GEORGE TOWN: Asas Dunia Bhd is launching 1,356 units of landed properties worth approximately RM300mil in gross development value in Seberang Prai from now until the end of 2013, due to the growing interest to invest in properties in Seberang Prai.

The properties comprise largely single- and double-storey properties, priced between RM200,000 to RM600,000.

“We are launching more properties because on top of the trend to buy properties to stay in Seberang Prai, we are also seeing more people buying properties on the mainland for investment.

“They are gradually realising the investment potential of properties in Seberang Prai, as the second bridge is scheduled to be completed soon, and more investments are coming into the industrial park of south Seberang Prai.

“The state government will probably need to expand the Penang Science Park in Bukit Minyak and the industrial estate in Batu Kawan, as there are more small and medium enterprises from Singapore coming into the country,” group managing director Datuk Jerry Chan said after the company’s AGM.

As a result of the demand for properties in Seberang Prai, the price for a double-storey semi-detached house in Bukit Mertajam, for example, has increased to RM1mil from about RM500,000 three years ago.

The price of a double-storey terraced house in Bukit Mertajam town is now about RM450,000, approximately 70% higher than the price three years ago.

“But the RM1mil price for a semi-detached house in Bukit Mertajam is still more attractive than that of a semi-detached property on the island, which is priced between RM2.5mil to RM3.5mil.

“The price of a vacant land per sq ft is between RM20 to RM50 per sq ft, double of what it was two years ago, depending on the location,” he said. For the first quarter ended March 31 2012, the group posted pre-tax profit of RM12mil on the back of RM36.4mil revenue, compared with RM8.6mil and RM29.8mil achieved in the corresponding period the previous year.

Source: The Star

GEORGE TOWN: The Penang Chinese Town Hall (PCTH) has called on the Penang Government to overcome the worsening traffic congestion on the island.

When addressing the town hall’s annual general meeting, its chairman Datuk Lam Wu Chong said this escalating issue was of grave concern to many Penangites.

“It is always a point of contention for Penang. Rapid economic development has not been met with an equal amount of attention given to proper long-term traffic planning.

“Various steps should be taken to manage the traffic,” said Lam.

The issue was raised as one of the motions and it was supported unanimously.

During the dialogue session, a delegate who declined to be named, said Penang saw one of its worst ever road congestions during the recent school holidays.

“Penang is already congested with traffic and with the influx of visiting vehicles, the situation is getting critical. The state and the Federal Governments should do something about this as it is a major turnoff for tourists,” he said.

Lam responded by saying that the state and the Federal Governments should cooperate and find a solution to ease the congestion.

“The funding to construct the proposed Penang Outer Ring Road and the Light Railway Transit or other possible options will ensure a continued pace of development so the people can benefit from them,” he said.

The Government should also restore Penang’s free port status in promoting the state as a centre of international investment. This can further stimulate Penang’s economic growth, he added.

Source: The Star

GEORGE TOWN: The construction and renovation industry in Penang may not be able to generate RM5bil worth of jobs this year as forecast by the Penang Master Builders’ and Building Materials Dealers Association (PMBBMDA).

PMBBMDA president Lim Kai Seng said there had been a lower demand for construction materials from the residential housing segment since late last year.

“This is reflected in the jobs obtained for the first quarter of 2012.

“For the first three months, according to the latest CIDB report, the construction and renovation industry of Penang generated about RM543mil worth of jobs for PMBBMDA members.

“Usually the figures are about 10% higher,” he said in an interview.

Of the RM543mil worth of contracts, about RM133mil were government jobs, while the remaining RM409mil were from the private sector.

Last year, according to the latest Construction Industry Development Board (CIDB) report, about RM4.9bil worth of jobs were generated by residential, non-residential, social amenities, and infrastructure projects in Penang for PMBBMDA members.

Some RM1.1bil worth of contracts came from the government sector, while the remaining RM3.8bil were from the private sector.

About RM3.52bil worth of properties are expected to be launched in the second half 2012 by four Kuala Lumpur-based developers SP Setia Bhd,Mah Sing Group Bhd, IJM Land Bhd, and Sunway Group Bhd.

SP Setia plans to launch about RM2.5bil worth projects on the island, of which approximately RM638mil are scheduled for launching in the second half, and RM1.7bil in 2013.

In the second half 2012, the key projects included the RM250mil Setia Triangle, the RM335mil Setia Greens 2, and a RM53mil condominium project in Teluk Kumbar.

In 2013, SP Setia plans to launch RM1.1bil mixed-development project in Tanjung Bungah, a RM175mil condominium project in Sungai Nibong, and the Wave and Breeze condominium projects for Setia Pearl Island, with a gross development value of RM350mil and RM300mil respectively.

Among Mah Sing’s projects for 2013 are two residential suite towers in the RM329mil Southbay Plaza, which is part of the Southbay City project.

IJM Land’s new launches for the second half of 2012 total about RM500mil, which included the RM300mil Light Collection 3 next to the Penang Bridge, while Sunway’s projects for late 2012 comprised about RM200mil worth of residential projects in Sungai Ara in south-west district of the island.

“This would translate to about RM2.1bil worth of construction and renovation work for our members over the next three years.

“Actually, there should be no problem for the industry to generate RM5bil worth of jobs, as we are considering only the projects of four Kuala Lumpur-based developers.

“We have yet to consider projects from other developers in Penang and Kuala Lumpur.

“But because of the economic climate, we expect a slowdown in the launch of new projects or reduction in the size of projects for this year,” he said.

As the demand for construction materials for the residential sector has softened over the past 12 months, the pricing of cement has also not gone above RM15 per 50 kg bag, which has been maintained at this level since late last year.

At the peak two years ago, the pricing of cement was above RM18 per 50kg bag.

Meanwhile, Malaysia Hardware, Machinery and Building Materials Dealers’ Association executive adviser Datuk Steven Siah Kok Poay said there was generally pessimism about the demand from the residential construction sector this year.

“In comparison, the industrial construction sector is still okay, as the private and international companies are still executing projects.

“As for government projects, there is delay in their implementation.

“So far, this year the sale of building materials to the residential sector have declined by a double-digit percentage,” Siah said.

Source: The Star

PETALING JAYA: The Finance Ministry, concerned about soaring home prices, has sought the help of the National House Buyers Association (HBA) to find solutions to the problem.

Responding to the request early this month, the HBA has proposed 10 measures to address the problem and, hopefully, bring prices down.

HBA secretary-general Chang Kim Leong said immediate intervention was needed to prevent a “homeless generation” of Malaysians, warning that the country would face a social crisis if the majority of lower and middle income earners did not have access to affordable housing.

He called on the Government to take the lead in developing affordable homes and not leave it to property developers “who are profit-maximising entities”.

One of the measures proposed by the association is to disallow those who bought homes under the affordable housing projects from selling their property, effectively only allowing them to transfer it to their next of kin.

This was to prevent people from trying to make a quick profit, he said yesterday.

The association proposed that the Government unlock its land banks in various locations and give priority to affordable housing projects rather than high-end properties.

“By affordable, we mean between RM150,000 and RM300,000,” said Chang.

“Once a property is purchased, the buyer should not be allowed to sell the property other than transfer it to the next of kin,” he said.

However, there should be a provision to allow the buyer to sell it to another owner after 10 years of acquiring the property or, before that period, to sell the house back to the Government.

Chang said another strategy was to penalise speculators, who played a major role in inflating property prices.

He proposed a higher stamp duty and real property gains tax as well as tighter mortgage rules for those buying a third property and subsequent properties.

“Not only will this discourage speculation, but it will also provide increased revenue for the Government to develop affordable housing,” he said, adding that prices would drop as only real demand would exist in the market.

Chang said the HBA proposed 100% financing only for those buying low or medium-cost homes.

“Those buying high-end property or a third and subsequent property should have limited access to funding,” he added.

Deputy Finance Minister Datuk Donald Lim said the ministry had received HBA’s proposals and would look at ways to address the issue.

Source: The Star

The Promenade, a mixed development by Lion Group, strategically located within the established township of Bayan Baru, Penang. Comprises 2-5 storey retail shops amounting to 37 units at its base, called The Promenade and 336 units of designer suites called The Promenade Residence. This development is next to Hotel Seri Malaysia and D’Piazza.

The 37 units of commercial lots comprise:

• 4 units of 5 storey shoplot (Lot 1, 15, 16 and 19)
• 2 units of intermediate 5 storey shoplot (Lot 17 and 18)
• 13 units of 4 storey shop lot (Lot 2-14)
• 17 units of 2 storey shoplot (Lot 20-36)
• a semi curvature unit at 5th floor (Lot 37)

The 7th floor to 27th floor are residences serviced by 5 lifts including 1 service lift.  All units are internet-enabled (high speed broadband), Astro Beyond cabling, complete with internal air conditioning piping and instant water heater.  There are 16 units of designer suites per floor with 9 different floor plans.

• Type A: 42 units 847sf (2 bedrooms)
• Type B: 21 units 855sf (2 bedrooms)
• Type C: 21 units 979sf (2 bedrooms)
• Type D: 42 units 977sf (2 +1 bedrooms)
• Type E: 63 units 1,011sf (3 bedrooms)
• Type F: 42 units 1,111sf (3 bedrooms)
• Type G:  42 units 1,294sf (4 bedrooms)
• Type H: 42 units 1,525sf (4+1 bedrooms)
• Type I: 21 units 1,651sf (4 + 1 bedrooms)

1 car park is allocated for each unit and additional lots can be purchased from RM25,000-RM28,000.  Maintenance fee is proposed at approximately 30sen psf including sinking fund.

Project Name : The Promenade Residence
Location : Bayan Baru, Penang
Property Type : Mixed Development
Built-up Area : 847 sq.ft. onwards
Total Units: 336 (Residential), 37 (Retails)
Land Tenure : Leasehold
Developer : The Lion Group and T.J. Group
Indicative Price : RM350,000 onwards

Contributed by reader – 09/11/2012

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Contributed by reader – 28/03/2013

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Contributed by reader – 16/05/2013

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Contributed by reader (Update 03/04/14)

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