Gong Xi Fa Cai! May the New Year brings you joy, happiness and good health always!
Celebrate this Year of Earth Pig by visiting these open house organised by developers. Enjoy the refreshments, lion dances, kids activities, lucky draw ang pao, CNY gifts and live performances while searching for your dream home.
Believe it or not, the Jelutong landfill is set to be Penang’s latest “real estate goldmine”, with a potential to generate a bonanza of at least RM1bil to the state this year.
In land-scarce Penang island, development of the landfill is wonderful news and the state government will be raking in big bucks for it.
Left to stabilise since 2010 with nothing but construction waste being packed into it, this solid bit of coastal land beside Tun Dr Lim Chong Eu Expressway is ready to be rehabilitated and developed.
“We found a suitable developer and we are in the final stages of sealing the agreement,” said a source in the state government.
“There are about 40ha there. For the first 34ha rehabilitated, the state government will keep 25% (about 10ha).
“For the remaining, the state will get 35%,” the source revealed, adding that the size could not be determined as there will be minor reclamations on both sides of the coastal landfill for buffers and fortifications.
“But the developer will have its work cut out for it because the landfill is now almost 40m high, almost like a 10-storey building. They need to level it,” he said.
Plans are afoot to turn the landfill into an “eco and futuristic town”.
The source said George Town has three main seafronts with the potential to be the crowning glories of the island.
“You have the Gurney Drive stretch, the Esplanade and the Karpal Singh Drive promenade with the landfill at one end.
“At one time, the landfill stretched from Jalan Jelutong to the sea. Even the expressway is partly on the old landfill.
“Now all that’s left of the landfill is the sea-end, the best portion,” the source said.
Jelutong landfill began in the 1970s, at a time when it was about 3km from the Weld Quay ferry terminal and considered the city outskirts.
Municipal waste used to be dumped, and the stink gave Jelutong a bad name.
That ill repute ended when the 1.5km Karpal Singh Drive in Bandar Sri Pinang came with a wide promenade that attracts scores of joggers, cyclists and families every evening.
“Old landfills are always designed to be far from cities but cities grow quickly until landfills become part of the city limits.
“Now Jelutong is every bit a part of George Town and the landfill will be a spot without social or heritage restrictions for development,” the source added.
Even the proposed cable car cables from Penang Sentral in Butterworth will cross the channel and land in the Jelutong landfill.
Another source admitted that there could be worry in the fact that one of the pylons of the cable car service might have to be planted at the Middle Bank.
This is a large expanse of sand, visible only at low tide, about 1km from Penang island’s shore north of the landfill.
The daily alternating exposure to air and shallow seawater gives Middle Bank an eco-system rarely seen on a global scale, but the source said the footprint of the pylon is small and will not harm the precious seagrass and marine wildlife of Middle Bank.
“The Middle Bank is part of the unique scenery you can see from Jelutong. It will always be protected,” he said, adding that the developer who won the project was also required to build affordable housing on the landfill.
FIABCI Malaysian chapter president Michael Geh said rehabilitated landfills are usually prime real estate worldwide.
“I have seen rehabilitation processes in Korea, Indonesia and Taiwan.
“In Taiwan, the pattern is to turn it into an urban park, library or property development,” he said.
Geh said the Taiwanese models of development are good; the landfills are often transformed to benefit the public.
Source: TheStar.com.my
Swedish home furnishing retailer IKEA is set to spread cheers leading up its store opening in Batu Kawan on 14 March 2019. Located at Bandar Cassia, this first IKEA store in the northern region is set to offer over 8,000 home furnishing products alongside a wide selection of Swedish and locally inspired food Malaysians have been raving about.
To kick things off, IKEA will be setting-up a food stall at the 2019 Chinese New Year Open House (SPICE Arena) on 6 February 2019, hosted by YAB Chow Kon Yeow, Chief Minister of Penang. Customers of Northern Malaysia will finally get to enjoy a taste of the famous Swedish meatballs and chicken balls, an all-time favourite of IKEA fans in Malaysia! In addition to that, an eye-catching IKEA food truck will also be making stops around town to offer free food samples to the larger public.
As the home furnishing retailer gears towards its vision of creating a better everyday life for the many people in the region, IKEA will be conducting a membership drive around the region for its loyalty programme, IKEA FAMILY. As an IKEA FAMILY member, customers will get to enjoy the latest home furnishing ideas, perks, discounts and other benefits all year round. IKEA FAMILY membership sign-ups will be held from 10am – 10pm at following locations:
Upon the opening of IKEA Batu Kawan, IKEA FAMILY members will also benefit from monthly member prices on selected items, free coffee or tea for each store visit, discounted meals, birthday treats and also, invitation to events as well as sale previews, among others.
“In less than two months, the people of Penang and Northern Malaysia will enjoy easier access thousands of well-designed, quality and functional home furnishing products at prices so low that as many people as possible will be able to afford them. Excitement for this store has been brewing and we are doing all the necessary preparations to ensure our customers will enjoy the unique IKEA store experience many have come to know and love,” said Pathmalingam Arumugam, Store Manager of IKEA Batu Kawan.
The IKEA Batu Kawan store will officially opens at 10am on 14 March 2019 (Thursday).
Temasek Avenue, commercial development by Temasek Land Sdn. Bhd. in Butterworth. It is strategically located next to ever-bustling Jalan Raja Uda, adjacent to the company’s upcoming Garden City mixed development. Both are projects are aimed to be the future business hub of Raja Uda.
This development will offer 233 units of 4-storey shop offices with lifts.
Project Name: Temasek Avenue
Location: Raja Uda, Butterworth, Penang
Property Type: Shop offices
Built-up Area: (to be confirmed)
Indicative Price: (to be confirmed)
Total Units: 233
Developer: Temasek Land Sdn. Bhd.
Register your interest here
Location Map:
It was another slow year for Penang housing market in 2018 with no significant improvement in market sentiment. While the data published by NAPIC indicated a slight increase of 4% in residential property transaction volume, the average transacted price for the residential segments saw a slight drop of 3% in Q1-Q3 2018 year-on-year.
2019 is set to be another tough year for local property market with residential property overhang (unsold completed units) at its highest ever. The number is only to rise further as more housing projects are slated to complete this year. Despite the Budget 2019’s National Home Ownership Campaign on the cards, it is not going to be the magic formula that will put to an end the housing overhang situation.
Housing Affordability Woes
Demand for affordable housing will remain strong, the key is how do we supply to the right demand with the right price. A blanket supply of affordable housing will fix nothing but worsen the overhang in long run. One has to recognize that areas where housing is affordable, such as Ara Kuda and Nibong Tebal, may still need some affordable housing for lower income group. But high-density areas where housing is severely unaffordable, such as Tanjung Tokong and Pulau Tikus, may not solve their housing affordability problems by building more affordable houses.
With rapid urbanization taking place across Penang, housing affordability will remain as the government’s key focus in 2019. While the budget 2019’s waiver of MOT stamp duty and loan agreement for residential homes valued up to RM300,000 may see enhanced traction in affordable housing segment, but it is unlikely to give any significant impact to Penang housing market as a whole.
However, the housing ministry’s aim to redefine public housing by modelling Singapore’s HDB may see a change in our affordable housing model and policy. If so, 2019 will be a transformational year for local affordable housing landscape.
Penang Transport Master Plan
Penang Transport Master Plan, a master plan that aims to make Penang more liveable and sustainable for the future, is also a crucial component in addressing housing affordability in the island. New infrastructure such as highway and LRT provide enhanced accessibility to cheaper housing, and therefore improve affordability.
All infrastructure projects under Phase 1 of PTMP, which include Bayan Lepas LRT and several highways, have been approved by Federal Government and will proceed after obtaining further approvals from relevant parties. This will include social impact assessment (SIA).
Further updates and approvals are expected later this year but it is unlikely to have any significant impact on Penang property market until 2020.
2019 Development Highlights
Projects at Sungai Nibong have been doing very well due to their close proximity to the proposed LRT station and popular schools. In order not to miss the opportunities, a few more projects along Jalan Sultan Azlan Shah are expected to launch later this year. The new launches are expected to be priced around the same price as the existing projects, which is around RM600psf.
Bayan Baru would probably be one of the most happening township in the island with two catalyst development planned for 2019. One of which is the 43-acre Penang International Commercial Centre (also known as PICC), which is launching its first residential component name MuZe. The second project is a 29-acres integrated development dubbed as Bayan Baru City Centre, which we will be sharing more details soon.
If you are scouting for luxury options, stay tuned for the waterfront luxury hotel residence by Runnymede Group – Runnymede Place. The proposed development is located at the vibrant Jalan Sultan Ahmad Shah (Northam Road) nestled along Penang’s famous Millionaire’s Row, just a block away from the E&O Hotel. When completed, the property will be managed by Ritz-Carlton.
Batu Kawan, being one of the most well-planned townships in Penang, will continue to set a higher benchmark for the property market in mainland. The completion of IKEA in less than 2 months from now is likely to spur the next wave of property investment in Batu Kawan with the spike of commercial activities and traffic flows within the vicinity. It is fast becoming one of the most expensive areas in mainland with an average selling price of more than RM500 psf.
EcoWorld, Aspen Group and Paramount will continue to be key drivers at Batu Kawan with few more phases in the pipeline for 2019. It is also worth mentioning that KDU Penang University College Campus is expected to complete its development this year and will begin operation in 2020.
Conclusion
As we look towards 2019, the market is unlikely to see a broad spectrum recovery across all regions, but certain niche housing projects in a desirable location will continue to draw investors’ attention. It is believed that during slow market, differentiation is the way to make your investment stands out.
As government continues to push for more affordable houses within the same price tag, those who have bought affordable houses for investment will find it difficult to cash out for a profit in secondary market. This is likely to continue for several years until a better affordable housing model and policies are in place to address the oversupply situation.
Nevertheless, Penang property is still a solid investment if you can afford to hold it long enough. The type of property you bought will decide how long your holding period is. Therefore do your due diligence and invest wisely, not blindly.
– Ken Lim
(Founder, PenangPropertyTalk.com)
