Luxury lakeside condominium

Cool sight: The LaCosta sandy beach pool.

Sunway City Berhad (SunCity) continues to strengthen its presence as a leading property developer in Malaysia with the much-anticipated LaCosta at Sunway South Quay which is located within the Sunway Integrated Resort City (SIRC).

LaCosta has a sandy beach pool that will be the perfect corner for families to gather and enjoy a splash together, as well as an Olympic-length pool.

Residents will be thrilled by the fact that they do not have to travel miles to enjoy a sandy beach pool as all they have to do is to take the elevator.

SunCity leveraged on its expertise in managing the Sunway Lagoon theme park which has the world’s largest man-made surf beach when developing the sandy beach pool for LaCosta.

In view of its unique sandy beach pool concept, the launch of LaCosta was recently held at the Surf Beach @ Sunway Lagoon where the public was invited for a fabulous beach party.

The response was overwhelming and it was indeed a unique way of launching a property as SunCity offered guests a first-hand beach experience which will be replicated in LaCosta in the future.

Guests were entertained by lively dance performances, magicians, clowns and a delicious barbeque dinner. They were also presented with the opportunity to build sand castles and view an exciting volcano show.

Standing tall on a land area spanning 5.39 acres, the four-tower condominium is nestled in the opulent Sunway South Quay.

The development will have 377 units with a built-up ranging from 1,302 sq. ft to 3,226 sq. ft. The gross development value (GDV) is approximately RM400 million.

The selling price ranges from RM880,000 onwards with attractive financing packages that includes developer interest bearing scheme during construction. Currently, there is a discount of 10% for a limited period of time.

“LaCosta is yet another unique property in Sunway South Quay as it allows residents to enjoy a metropolis lifestyle next to a 28acre lake. To date, BayRocks Garden Waterfront Villas and A’marine condominium in Sunway South Quay have both enjoyed overwhelming responses.

“As such, we are confident that LaCosta will be in high demand and its appeal is strengthened further as it is situated within a hub of award-winning and world-class shopping, theme park, hospitality, education and health­care facilities,” said Sunway City Berhad managing director (property development Malaysia) Ho Hon Sang.

One of the main unique selling points of LaCosta is that every unit enjoys a lakeside view. Apart from the unique sandy beach pool, residents can also enjoy lushly landscaped podiums, extra-wide balconies projecting a better view for each unit and most importantly, exclusive privacy with only four units per floor.

There will also be four uniquely themed sky gardens — Mediterranean, Tropical, Herb and Zen Gardens with facilities that include a games room, ballet studio, yoga zone and others.

The development also oversees a majestic view of the entire Kuala Lumpur skyline in the distant horizon and inspiring horizons of the Sunway South Quay lake.

By The Star

Commerce One – office suites for SMEs and start-up companies

Artist's impression of the completed Commerce One development.

Calling all SMEs and new start-up company owners …. a rare opportunity to own a new office suite in one of Kuala Lumpur’s prime and established locations awaits you at Commerce One.

Strategically located in the prized business hub of Jalan Klang Lama (5th mile), Commerce One, developed by GuocoLand Malaysia, offers small and medium sized companies a viable option of owning their office premises rather than the usual rental route.

The twenty one storey corporate office building offers 222 units of modern office suites (500 and 1,700sq ft), a retail and F&B floor, fiber optic broadband connectivity, dedicated entrance lobby, 24-hour security, ample cark park and landscaped terraces.

For added convenience and privacy, en-suite toilets and pantries are standard features in all office suites (from 1,138sq ft) facing Jalan Klang Lama.

Commerce One, located near the Pearl International Hotel and only 3km to Mid Valley City, is well served by a network of highways – New Pantai Expressway, KL-Putrajaya Highway, Shah Alam Expressway (KESAS) and Federal Highway – and good public transportation.

GuocoLand (Malaysia) Bhd Marketing and Sales Director Pam Loh said Commerce One would also make an excellent investment option given its attractive rental returns of about six per cent for prime office locations in Jalan Klang Lama.

“Perhaps the biggest appeal to the SMEs will be the ease of new hire for office support staff many of whom are increasingly very picky about the location of their workplaces. Retail, eating places and public transportation are also within easy reach in this thriving business area.”

“We are also giving top priority to security for added peace of mind. Access card and close circuit TV will be part of the total security system in addition to round-the-clock security,” she said.

About fourth per cent of office suites have been sold during the soft launch ahead of Commerce One’s launch at the Commerce One Sales Gallery (2-3, Lorong 2/137C, off Jalan Klang Lama. Tel: 016-3399 506) on 5 May 2011. The office suites are priced from RM430 per sq ft.

By The Star

Home prices, deals to accelerate: CIMB

Malaysia is likely to see a record year for property transactions and home price appreciation could accelerate, CIMB Investment Bank Bhd said in a report today.

The bank maintained its “overweight” rating on the industry and said Mah Sing Holdings Bhd was its top pick, it said.

Meanwhile, CIMB Research is bullish on the performance of the properties sector for 2011 after hitting a record transaction of RM107.44 billion last year.

It said the potential re-rating catalysts for the sector are newsflow on landbanking, strong sales from most developers and accelerating earning growth.

"We remain bullish on the property sector, especially the residential properties, as house prices are likely to trend higher and volumes should scale new highs," it said in a research note today.

CIMB Research said the price direction was determined by major cycles and negative external events such as the Asian and global financial crisis.

It said the cycle was currently in the property sector's favour.

By Bernama

Jeffrey Ng says purchase of Putra Place proper

PETALING JAYA: Sunway REIT Management Sdn Bhd and OSK Trustees Bhd have followed the proper procedures in the acquisition of Putra Place at a public auction, said Sunway REIT Management chief executive officer Datuk Jeffrey Ng.


Datuk Jeffrey Ng says the trustee and the manager of Putra Place would vigorously defend all claims raised by Metroplex

“Sunway REIT has successfully bidded for Putra Place at a public auction conducted by the Kuala Lumpur High Court and which was held for the fourth time on March 30,” Ng told StarBiz yesterday.

He was commenting on the move by the previous owner Metroplex Bhd to block the sale of the property that comprise The Mall shopping complex, Legend Hotel and an office tower.

He said Metroplex's action was “completely without merit” and the trustee as well as the manager of Putra Place would vigorously defend all claims raised in the two legal proceedings.

Metroplex has served an originating summons and an affidavit to Commerce International Merchant Bankers Bhd, OSK Trustees, Sunway Real Estate Investment Trust, Sunway REIT Management and Ahmad Fairuz Mohd Puzi, a court officer who conducted the auction of Putra Place.

Sunway REIT, in a filing to Bursa Malaysia on Wednesday, said the court summons dated April 25 were served on the defendants on Tuesday evening.

Metroplex had requested the High Court to set aside the sale of the property to OSK Trustees and/or Sunway REIT and/or Sunway REIT Management.

It had also requested that the property be remitted back to the Registrar of the High Court due to breaches of the National Land Code 1965, Capital Markets and Services Act 2007, and the Guidelines on Real Estate Investment Trusts issued by the Securities Commission.

Metroplex is seeking to get the High Court to declare the sale as null and void as it claimed the public auction had been turned into a private auction.

Sunway REIT, in a separate filing to Bursa Malaysia yesterday, said the High Court has dismissed the summon-in-chambers with costs pertaining to the injunction sought by two individuals Robert Ti and Indonesian Kornelis Kurniadi to restrain OSK Trustees and Sunway REIT from completing the sale of Putra Place land.

Sunway REIT said the High Court also dismissed the plaintiffs' oral application for an interim order that the trustee and Sunway REIT be restrained from selling or dealing with Putra Place pending the disposal of the originating summons.

The High Court has also fixed May 5 as case management for the originating summons.

By The Star

Firm helps M’sians invest in Australian properties

Renowed Australian property company, King Group, has set up a one-stop business centre in Malaysia to help potential local property buyers to invest in Down Under.

Known as OZ Property Sdn Bhd, the company opened its doors in Kuala Lumpur last month.

The objective behind setting up the local firm was to provide potential Malaysian investors a quicker access and information pertaining to quality Australian properties.

“The company offers a one-stop solution for potential local investors ranging from a panel of mortgage brokers, migration agencies, education agencies and solicitors in Malaysia,” said its chief executive officer Dr Edwen Yew.

King Group is a property development, project marketing and project management company that is involved in a wide range of developments in Australia.

“Our goal is to guide and assist potential investors in buying properties in Australia,” said Yew.

He said the company also provided property management, including managing services to those who have invested in Australian properties.

He said the firm would be organising property roadshows over the next few months to showcase the available Australian properties to interested investors.

“Aside from showcasing Australian properties, Oz Property will also sell United Kingdom properties to local investors in July.”

Yew said as part of the company’s long-term expansion strategy, there were plans to venture into property development in Malaysia within the next two years.

By The Star

Tesco plans to open 6 more hypermarkets

KEPONG: Tesco Stores (Malaysia) Sdn Bhd (Tesco Malaysia) plans to open six new hypermarkets this year, with expected investment reaching at least RM480 million.

Its chief executive officer Tjeerd Jegen said it would continue to do this but the number would depend on the government's approvals.

"As far as we are concerned, we want to open up many stores, including in Sabah and Sarawak within the next 10 years, to make our stores accessible to customers," Jegen told reporters after launching Tesco's 10th year anniversary here yesterday.

Tesco now operates 39 stores and two distribution centres.

It is now focusing on expanding its business in the north.

So far this year, Tesco had opened three stores with investments worth some RM240 million. In the next six months, it will open another three.

"The three new stores will be located in Penang, Old Klang Road in Kuala Lumpur, and Sri Iskandar in Perak. Usually, we will invest between RM80 million and RM200 milllion for a store," he said.

Tesco Malaysia is a joint venture between Tesco plc, one of the world's largest international retailers, and Sime Darby Bhd. It started operations in May 2002, with the opening of its first hypermarket in Puchong, Selangor. It currently employs some 15,000 people.

Apart from new stores, Tesco Malaysia will also help upgrade 152 small retail shops under a government plan called Tukar.

Tukar, one of the Entry Point Projects under the Economic Transformation Programme, aims to modernise these shops to increase their competitiveness. To date, three major retail chains, namely Mydin, Carrefour and Tesco have signed up.

Tesco Malaysia has adopted two retail outlets, one in Shah Alam and the other one in Bukit Puchong under the project.

"We have contributed some RM80,000 in terms of shelving and equipment to a shop in Shah Alam and another RM60,000 to the shopowner in Bukit Puchong.

"They have since managed to increase their sales. For instance, the shopowner in Shah Alam managed to double her sales, while the other shop in Puchong managed to increase its workforce," he said.

By Business Times

Mah Sing's Star Avenue Shop Offices sold out in one weekend

Artist’s impression of the Avenue Street Mall at Star Avenue at Damansara.

Mah Sing Group Berhad registered sales of RM242.5million during the launch of Phase1&2 of Star Avenue@D’sara in Sungai Buloh over the weekend. The launch attracted more than 800 prospective buyers and all 92 units of the three storey shop offices averagely priced from RM2.6million were snapped up.

“We have been quite confident that Star Avenue@D’sara shops would be well received based on its strong potential and exceptional value but a 100% take up rate on the first sales launch event weekend has exceeded our expectations and was a pleasant surprise. We are happy that the purchasers appreciated our effort in designing the shops to encourage business vibrancy with features such as wide frontage, corridors and walkways, besides boasting high floor to ceiling height of 22 feet which gives an option to owners to possibly add a mezzanine floor. Its appeal is further enhanced by virtue of it being the first and only night guarded shop office development. In view of the overwhelming response to Star Avenue@D’sara over the weekend, we are now opening 46 units of the Avenue Street Mall retail lots for registration,” said Mah Sing’s chief operating officer Andy Chua.

The Avenue Street Mall offers 370,000sq ft of nett lettable area spread over four levels, and Mah Sing Group intends to keep approximately 60% to ensure the right tenancy mix to maximize the rental yields and increase capital appreciation. The proposed tenancy mix include F&B outlets, a supermarket, IT and tele-communications center, bowling alley, fashion and accessories stores, etc.

With an estimated catchment of 360,000 people within a 15 minutes drive and excellent visibility with more than 300,000 passing traffic daily, and the lack of a competing mall nearby, Star Avenue@D’sara is poised to be a shopping hotspot. Ample carpark with more than 1,500 bays on the ground floor and basement level has been allocated to cater to the expected influx of shoppers. The project is only 3 minutes from the proposed MRT Station in Taman Industri Sg. Buluh and strategically located at the busy traffic junction of Jalan Sungai Buloh (Guthrie Corridor), Persiaran Cakerawala and Jalan Lapangan Terbang Subang.


Buyer taking a closer look at Star Avenue at Damansara. With Phase 1&2 shop offices fully taken up, registration is now open for 46 units of the Avenue Street Mall retail lots.

“As connectivity is becoming more and more of a factor that appeals to the market, Star Avenue@D’sara's strategic location as well its superb accessibility and large population catchment that includes Subang, Subang Bestari, Sungai Buloh, Ara Damansara, Kota Damansara, Mutiara Damansara would serve the business community well. Star Avenue@D’sara shall be able to tap on the 13,000 students at the proposed new Help University Collegue-Subang 2 Campus, via Persiaran Cakerawala which is currently being upgraded into a 6 lane road. This project is also adjacent to the much talk about 3,300-acre Rubber Research Institute of Malaysia (RRIM) privatization land to be developed by EPF. Buyers are obviously optimistic of the RRIM land potential,” said Andy Chua.

More information on Star Avenue@D’sara is available on www.mahsing.com.my or 03-92218 888.

By The Star

I&P to launch projects with RM2b GDV

KUALA LUMPUR: Property developer I&P Group Sdn Bhd will launch several projects in its existing townships in Klang Valley and Johor Baru this year with an estimated gross development value (GDV) of over RM2 billion.

The projects, which will be launched between May and December, are located in Kuala Lumpur, Shah Alam, Bangi, Cheras, Puchong, Klang and Johor.



Group managing director Datuk Jamaludin Osman expects this year's property market outlook to be as good as last year.

"For this year, we will try to maintain or achieve better than last year's RM1 billion revenue," group managing director Datuk Jamaludin Osman said in an interview with Business Times recently.

I&P, a wholly-owned subsidiary of Permodalan Nasional Bhd (PNB), was formed about two years ago after the rationalisation exercise of three companies, namely Island & Peninsular Sdn Bhd, Petaling Garden Sdn Bhd and Pelangi Sdn Bhd.

Jamaludin said the group is currently working on various phases of development in 12 townships, of which three are in Johor and nine in the Klang Valley.

They include Bandar Baru Sri Petaling, TemasyaGlenmarie, Bandar Kinrara, Bayuemas, Alam Sari, Alam Impian, Alam Damai in Klang Valley; while Taman Industri Jaya, Taman Rinting and Taman Perling in Johor.

He said the townships will take between 10 to 15 years to be developed, depending on its location and marketability.

Jamaludin said people who buy the group's residential units are first-time buyers, upgraders and investors.

Depending on locations, he said in some areas, there are more Bumiputera buyers, while in other areas the houses are equally sought by both Bumiputeras and non-Bumiputeras.

The group has a total landbank of about 2,200ha in Klang Valley and Johor.

"We are looking for good land for development," he said when asked if the group is expanding its landbank.

By Business Times

I&P has homes in more than 60 townships

KUALA LUMPUR: I&P Group Sdn Bhd, a wholly-owned subsidiary of Permodalan Nasional Bhd, displayed its various property projects at the Minggu Saham Amanah Malaysia (MSAM) in Ipoh recently.

Projects include those in the Klang Valley and Johor.

"We are the premier partner of MSAM 2011. Besides displaying our products, there were also various activities at our booth," I&P group managing director Datuk Jamaludin Osman said in an interview with Business Times.

I&P was formed in May 2009 after the merger of three companies, namely Island & Peninsular Sdn Bhd, Petaling Garden Sdn Bhd and Pelangi Sdn Bhd.

The group, which has a combined track record of over 130 years in property development, has built homes in more than 60 townships.

By Business Times

Maju Assets upbeat on RM1.3b Sg Besi project

Maju Assets Sdn Bhd, the property arm of diversified Maju Holdings Sdn Bhd, is upbeat its RM1.3 billion mixed development in Sungai Besi, Kuala Lumpur will appeal to buyers.

The project, called Infinity, is in planning stage and will be launched by the end of next year.

It will comprise a four-star hotel, officer towers, serviced apartments and retail, sprawled on 6ha.

Maju Asset managing director, Adam Radlan Adam Muhammad (left) said the project will be attractive because of its concept, location and connectivity.

Radlan said in an interview with Business Times in Kuala Lumpur recently that the company is targeting domestic and foreign buyers to take up a pool of properties by en bloc, and sale of individual units.

"When we buy land, we make sure the area has good connectivity. We find that this is what buyers wants. As a developer, we have to look into that," he said.

"All our projects are devoted to creating developments of unrivalled quality in the country's most desirable locations, and adhering to the concepts of sustainability and community," he added.

Infinity, when completed in about three years, will have access to Sungai Besi Highway, Bukit Jalil Highway, Kuala Lumpur-Putrajaya highway and Kuala Lumpur-Seremban expressway.

Radlan said Maju Assets will spend RM25 million to improve the access to these highways as well as build a flyover from the Seremban highway exiting Kuala Lumpur.

Maju Assets also has 6ha in Sg Besi earmarked for an industrial project. It will be launched by mid-2012.

Radlan said the company plans to build warehouses and medium-sized factories with modern facilities, targeting multinational companies and local small and medium enterprises.

"The southern part of Kuala Lumpur is booming. A lot of property developers such as YTL Group are heading there. So we are bullish on both the projects," Radlan said.

By Business Times

KSL Properties looks to Maxis for broadband

Property developer, KSL Properties Sdn Bhd, is partnering Maxis to provide integrated end-to-end high-speed broadband Fibre-to-the-Home (FTTH) solutions for its residential development.

Maxis senior vice-president (home services) Harold Quek said the partnership agreement would provide and commission telecommunications infrastructure for the provison of broadband services for KSL's residential development in Johor.

"Immediate beneficiaries of Maxis' services will be the residents of 602 units of D'Esplanade Residence at KSL City," he told reporters after the signing ceremony here today.

Upon completion of the D'Esplanade Residence next year, Quek said Maxis would be able to offer a full suite of exciting and interactive services for its residents.

Maxis also planned to expand the offer to other KSL's development in Johor such as in Kempas Indah in Kempas and Bestari Heights in Nusajaya, both located within the vicinity of Johor Baharu City, he said.

This strategic partnership, he said, provided an opportunity to Maxis to deepen relations with the customers in Johor Baharu.

"We are already providing them with our wireless services and now we are paving the way to provide contemporary data products and suite of contents enriching the lives of our customers," said Quek.

Maxis Home Services was launched in March and currently the service is available in selected locations in the Klang Valley.

Within Johor, the services are available in Taman Molek.

Meanwhile, KSL Properties chairman Ku Hwa Seng said the D'Esplanade, the KSL's most distinguished project, offered contemporary design and embraced technology to enhance residents' lifestyle.

By Bernama

EUPE Corp sees RM30m pre-tax profit from residential project

KUALA LUMPUR: EUPE CORPORATION BHD expects pre-tax profit of more than RM30 million from a residential property project with a gross development value (GDV) in excess of RM130 million.

EUPE said on Wednesday, April 27 its unit EUPE Kemajuan Sdn.Bhd was buying 17.15 acres of land in Petaling district for RM37.35 million from Desaminium Jaya Sdn Bhd.

“The land is purchased for the purpose of residential development targeting about 150 units of terrace and semi detached homes with a GDV in excess of RM130 million and profit before tax estimated above RM30.0 million.

“The development is targeted to start in the second half of 2011 and will be completed within 3 years. The details of the development and layout plans are in the midst of being prepared and will be submitted to the relevant authorities for approval in due course,” it said.

EUPE said the land was in the process of being surrendered and realienated as 99 years leasehold land with separate title to be issued for the Phase 1C which was being purchased. This formed a condition preceding for the completion of the sales and purchase agreement.

EUPE said the proposed acquisition was in line with the group's core business competencies and would be a significant step to ensure future sustainable growth for the group.

The directors of Desaminium Jaya are Tan Tiang Ee (managing director), Datuk Tan Tiang Kwong, Tan Nai Loon, Tan Taing Jok, Tan Tiang Kee, Tan Yuk Ching and Tan Siew Ling

By The EDGE Malaysia

Selangor Dredging buys RM31m plot

SELANGOR Dredging Bhd is buying a plot of land in Hulu Langat, Selangor from Webcon Sdn Bhd for RM31 million.

The land is currently charged to Affin Bank as security for a banking facility granted to Webcon, Selangor Dredging Berhad said in a filing to Bursa Malaysia yesterday.

Webcon has obtained a development order and building plan approval to develop the land into blocks of condominiums amounting to 540 units.

By Business Times

SDB buys land for RM31m

SDB Properties Sdn Bhd, a subsidiary of Selangor Dredging Bhd (SDB), has acquired a piece of land measuring 36,339 square metres from Webcon Sdn Bhd for RM31 million.

The property, located in the centre of the Cheras South communities and surrounded by various public amenities, was easily accessible from various highways such as the Cheras-Kajang Expressway, SILK Highway and Sungai Besi Expressway as well as secondary roads, SDB said in a statement today.

It said SDB would develop residential units on the property with an estimated gross development value of RM300 million.

By Bernama

Marriott plans 2 more hotels in Malaysia

KUALA LUMPUR: Hotel management company Marriott International Inc, which operates the Marriott, Renaissance and Ritz Carlton, is scheduled to open two new hotels in Malaysia by the middle of next year, bringing the total number of hotels here to nine.

These two new openings, one in Johor and another in Sarawak, will see the group increase its room inventory in Malaysia by 400 from about 3,000 now.

Area vice-president for India, Malaysia, Maldives and Australia Rajeev Menon said that it will open a 300-room Renaissance in Bandar Baru Permas Jaya in the second quarter of next year.

The group also targets to open a 101-room Mulu Marriott Resort & Spa by mid-2012. This property, previously the Royal Mulu Resort, is located next to the Mulu National Park, a Unesco World Heritage Site. It is now undergoing a complete makeover.

The seven operational hotels in Malaysia now are Ritz-Carlton Kuala Lumpur, JW Marriott Hotel Kuala Lumpur, Renaissance Kota Baru in Kelantan, Renaissance Kuala Lumpur Hotel, Renaissance Melaka Hotel, Miri Marriott Resort & Spa and its franchised property, Putrajaya Marriott Hotel.

Meanwhile, chief operating officer for Asia Pacific Craig S Smith said Malaysia is an important market for the group, especially since intra-Asian travel is big.

As more of its hotels open in India, China and the Middle East, more guests are familiar with the brand. Thus, loyalty helps to fill up hotel rooms in other countries too.

He added that its hotels in Malaysia will benefit from the growth in India, China and the Middle East.

The group, which experienced a tough 2009 for its Malaysian hotels, saw revenue per available room grow by a tenth in 2010 compared to the previous year.

"This year has started strong, (our) Kuala Lumpur hotels are doing well but it is too early to say how the situation in the Middle East will reflect in Malaysia this year," Rajeev said.

"We expect similar growth or partially more growth in 2011 compared to 2010," he added.

By Business Times

A Bulgari hotel in Malaysia possible, says Marriott COO

MARRIOTT International Inc, which operates the luxurious Bulgari Hotels & Resorts brand, does not discount the possibility of hotel opening in Malaysia.

Currently, there are only two Bulgari hotels in the world; a city hotel in Milan, Italy, and a resort villa in Bali, Indonesia.

"There have been people asking about it (Bulgari) but there is nothing serious.

"There must be a business plan that can support a Bulgari as it is a very expensive hotel to build," chief operating officer (COO) for Asia Pacific Craig S Smith said, adding that it does not discount that Malaysia could probably carry such a brand. "Such a hotel would fit into a market that has a niche clientele and easy air access".

Location, Smith said, is paramount in considering the opening, and along with it, the specifications and partnership.

The Bulgari in Milan is a city hotel with 58 rooms, while the resort in Bali has some 59 villas. The next Bulgari will open in London in 2012.

The Bulgari Hotels & Resorts was introduced in 2001 and it is a joint venture between jeweller and luxury goods retailer Bulgari SPA and the Luxury Group - a division of Marriott International that also manages the The Ritz-Carlton hotels.

In Malaysia, there are currently six hotels managed by the Marriott group and one on franchise. On future openings, Smith said: "At any one point of time, we are discussing with a dozen (parties)."

Marriott, which is now predominantly city-based, is now keen to look at more resort hotels in places like Penang, Langkawi and Kota Kinabalu. Resorts destination derives higher rates.

The group, which has over 20 brands, also manages the Courtyard by Marriott, EDITION Hotels and Marriott Executive Apartments, elsewhere in Asia.

By Business Times

OCBC offers loan for London homes

OCBC Bank (Malaysia) Bhd is offering its customers a new mortgage loan facility, to finance the purchase of residential properties in prime sections of central London, United Kingdom.

Head of consumer financial services OCBC Bank, Charles Sik said with the introduction of the new scheme, customers can now invest in London properties with peace of mind, knowing that their loan facility is fixed in the ringgit, mitigating forex risks.

"Our goal for financing products is to offer as many bespoke loans as possible to our customers. London property prices are certainly on an uptrend and we think it’s a really good time now to capitalise on this," he said in a statement today.

According to OCBC Bank currency economist Emmanuel Ng, foreign exchange rate fluctuations are key to determining the purchase of an overseas property and the ringgit is expected to remain supported against the British Pound Sterling (GBP)on a structural basis.

"The ringgit sits comfortably within the Asian growth sphere and is also underpinned by net positive foreign capital inflows into the region, as well as a favourable balance of payments environment," he said.

The OCBC Overseas Property Financing facility offers a margin of financing of up to 75 per cent and a loan tenure of up to 30 years or up to the time a person turns 65, whichever is earlier.

By Bernama

World's tallest building developer, Burj Khalifa's 1Q profits down 45%

DUBAI, United Arab Emirates: The Dubai developer of the world's tallest building says its first-quarter profit dropped 45 percent as it handed over the keys to far fewer new homes than it did a year earlier.

Emaar Properties posted quarterly earnings of 421 million dirhams ($114.7 million) Sunday, down from 760 million ($207.1 million) in the same period a year earlier.

The company says it handed over about 270 housing units during the quarter, compared with more than 1,300 in the first quarter of last year.

Revenue slumped 31 percent to 1.98 billion dirhams ($539.5 million).

Emaar is the developer of the more than half-mile high Burj Khalifa. It also runs Dubai Mall, the biggest shopping center in the Middle East.

By AP

Carving a gem from rocks

An artist’s impression of The Mansions @ ParkCity Heights.

The success of Desa ParkCity is certainly a case of opportunity coming to the one who is best prepared and on the lookout for it.

When the 473 acres of ex-quarry land in the vicinity of Bandar Menjalara, Kuala Lumpur was up for sale about a decade ago, there were no takers as it was deemed too rocky for development.

At around that time, Miri-based Samling Group was looking to venture into property development in Peninsular Malaysia and when the land was offered to the group, it did not hesitate to sign up.

Going by what had been achieved in the past nine years since the tractors started to roll in, the developer had certainly done an enviable job with the land.

What was once a rocky and hilly terrain had been turned into a thriving township and a highly sought-after address, Desa ParkCity, by Samling's property development arm Perdana ParkCity Sdn Bhd.

Perdana ParkCity group chief executive officer Lee Liam Chye, a property valuer, could see the immense hidden value of this seemingly unattractive land.

“Its rocky nature with a large reserve of granite rocks would incur much work and capital outlay to get it ready for development. Despite this, we could see the tremendous value in the land and envisioned a planned community township for it,” Lee reveals to StarBizWeek.

Lee says it took about six years of hard toil and much sweat ”where almost every sen earned was ploughed back to build up the infrastructure and public amenities right up to the nitty gritty details of choosing the right shady trees to create the safe and walkable tree-lined neighbourhoods.”

A gold mine

So far, some RM300mil had been spent and according to Lee, the result shows that all the hard work and every sen expended has been worth it.

The development has proven to be a huge gold mine to the developer.

Since the project took off in 2002, 13 phases comprising 2,061 houses have been built and 485 units are under construction. Of this, 2,498 units have been sold and the total gross development value (GDV) for these phases is estimated at RM2.5bil.

It will take eight more years for the whole development to be completed. By then, the township would have 7,000 mixed residential units comprising park homes, courtyard terraces, semi-detached houses, bungalows and condominiums for a population of 35,000.

Next year, the company will be unveiling a 43-acre town centre with 3 million sq ft of net commercial space and 1,000 condominiums. The project will take six years.

By the time it is completed, Desa ParkCity will command a total GDV of RM8bil.

Desa ParkCity is today home to one of the most expensive residential properties in the Klang Valley and possibly the country. Its property has registered compounded capital appreciation of between 50% to 150% since 2002 or about 10% to 25% a year.

In its latest launch of the 147 Casaman terrace houses the 13th phase of Desa ParkCity it once again set new price benchmark.

The intermediate terrace units of 3,100 sq ft fetched RM1.75mil or RM563 per sq ft, while corner units with land area of 3,800 sq ft and built-up of 3,300 sq ft exchanged hands for RM3.3mil. They were sold out within four hours.

The buyers were among the 800 hopefuls who turned up last June 26 for a balloting for the limited units.

The huge price appreciation in Desa ParkCity's property has resulted in remarks that a property bubble is dawning in the Klang Valley.

Lee is miffed by such remarks but remains optimistic that the premium price at Desa ParkCity will be sustainable.

“Of late, there has been much chatter about Desa ParkCity's property prices. People seem to think they have escalated too rapidly, particularly over the last four years and have reached a level that is unsustainable.

“I believe Desa ParkCity's house prices are sustainable. Aside from the recent addition of the private hospital and international school, we will begin to construct the RM1.5bil town centre next year and expect the project will have ripple effects on the property value in the township,” he adds.

Lee says there is no substitute for Desa ParkCity and buyers are willing to pay for the good location, holistic community concept, safe and secure environment, good facilities and landscaping, and easy accessibility.

“Our homes are grouped into 23 distinctive residential neighbourhoods that foster a sense of identity and belonging. Each neighbourhood has its own distinctive identity through the architecture and landscaping elements.

“Being gated and guarded with top-notch security, its quiet streets and overall community-centric concept is further enhanced by its unique concept the 9 ft wide shaded pedestrian walkways connecting all the neighbourhood which promotes walkability and foster good community spirits.”

He says there is everything at the doorstep waterfront food and beverage outlets dishing out a variety of cuisines, supermarket, hospital, schools, colleges, clubhouse and sports centre.

Best for last

In his words, Lee is “saving the best for last” and on May 14, the Mansions @ ParkCity Heights will be unveiled. It comprises 127 regal parkhomes of 2, 3 and 3 storeys with built-up of 4,376 sq ft to 7,218 sq ft.

The residences will be priced from RM2.7mil to RM4.6mil, or at RM650 per sq ft.

The 2-storey type has 31-foot wide frontage. The frontage for the 3 and 3 storey units is 33 ft and they will also be fitted with individual lifts.

The huge success of Desa ParkCity has spurred the group to look for other development opportunities. It made a foray into Vietnam last year.

In a 60:40 joint venture between Perdana ParkCity Pte Ltd and VinaconexHoang Thanh JSC, ParkCity Hanoi is a 77ha self-contained township and master-planned community featuring 7,500 housing units, a neighbourhood mall, international school and clubhouse.

The RM7bil project will take 10 years.

Locally, Lee also does not discount the possibility of replicating its success in other parts of the country.

“The land we are looking for has to be at least 300 acres and in an upper middle class neighbourhood. We may also consider a joint venture with the land owner if the right parcel comes along,” he says.

By The Star

Residential property leads in Klang Valley

The residential property sub-sector continued to spearhead the Klang Valley's market last year, making up 77.7% of the total volume of transactions in Kuala Lumpur and 76.8% of Selangor's property market volume.

According to the National Property Information Centre's (Napic) Property Market Report 2010 released on Wednesday, there were 376,583 property transactions worth RM107.44bil recorded nationwide last year.

Of this, Kuala Lumpur recorded 27,370 property transactions worth RM20.03bil, an increase of 8.1% and 45.3% over the transacted volume and value in the capital city from 2009.

Except for a 8.6% contraction in the development land sub-sector, transaction of the other property sub-sectors generally improved.



Commercial property recorded a 22.7% growth, industrial property grew by 9.2% and residential by 5.2%.

In Kuala Lumpur, condominiums and apartments made up the largest portion of residential transactions with a 51% share of the total volume.

Houses within the price range of RM250,000 to RM500,000, RM500,000 to RM1mil, and above RM1mil registered double digit growth of 15.4%, 37.4% and 56.6% respectively.

Prices of residential property continued to strengthen and strong demand for properties in established upmarket neighbourhoods drove up prices of double-storey terrace houses in Taman Tun Dr. Ismail, Bukit Bandaraya, Bangsar Baru and Desa Sri Hartamas by 4.7% to 14.1%.

Prices in these housing schemes breached the RM1mil mark while similar units in Damansara Heights and Taman Sri Hartamas stabilised at RM725,000 to RM800,000.

Condominium units in Mont'Kiara were still sought after as shown by a 3.1% increase in sales recorded and 11.1% increase in prices to RM355,000 for a Mont'Kiara Sophia unit to as high as RM2.73mil for a 10 Mont'Kiara residence.

Exceptions to this were units in Mont'Kiara Palma, Mont'Kiara Aman and Mont'Kiara Meridin which decreased by 2.9%, 2.7% and 3% respectively.

Rentals of residential property were generally stable with upward movements notably in the high-rise segment.

In the commercial sub-sector, shops which accounted for 1,130 units dominated with a 20.5% share.

A substantial number of transactions of commercial property, mainly of purpose-built office buildings, worth a total of RM1.45bil were recorded last year.

The retail sub-sector remained steady with an overall occupancy of 84.2%.

It registered one new entrant (21,697 sq m), one new start (77,484 sq m) and one new planned supply for 13,006 sq m during the year.

Kuala Lumpur's office sub-sector recorded an occupancy rate of 81.2%, a slight fall from 83.3% in 2009.

The leisure sub-sector saw three new hotel openings - Sentral Hotel, G Tower Hotel and YY 38 Hotel - offering a total of 394 rooms.

The overall occupancy rate for three- to five-star hotels was at 69.2% compared with 65.9% in 2009.

In Selangor, a total of 90,414 property transactions worth RM36.6bil were recorded, an increase of 10.4% in volume and 30.6% in value from 2009.

Several major deals worth RM429.18mil were concluded involving three shopping complexes, nine purpose-built office buildings, a private hospital and three estate land.

Prices of residential property in Selangor also saw major increases with single-storey terrace houses in Petaling Jaya transacted at RM190,000 to RM343,000.

Houses in Subang Jaya and Bandar Sri Damansara saw increases of 8.9% and 5.8% respectively, to between RM250,000 and RM300,000.

The self-contained neighbourhoods of Bandar Utama and Mutiara Damansara saw prices of their double-storey terrace houses appreciated by 4.6% to 9.8% to between RM618,000 and RM760,000 in Bandar Utama, and by 2.1% to RM1.24mil to RM1.26mil for houses with larger land area of 193 sq m in Mutiara Damansara.

Similar houses in other parts of Petaling Jaya such as SS2, 20, 21, 22, 23, 24 and 25 recorded increases of 5.1% to 11.9% to between RM400,000 and RM680,000.

The primary residential market recorded launches of 10,002 units, higher than 8,430 units launched in 2009.

Last year, Selangor saw a drop in the number of overhang residential units to 3,180 units worth RM691.28mil compared with 3,770 units worth RM608.3mil in 2009. Condominiums/apartments formed the bulk with 1,468 overhang units.

The performance of the office sub-sector moderated with the average occupancy rate of purposebuilt office buildings dropping to 76.9% from 78% previously.

There were two new office buildings - Philomath Resource Centre Building with 6,359 sq m in Gombak and Empire Tower with 18,936 sq m in Subang Jaya.

The opening of Empire Suite in Subang Jaya added 217 hotel rooms to the hospitality market.

The overall occupancy rate for three to five-star hotels in the state improved to 60.3% after staying below the 60% mark for the past two years.

By The Star