At Mezzo, the first residential component at The Light City mixed-use development on Penang island, 40% of its 456 units of luxury seafront condominiums have been taken up since its launch in April this year. The developer is IJM Perennial Development Sdn Bhd, a joint venture between IJM Corp Bhd and Perennial Holdings Pte Ltd.

IJM Perennial Development general manager Tan Hun Beng says via email, “Buyers, predominantly locals, are attracted to the project’s location, the surrounding facilities and the waterfront living environment.”

With a gross development value of RM512 million, Mezzo offers 2- and 3-bedroom units with built-ups of 1,033 to 1,367 sq ft over two 34-storey towers on a 4.12-acre parcel. The units are priced from RM900,000 to RM1.399 million.

“Both 2- and 3-bedroom unit types were equally popular, with buyers having a choice of the Penang Bridge or George Town view. All units come with a sweeping view of the sea,” says Tan.

He notes that there are only four units per floor at the development. “Private yet pleasant at the same time, [Mezzo] is perfect for individuals who want to have their own quiet space or for families or friends who wish to purchase the units together.”

According to him, many of the buyers bought units for their own stay, although a few were buying for investment. “The buyers see the project as offering value for money, and there is the prospect of rental income and future capital appreciation.

“Response to the Home Ownership Campaign (HOC) 2021 has been encouraging and homebuyers were able to benefit from the exemptions and discounts on Mezzo,” he adds.

Mezzo offers a range of amenities, including a gymnasium, an aqua gym, a sea-fronting swimming pool, jacuzzi, yoga pavilion, landscaped garden, children’s playground, games and reading rooms, a fitness station, function rooms and an al fresco barbecue area.

Situated at the waterfront along the eastern coast of the island, the development is served by the Tun Dr Lim Chong Eu Expressway and is near the Penang Bridge, Penang International Airport, Bayan Lepas Free Industrial Zone and a ferry terminal.

According to Tan, the developer has been relying heavily on online marketing as the project’s sales gallery is closed owing to movement restrictions. “We have been engaging with and reaching out to our customers online. However, we are positive on sales in the coming months when the sales gallery reopens and restrictions are eased.”

The 32.76-acre The Light City is in Phase 2 of the RM6.5 billion The Light Waterfront Penang development, which was first launched in 2009 and comprises three phases. It will have residential, recreational, business, entertainment, retail, hospitality and commercial components.

Phase 1 comprises 42 acres of residential development in which a total of 1,177 units of high-end residential units have been completed. Phase 2 is a 103-acre mixed-use development, while Phase 3 is a 7-acre Seafront Park.

Source: TheEdgeMarkets.com

About The Amarene

Part of Ideal Vision Park development by Ideal Homes in Bayan Lepas, Penang. This development is strategically located along Jalan Tun Dr. Awang, adjacent to Tree Sparina condominium. It is just a mere minutes drive to Straits International School and Penang International Airport. Featuring a 35-storey condominium that offers 410 residential units with built-up size ranges from 1,100 sq.ft to 1,200 sq.ft.

Find out more about The Amarene

While the Covid-19 pandemic has shaken up the investment plans of property developers over the last year-and-a-half, the outlook of certain subsectors remains resilient and continue to attract focus.

In a survey by Knight Frank on the investment outlook for Malaysia, it points out that a majority of developers and lenders have existing exposure to the retail market as well as the hotel/leisure segments.

These sub-sectors have been hard-hit by the Covid-19 pandemic.

Amid the prolonged pandemic, Knight Frank Malaysia managing director Sarkunan Subramaniam says the hospitality industry continues to bleed due to international travel bans, interstate travel restrictions and cancellation of major events.

Similarly, he says the retail industry has also been badly impacted due to various phases of lockdowns and subdued consumer sentiment, while the future of offices continues to evolve as the work-from-home trend is the way to go.

“The severe disruptions to supply chains globally has revolutionised e-commerce services, driving the industrial property market and putting logistics assets at the forefront to capture growth opportunities.

“Also, the critical need for good medical and healthcare support amid the pandemic coupled with attractive tax incentives for new and expansion of private hospitals and ambulatory care centres, as well as for manufacturing of pharmaceutical products are expected to draw more investments into the healthcare segment,” he says in a research note.

Knight Frank’s annual survey consists of representatives in the senior management levels of the Malaysian commercial property industry. More than half (59%) are developers, followed by lenders (27%) and fund/Real Estate Investment Trust (REIT) managers (14%).

Additionally, Sarkunan says the demand for senior living facilities is also expected to grow as Malaysia becomes an ageing population nation by 2030.

“Going forward, our respondents are optimistic about venturing into new growth areas which are logistics and healthcare, despite being still keen on the traditional sectors such as retail and office.

“As for the hospitality sector, accelerated vaccination deployment both locally and across the globe leading to gradual opening of more international borders, is key to travel and tourism recovery.”

In the near-term, Knight Frank says there will be lesser investment and funding in the retail and hotel/leisure segments by developers due to the prevailing challenging market conditions.

“As for the fund and REIT managers, their exposure is fairly distributed among all the key property sub-sectors such as office, retail and industrial/ logistics.

“Lenders have expressed higher interest in funding the industrial/logistics sector since last year due to the accelerated growth in e-commerce, supported by technological advancements.”

Knight Frank adds that they are, however, expected to exercise more caution in providing financing for the hotel/leisure and institutional segments.

Stellar residential sector

In spite of the adverse impact of the pandemic, public-listed property developers still recorded stellar performances during the latest corporate earnings season.

With the residential sub-sector still being the main driver of the local property market, KAF Equities Sdn Bhd says sales are expected to pick-up by this month.

“We also expect the fourth quarter of 2021 to be the strongest as developers would likely be more aggressive in their launches in the fourth quarter of 2021.”

Additionally, with the Home Ownership Campaign (HOC) tentatively scheduled to end at the end of this year, KAF Equities believes there will be strong buying momentum in the final quarter of 2021 as people will be rushing to purchase their desired property while incentives are still available.

Meanwhile, Knight Frank, in its survey, says all sub-sectors with the exception of the hotel/leisure, office and retail segments, are anticipated to see a recovery by 2022.

“About half of the respondents (52%) anticipate the overall commercial property market to recover only by 2023 and beyond, although some 46% of them are more optimistic, expecting recovery next year.

“A deeper observation unveils that 42% of developers are comparatively more optimistic of recovery in 2022 compared with 37% of fund/REIT managers and 35% of lenders. A total of 28% of developers and 25% each of fund/REIT managers and lenders anticipate recovery to only set in by 2023.”

Knight Frank says the majority of respondents (more than 60%) believe that the logistics and healthcare-related sectors will continue to do well in the second half of 2021.

“The resurgence in the number of Covid-19 cases leading to the reimposition of various phases of the movement control order continues to disrupt supply chains leading to growth in the e-commerce market and higher demand for added healthcare facilities.”

In the retail sub-sector, Knight Frank says the percentage of respondents expecting recovery in 2022 or 2023 and beyond are fairly split at 45% and 46% respectively.

Conducive environment

To support economic recovery and lift real estate sentiment, Knight Frank says respondents in its survey would like to see more tax reliefs under the upcoming Budget 2022, which will be tabled on Oct 29.

Knight Frank adds that respondents will also want to see the implementation of additional stimulus packages, resumption of the high speed rail project, acceleration of the vaccination programme, more incentives to attract foreign direct investments, extension of the HOC, reduction or waiver of the real property gains tax (RPGT) and revival of the Malaysia My Second Home (MM2H) programme.

Commenting on the new MM2H conditions, RHB Investment Bank, in a recent report, says the impact of the new rules will be neither positive nor negative.

“In our view, the government can always introduce more targeted measures or incentives to attract the return of foreign investors to the local property market. Policies such as the RPGT can be relaxed as speculative buying of properties has been fairly minimal in recent years.”

More importantly, the research house says having better economic growth prospects, a stable political landscape and steady currency would help to spur foreigners’ interest over the longer term.

Source: TheStar.com.my

Penang government will continue to carry out maintenance works in all eligible public and private housing schemes in the state.

This assurance was given by state Local Government, Housing, Town and Country Planning Committee chairman Jagdeep Singh Deo after he had announced the state government’s financial assistance for the upgrading of three lifts at Sri Saujana Apartment in Jalan Macallum today.

The total cost for the repairs is RM239,400. Under the Penang Maximum 80% Maintenance Fund (TPM80PP), the state government will bear RM191,520 (80%) while the management committee will bear RM47,880 (20%).

“This clearly shows that the Penang government cares for the people and will continue to help them as much as possible to alleviate their burden, even during this Covid-19 pandemic.

“From 2008 to September 2021, the Penang government has spent almost RM285 million on maintenance projects in all public and private housing schemes throughout the state of Penang.

“Economically, we will assist where we can. Covid-19 will not stop the Penang government from doing its part. We will not let Covid beat us; we will beat Covid,” Jagdeep told a press conference during his visit to the apartment today.

Under the TPM80PP, he said a total of RM45 million has been spent by the state government, involving a total of 283 applications for 479 projects.

The bulk of the expenses go to upgrading or replacing the elevators followed by water tank repairs, he said.

Pengkalan Kota assemblyman Daniel Gooi thanked Jagdeep and the state government for understanding the plight of the residents there.

“With the approval of the lift upgrading for Sri Saujana, I am happy to say that today is a historical moment as all strata buildings in Gat Lebuh Macallum have at least one maintenance project approved by the state government.

“Even though we are hit by the pandemic, the state government will not stop in helping to maintain eligible public and private housing schemes either through repainting the building or repairing the lifts,” Gooi said.

Source: Buletin Mutiara

Factories and construction sites in Penang have contributed a major portion of Covid-19 cases in the state, says state Housing, Local Government and Town and Country Planning Committee chairman, Jagdeep Singh Deo.

He said the local enforcement authorities have been constantly monitoring the premises throughout the state and taking firm action to curb the Covid-19 transmission.

Jagdeep said that as of this month, the Penang Island City Council (MBPP) has issued stop-work orders on five construction sites due to the Covid-19 cases detected.

“Three of the construction sites are located in the Northeast district and the other two in the Southwest district,” he told reporters at Dewan Sri Pinang, here.

He said other premises such as factories and markets would be shut down if there is at least one Covid-19 case found.

“Looking at the record-high number of Covid-19 cases in Penang on Wednesday (Sept 8), the state government has to up the ante and implement stricter enforcement and monitoring for public health and safety,” he said on Thursday (Sept 9).

On Wednesday, Penang recorded 2,474 Covid-19 cases, bringing the cumulative number to 100,906 in the state.

Earlier today, Phase 2 of the community mobile vaccination (MOVAK) programme was launched in Penang, aimed at vaccinating 5,200 licensed hawkers and traders throughout the state by Sept 12.

Licensed hawkers and traders can either pre-register to make an appointment for their vaccination or choose a walk-in at the dedicated vaccination centre in Dewan Sri Pinang, here, or Dewan Dato Haji Ahmad Badawi in Butterworth.

Source: Bernama