The Bandar Cassia affordable housing project in Batu Kawan, Nibong Tebal, is already 77% completed to date.

Penang Town, Housing and Country Planning Committee chairman Jagdeep Singh Deo said Phase One of the project featuring 520 low medium-cost and medium-cost units was ahead of schedule and the units would be ready for occupation by next June.

“The project will be completed by year-end and the Completion and Compliance Certificate (CCC) will be issued in the middle of next year.

“The state government is pushing for all its affordable housing projects to be completed on time,” he told newsmen after a site visit yesterday.

Jagdeep said that as a responsible government, Penang should set an example by completing all projects on time so that the private housing developers would follow suit.

He added that the visit was a spot check by the state Selection Process Enhancement Committee (SPEC) to ensure that state housing projects were on schedule.

Jagdeep also visited the AHS-Teluk Kumbar (Duo Residensi) affordable housing project in Teluk Kumbar.

He said the project was slightly behind schedule due to the hilly terrain and piling works.

“This is a more challenging project as it is not on flat land like Bandar Cassia but we are pushing for the contractor to finish by December 2017 which is the scheduled date.

“There are 694 affordable housing units in the Duo Residensi project and the CCC is expected to be obtained in July 2018,” he said.

Jagdeep said he and SPEC members would also visiting other affordable housing projects in Jelutong, Cecil Street, SP Chelliah, Sandiland and Perak Road soon.

Also present were Jelutong MP Jeff Ooi and Tanjung MP Ng Wei Aik.

READ MORE ABOUT AFFORDABLE HOUSING:

• Eligibility and the requirement of buying affordable housing
• Full list of affordable housing in Penang

Source: TheStar.com.my

According to property consultancy firm Knight Frank Malaysia’s Real Estate Insights research report, the challenging property market has led developers to adopt “push marketing” in order to boost sales of their projects.

Among the notable ongoing marketing campaigns is Sunway Group Bhd’s “Sunway Property Certainty Campaign” that offers up to 88% financing. Others include IOI Properties Group Bhd’s deferred payment scheme of 18 to 24 months for the usual lump sum down payment, and S P Setia Bhd’s 10:90 scheme where buyers need only pay a deposit of 10%, with the remainder payable after the property is completed.

S P Setia president and CEO Datuk Khor Chap Jen said the 10:90 scheme, which is applicable to selected Setia properties, is a way to show that such programmes can co-exist with sell-and-build schemes.

Eco World Development Group Bhd (EcoWorld) also took the opportunity to “excite” its buyers with special rebates starting from July 15 to Sept 16. Repeat buyers enjoy a total of 4% rebate when they purchase their second EcoWorld property. Also, when a referrer makes a successful introduction, the person will get a total of 3% off the property’s selling price. Meanwhile, new buyers will receive a 2% rebate on top of other ongoing promotions.

Meanwhile, IJM Land Bhd has introduced the Home Triple Insurance Scheme (HomeTIPS), enabling Allianz Malaysia Bhd to underwrite three insurance schemes for IJM Land homebuyers for 36 months from the date of signing of the sales and purchase (S&P) agreement, at no additional cost.

HomeTIPS is applicable to homebuyers of selected IJM Land residential projects with selling prices ranging from RM300,000 to RM2 million, purchased directly from IJM Land from Aug 19 until December 2016.

IJM Land managing director Edward Chong told the media at the unveiling of HomeTIPS recently that this is the first scheme of its kind to be offered by a Malaysian property developer.

Source: TheEdgeProperty.com.my

The Beijing Urban Construction Group (BUCG) has withdrawn from Consortium Zenith BUCG Sdn Bhd (CZBUCG) which is the developer for the RM6.3 billion proposed undersea tunnel and three paired roads projects in Penang.

Chief Minister Lim Guan Eng said CZBUCG sought the approval from the state government to do so in a letter dated Sept 1 and to change the name of the consortium to reflect the change.

He said the request was agreed to since there was no negative impact on the state as China Railway Construction Corporation Ltd (CRCC) remained the joint venture partner and the main contractor.

“All the projects will not be affected in anyway,” he said in a press conference today while copies of the letter were distributed to the media.

In the letter, CZBUCG chairman Datuk Zarul Ahmad Mohd Zulkifli said the consortium was aware of the reputation of the company following the death of 24-year-old female after a crane hook fell onto her car in Jalan Raja Chulan last month as the development there was led by BUCG (M) Sdn Bhd.

“Zenith (CZBUCG) is of the opinion it is in the interest of the company and the Penang government that BUCG to be no longer involved in the tunnel and road projects,” he said in the letter to the Penang State Economic Planning Unit (EPU).

Lim said his administration has told BUCG to take full responsibility on the incident or to withdraw from state projects and criticised the company for failing to contact the family of the victim.

“We do not want irresponsible contractors to work on projects in Penang, especially on the undersea tunnel,” he said.

A feasibility study is currently being undertaken for the 7.2km undersea tunnel to link Gurney Drive on the island and Bagan Ajam on the mainland and is expected to be completed by end of 2016 or early 2017.

The road projects comprise a 4.2km bypass from Gurney Drive to Lebuhraya Tun Dr. Lim Chong Eu, a 4.6km bypass between Lebuhraya Tun Dr. Lim Chong Eu and Bandar Baru Air Itam and a 12km paired-road from Jalan Tanjung Bungah to Teluk Bahang.

Source: TheSunDaily.my

Meritus Residensi, a high-rise commercial development by Hua Yang Bhd. in Prai, Penang. This project is strategically located along Jalan Baru, only a mere minutes drive from Penang bridge. It comprises a 44-storey tower with 480-unit of serviced residence block. Upon completion, this is likely one of the tallest skyscraper in Seberang Perai area.

Property Project: Meritus Residensi
Location : Jalan Baru, Prai, Penang
Property Type : Serviced Residence
No. of Storey: 44
Built-up Size: 945 sq.ft. onwards
Total Units: 480 (serviced residence)
Land Tenure : Freehold
Indicative Price : RM364,500 onwards
Developer : Hua Yang Berhad

Location Map:

AllianceDBS Research said the Penang property market has been facing challenging conditions since 2014 as property prices continue to rise, albeit at a slower pace.

“We notice that transaction numbers have continued to extend its decline in 2016 and there is no sign of a recovery in the near term as prices remain stubbornly high.

“Also, property launches have been experiencing slower take-up like that seen prior to 2011, when projects took 2-3 years to be fully sold, a sharp contrast to the sold-out-upon-launch affairs that we have been experiencing over the past few years,” Alliance said in a report.

Nevertheless, it said the removal of speculative fervour in the property market would also position developers for a healthier market.

“We expect property development projects in attractive locations, with attractive pricing and selling points, to continue to do well despite the softer sentiment,” Alliance said.

It noted that developers are increasingly more aggressive in engaging property agents to help market their launches even beyond Malaysia, given the challenging environment.

“We understand agents could be entitled to as much as 5% of project GDV, implying higher marketing costs, while selling price hikes may be capped by relatively weak sentiment,” Alliance said, adding that the slower economic outlook had resulted in more potential buyers adopting a wait-and-see attitude before committing to the purchase of properties.

The research house said developers have also been incorporating more affordable homes in their launch pipelines while the absolute property prices have been kept low by offering smaller built-up units. Affordable landed properties with ready infrastructure and amenities remain in demand, as evident in some of the launches in Seberang Prai.

Developers have also been looking for cheaper land in mainland Penang to tap on the demand for affordable housing.

“Mainland Penang’s property transactions have been gaining more market share from Penang Island with a 55-60% market share, compared to about 40% in 2009,” it said.

The opening of the Second Penang Bridge in March 2014 has spurred the economic development of Batu Kawan, Penang’s third satellite city located in Seberang Prai Selatan district (South of Mainland Penang).

“Thanks to the improved connectivity, Seberang Prai Selatan experienced an explosive population growth of 25% over 2009-2014, compared to the state’s 4% growth. Penang state government’s investor friendly initiatives to promote Batu Kawan via catalytic projects have also driven the area to be the next growth corridor,” Alliance said.

With the participation of various industry-leading brands, Batu Kawan is no longer perceived as a backwater, but an emerging township promising vibrant residential lifestyle at a fraction of the cost in Penang Island.

“Eco World is poised to be one of the largest private landowners in Batu Kawan with its recent acquisition of 375 acres of prime land in Batu Kawan to tap on the rising prospects there.

“Other established developers at/near Batu Kawan include Aspen Group (245 acres), Paramount Corp (29 acres) and Tambun Indah (380 acres),” Alliance said.

Source: TheStar.com.my