Resort-style residences

Covillea Bukit Jalil: With its prime locale and easy accessibility, Covillea represents an excellent investment or a primary home for both locals and expatriates.

Set in 400 acres of resort development is Covillea Bukit Jalil, a winning development in Bukit Jalil by Berjaya Golf Resort Bhd. Specially designed for growing families, the freehold condominium homes are built to suit today’s modern lifestyle needs.

Despite the prime address, the residential properties here do not come with a high price.

Covillea spans a total of 2.91 acres and is sited adjacent to the Bukit Jalil golf course. It comprises two 20-storey highrise blocks with a total of 308 units and a five-storey car park podium. All units have a panoramic view of the international standard 18-hole golf course with certain units having the added view of the swimming pool.

Covillea comes with condominium facilities and multiple security checkpoints. Even the infinity pool and the glass gym overlook the golf course. The two monorail stations, namely the Bukit Jalil station and the Sri Petaling (Star LRT) station are located within walking distance. And this development is easily accessible via major roads and highways. With the elevated Mex Expressway, the Kuala Lumpur International Airport is just a 20-minute drive away.

Basically, Covillea units come with three bedrooms plus a utility room. There are two layout designs with a spacious built-up of 120 sq m (1,293 sq ft) and 131sq m (1,415sq ft). Each unit is provided with two covered, car parking bays. For those who enjoy gardening, there are some units on the ground floor that come with extra land to create your own private garden. The units on the lower floor have a unique balcony with an eye-level view of the golf course or pool deck. And the full-height windows on the higher floors allow you to enjoy plenty of natural light and ventilation.

During the launch on Nov 21, the first 30 buyers of Covillea units were offered a rebate of RM10,000. Apart from the legal fees absorbed by the developer, Berjaya is also offering 0% interest* payment during construction - until Dec 31. Repayment starts only upon completion.

1 Petaling is designed with a modern and practical concept.

1 Petaling @ Sungai Besi
1 Petaling serves to be a rewarding investment for first-time homebuyers and young couples. This newly launched mixed-development project spans 1.66 acres of land and is close to established neighbourhoods like Sri Petaling, Bandar Tasik Selatan and Seri Kembangan. The project offers stylish condominium residences and dynamic retail environment to the thriving community of Sg Besi.

Housed in a 20-storey block comprising 250 units of condominium units, located on the fifth to the 20th floor, residential units comprise spacious “three-bedroom and two-bath room” units and “3 plus 1-bedroom and three-bathroom” units designed with a modern and practical concept.

The units come in five sizes from the smallest unit of 82sq m (884 sq ft) priced from RM180,935 to the 109sq m (1,171sq ft) units with 3+1 bedrooms priced from RM280,888. Several units even come with a courtyard garden, giving the feel of landed property living.

Complete with lush landscaping, 1 Petaling offers comprehensive facilities such as a swimming pool, wading pool, gymnasium overlooking a pool, reflexology path and a children’s playground. The development has been designed with a multi-tier security system with a video and CCTV network. Enhanced security features include card access to the lift lobby and car park as well as centralised SMATV which offer residents peace of mind.

Buyers of 1 Petaling homes are being offered:

• 0% interest payment during construction*
• up to 95% loan finance including Mortgage Reduce Term Assurance* (MRTA)
• zero entry-cost on the Sales and Purchase Agreement*
• low downpayment of RM3,000*
• 21 days interest-free EPF withdrawal*

In addition, there are interest-free instalment plans* for the initial 10% on the downpayment.

Hazel 2 comfort
The Hazel 2 terraced houses at Berjaya Park in Shah Alam, will delight first-time homeowners with its attractive features and minimal need for renovation. With only 87 units left, Hazel 2 offers freehold exclusivity on a development site that spans 7.53 acres.

The spacious built-up area ranges from 216sq m (2,320sq ft) to 254sq m (2,737sq ft), certainly a generous allocation for a terraced home. The homes offer four bedrooms with attached bathrooms and a spacious car porch, easily accommodating two parallel parked cars, making this landed property perfect for young executives, first-time homeowners and upgraders.

Construction of the project has already begun, even before the launch. Thus, buyers may enjoy vacant possession of their homes earlier than expected. To further benefit new homeowners, Berjaya and the bankers have agreed on a special arrangement whereby after the house key is handed over, the purchasers can enjoy 12 months of no-payment.

The current offers on purchasing Hazel 2 houses, include:

• instant rebate up to RM4,888*
• low downpayment of RM2,000*
• interest- free easy payment of up to 20%*
• 0% interest payment during construction*

The above respective promotion will end in December 2009. Terms and conditions apply.

For further information, kindly visit the Berjaya Property Gallery, Level 2 (West Wing), Berjaya Times Square, 1 Jalan Imbi, Kuala Lumpur Tel: 03-21428028, Fax: 03-21432028, Website:www.berjayaproperties.com, E-mail:property@berjaya.com.my

Or visit the respective sales office/show units:

Covillea Sales Office:
Bukit Jalil, Kuala Lumpur (beside Arena Green Apartments & opposite National Stadium Entrance)
Tel :018-2200828/018-2200121

1 Petaling Sales Office:
Jalan 1C/149, Off Jalan Sg Besi, KL.
Tel: 03-90571589/018-2208855/018-2200201

Hazel Sales Office:
Berjaya Park Hazel Show House, Jalan Kebun, Shah Alam
Tel : 018-2206068/018-2200076

By The Star

SKN Land plans developments worth RM450m

SKN Land & Development Sdn Bhd, a developer of high-end properties, plans to develop two property projects with a combined gross development value (GDV) of about RM450 million in Kuala Lumpur.

Chairman Mohd Rosly Hussein said one of the projects is a mixed development on a 1.2ha site in Desa Pandan and another is a residential development at Jalan Yap Kwan Seng.

The GDV for the Desa Pandan project is about RM350 million, while the other project has a RM100 million GDV.

"We have already submitted our plans to the Kuala Lumpur City Hall and are waiting for approvals," he told a news conference after the signing of partnership agreement between Asian Finance Bank Bhd and Crest Worldwide Resources Sdn Bhd (CRW) in KL yesterday.
CRW, a member company of SKN Land, is currently developing Crest Jalan Sultan Ismail - a mixed development comprising a 44-storey luxury residence tower and a 26-storey Grade A office tower with a GDV of RM500 million.

Mohd Rosly said the Desa Pandan project will be developed on a vacant land, while the company will demolish the existing building which houses the company's office at Yap Kwan Seng to make way for the residential project there.

SKN Land currently has a 2.8ha landbank in the city centre.

By Business Times

Asian Finance Bank courts foreign buyers for KL project

Asian Finance Bank Bhd (AFB) expects to attract investors from Asia, Australia and the Middle East for its RM500 million mixed development project called Crest Jalan Sultan Ismail in Kuala Lumpur.

Chief executive officer Datuk Mohamed Azahari Kamil expects to announce the results of roadshows held in Qatar, South Korea and Indonesia next month.

The roadshows will be extended to Singapore, Australia and the Philippines, while AFB's associate in London, European Finance House, will help market the property.

"A lot of investors are looking at Malaysia for long-term investments in commercial and residential properties. Demand is tremendous, especially for properties in the Golden Triangle area," he told reporters after the signing of a partnership agreement between AFB and Crest Worldwide Resources Sdn Bhd (CWR) in KL yesterday.
CRW, a member company of SKN Land and Development Sdn Bhd, has appointed AFB as the global marketing representative promoting Crest Jalan Sultan Ismail, as well as the end financier for the project.

The project, which is expected to be completed in 2011, features a 44-storey residential tower and a 26-storey office block spanning 0.28ha.

Out of the 288 Crest residential units, only 92 units are left for sale, while SKN Land plans to sell the Crest office tower en-bloc.

Mohamed Azahari said a few sovereign wealth funds are currently in talks with AFB's majority shareholder, Qatar Islamic Bank, to invest in the Crest office tower.

He added that AFB plans to grow its property loan portfolio, which is currently small. About two-thirds of the bank's loan portfolio is in trade financing.

After three years operating in Malaysia, AFB's funded assets have grown to RM1 billion, of which property comprises about one-fifth.

By Business Times (by Hamisah Hamid)

KFH backs out of buying Menara YNH for RM920mil

PETALING JAYA: YNH Property Bhd is seeking legal recourse against Kuwait Finance House (M) Bhd (KFH) for backing out of a commitment to buy a 45-storey office tower worth RM920mil.

YNH told Bursa Malaysia yesterday it had been notified by KFH in writing that the latter would “no longer be proceeding with the formalisation of the sale and purchase (S&P) agreement as per the terms and conditions of the offer letter dated Jan 11, 2008” for the en bloc purchase of Menara YNH, located along Jalan Sultan Ismail, Kuala Lumpur.

“As such, the board will consult our legal advisors on all of the options available to our group, including but not limited to specific performance and/or seeking damages from KFH,” YNH said.

A YNH spokesman told StarBiz the deal “went sour” because KFH wanted to purchase the property at a lower price than initially agreed.

“It was all an issue of pricing. The property market has softened by about 20% since we entered into the agreement nearly two years ago. KFH wanted to buy at a lower price while we wanted to maintain the original value,” he said.

“We’re not going to sell at a cheaper price because the location and yield in the area are good.”

The spokesman said YNH was seeking legal advice from its lawyers and was confident of a positive outcome.

“An option is to sell the property to the highest bidder and claim the difference from KFH. The agreement is legally binding,” he said.

He also said KFH’s decision to pull out of the deal would not have a negative impact on YNH.

“It’s not a problem as we can sell it to other parties. We have had a lot of interest in the tower.”

He said preliminary earthworks had commenced at the project site and actual construction was expected to begin in a few months.

YNH head of corporate services Daniel Chan was quoted in a news report in August that the deal with KFH “is basically firmed up” although the S&P agreement had yet to be signed.

“As far as we are concerned, the signing of documents is just a formality,” he said.

An analyst from a local bank-backed brokerage said that while the property market had softened, it should not have an impact on YNH.

“The economy is already on the upturn and property prices will also be on the uptrend. The yields in the area are also good and the company can always find other buyers,” he said.

KFH offered to purchase a 50% interest in YNH Land Sdn Bhd’s proposed 45-storey office tower in early 2008. YNH Land is a unit of Kar Sin Bhd, which in turn is a wholly-owned subsidiary of YNH Property.

In a previous note to Bursa, YNH said the office tower was located in the Golden Triangle area where “most prestigious five-star hotels and upmarket office spaces” were located, with easy accessibility and close proximity to efficient public transport facilities like the Putra light rail transport and KL monorail stations.

By The Star (by Eugene Mahalingam)

KFH pulls out of Malaysia property deal

The Malaysian unit of Kuwait Finance House has pulled out of a RM920 million (US$270 million) deal to buy part of an office tower from a local property developer.

Malaysia’s YNH Property Bhd told the stock exchange late on Tuesday that Kuwait Finance House Malaysia (KFHM) had informed it that it would not proceed with the purchase. YNH Property also said it may seek legal demages from the Islamic bank.

No reasons were given for the pullout. A KFHM spokesperson said a statement will be issued later in the day.

Valued at about 1.8 billion ringgit, the YNH tower was to be constructed in the Malaysian capital. YNH Property signed the deal with KFHB last year in January.
Malaysian rating agency RAM Ratings last month revised its outlook on the firm to negative from stable, citing a challenging operating environment in Kuwait that has pressured the credit fundamentals of its parent.

Kuwait Finance House has said that it is not exposed to the debt problems of Dubai state-ownd conglomerate Dubai World or its property unit Nakheel, which have undermined investor confidence and thrown a spotlight on weak commercial real estate markets worldwide.

By REUTERS

Mah Sing sells Apex Tower

Mah Sing Group Bhd is making an en bloc sale of a seven-storey retail office space known as Apex Tower in Sungai Besi, to one Chen Ho-Yean for RM63.09 million.

The sale of the building with 90,126 sq ft of net floor area, will enable Mah Sing Group to lock in a significant amount of property sales

By Business Times

KPJ to acquire RM22m land in Muar for partially completed hospital

KUALA LUMPUR: KPJ HEALTHCARE BHD, a hospital management group linked to the listed AL-AQAR KPJ REIT on Wednesday, Dec 16 announced plans to acquire a plot of freehold land in Muar, Johor for RM22 million in cash.

On the rationale of the deal, the company said: "The proposed acquisition is in line with KPJ group's objective to increase its network of hospitals to locations where private healthcare is in demand."

The company announced in a stock exchange filing yesterday that its unit Maharani Specialist Hospital Sdn Bhd has entered into a Sale and Purchase Agreement (SPA) with Property Base Development Sdn Bhd for the proposed acquisition of land on which stands the partially completed seven-storey Maharani Specialist Hospital Building.

The building, whose construction was abandoned since 2005, is expected to have a gross floor development area of 260,000 sq ft.

In the announcement, KPJ said it intends to commence construction works on the hospital building, immediately upon completion of the SPA. Further development work is expected to cost about RM26 million to be financed by internally generated funds, with completion by end-2011. The building is expected to be used as a private hospital.

The acquisition is to be free of encumbrances and KPJ expects to complete the land acquisition by first quarter of 2010. The deal is not subject to KPJ shareholders' approval but regulatory and government approvals are required, the company said. Ministry of Health approval is necessary for the completed property to be operated as a private healthcare facility.

By The EDGE Malaysia (by Loong Tse Min)

SKN Land to develop two projects in KL

KUALA LUMPUR: High-end property developer SKN Land and Development Sdn Bhd plans to develop a mixed development project in Desa Pandan and a 27-storey residential project in Jalan Yap Kwang Seng.

The Desa Pandan project will involve a gross development value (GDV) of more than RM300 million while the GDV for the Jalan Yap Kwang Seng project is about RM100 million, chairman Mohd Rosly Hussein said Tuesday.

"We have already submitted our plans to the Kuala Lumpur City Hall and are waiting for approvals," he told reporters after an agreement signing ceremony between Crest Worldwide Resources Sdn Bhd and Asian Finance Bank (AFB) here.

Crest Worldwide Resources is a member company of SKN Land.

On the agreement, Mohd Rosly said AFB has now become the global marketing representative for Crest Worldwide in promoting the Crest Jalan Sultan Ismail property.

Crest Jalan Sultan Ismail is a mixed development comprising a 44-storey luxury residence tower and a 26-storey Grade A office tower with a GDV of RM500 million.

"About 70 per cent of the Crest Jalan Sultan Ismail luxury residence tower had already been sold to elite profile buyers," he said.

AFB chief executive officer Datuk Mohamed Azahari Kamil said the bank would promote the Crest Jalan Sultan Ismail property through the bank's global network of branches and corporate offices.

The bank, he said, planned to organise roadshows starting next month to promote the property in Qatar, South Korea, Indonesia, Singapore, Australia and the Philippines.

By Bernama

IJM Land's S2 heights, an extension to Seremban 2 township

SEREMBAN: Situated on elevated land beside the developed Seremban 2 township is S2 Heights, IJM Land's latest property development in Negeri Sembilan's state capital.

S2 Heights covers 600-hectares (1,500 acres) of freehold land.

IJM Land Group Sales and Marketing Manager, Susan Teh said it is being planned as an extension to the Seremban 2 township.

"S2 Heights aims to be the new showcase for a collection of modern homes within a low density neighbourhood. The first phase development of link homes launched less than two years ago, are fully sold," she told Bernama here on Tuesday.

She said purchasers of these homes have received their keys and are are satisfied with the elevated location, breezy air, good view and wide open spaces.

Now, she highlighted, S2 Heights is offering three new residential homes.

These are the much awaited 22' x 70' single storey Lyrica link houses, the 24' x 75' double storey link homes (Symphony 2) and the Sonata double storey semi-detached accommodation.

"These homes are being built in the same tradition that has made Seremban 2 a distinctive neighbourhood, a well planned community of quality homes, extensive facilities and on time delivery.

"Showhouses for these three homes are ready and interested customers are urged to book by December 31 to avoid disappointment, as a very limited units are available at an attractive interest rate," she added.

Susan said the entire S2 Heights development has been conceived to have generous road frontage to reduce traffic congestion within the development.

"One of the many facilities available to S2 Heights residents is a 19-hectare Hill Town Park and a Chinese school. The park will serve not only the residents of the development but the total population of Seremban as well.

"After a leisurely stroll up the park, one can take full advantage of the spectacular view and surrounding greenery, all of which are rare and forgotten experiences in today's hectic lifestyle.

"Being conveniently situated beside Seremban 2, S2 Heights also takes advantage of the existing amenities and facilities provided by the established township, including schools, shopping convenience, F&B outlets, banks, government offices, a sports complex and recreational city park," Susan explained.

By Bernama

B-Land records RM112.9m pretax for Q2

BERJAYA Land Bhd has recorded a higher pre-tax profit of RM112.9 million for the second quarter ended October 2009, compared to RM49 million last year, mainly due to lower impairment loss on quoted investments and investments in associated companies as well as higher profit contribution from the property development division.

Group revenue for the current quarter was about 7 per cent lower at RM983.1 million compared to RM1.1 billion recorded last year mainly due to lower revenue from the Number Forecast Operator (NFO) business operated by Berjaya Sports Toto Bhd (BToto) which reported stronger sales in the previous year arising from several high Jackpots in the Mega 6/52 game.

The hotels and resorts division also reported lower revenue affected by the outbreak of Influenza A(H1N1) and the global economic conditions.

For the 6-month period ended 31 October 2009, the Group reported a drop in revenue of about 4 per cent to RM1.9 billion and pre-tax profit increased by about 75 per cent to RM232.8 million compared to the corresponding period last year.
The lower revenue was mainly due to lower revenue contributions from the NFO and hotels and resorts businesses in the Group.

Pre-tax profit was much higher due to substantial write-back of impairments in value of investments in associated companies and quoted investments and gain on capital distribution by an associated company.

In the previous year, the Group incurred substantial impairments in value of investments in associated companies and quoted investments due to the then poor stock market performance.

"Given the uncertain global economic conditions, the Directors envisaged that the property market will be soft and the operating performance of the hotels and resorts and business may also continue to be affected by the outbreak of Influenza A(H1N1). However, the NFO business under BToto is expected to remain resilient," the company said in a statement.

With this backdrop and barring unforeseen circumstances, the the Group’s operating performance for the remaining quarters of the financial year ending 30 April 2010 are expected to remain satisfactory, it added.

By Business Times

CEO: PNB may list property assets

KUALA LUMPUR: Permodalan Nasional Bhd (PNB) is seeking ways to “maximise” returns on its newly-merged property unit, including a possible initial share sale.

“We will have to look at what’s the best for us,” chief executive officer Tan Sri Hamad Kama Piah Che Othman said yesterday. “It’s a matter of opportunity,” he said.

“It depends on the market conditions and the value that we create.”

Companies have been taking advantage of a resurgent stock market to list, with Maxis Bhd raising a record US$3.3bil last month.

JCY International Bhd, a hard disk drive components maker, also plans to sell shares, according to a draft prospectus filed with the Securities Commission on Dec 9.

PNB, which manages more than RM100bil of assets, has completed the merger of its three property companies – Island & Peninsular Bhd (I&P), Pelangi Bhd and Petaling Garden Bhd – after taking them private, Hamad Kama Piah said.

The asset manager bought I&P for RM670.5mil and Petaling Garden for RM477mil in 2007. It took over Pelangi two years earlier.

On the Government’s push to trim stakes in state-linked companies to bolster liquidity, Hamad Kama Piah said: “You can sell, but returns must be good for the unit holders.”

PNB “hopes” for the Malaysian stock market to do better next year as the Government pushed through efforts to revive the economy, he said.

The asset manager was studying ways to develop land surrounding two stadiums in the nation’s capital, he said without elaborating.

By Bloomberg

PNB studying skyscraper project

Permodalan Nasional Bhd (PNB) has said that it will study the viability of building a 100-storey skyscraper in the vicinity of Stadium Merdeka.

"We are still studying the matter," chief executive officer Tan Sri Hamad Kama Piah Che Othman said when asked about the project.

The New Straits Times had reported that three sites in Kuala Lumpur city had been identified for the development of iconic structures to spur growth in the economy.

One of them is the area surrounding Stadium Merdeka owned by PNB's subsidiary company.
"We need to bring this to the board to discuss further," Hamad Kama Piah said after the announcement of Amanah Saham Bumiputera's income distribution in Kuala Lumpur yesterday.

He did not indicate when the board meeting would take place, but said there would be an announcement as soon as a decision was made.

"We are not sure when the announcement will be made, but it will be soon," Hamad Kama Piah said, adding that the site concerned was owned by one of its subsidiary companies.

He declined to name the company or share details of the proposed development.

By Business Times (by June Ramlee)

Singapore Islamic REIT plans

SINGAPORE: ARA Asset Management and Qatar's Regency Group plan to launch the first real estate investment trust (REIT) here that will comply with Islamic principles as investor interest returns to REITs.

The proposed Islamic, or syariah-compliant, REIT will comprise hotels and serviced apartments in Qatar with an initial portfolio of around 164,000 sq m of gross floor area, said ARA, which is part-owned by Hong Kong property giant Cheung Kong.

ARA hopes to list the proposed REIT in the second half of next year. It declined to give an estimated value for the properties, which belong to Regency, a large Qatari developer which also owns car rental and travel agencies.

Singapore's REIT sector is the third largest in Asia, after Japan and Australia.
Unlike their regional counterparts which stay closer to home, the city-state's REITs invest across Asia and currently own around US$34 billion (US$1 = RM3.41) worth of properties ranging from industrial parks in India to malls in China.

Interest in Singapore REITs has picked up in the past month, with several trusts raising new equity or announcing acquisitions as confidence in Asian commercial property markets returns.

Suntec Real Estate Investment Trust, a REIT managed by ARA,last week raised S$152.9 million (S$1 = RM2.45) by selling new units through a private placement that was more than five times oversubscribed.

DBS Group is the financial adviser for the proposed ARA REIT.

By Reuters

World-class level

With 2010 mere weeks away, what are real estate agents, negotiators, property investors and developers expecting in the new year?

Plenty, according to the organising committee for MAREC 10, the brand name for the Malaysian Annual Real Estate Convention, an annual event organised by the Malaysian Institute of Estate Agents (MIEA).

With the theme “The Millionaire Real Estate Agent” for the convention to be held on Jan 23 and 24, the organising committee hopes to prepare real estate industry players to take their business to world-class level.

The topics and speakers have been selected to introduce new practices and ideas in managing the real estate agency business to achieve greater success. Topics covered in the programme include:

Left to right: David Ong, Abdul Rahim Rahman, Soma Sundram.

Topic 1: Getting ready for a liberalised real estate market in Malaysia
The service industry is going to be opened to foreign participation gradually from 2011.

Many firms are already moving forward to position their brand, services and partnerships with foreigners. A well-known brand assures customers of its reliability, professional services and trustworthiness.

This topic will provide a glimpse into the impending liberalisation of the real estate industry. Are you ready? Can you keep up? And what about globalisation and its effects due to the liberalisation policy? Will the industry see significant changes? Which types of estate agents are expected to be market leaders and which are expected to lag behind?

Soma Sundram, the speaker for this topic, has represented MIEA in discussions with the Ministry of International Trade and Industry (MITI) and Ministry of Finance on the liberalisation of the real estate sector. He has been actively involved in the real estate industry for nearly 20 years and runs his own firm, Soma Sun Realtors. Sundram is the immediate past president of MIEA.

Topic 2: Expanding globally – do’s and don’ts
Liberalisation is not only about foreigners coming into the market as competitors, but it is also about branding your business and entering the market in other countries to expand your business globally.

This session takes a critical look at how estate agencies in Malaysia can expand globally and create a vast war chest of funds in the process. The topic will discuss how the estate agency business is practised worldwide with critical analysis on current trends. Weaknesses and pitfalls in expanding globally will be highlighted and pointers given to overcome them while taking advantage of current opportunities available.

Datuk Abdul Rahim Rahman, the speaker for this topic, is the founder and executive chairman of Rahim & Co, a real estate property consultancy company with a network of 16 offices nationwide and two international offices. He was the first Malaysian to be elected deputy world president for the International Real Estate Federation (FIABCI) in 1990 and has been awarded the FIABCI Medal of Honour.

Topic 3: It’s not about the money
Is money and wealth the “be all and end all” of everything? Is financial success the only reason we work? Are there other things that are more important than money? Will you be entirely happy if your pockets are loaded but your soul is hungry?

Money will not able to buy everything in the quest of a complete and wholesome life. This paper will attempt to analyse such questions and identify solutions to help practitioners create a wholesome life for themselves, one where financial success is tempered with the need to pay attention to other aspects of life as well.

David Ong, the speaker for this topic, is the founder and president of Reapfield Group of Companies. His vision of employing well trained personnel and providing quality and professional real estate services continue to drive the company forward. Reapfield is the first recipient of the MIEA National award for the Real Estate Agency of the Year 2008 and SUPERBRANDS Malaysia award. Reapfield was recently awarded the SME Brand Excellence Award 2009.

MAREC 10 is scheduled for Jan 23 and 24 at the Putra World Trade Centre in Kuala Lumpur. There will also be a networking dinner to welcome delegates, VIPs and speakers on Jan 22.

Between now and Dec 31, early bird discounts are offered for members, non-members and negotiators. The convention is open to the public at RM800 per participant.

For details, contact MIEA. Tel: 03-7960 2577. Fax: 03-7960 3757 E-mail: secretariat@miea.com.my Website:www.miea.com.my.

By The Star

Challenging times ahead for Iskandar

JOHOR BARU: Iskandar Malaysia authorities are optimistic that the special economic corridor will continue to attract both local and foreign investors and remain an attractive investment destination despite negative media reports.

An aerial view of the ongoing coastal highway linking Johor Baru City Centre in Nusajaya.Inset:Harun Johari.

Nevertheless, outgoing Iskandar Regional Development Authority (Irda) chief executive officer Harun Johari ackowledged that the journey ahead for Iskandar would be long and challenging.

Irda is the regulatory authority in Iskandar.

“Frankly, it is not a smooth journey but we have to move on as the success of Iskandar is for all Malaysians and not only Johoreans,” he told StarBiz in an interview.

It was normal for a major development like Iskandar to attract critics, negative reports or “coffee shop talk,” he said, adding that Irda would be “positive and constructive” about the flak it had received from the media, bloggers and politicians.

“People have been watching us (the stakeholders) since day one of Iskandar’s inception and we at Irda have the duty to deliver and prove the critics wrong,” he said.

Harun reckoned that perhaps Johoreans were impatient to physically see the projects in Iskandar, adding that 2012 would be the “tipping point” when most of the ongoing projects would be completed.

The first phase – comprising the Johor state new administrative centre, Kota Iskandar, as well as Puteri Harbour Waterfront Development in Nusajaya – is already completed and developers will embark on other phases.

Among ongoing and soon-to-be-launched projects are the coastal highway linking Johor Baru City Centre to Nusajaya, the Danga Bay Waterfront development, Legoland Theme Park, EduCity, Senai Hi-Tech Park and Malaysian Premium Outlet.

Iskandar, which was launched on Nov 4, 2006, was the first in a series of economic corridors in Malaysia.

Spanning over 2,217 sq km, Iskandar has five flagship development zones – JB City Centre, Nusajaya, Western Gate Development, Eastern Gate Development and Senai-Skudai.

Iskandar aims to become a strong and sustainable metropolis of international standing under its Comprehensive Development Plan (CDP), which runs through 2006 to 2025,

Other stakeholders in Iskandar include the Johor government, Iskandar Investment Bhd, UEM Land Holdings Bhd and Iskandar Waterfront Development Sdn Bhd.

The Khazanah Nasional Bhd-appointed Harun joined Irda last October and became the second CEO in February, taking over from Datuk Ikmal Hijaz who left after an equally short stint.

Incoming CEO Ismail Ibrahim, currently the director of the National Physical Planning Division, will take over from Harun next month. Ismail was involved in the formulation of Iskandar’s CDP.

Iskandar has to date attracted a total RM51bil in investments, with works on projects worth RM17bil, or 35%, already started, creating some 44,000 jobs.

“In fact, for this year, we have managed to attract RM9bil new investments exceeding the RM3bil target despite the current economic downturn,” Harun said.

He added that investments came from “all over the place” and not only the Middle East as many would associate Iskandar with, noting that Middle Eastern investors were mainly centred on Nusajaya’s Medini area, which is dedicated to lifestyle and leisure activities and high-end residential living.

For 2010, Iskandar stakeholders would be targeting investors from China and India as well as Singapore and Indonesia, according to Harun.

He said Iskandar, which is three times the size of Singapore, offered both greenfield and brownfield opportunities for investors and plenty of other choices in between, such as in areas like electronics, petrochemical, health and education.

Harun also noted that the Iskandar Malaysia Human Capital Development Blueprint had outlined 65 initiatives to produce a capable and competent workforce over the next 15 years.

“Human capital development is one of the key strategies for Iskandar’s success and also to attract the best talents from all over the world without sidelining Malaysians,” he said.

By The Star (by Zazali Musa)

Malton poised to clinch RM700m job

MALTON Bhd is set to clinch a RM700 million job to upgrade some parts of the Pusat Bandar Damansara commercial and office complex owned by Johor Corp (JCorp), the flagship investment arm of the Johor state government.

Sources told Business Times that under the deal, Malton would upgrade some parts of the 28-year-old complex or demolish some ageing structures for new development. It would then sell back the completed property at higher prices to make a profit.

JCorp, through 27.7 per cent-owned Damansara Realty Bhd, owns nine commercial blocks in Pusat Bandar Damansara, Kuala Lumpur.

JCorp chief executive officer Tan Sri Muhammad Ali Hashim and Malton deputy chairman Guido Paul Philip Joseph Ravelli did not respond to Business Times' e-mails or phone calls for comments.

"Malton will pay RM500 million in cash for the property, while the remaining RM200 million will be paid in kind, meaning that once the property is completed, some of it will be handed back to JCorp in the form of commercial or office space," said a source.

The project, which is expected to take five years to complete, will also require Malton to develop a fresh plot of land next to the complex belonging to JCorp.

The source said that JCorp, which owns various properties nationwide, is a land and property owner and property development is not its core business.

JCorp has diversified businesses, including healthcare, plantation and fast-food, through interests in companies such as KPJ Healthcare Bhd, Kulim (M) Bhd and QSR Brands Bhd.

Property developer Malton's experience ranges from building residential houses and condominiums to high-rise office buildings in the Klang Valley.

Pusat Bandar Damansara, or Damansara Town Centre, was built in 1981. It houses some ministries and government departments as well as private corporations.

By Business Times (by Zaidi Isham Ismail)

A game that teaches how a good city can be developed

In this age of high-tech computer games that require the latest soundcards and faster computers, it is refreshing to go back to games that force one to think rather than just pound away at the keyboard. And I am not talking about chess.

Building city planners should play SimCity to have a better grasp of the issues with regard to city planning.

It was in the midst of discussion about local governance issues, like how residents are battling one another over road closures, that SimCity came to my mind.

I believe that all city planners should play this game because it teaches us how a good city can be developed.

Most people who play this game normally take the easy way by just building and building. What happens at the end is that pollution, crime and a whole range of social issues arise to make you a highly unpopular mayor.

A thoughtful planner, on the other hand, knows how to balance development with the needs of the people. He builds parks, libraries and marinas in between the industrial and residential zones.

He is careful about building too many roads that lead to traffic congestion.

He modifies the tax structures for certain industries and comes up with ordinances that enhance the quality of life for the people.

If he is lucky, the people will throw him a “spontaneous parade” in his honour. I have been playing the game for weeks and despite doing what I believe is right, I have yet to get such a parade.

My son got his first parade recently and as I analysed his city, I realised that he was not simply giving “goodies” to the people but actually creating a right blend of development that ensured a thriving economy.

As he rightly pointed out to me: “What’s the point of having so many parks amidst low-density residential zones when the people have no means of earning a living?”

For sure, my city was aesthetically more pleasing than his, but the city council budget remained low and people were not flocking into my city.

Coming back to reality, since March 2008, there has been a change of government in some states that has also had an impact on the way local councils are run.

Many new councillors bring a refreshing perspective, but some of them are simply not keyed into the reality of managing the area under their jurisdiction.

Thus, an issue over whether an access road should remain open or otherwise has a more complicated scenario than one can imagine.

Pleasing one group of residents invariably means displeasing another group, and it does not help when both areas had voted for the same party the last time around.

The electoral boundaries no longer count because every sub-group can threaten to withdraw their vote if you don’t see things their way. And in urban constituencies, you can be assured that they know how to make their vote count.

All of them may be in one accord with the party on the bigger issues but when it comes to ground issues like traffic jams, billboards or landfills, you can be assured that they will think of their own interests first.

I would like to suggest that all the budding councillors play SimCity to have a better grasp of the issues with regard to city planning. There is no need to go on expensive overseas familiarisation tours. Who knows, you may even get a spontaneous parade in your honour.

>Deputy executive editor Soo Ewe Jin lives in a city that could take a few lessons from the SimCity councillors and residents associations.

By The Star (by Soo Ewe Jin)

Earning from rental

Effort, patience and research needed to achieve success

RENTING out real estate can be a lucrative source of income. Those who are already in the game know the rewards that it can reap. It offers stable returns compared with a lot of other forms of investments and is a great way to build wealth.

But just like any other investment, it requires a good deal of effort, patience and research to achieve success.

Location and money

These two factors are the essence of property investment. The investor needs to find properties in locations that are likely to generate great yields. To attract tenants, it is a good idea to own a place near a school or a college, with good access to public transportation.

Having money to spend is also very important. But what if you are a small-time investor and your financial resources are limited?

“There are many ways to find property. Look out for foreclosures or auctions. Get to know people on the inside who know about properties that are going under the hammer,” says Felix Wong, who has been a landlord for over 30 years.

“Keep an eye out for advertisements in the newspapers or speak to real estate agents who can let you know in advance about these sales.”

Alternatively, if one doesn’t have the money to buy property, one can always rent and subsequently sub-let at a profit. That was how Tan, now an accountant, financed his tuition fees when he was studying in college.

“I was renting a bungalow in Petaling Jaya and got a part-time job to pay the rent and tuition fees initially. I then sub-let the rooms in the house to other students. I was able to quit my part-time job and use the spare time to focus on my education,” he says.

It is important, though, to make sure that your tenancy agreement has no clause that forbids sub-letting.

If you are determined to own property, you should have a rough idea of how long you plan to hold on to it, says financial planner Alex Low.

“The longer you own the property, the more you’ll need to invest in maintenance, repairs and improvements. If you’re only planning to own the property for a short period, you should avoid making any major improvements unless you’re sure you can recoup the cost with a better re-sale price,” he adds.

You’ve invested in property. What now?

Once you have something to rent out, you need to let the world know you’re looking for tenants. But before you do so, there are a couple of things that needs sorting out first.

·Checking out the competition

“Check to see if there are other properties within the vicinity that are being rented out. Find out their rates and set your rates accordingly. If you charge too much, you’ll only chase tenants away,” says Timothy Arumugam, a Bangsar-based landlord.

“Of course, you still need to charge enough to pay for maintenance, insurance and utilities, and make a profit. Don’t forget that you may also need money for repairs and other emergencies.”

·Knowing your target market

Determine also the type of people you hope to attract. If you are targeting students, your rental rates would have to be more affordable than if you are hoping to have tenants who are, say, white-collar employees.

Property to let

Now it is time to tell everyone how attractive your rental offer is. If you have money to spare, the best way is to advertise in the newspapers. If you have a specific target group in mind, such as students or only women, you could try advertising in education or women’s magazines.

Alternatively, there are creative ways to advertise for free, says K. Marimuthu, a Klang-based landlord.

“You can always place ads on trees, street lights, walls, buildings or telephone booths. If you have permission, you can advertise in the colleges or universities,” he says.

Another idea is to to promote the property via a webpage or blog. “Don’t forget to put down your contact number or e-mail address, and if it’s an outdoor ad, the website or blog address, if there is one. It’s also helpful if you had pictures of your property on it. After all, a picture tells a thousand words,” adds Marimuthu.

Protecting your investment

Before letting a potential tenant into your home, it is best to run a background check. Doing a check on the person’s financial background helps if the tenant has a bad track record.

Marimuthu says it is also very important to lay down the “ground rules” before finalising the tenancy agreement. “Determine from the start what can and cannot be done. It’s your investment, so it’s your rules. It’s of course better if these rules could be laid down in black and white.”

He adds that it is also useful to set up an “emergency fund” for repairs to the property. “You never know. The toilet could get clogged or the water heater could go kaput. It’s your responsibility to make sure everything is in working order,” he points out.

“Just before the tenant rents the place, the landlord should take photos of the premises so that when the tenant leaves, any damage to the property can be assessed more clearly.”

By The Star (by Eugene Mahalingam)

Ireka, Aseana form partnership

PETALING JAYA: Ireka Corp Bhd is proposing to jointly develop with Aseana Properties Ltd (APL) a high-end residences tower at Jalan Kia Peng, Kuala Lumpur.

The project is expected to generate a gross development value of RM272mil and a gross profit margin of RM58mil.

Ireka told Bursa Malaysia its wholly-owned unit World Trade Frontier Bhd had signed an agreement to buy a piece of freehold land there, measuring 4,047 sq m, for RM87.12mil cash.

Ireka yesterday also entered into a memorandum of understanding with APL on the joint venture for the ownership and development of the property, with APL to have a 70% stake.

Upon receipt of all relevant regulatory approvals, the project is expected to start within 18 months from the completion of the proposed acquisition.

The development cost will be funded by internal funds, bank borrowings and proceeds from sales of residential units.

By The Star

Sunrise confident of brisk sales for 28 Mont' Kiara condo

Property developer Sunrise Bhd is hoping to repeat the success of its 10 Mont' Kiara luxury condominium project in Kuala Lumpur with another similar project within the vicinity.

The 10 Mont' Kiara, featuring a 42-storey tower with 320 units, was sold out within months of launch.

Sunrise assistant general manager of projects department, Raymond H.C. Cheah (picture), said 28 Mont' Kiara is a 41-storey condo building, comprising 460 units with built-ups from 3,000 sq ft to 4,000 sq ft. Total gross development value of the project is RM800 million and is targeted to be completed in three years.

Cheah said 100 units of the condo had been taken up since its soft launch last Saturday.

"We are confident about sales (for 28 Mont' Kiara) due to its location and features of the property," Cheah said after the media walkabout of 10 Mont' Kiara in Kuala Lumpur yesterday.
He said the price of 10 Mont' Kiara condo units has appreciated by almost 30 per cent since it was launched three years ago.

"The units were sold at about RM500 per sq ft then and now they are fetching RM700 per sq ft.

"This track record has made our previous customers come back to buy more Sunrise properties, especially since second time Sunrise property buyers will get a 2 per cent discount (off total purchase price)," said Cheah.

Sunrise has completed the 10 Mont Kiara project and is in the midst of handing over the units to their owners.

By Business Times (by Zurinna Raja Adam)