To be competitive means to be more knowledgeable and updated on all market aspects. Get information relating to tax & property strategies by tax expert – Dr. Choong Kwai Fatt and renowned retail expert – Sam Siew on franchising this Saturday.
EcoWorld Gallery @ Eco Meadows
22 October 2016 (2pm)
RSVP @ 04-510 2255 by 20 Oct for a good seat
An upcoming development by Red Blue Development Sdn. Bhd. within the established township of Sungai Nibong. Strategically located along Jalan Sultan Azlan Shah, diagonally opposite three public schools, namely SRJK(C) Kwang Hwa, SRJK(C) Shih Chung and SMK Sungai Nibong. It is also within walking distance to the future Sungai Nibong LRT station.
* Find out where is the future Sungai Nibong LRT station *
This development will offers a mix of residential and commercial components:
More details to be available upon project launch.
Project Name : (to be confirmed)
Location : Sungai Nibong, Penang
Property Type : Mixed development
Total Units: 89 (condo), 3 (terrace), 4 (shop offices)
Built-up Area: (to be confirmed)
Indicative Price: (to be confirmed)
Developer : Red Blue Development Sdn. Bhd.
Register your interest here
Location Map:
The Penang Development Corporation (PDC) targets to complete the development of the 60ha (150 acres) SME Village in Batu Kawan by 2019.
Special Advisor to Penang Chief Minister and investPenang director Datuk Seri Lee Kah Choon told StarBiz that to-date PDC had sold all the one to two-acre bungalow lots in the first phase of the SME Village, and almost all the landed properties in the second phase.
The bungalow lots in the first phase were sold for around RM40 per sq ft and are suitable for building detached factories.
“For the second phase, comprising 40 terraced and four semi-detached light industrial units, we have sold 40 units of the properties, priced from RM800,000 onwards.
“They should be ready for the owners to move in by the end of 2016,” he said.
Lee said the third phase, comprising a service centre, would be ready by next year.
“We will look at the demand for industrial properties next year, so that we can plan for light industrial properties most suitable for the fourth and fifth phases of the SME Village.
“The automation cluster could be on the fifth phase,” Lee added.
On future investments into Penang, according to Lee, there are three big medical device companies from US and Europe interested to set up manufacturing operations in Penang.
“Negotiations are underway. We expect to see some results next year,” Lee added.
It was recently reported by StarBiz that Minnesota-based Lake Region Medical Inc, a maker of medical devices and consumer healthcare manufacturer Johnson & Johnson are in talks with Seagate Technology to acquire the latter’s 16.4ha land in Batu Kawan.
Talks between the companies, however, are still at the preliminary stage.
Seagate, which acquired the land two years ago, is closing down its hard disk manufacturing operations in Penang by mid next year.
According to the data from Medical Manufacturing Asia 2016, the medical device market in the Asean region is projected to double from US$4.6bil in 2013 to US$9bil in 2019.
“Three Asean countries – Malaysia, Indonesia, and Thailand – account for approximately 65% of the current medical device market among the 10 member countries,” the Medical Manufacturing Asia 2016 report says.
Affordable medical devices, cardiac devices in particular, are in demand in Asia.
Lee said the merger and acquisition exercises undertaken by some of the global multi-national corporations (MNCs) could result in the movement of higher-end technologies and new products being move to another cost effective location.
“When companies merge, there would be consolidation exercises, which could prompt the migration of technologies or new products to other cost effective manufacturing sites.
“This is why it is important for the country and Penang to be competitive in the cost of doing business, have a ready pool of talents, and the necessary infrastructure to attract these new investments,” Lee said.
Meanwhile, The Free Industrial Zone, Penang, Companies’ Association’s (Frepenca) is forecasting that the fourth quarter 2016 would improve over the preceding third period.
“Some 74% of the members are projecting their performance to improve in the final quarter of 2016 over the previous third quarter.
“About 16% are forecasting a flat fourth quarter, and the remaining 10% a drop in their revenue,” Frepenca committee member Datuk Heng Huck Lee said.
For the third quarter 2016, some 54% are expecting an improvement in their revenue over the second quarter.
“About 42% are seeing a flat third period, while the remaining 5% a drop in their revenue,” Heng said.
The Frepenca companies, comprising 75 local firms and multinational corporations from the United States and Europe, are involved in the semiconductor and electronics industries.
Source: TheStar.com.my
* Article by Freemind Works *
Since the start of property boom nearly 10 decades ago, owning a home has become the lynchpin of the Malaysian dream. Although, with the increasing cost of living, depreciation of Ringgit, GST implementation and various other lending restrictions, the dream seems to be increasingly out of reach for many especially for the younger generation.
Property investor and property coach, Kaygarn Tan says there are many reasons property is still the number one investment choice despite the current challenges, one of them being leverage. Your investment can either create enough positive cash flow for you to quit your day job or give you a good capital appreciation. But before you can achieve this, there are three important fundamentals of property investment that need to be addressed – Your intention of buying, property location and access to financing.
To find out more about Property Market Outlook 2017 And Beyond, please click here
IDENTIFYING YOUR NEEDS
In identifying your intention of owning a property, Tan poses two important questions: (1) Is the property intended for own stay or for investment? (2) And if you are looking to invest, what is your strategy?
He suggests that those looking to invest should determine if they are looking for capital appreciation or cash flow (rental). Once the strategy has been decided, they need to identity the type of property that will match it.
“Buying a high rise property would be the obvious choice if you’re looking to capitalise on rental yield. On the other hand, if you’re looking for capital appreciation, a landed property would give you the best return. Make sure you do your rental return calculation,” advises Tan.
When it comes to capital appreciation, it is crucial to have the foresight and to be able to identify the boom factor/ development potential of a location. The quiet backwater, called Batu Kawan in mainland Penang that started booming during the construction of the Second Penang Bridge linking the mainland to Batu Maung exemplifies this point. With the arrival of notable developments such as IKEA, Designer Village (Premium Outlet), KDU University College, Batu Kawan and its periphery towns are expected to experience a price surge.
FUNDING YOUR FIRST HOME
Although it’s tempting to purchase a home with the best view and a myriad of luxurious facilities, Tan suggests that young investors stay realistic and purchase within their means. Keeping your purchase below RM300,000 (assuming that the buyer manage to obtain 90% financing) would only require RM30,000 down payment. Attainable as it may be (with calculated planning), the idea may seem farfetched to the Generation Y. To prove this possible, Tan lays down six solutions to funding your first home down payment.
Solution # 1: Invest in yourself first
You need to have the awareness that you are your best investment, thus is important to be well-equipped with knowledge. Without good knowledge, you will not be able to identify a potential property.
Solution #2: Good money management
Make a point to save some of your monthly income and contribute it towards your down payment fund. Your purchase goal should be realistic and according to your budget.
Solution #3: FAMA loan
In other words, father-mother loan. Knowing how little you earn on your first job, parents are usually more than willing to either subsidize a little bit or pay for the full amount.
Solution #4: Leverage using a credit card or Personal loan
Unless it’s a very good deal, credit card or personal loan can be a double-edged sword due the high interest charged. Use it merely as a tool.
Solution #5: EPF withdrawal
For those working and contibute to EPF, you could actually opt to EPF withdrawal. You can actually withdraw from EPF Account 2 to finance your 10% downpayment.
Solution #6: 100% from Government Scheme and Commercial Bank
For the 1st home buyer out there, do explore the option of getting 100% loan. For example, there are 100% Government Loan Scheme for 1st home buyer. Recently also announced, commercial banks are also providing 100% loan to buyer purchasing their 1st property.
Solution #7: Structure a deal with the developer for a No-Money-Down
Say you purchase a RM300,000 property and manage to obtain 90% loan. If you can work out a deal with the developer for 10% rebate, which is worth RM30,000, how much do you have left to shell out? Zero, of course. This is what you call buying with no money down.
To find out more on How To Design Your Property Portfolio For 2017 And Beyond, please click here
Till then, happy investing,
Article contributed by Kaygarn Tan
Penangites, good news. You are in for a treat as Property Investment Master Coach Kaygarn Tan will be hosting Property Stratagems on 22-23 Oct 2016 in Penang. He will be inviting his property investors friends and sought after speakers to share on how to invest in current property market especially on how to buy with no money down in sub-sale market, how to get unlimited access of loans from the banks, 2017 budget & property market outlook and many more.
As only 17 seats left, so hurry please click here to reserve your seats. See you there.
[Sponsored]
Singaporean entrepreneur with Penang roots, Jonathan Foo, 44, is seeing his family investment in heritage properties of George Town taking a form that will generate long-term recurring income.
Foo is the chief executive officer of 1919 Global Sdn Bhd, which has to date spent in excess of RM10mil to conserve its heritage properties in George Town.
“In 2006, my father bought 19 pre-war properties in dilapidated conditions along Khoo Sian Ewe Road, Penang Road and Phee Choon Road.
“Many of our relatives and friends did not believe it was good investment because no one believed that dilapidated pre-war houses could be renovated and adapted for modern commercial use.
“When George Town was awarded the World Heritage Site status from Unesco in 2008, we knew it was time to start doing something with our heritage property investments.
The first phase of the restoration project involved renovating Loke Thye Kee Restaurant, on the corner of Khoo Sian Ewe Road and Burma Road. “The Loke Thye Kee Restaurant restoration was completed in 2014. We are now doing some upgrading works for the interior and will start operation in October 2016 as a Penang heritage food restaurant,” Foo says.
The second phase involved turning five pre-war houses facing Penang Road into a hotel.
“Known as Loke Thye Kee Residences, the hotel, which started operation a year ago, targets overseas and domestic tourists who appreciate heritage architecture.
“The heritage hotel, with modern comforts, was awarded as top five suites in Asia by The Asia Design Hotel Awards 2016,” Foo adds.
The third phase saw the renovation of the famous Majestic Theatre into a multi-purpose convention hall which can be used for screening movies, live performance, and rented out to host events and weddings.
“The restoration was recently completed and The Majestic Theatre is now opened to public.
“It is the only heritage theatre in George Town that you can still watch a movie or a live performance,” he says.
Built in 1926, The Majestic Theatre, also formerly known as the Shanghai Sound Theatre, was the first “talkies” theatre in Northern Malaya and was originally designed as a live performance theatre.
The theatre and the adjoining 12 shop-houses were commissioned by local businessman and philanthropist, Khoo Sian Ewe, whose name now adorns the street fronting the building.
The fourth phase of restoration, which is being undertaken now, involved turning 12 pre-war properties along Phee Choon Road into a commercial hub for the media industry, with production and post-production facilities for film, television, and design,” Foo says.
“We are also getting queries from parties interested to instruct post-production movie and television courses at the commercial hub.
Foo says he is confident his project would help to pull back talented Penangites who have gone overseas to work.
According to Foo, Penang is on the right track in its effort to conserve heritage properties. “However, the authorities who formulate the heritage conservation guidelines do not do enough to obtain feedback from the heritage property owners.
“They are instead influenced by non-government organisations who feel that heritage properties should be conserved to reflect only the style and theme of a historical period during which the properties were first built.
“This is a wrong view of heritage conservation, which could impede the progress of heritage conservation work.
“We are talking about living heritage and not a single period frozen in time,” Foo adds.
On whether the rentals of heritage properties have skyrocketed, Foo says that as the cost of buying and renovating a heritage property is high, it is only natural that the landlord asks for higher rentals.
“If we cannot recover the capital spent, then how are we to launch future heritage conservation projects?” Foo asks.
According to Foo, if the heritage guidelines cause delay for heritage conservation projects to get started, investors will lose money.
“They may abandon their projects to cut losses if the delay is prolonged.
“George Town would just become an area of aged ruins.
“How could George Town then uphold its Unesco World Heritage Site status?” Foo asks.
Foo says that in the past, George Town was a well-know trading and commercial hub in the Asean region.
“Why would it be wrong for Penang to continue to be commercially significant, to continue as a key hub for heritage properties to gain in value,” he says.
Source: TheStar.com.my
