed, CSCEC Engaged to Build Jesselton Twin Towers

78

Airbnb Statement on Sabah Market

74

www.PropertyHunter.com.my

PROPERTY NEWS  by The Star Online

Director Nabbed in Fraud Probe Into ‘Karambunai Project’ Not so smooth criminal.

The development model displayed by the company shows model buildings that look like the Petronas Twin Towers in Kuala Lumpur, Burj Al Khalifa in Dubai, Taipei 101, Eiffel Tower in Paris and Tokyo Tower.

The said development project became a hot topic in town lately when the company involved brought in a huge group of investors from China over the weekend, for a tour and inspection of the project site.

On Sunday (15 October), three owners of the affected pieces of land in Karambunai lodged police reports over trespassing of their land by the company.

KOTA KINABALU: A real estate showroom

syndicates who are preying on unsuspecting

The next day (16 October), however, the

was raided and a 43-year-old man was

foreign investors.

company held a project launching and joint

arrested as part of investigations into a

venture signing ceremony at the Likas Sport

property investment syndicate targeting

Sabah Police Commissioner Datuk Ramli

Complex, which was attended by more than

China, Hong Kong and Taiwanese nationals.

Din said the suspect, who was arrested on

2,000 people, mostly Chinese tourists. The

Tuesday (17 October), from Kedah has a

event was also “live streamed.”

The syndicate is said to have collected millions

record for gang robbery and kidnapping.

of Ringgits from the “investors”, even throwing

Police have seized documents including piles

a lavish gala dinner at a five-star resort when

He said that the company was set up to lure

of bank payment slips from Taiwan, Hong

it launched the “tourism centre project” last

people from the three countries to invest in

Kong and China.

week.

the project located on a 84ha piece of land at Karambunai.

The raid followed a call by the Federation of

Also seized were files and copies of trading licences bearing the names Sky World

Chinese Association Sabah (FCAS) on Monday

When contacted on Wednesday (18 Oct),

Holdings, Sky World Global and Sky World City

(16 Oct), urging the local authorities to be

Ramli confirmed the case, adding that he will

Sdn Bhd.

more “diligent and proactive” in safeguarding

be giving more details concerning the matter

Sabah from unscrupulous individuals or

during the press conference today.

www.PropertyHunter.com.my

75

PROPERTY NEWS  by Property Hunter

MoA Signed, CSCEC Engaged to Build Jesselton Twin Towers

Jesselton Twin Towers touted

Engineering Corporation (CSCEC)

to be the tallest twin tower in

is the third largest corporation in

Borneo will be built in Kota

the world.

Kinabalu.

Jesselton Group is a renowned

Jesselton Group signed a

developer in Sabah, headed

Memorandum of Agreement

by Tan Sri Datuk David Chu. Its

(MoA) with China State

maiden project is the recently

Construction Enginnering at

completed Jesselton Residences,

Beijing, China on Wednesday, 18

which is currently the tallest

October. Its mother corporation,

building in Kota Kinabalu Central

China State Construction

Business District (CBD).

The MoA is signed for CSCEC

completion for the convenience

to design and build Jesselton

of the homeowners. This will

Twin Towers at RM410million

serve as the main road linking

for 40 months upon its

Jalan Lintas and Jalan Damai

commencement. Tan Sri believes

together without going through

CSCEC with its experienced

Foh Sang, Jalan Kolam during the

design and construction team

peak hours.

internationally can achieve better results in a shorter construction

The signing between Tan Sri

period.

David, Executive Chairman of Jesselton Group and Lyu En,

Jesselton Twin Towers comprises

CSCEC Managing Director was

of two blocks of 56-storey

witnessed by Huang Kesi, CSCEC

buildings which house 819 high-

Chairman, Wu Jianguo, General

end condominium units. Located

Manager of CSCEC and SHAREDA

strategically in Damai along

councils Chew Sang Hai, Datuk

Jalan Bersatu, the existing 1-way

Sr. Chua Soon Ping, Wesley Chai,

lane will be upgraded to a dual

Quek Siew Hau, Ronnie Ang and

carriage way (in & out) upon its

Kah Jen Foh.

Developers’ Beijing Study Tour to Inspire Better Developments in Sabah on either side of the tunnel.

Ping, Wesley Chai, Quek Siew

Extending 190m through the full

Hau, Ronnie Ang and Kah Jen

height of the building connecting

Foh, Francis Wong, David Chong,

the two halves together, the

Goh Kim Sin, Kevin Thong,

building has the world’s tallest

Norman Wong, Julius Kong, Chan

atrium with a 45’ degrees spiral

Kok Kong and Tsen Kin Siong.

twist.

Executive Chairman of Jesselton A handful of Sabah’s developers

rise buildings in Beijing.

were invited for a study tour in Beijing over the weekend.

Among the projects visited are

Organized by China State

Leeza Soho Beijing, constructed

Construction Engineering

by the world-famous architect

Corporation (CSCEC), the

Zaha Hadid and the Asian

Sabahan developers received

Infrastructure Investment Bank

insights and learned from the

initiated by China under the One

best constructors to better the

Belt One Road.

developments in Sabah.

The Leeza Soho rises as a single

The study tour focused on highwww.PropertyHunter.com.my

76

tower divided into two halves

The Asian Infrastructure

Group, Tan Sri Datuk David Chu

Investment Bank is a multilateral

took the opportunity to engage

development bank that aims

CSCEC to build his upcoming

to support the building of

Jesselton Twin Towers in Damai

infrastructure in the Asia-Pacific

which is set to become Borneo’s

region under the One Belt One

twin towers. The Memorandum

Road initiative.

of Agreement (MoA) signing took place in Beijing on Wednesday, 18

Those present during the study

October.councils Chew Sang Hai,

tour included Tan Sri Datuk David

Datuk Sr. Chua Soon Ping, Wesley

Chu, SHAREDA councils Chew

Chai, Quek Siew Hau, Ronnie Ang

Sang Hai, Datuk Sr. Chua Soon

and Kah Jen Foh.

PROPERTY NEWS  by Borneo Post

KK City First in Malaysia With Free Seamless WiFi Service Welcome to the digital age, KK!

KOTA KINABALU: Kota Kinabalu Chinese

“The service will elevate Kota Kinabalu into a

have implemented this technology in Malaysia

Chamber of Commerce and Industry

smart, highly liveable, business and tourist-

which enable users to be on the go and still

(KKCCCI) president Datuk Michael Lui

friendly city,” he said in a press statement.

be connected to the public Wifi. The service is

welcomed the free WiFi service rolled out

still being improved and will also extend from

by the Malaysian Communications and

Lui said having a stable and high-speed

Multimedia Commission (MCMC) and Kota

broadband service had been the dream of

Kinabalu City Hall (DBKK).

Kota Kinabalu city.

He said the WiFi service would enhance the

He hoped the relevant departments would

Haji Aman on the importance of cooperation

city’s competitiveness and promote tourism

continue to improve the Internet service here,

between the state and federal governments

development.

particularly in terms of speed, stability and

to enable more developments to be

affordability, as well as to expand the coverage

implemented that benefited the people.

Imago Shopping Mall to Tanjung Lipat area.

On another note, Lui concurred with the remarks made by Chief Minister Tan Sri Musa

In addition, Lui said the facility would spur our

to more locations.

digital economy, increase productivity which

He also urged the Chinese business This will be the country’s first Free Seamless

community to make good use of the free

Wifi open to the public where one does not

WiFi service and seize the opportunities in

“KK City WiFi will improve the quality of life for

need to reconnect when moving around in

e-commerce.

city folks.

the coverage area. Kota Kinabalu is the first to

in turn, attract more foreign investors.

www.PropertyHunter.com.my

77

PROPERTY NEWS  by Property Hunter

Airbnb Statement on Sabah Market Haters gonna hate

KOTA KINABALU: In response to the article

Policy for Southeast Asia, Mich Goh have

and Tasmania have now passed fair and

Airbnb Legalized by Year End? Airbnb

spoken out, saying, “Airbnb operates legally in

progressive rules for home sharing.

released a statement to address some of the

all the cities cited in the article, and we will be

key points mentioned by a lawyer.

taking part in Singapore’s public consultation

“We know that every city is unique and has

later this year.”

its own set of challenges and priorities - we’re

Home sharing brings great benefits to Sabah,

not looking to implement a one-size- fits-all

generating significant economic activity and

Christopher delivered his talk on the legal

approach. What works in Tokyo may not work

promoting a new kind of tourism that benefits

matters of Airbnb at the Airbnb: Challenges

in Chicago, and what suits New South Wales

locals and diverse communities.

and the Way Forward at the Sabah Golf and

might not be right for Sabah. That’s why we

Country Club (SGCC) on Saturday, 14 October,

strive to work closely with governments and

Sabah.

policymakers in every city we operate in, to

In 2016 alone, it was said that 65,000 visitors to Sabah stayed in an Airbnb listing, choosing

develop clear regulatory frameworks that

home sharing because they were looking for

Airbnb is far from being a commercial activity.

allow everyone to benefit from home sharing,

a more unique and authentic experience, and

Mich said that a typical Airbnb host in Sabah

while addressing local needs,” said Mich in

wanted to see Sabah through the eyes of a

shares their home for 22 nights per year,

response to Christopher’s statement.

local.

earning an average USD 1,500 (≈ RM6343.50) per year.

Airbnb is merely an online hospitality

“We look forward to having meaningful and productive discussions with authorities in

platform. But as most people are aware of,

Christopher said that Airbnb’s contractual

Sabah, and to participating in Kota Kinabalu

Airbnb is yet to be legalised in Sabah. Sabah

responsibilities work in a way that the burden

City Hall’s consultation process. We hope to

Law Society lawyer, Christopher Chin stated

to ensure that Airbnb is actually legal in one’s

work closely with the relevant stakeholders to

that to date, Airbnb is banned in several cities,

State/country lies on the operator themselves.

develop the right framework to allow home

namely Singapore, Paris, Barcelona, Berlin, Amsterdam and even London.

“We want to be a positive force in every city and community we operate in. Places

In response to that, Airbnb’s Head of Public

78

www.PropertyHunter.com.my

as diverse as Japan, London, Chicago

sharing to thrive, to Sabah’s immediate and long-term benefit,” he added.

www.PropertyHunter.com.my

79

APARTMENT FOR SALE

Extracted from PropertyHunter.com.my

*Listing are ac curate at the time of print. Kindly contact the respective agents for updates.

For more real estate listings, please visit www.propertyhunter.com.my

80

www.PropertyHunter.com.my

www.PropertyHunter.com.my

81

APARTMENT FOR SALE

Extracted from PropertyHunter.com.my

*Listing are accurate at the time of print. Kindly contact the respective agents for updates.

For more real estate listings, please visit www.propertyhunter.com.my

82

www.PropertyHunter.com.my

APARTMENT FOR SALE

Extracted from PropertyHunter.com.my

*Listing are accurate at the time of print. Kindly contact the respective agents for updates.

For more real estate listings, please visit www.propertyhunter.com.my

www.PropertyHunter.com.my

83

APARTMENT FOR SALE

Extracted from PropertyHunter.com.my

*Listing are accurate at the time of print. Kindly contact the respective agents for updates.

For more real estate listings, please visit www.propertyhunter.com.my

84

www.PropertyHunter.com.my

www.PropertyHunter.com.my

85

CONDO FOR SALE

Extracted from PropertyHunter.com.my

*Listing are accurate at the time of print. Kindly contact the respective agents for updates.

For more real estate listings, please visit www.propertyhunter.com.my

86

www.PropertyHunter.com.my

www.PropertyHunter.com.my

87

CONDO FOR SALE

Extracted from PropertyHunter.com.my

*Listing are accurate at the time of print. Kindly contact the respective agents for updates.

For more real estate listings, please visit www.propertyhunter.com.my

88

www.PropertyHunter.com.my

www.PropertyHunter.com.my

89

CONDO FOR SALE

Extracted from PropertyHunter.com.my

*Listing are accurate at the time of print. Kindly contact the respective agents for updates.

For more real estate listings, please visit www.propertyhunter.com.my

90

www.PropertyHunter.com.my

100

www.PropertyHunter.com.my

www.PropertyHunter.com.my

91

CONDO FOR SALE

Extracted from PropertyHunter.com.my

*Listing are accurate at the time of print. Kindly contact the respective agents for updates.

For more real estate listings, please visit www.propertyhunter.com.my

92

www.PropertyHunter.com.my

www.PropertyHunter.com.my

93

SEMI-D FOR SALE

Extracted from PropertyHunter.com.my

*Listing are accurate at the time of print. Kindly contact the respective agents for updates.

For more real estate listings, please visit www.propertyhunter.com.my

94

www.PropertyHunter.com.my

SHOPLOT FOR SALE

Extracted from PropertyHunter.com.my

*Listing are accurate at the time of print. Kindly contact the respective agents for updates.

For more real estate listings, please visit www.propertyhunter.com.my

www.PropertyHunter.com.my

95

TERRACE FOR SALE

Extracted from PropertyHunter.com.my

*Listing are accurate at the time of print. Kindly contact the respective agents for updates.

For more real estate listings, please visit www.propertyhunter.com.my

96

www.PropertyHunter.com.my

TERRACE FOR SALE

Extracted from PropertyHunter.com.my

*Listing are accurate at the time of print. Kindly contact the respective agents for updates.

For more real estate listings, please visit www.propertyhunter.com.my

www.PropertyHunter.com.my

97

RESIDENTIAL FOR SALE

Extracted from PropertyHunter.com.my

*Listing are accurate at the time of print. Kindly contact the respective agents for updates.

For more real estate listings, please visit www.propertyhunter.com.my

98

www.PropertyHunter.com.my

AGRICULTURAL FOR SALE

Extracted from PropertyHunter.com.my

*Listing are accurate at the time of print. Kindly contact the respective agents for updates.

For more real estate listings, please visit www.propertyhunter.com.my

www.PropertyHunter.com.my

99

100

www.PropertyHunter.com.my