Properties earmarked for My Second Home programme

KUCHING: Naim Holdings Bhd has earmarked three high-end property developments in Miri and here for the largely untapped Malaysia My Second Home programme in Sarawak.

Corporate services and human resource senior director Ricky Kho said the three projects with gross development value (GDV) close to RM400mil were scheduled for launch next year and in 2012.

“The first property to be developed in Miri will comprise apartments, semi-detached and detached houses,” he told StarBiz yesterday.

There will be two blocks of six-storey service apartment (72 units) and a 15-storey apartment (168 units) with a clubhouse.

The proposed project with GDV of more than RM250mil will also comprise 53 units of semi-detached and detached houses, 44 detached vacant lots, a double-storey shophouse, a mini market and a restaurant.

Naim is undertaking the joint-venture project on a 20ha land owned by Miri Malay Charitable Trust Board.

Kho said the service apartment would be priced from RM800,000, semi-detached houses from RM750,000 and detached houses between RM1mil and RM2mil each.

He said the second property scheduled for launch in 2012 would be a condominium project overlooking the scenic South China Sea near to Piasau Beach, Miri.

With a GDV of RM80mil, the project will comprise 96 units which would be sold from RM800,000 each.

Kho said the third project under planning in Jalan Upland here would comprise of town houses.

“We see great potential in My Second Home programme in Sarawak as it is a largely untapped market. Sabah is doing quite well in promoting the programme.

“There are many foreigners, including Singaporeans and Europeans, who are keen to participate in the My Second Home programme in Sarawak,” he added.

Kho said Naim would market its proposed property developments under the programme abroad, targeting particularly the expatriates and retirees.

He is confident that Miri as a resort city and its scenic beaches would appeal to foreigners looking for an ideal relaxed lifestyle.

By The Star

Low property purchases by MM2H participants

GEORGE TOWN: If each of the 11,738 participants of the Malaysia My Second Home (MM2H) programme between 2002 and 2008 were to invest in a residential property, the country would have recorded RM7.8bil worth of sales from them. But the actual sales amounted to RM407mil as only 510 of them bought houses during this period.

Tang Chee Meng ...Foreign real estate investors are more likely to invest in countries that they are familiar with

“If each of the MM2H applicants were to buy just one property, there would have been 1,676 properties sold a year, with an estimated gross sales value of RM7.84bil or RM1.12bil a year,” Henry Butcher Malaysia chief operating officer Tang Chee Meng told StarBiz.

Tang was speaking on the sideline at the recent Penang Real Estate Conference, organised by investPenang and the Socio-Economic & Environmental Research Institute, which was officiated by Penang Chief Minister Lim Guan Eng.

Henry Butcher Malaysia (Penang) was the technical advisor for the conference.

“According to the National Property Information Centre (Napic), foreign purchases comprised only 0.62% of the 756,000 housing units sold between 2003 and 2008.

“The most sought after properties by foreigners are those priced between RM250,000 and RM500,000,” Tang said.

The seven states surveyed by Napic are the Federal Territory, Selangor, Penang, Kedah, Johor, Sabah and Selangor. The top MM2H buyers were from China, Britain, Iran and Japan.

Tang said the global recession presented new challenges to Malaysia’s MM2H market.

“Distressed properties in the other countries like the United States, Britain and Singapore offer attractive opportunities to international investors as property prices and exchange rates in those countries have dropped. The challenge now is to convince international investors that Malaysian properties offer better value than sub-prime properties elsewhere and that property values will hold steady despite the uncertain economic environment,” he said.

Tang said there was also great potential in the tourism market.

“Foreign real estate investors are more likely to invest in countries that they are familiar with.

“In 2008, Malaysia saw a record 22 million tourist arrivals from Singapore, Thailand, Indonesia, Brunei, China, India, Japan and Britain.

“If we can convince just 0.01% of these tourists to invest in property in the country, it will translate into 2,200 properties sold.

“At an average of RM668,000 a property, it will bring in some RM1.5bil sales,” Tang said.

To enhance Malaysia’s competitive edge as a MM2H destination, Tang said the property industry should take part in Malaysia Property Inc’s (MPI) roadshows.

MPI is an initiative of the Federal government to promote and brand Malaysia as an international property investment destination.

The target markets include Singapore, South Korea, Britain, Japan, Hong Kong and Indonesia.

Tang said industry players should collaborate with organisations with high net worth database to promote Malaysian property.

“They could look into hosting events with publications such as MillionaireAsia and 100 Thousand Club magazine to tap high net worth individuals in key Asian countries,” he said.

By The Star (by David Tan)

What the licence operators have to say

AMY Chung, 2nd Home Intl (MM2H) Sdn Bhd executive director, Chung believes the MM2H programme has been growing from strength to strength over the years.

She said that with the recent policy liberalisation, the Government was taking the right measures to ensure a smoother delivery system so that Malaysia could attract more foreigners to retire or stay here.

AMY Chung, 2nd Home Intl (MM2H) Sdn Bhd executive director says ... It is a win-win situation for everyone to aggressively promote the programme as it will benefit all sectors of the economy.

“With these new and positive changes, we are encouraged by the authorities’ efforts to support the MM2H programme,” Chung said.

She added that the tangible benefits were obvious, as the foreigners under the programme were likely to spend about 10 times more that the average Malaysian.

She said it was a win-win situation for everyone to aggressively promote the programme as it would benefit all sectors of the economy.

These include the Government, industry players such as licence operators, property market, travel and tour sector, as well as services-related industries such as hotels and restaurants.

The move will also benefit the MM2H participants, who will be able to enjoy a quality lifestyle in Malaysia and, at the same time, “stretch their dollar” to last longer.

Borneo Vision (MM2H) Sdn Bhd managing director Andy Davison said, conceptually, MM2H was an excellent programme with massive potential for Malaysia to rake in huge earnings to strengthen its economy.

Davison said Malaysia had a lot to offer to the developed world in terms of lifestyle.

“There’s a lot going on for this country ... the tropical weather, high standard of living, good healthcare and infrastructure, all at an affordable price,” he said, adding that MM2H was the perfect vehicle to market Malaysia to the world.

“I’m pleased with the Government’s new and relaxed ruling on MM2H but I do believe there is a need to separate foreigners who are here to retire (with a different status) from those who want to work here, especially high net-worth individuals.

“I believe they are a totally different group of individuals with different intent and if MM2H is bundled together into one category, it confuses everyone, including us (licence operators) and the programme could be prone to abuse,” he said.

Another MM2H licence operator, who declined to be identified, said MM2H was probably one of the best such programmes ever rolled out.

However, he said, there was a need by the authorities to have consistent and well-thought-over policies that did not contradict one another.

“There is a need to resolve issues quicker, including processing time, especially with wives and siblings.

“There is also a need to ensure all licence operators are adequately trained to service foreigners with the correct information and that their services are not sub-standard so as not to tarnish the MM2H image, which affects other license operators,” he said.

He also said the full potential of the programme had not been achieved, despite it being around for some time, because of poor marketing.

“Let’s not waste time in showing what Malaysia can truly offer to the foreigners,” he noted.

By The Star

Relaxed rules set to boost Malaysia My Second Home scheme

PETALING JAYA: The Government’s move in February to further liberalise the Malaysia My Second Home (MM2H) programme has been well received by foreigners and industry players, especially MM2H licence operators.

Currently, there are about 200 such operators nationwide.

Several amendments to the MM2H criteria were made by the authorities, including the lowering of entry age (below 50) as well as employment opportunities for foreigners in selective industries.

MM2H Agent Association president Kirby Lim said the programme had undergone significant improvement every year since it took over from the Silver Hair scheme, which began in 2002.

“It shows that the Government, particularly the Tourism Ministry, is fully aware of the importance of MM2H as a key driver to economic growth, bringing in billions of ringgit, which is why it (MM2H) has been promoted heavily as a national agenda,” he told StarBiz.

Kirby Lim ... Despite not being well marketed in its early years, MM2H has been fairly successful

Lim said while there might be some “hiccups” along the way, generally, most players or those who benefited from the programme were satisfied with the progress made.

“Of course, more can be done and there will always be issues that need to be ironed out, but we are making good progress and the association is in close contact with top officials from the Government, especially the Tourism Ministry,” he said.

Lim said the association would convey the concerns of the licence operators and MM2H participants to the relevant authorities.

It would also keep them abreast on the effectiveness of the policies in attracting foreigners under MM2H, and the changes needed to improve the logistics and marketing and promotions undertaken currently.

On the success of the MM2H so far, Lim said despite not being well marketed in its early years, the programme had been fairly successful.

“However, the Government has recently been very aggressive in promoting it and under the stewardship of Tourism Minister Datuk Seri Ng Yen Yen, we believe the programme will gain significant momentum,” he said.

Currently, there are about 12,000 MM2H participants from countries such as China, South Korea, Britain, Bangladesh and certain parts of Europe and the Middle East.

Lim said the Tourism Ministry had recently embarked on a blitz to promote Malaysia, particularly in China and Japan, as a favoured destination to visit as well as to stay and retire (under the MM2H).

“We understand the Tourism Ministry is now looking to promote MM2H in other countries like Canada through exhibitions and other promotional activities,” he said.

Currently, Ng is in Britain to woo more tourists to Malaysian shores. She is targeting at least 10,000 Britons under MM2H. So far, 1,551 Britons have signed up for the programme.

On Malaysia’s advantage in attracting foreigners compared with other countries in the region, Lim said: “We are not trying to be arrogant but Malaysia offers foreigners quite a high standard of living at a relatively low cost, coupled with good infrastructure and a politically stable environment where English is widely spoken.”

Lim said foreigners also had the opportunity to own properties and would not be subjected to real estate property gains tax should they sell their assets.

“Moreover, the Malaysian hospitality is second to none as many foreigners have remarked that the locals are extremely warm and friendly,” he noted.

Lim is optimistic that the number of MM2H applicants will be higher this year.

“This is following the liberalisation of the entry level as well as the strong promotions made by the Tourism Ministry, Immigration and Home Affairs Ministry and other government departments,” he said.

By The Star (by Danny Yap)

Will Penang’s property market continue to boom?

An artist impression of Gurney Paragon overlooking the Straits of Malacca.

A couple of weeks ago, the Penang state government created a stir when it said it would review the billion-ringgit Gurney Paragon project if there were “justifiable grounds”.

Chief Minister Lim Guan Eng said the state government would get views from all quarters and welcomes any objection.

“We will revisit the projects approved by the previous administration and if necessary, review them if these projects are adversely affecting people’s lives,” says Lim.

Lim was responding to calls by the Penang Heritage Trust (PHT) and Bar Council Legal Aid Centre to review and hold an open hearing on the project.

Gurney Paragon is a mixed integrated development by Hunza Properties (Penang) Sdn Bhd comprising a mall, two blocks of high-end condominiums and a heritage building spread over 4ha of freehold land on Gurney Drive fronting the sea.

The land was formerly occupied by the Uplands International School.

The company bought it in 2004 for RM97mil.

For several years, Penang’s property market has drawn buyers from far and wide. Be it a holiday home for Malaysians or a retirement home for foreigners under Malaysia, My Second Home (MM2H), the island’s properties have exchanged hands at a premium compared with Kuala Lumpur’s prices.

E&O Property Development Bhd marketing and sales director K C Chong says comparing like with like, the land component in Penang is different from that of Kuala Lumpur.

For example, a KL gated development may be RM150 per sq ft compared with Penang’s RM250. E&O is developing Seri Tanjung Pinang, an upscale master planned water front development.

Because it is an island, land comes with a premium. And there is certainly demand for Penang properties.

Island living offers a heady blend of sun and surf with an option of city or quiet suburban lifestyle.

Although the island is only about 1,000 sq km, it offers a potpourri of all things that foreigners and locals enjoy.

Real Estate and Housing Developers’ Association (Penang) chairman Datuk Jerry Chan Fook Sing says Penang’s selling points in attracting foreign retirees include comfort, cuisine and affordability.

Datuk Jerry Chan

In some ways, this accounts for the various landed and high-rise condominiums coming up along the Tanjung Bungah stretch right up to the Spice Garden.

Developers are building along hill slopes, each offering the best view of the Straits of Malacca and the Andaman Sea.

Chan says foreigners purchase a third or more of properties that come up in popular tourist areas.

Developers who are aggressive with the MM2H programme reported the same percentage of foreigner buyers.

“A third to 35% is not the norm generally. But by and large, locals and Malaysians working aboard account for a large number of Penang property buyers,” says Chan.

Among the most popular locations among foreigners include Tanjung Bungah, Pulau Tikus area and Gurney Drive.

Most of these projects are launched in Hong Kong, Singapore, Britain and the Middle East besides locally.

It is against this popular demand, growing affluence of Penangites, a shortage of upscale lifestyle products and the growing medical tourism offered by the island that Klang Valley-based developers like IJM Corp Bhd, S P Setia Bhd, Bolton Bhd, Malton Bhd and E&O Property Development have moved north to compete with the likes of Penang’s big boys like Hunza, Oriental group, Naluri Corp Bhd and Ivory Properties group, PDC Properties Sdn Bhd.

And because of the shortage of land and burgeoning demand, several have gone into land reclamation.

These include the E&O group, IJM, PDC and CP Land.

Nevertheless, the operating environment today has come under scrutiny, with the change in state government, coupled with the global turmoil originating from the US, developers in the country as a whole may find it increasingly difficult.

Various factors ranging from rising competition, concern over sustainability of demand by foreign purchasers, rising construction costs, inflation and a global economic slowdown as well as potential oversupply are reasons for concern.

A research report by ECM Libra on the country’s overall property sector says the onslaught of negative sentiments of late has to certain extent negated the positive impact of catalytic initiatives introduced by the government since late 2006.

Sharp correction of the stock market has caused enormous wealth evaporating into the thin air.

“This will put a dent on consumer confidence and sentiment. Huge capital investment such as the purchase of new homes may be put off for the time being.

“Demand for properties by foreigners may also wane in the coming months due to the uncertain landscape as well as the debilitating global financial market,” the report says.

The report says developers in the states of Selangor, Penang, Perak and Kedah may face potential delay in procuring planning approval for new projects post-general election due to teething problem arising from the change of state administration involving state executive councillors as well as municipal councillors.

On a more positive note, Penang-based Michael Geh, director of property consultancy at Raine & Home International Zaki + Partners is of the view that those who need to buy homes will continue to buy.

“Life goes on. Those who constantly invest will pick and choose the best and sideline the average offerings.

“For those on MM2H programme, surveys taken by expatriate magazines shows that Penang rates very high as a favourite destination. Kota Kinabalu is favoured for its beachfront lifestyle living while the Middle Easterns like the KLCC precinct.

“It is our world class local food, friendly locals who speak English and a less hectic lifestyle that are bringing foreigners here to Penang,” says Geh.

Rehda Penang chief Datuk Jerry Chan says the new state government has reassured him that it will want to expedite things and be more transparent, which bodes well for the business community.

“What happened in Penang, and in the states of Selangor, Perak and Kedah, is quite drastic. And in any situation of such magnitude, it is only natural to pause. But in the long term, we will want to give the new government a chance.

“They have not said anything that is business adverse. As for the Hunza’s Paragon on Gurney, that is a mega job and it is only natural that mega jobs such as these, which impact people in different ways, be given a relook,” says Chan, who is also the managing director of Asas Dunia Bhd.

By The Star (by Thean Lee Cheng)

UEM Land targets foreign property buyers

NUSAJAYA: UEM Land Sdn Bhd is eyeing international buyers for its high-end residential properties in Nusajaya city within the Iskandar Development Region (IDR).

Managing director Wan Abdullah Wan Ibrahim said apart from Singaporeans and expatriates based in the republic, it was also targeting European and Middle Eastern buyers.

He said the latter group would be courted under the Malaysia My Second Home programme due to the strong euro and petrodollar.

From left: Nusajaya state assemblyman Datuk Abdul Aziz Sapian, Datuk Ikmal Hijaz Hashim, Datuk Ahmad Pardas Senin and Wan Abdullah Wan Ibrahim looking at a model of East Ledang.

“We will be taking part in property shows in Singapore next month and Dubai in October to promote our products in Nusajaya,” Wan Abdullah told StarBiz at the launch of East Ledang on Saturday.

He said the company might engage an international agent to market East Ledang and Puteri Harbour Waterfront Development in Europe and the Middle East.

Also present were Iskandar Development Region Authority chief executive officer Datuk Ikmal Hijaz Hashim and UEM World Bhd group managing director Datuk Ahmad Pardas Senin.

Wan Abdullah said East Ledang was the first resort residential to be developed in south Johor within the IDR.

Phase one comprised 139 link duplexes priced at RM500,000 and twin villas from RM850,000 per unit which would be completed by mid-2009.

Upon completion in five to seven years, the project covering 111.28ha freehold land would have 861 high-end residential units.

Wan Abdullah expected Singaporeans and expatriates working in the republic would be interested in East Ledang based on their response to the Horizon Hills project.

Horizon Hills is a 50:50 joint venture between UEM Land and Gamuda Land Sdn Bhd (a unit of Gamuda Bhd).

“It is timely for Johor to have quality and well-planned residential properties to attract more international buyers,” said Wan Abdullah.

By The Star (by Zazali Musa)

Morubina pushes Kinta Riverfront to Chinese real estate investors

HEFEI: Developer Morubina Sdn Bhd is looking to China to attract investors for its latest project, Kinta Riverfront.

Group managing director Ting Sing Yew said buyers from China formed a substantial number of investors in its earlier project, Ipoh Kiara

Ting Seng Yew (right) briefing Deputy Tourism Minister Datuk Donald Lim (left) on the Kinta Riverfront project.

“Our confidence was further boosted when we managed to sell 10 units in Kinta Riverfront during the Fourth International Small and Medium Enterprise exhibition held at Guangzhao last October,” he said in Hefei, China

Speaking to reporters after the project launch for Chinese buyers by Deputy Tourism Minister Datuk Donald Lim at a hotel here recently, Ting said the group planned to visit more cities in China this year to further promote the project.

“We are confident that as the Chinese's purchasing power increases, Kinta Riverfront will be an attractive project for them,” he added.

On the Kinta Riverfront project, Ting said sales had been swift with some 60% snapped up, valued at a total RM45.5mil.

Work on the project had been completed 30% and was due for completion by 2009.

The RM80mil 20-storey Kinta Riverfront Hotel and Service Suites project offers 239 units priced between RM199,999 and RM2.9mil each.

Ting also said the Kinta Riverfront project also received positive response from potential buyers in Thailand, Singapore, Indonesia and Hong Kong.

Lim in his speech said the launch in China augured well for the Malaysia My Second Home programme.

By The Star (by Sylvia Looi)

KLCC properties a mouse click away

PETALING JAYA: Those interested in finding out more on KLCC properties, especially when it concerns investing there, can now obtain all the necessary information with just a simple mouse click.

Zerin Properties Sdn Bhd, a Klang Valley-based real estate consultancy recently launched a property portal called www. klcc-living.com to provide a comprehensive guide to properties in the KLCC area.

“Its not only a guide for KLCC properties, but a guide for the entire KLCC area as well,” said Terence Yap, assistant head of agency at Zerin Properties.

“The website contains an interactive map of KLCC where users can simply click on a property they wish to view and find out all important details regarding the property, from its size, price, facilities offered and so forth.” Yap added that the website also carries details on eateries, international schools, hospitals, entertainment outlets, embassies and other places in the KLCC belt.

“There are more than 25 luxury high-rise projects in the KLCC area and we have listed all the developments in our site, including the upcoming projects” he said.

“A high number of those interested to invest in KLCC are foreigners and with the website, they can now log on from their respective countries to make a virtual visit to KLCC.”

He said the idea for the website was mooted after Zerin Properties received numerous calls from locals and foreigners interested in investing in and living in the KLCC area.

“KLCC has emerged as the most sought after address in the country and based on feedback from our business space and expatriate leasing divisions, we can conclude that most business people, new start-ups and home buyers want to be as close as possible to KLCC,” said Yap.

“This has led to a surge in demand for residential properties in the KLCC area and prices are simply going up with a basic, 1,000-over sq ft condo going for more than RM1.5 million while some penthouses are being sold at a whopping RM12 million.

“So for those who wish to be part of the KLCC action and don't know how to get started, just log on to our website. We have also included details on the Malaysia My Second Home programme for expatriates wishing to live in Malaysia,” added Yap.

By theSun (by Tim Leonard)

Allstones in regional expansion mode

Allstones Group, which holds a major stake in Bluestone Group Malaysia, will team up with foreign real estate funds to venture into property development in fast growing cities in the region, including Kuala Lumpur.

Allstones chairman K. H. Sim said a group of local and foreign investors were keen to undertake projects in Malaysia, Thailand, Singapore and Vietnam.

K.H. Sim posing with a model of the Taragon Puteri KL

“We are working with some property funds in Thailand and Vietnam and are looking at a few possible deals,” he told StarBiz in an interview.

Allstones was set up in late 2002 to specialise in real estate development and investment in the South-East Asian region. Its stakeholders comprise both international and local investors.

He said foreign property funds were more adventurous to venture into more risky projects, including new developments.

“Malaysia still does not have any robust property funds that are willing to invest in uncompleted projects.

“The various real estate investment trusts only invest in completed properties, as they are not ready to take any construction risk of uncompleted projects.

“If we have our own funds that are willing to get involved in new projects, AllStones will be more than willing to work with them to minimise the volatile currency risk when we venture into foreign territories,” Sim added.

In Kuala Lumpur, the company is in negotiations to acquire some parcels of land in the vicinity of the Kuala Lumpur City Centre (KLCC).

“There are still very good opportunities for developing quality residential projects in Kuala Lumpur, especially with the growing foreign interest in Malaysian real estate.

“The exemption of real property gains tax (RPGT) has raised the competitiveness of the local property market, and an increasing number of foreigners are keen to invest here.

“Compared with other cities in the region such as Singapore, Bangkok, Jakarta and Hanoi, property prices in Kuala Lumpur are still one of the lowest with good potential for price upsides,” he said.

According to Sim, although land prices in the vicinity of KLCC and in the inner city have appreciated substantially, they are still considered cheap to the foreign players.

“There are still quality pieces of land available and we are confident of making some good purchase if the pricing is right.”

Sim said the outlook for commercial properties, especially shop houses, retail complexes and office buildings, in the city's Golden Triangle was also positive.

There was also scope for the purchase of old office buildings for refurbishment to be leased out for rental income, he added.

Sim also sees good opportunities in Penang, especially with its status as a choice destination for participants of the Malaysia My Second Home programme (MM2H).

“Penang is attracting many MM2H participants and we foresee demand for real estate there growing rapidly.

“We are looking for suitable land of one to five acres for high-rise condominium development there,” he said.

Sim said AllStones was committed to bringing value to its customers through strict risk management practices and innovative ideas and by recognising the opportunities available in the local and regional markets.

By The Star (by Angie Ng)

Tan & Tan expanding niche development

It will launch projects in the Klang Valley with GDV of RM2.5bil

TAN & Tan Developments Bhd, a wholly owned unit of IGB Corp Bhd, is expanding in the niche residential property market with the launch of new lifestyle products in the Kuala Lumpur city centre and the suburbs in the Klang Valley.

Over the next two years, the company will launch 11 upmarket projects in the Klang Valley worth a total gross development value (GDV) of RM2.5bil. These projects will keep the company busy for the next five to six years.

“Our focus will be on key and new growth areas such as the Kuala Lumpur City Centre (KLCC) vicinity, Ampang Hilir, Wangsa Maju, Desa Pandan, Mid Valley City and Sungai Buloh, where there is a lot of infrastructure development,” Tan & Tan executive director Teh Boon Ghee told StarBiz.

Teh Boon Ghee (left) and Tan & Tan Developments Bhd group marketing general manager Kevin Kuok with a model of the Hampshire Place project.

He said the robust residential property market, especially for high-end residences in the Klang Valley, offered developers with good track records in niche housing projects immense opportunities to further add value to the residential landscape.

“Malaysia has emerged as a competitive real estate destination, and there is growing foreign interest in our real estate. The onus is on developers to come out with more well designed and quality products that offer high investment values,” he added.

Teh said the Malaysia My Second Home (MM2H) programme had been effective in attracting foreigners to the country.

Last year, 8,000 foreigners participated in the programme, with over 1,700 people making Malaysia their second home.

“With the Government continuing to ease restrictions on foreign ownership of local residential properties, there will be more participation in the MM2H programme.

“The increasing number of foreigners making Malaysia their home will boost demand for high-end and niche developments. Going forward, the market will be seeing more new luxury properties coming on-stream to attract the well-heeled and high net worth investors, both local and abroad,” Teh noted.

He said Tan & Tan would launch more innovative lifestyle products to take advantage of the strong interest for residential properties in robust locations and new growth areas.

The company is also taking steps to strengthen its premium branding through positive customer experience and provide value and security for all its projects in the mid to high-end segments.

Tan & Tan general manager of group marketing Kevin Kuok said one of the more attractive projects, to be launched in March, would be Hampshire Place, comprising service residences and corporate offices-cum-retail space.

The 30-storey block of 186 service residences will feature residences with built-up from 764 to 3,257 sq ft and priced from RM674,000 to RM1.3mil.

Another 30-storey block will accommodate 219,222 sq ft of corporate offices and retail space, worth a GDV of RM188mil.

Besides being one of the leading players in the luxury condominium market, Tan & Tan is also building up its presence in the mid to high-end landed residential sector in good locations in the Klang Valley.

Its portfolio of ongoing projects includes five luxury condominium developments and service residences and a gated community project.

Projects planned for launch in the next two years include three landed villa projects in Sierramas West and Wangsa Maju and two service residences with shop offices.

With the line-up of the upmarket residential projects, Tan & Tan's contribution to IGB group earnings is expected to increase from 30% now.

The company is also making efforts to expand its land bankthrough more joint ventures and new land acquisitions.

Teh said that since the amendment of the Strata Titles Act last year that allowed landed strata title developments, Tan & Tan was looking at building more such projects.

“Landed strata title residences are still a relatively untapped market, and the company has lined up a number of such projects for launch in the next two years.”

He said such developments provided scope for uniformity of the project design for the common interest of the buyers and would ensure greater flexibility in the project planning.

Among the company's upcoming landed strata title projects is Sierramas Mews that will comprise 17 landed villas with a GDV of RM32mil. Other projects will be on 25 acres in Ulu Klang/Dataran Ukay and 37 acres in Melawati.

Teh said the much-awaited plans by the Kuala Lumpur City Hall (DBKL) to further spruce up the city through infrastructure development would raise the value of developments in the Ampang and Jelatek areas.

“The ongoing infrastructure developments by DBKL, including road projects in Wangsa Maju and improvements in highway connectivity with the Duta-Ulu Klang Expressway (Duke) and the Putrajaya-Kuala Lumpur highways, will offer strategic access points to the company's landbank,” he said.

By The Star (by Angie Ng)

Malaysia a favourite among foreign property investors

MALAYSIA, alongside Singapore and Thailand, is one of the top choices for foreign property investors, according to the Asia Property Trends Survey conducted online from Nov 15 to Dec 31, 2007, by Asia’s leading property portal network iProperty.com Group.


Condominiums are the most preferred property for foreign investors

Its executive chairman Patrick Grove said in a statement that the survey results confirmed the fact there is a lot of foreign interest in Malaysian property. “These foreign buyers have big budgets and are actively looking for high-end property investment opportunities here,” he said.
The survey revealed that 55% of the respondents indicated they were looking for high-end properties in the US$100,000 (RM327,157) to US$500,000 price range, with 15% keen to invest in property ranging from US$500,000 to US$1 million.

About 95% of those surveyed said they intend to purchase property within the next 12 months.
“This definitely augurs well for Malaysia’s property market as well as the Malaysia My Second Home (MM2H) Programme, launched by the government to attract skilled, affluent, foreign property investors to Malaysian shores,” Grove added.

According to the survey, condominiums are the most preferred property type, with 55% interested in completed projects and 39% favouring newly launched projects. Location, price and the country’s foreignerfriendly policies were some of the important factors when making a property investment decision.

Meanwhile, the Internet is considered the tool of choice in hunting for viable properties, with 95% using it to look for properties available for sale, 56% to research on market trends, 50% to get the latest property news, 33% to research developers and 23% to search for real estate agents.

“We are pleased to learn that an overwhelming proportion of foreign investors use the Internet as their primary property search tool due to the rich and up-to-date content, accessibility,
convenience and speed it offers,” Grove said, adding that the group is committed to further enhancing its website’s content and product offerings to provide better service.

By theSun (by Yap Yew Jin)

Private-sector initiative to market MM2H programme

PENANG: Henry Butcher Malaysia is collaborating with a few private companies to spearhead the private-sector initiative to market the Malaysia My Second Home (MM2H) programme in overseas markets.

The company, together with the Expat Group and Malaysia Airlines System Bhd under its Property Investment/ Second Home (PI2H) programme are joining hands in efforts to market the MM2H programme in the UK in April.

Henry Butcher Malaysia (Penang) director Dr Teoh Poh Huat (pix) said that it was the first time such collaboration was being undertaken involving real estate experts and property marketing professionals to promote the programme.



“In addition, about 10 local residential property developers will also be involved in this mission to better promote the MM2H and other property investment programmes,” he told reporters yesterday.

He said that of the developers involved, about half would be based in Penang.

“We will mostly be marketing residential properties in Malaysia to showcase Malaysia as a property investment destination,” he said.

For starters, the collaboration will be heading to a property expo dubbed “A Place in the Sun” in
the UK on April 25-27. Teoh said that it would be showcasing products that met the expectations of the European market with a target audience of wealthy individuals as well as private equity entities.

“We also aim to have similar property investment missions to countries like Germany, Korea, Japan, Singapore and in cities like Dubai within the year,” he added.

Last year, Henry Butcher embarked on a similar mission to market properties in Georgetown to the Indonesian market with encouraging results.

Teoh said that some 100 Indonesians participated, snapping up a total of more than RM10 million worth of properties within three days.

Expat Group managing director J Andrew Davison said that a survey conducted by his company in 2006 revealed that on average, foreigners under the MM2H programme had brought in about RM180,000 per household into the country.

“Basically the programme is extremely beneficial to Malaysia as it stimulates the economy and
promotes cultural integration, which is important in this globalised world,” he said.

However, he said that inefficient implementation of the programme was the only negative effect in what was a good plan for the country. “There is a risk that other countries may capitalise on this and in the long run may be able to come up with similar programmes that are far more competitive,” Davison added.

By theSun (by Jonathan Chen)

Malaysian property developers to showcase products abroad

The profile of Malaysian properties in the overseas property market will be further raised this year, as local property developers begin showcasing their products in a series of exhibitions abroad.

Henry Butcher Malaysia (Penang) Sdn Bhd is spearheading an investment delegation to the UK in April, which will see the participation of 10 Malaysian developers.

The property consultant will be collaborating with Malaysia Airlines (MAS) and Kuala Lumpur-based The Expat Group.

"We are targeting affluent individuals and private equities in the UK," the company's chief executive officer Dr Teoh Poh Huat said after a half-day seminar on "Branding Malaysia as a Destination For Property Investment and As a Second Home" in Penang yesterday.

Teoh said the property mission from April 25 to 27 will be part of the "A Place In The Sun" property exhibition in London.

"A Place in the Sun" is a British daytime lifestyle programme about buying property abroad. It most often focuses on places in southern Europe, but in recent years has also featured a number of places in other areas of the world.

Spin-offs from the programme have included a magazine, which is now the most popular magazine advising on buying overseas property, and a live exhibition in London, also called "A Place in the Sun Live".

Teoh said apart from the UK, Henry Butcher is also eyeing markets like Germany, Dubai, Hong Kong and Singapore to promote Malaysian properties.

"Our efforts in showcasing Malaysian properties in Indonesia last year had already seen about 40 buyers from Sumatera snap up RM10 million worth of Penang properties," he said.

Last year, MAS' holiday marketing arm Golden Holidays teamed up with Henry Butcher in Penang to launch the "Property Investment and 2nd Home" (PI2H) programme, which was aimed at drawing more tourists to Penang.

The programme, which is designed to lure more foreigners to invest in Penang properties is targeted to bring in 7,500 foreigners to Penang per year.

"We expect to double this figure within four to five years and eventually register an estimated 25,000 foreigners per year to Malaysia under this programme," MAS area manager (northern region) Wan Mohd Ebrahim Wan Hasnan said.

By New Straits Times (by Marina Emmanuel)