Grand undertaking: Zarul pointing to the spot where land will be reclaimed for the company in exchange for the three roads and the undersea tunnel project.

The feasibility study for the 6.5km undersea tunnel connecting Penang’s island and mainland is set to commence in January next year.

Consortium Zenith BUCG Sdn Bhd chairman Datuk Zarul Ahmad Zulkifli said that if all went well, works on the tunnel would begin in 2016.

He said the study would take about a year as it was an environment-sensitive project.

“We will also have to obtain approval for environment impact assessment,” he said at the company’s Hari Raya Aidilfitri open house at G Hotel in Penang yesterday.

He added that the tunnel would connect Bagan Ajam on the mainland and Jalan Pangkor in George Town, which would be linked to the Tun Dr Lim Chong Eu Expressway.

The undersea tunnel is one of the RM6.3bil mega projects, which include the 4.2km Gurney Drive-Lebuhraya Tun Dr Lim Chong Eu bypass, the 4.6km Lebuhraya Tun Dr Lim Chong Eu-Bandar Baru Air Itam bypass and a 12km road connecting Tanjung Bungah with Teluk Bahang.

Meanwhile, Zarul also said that the first phase of feasibility studies for the three road projects had been completed and submitted to the state government about two months ago.

He said the next report complete with the preliminary designs for the roads would be completed by end of September.

On the 44.5ha (110 acres) of reclaimed land from the state in exchange for the cost of the projects, Zarul said it would be a mixed and waterfront development as well as something that “Penangites will welcome”.

“We will do something for the benefit of Penangites. It will be good for Penang and for the country. Penang will be on the map.

“But it’s definitely not going to be a theme park,” he said, and declined to elaborate on what the project would be.

The reclaimed land would stretch from the seafood restaurant near the Gurney Drive roundabout to Tanjung Seri Pinang.

Source: StarProperty.my

The Penang State government has as its top priority, the provision of affordable housing for first time Penangite house-buyers. Towards this end, and recognising that property prices in Penang have risen in the past few years, no doubt, as a result of Penang being very attractive having regards to it competent, accountable and transparent administration, the Penang State government has embarked on a two prong mission, firstly, to cool housing prices by the announcement of various cooling measures in budget 2014 in December last year.

These cooling measures include the extension of the moratorium on the subsequent sale of low and low medium cost housing units to 10 years from the principal purchase; the moratorium on the subsequent sale of affordable housing units to 5 years from the principal purchase; the imposition of a 3% approval fee in relation to purchases by foreigners and the imposition of a 2% approval fee upon vendors for transactions executed within 3 years of purchase. This is further to the requirement that there is a limit on purchases by foreigners, namely properties not less than RM2 million (landed) and RM1 million (apartment) on the island and RM1 million (landed and apartment) on the mainland.

Other jurisdictions that have implemented cooling measures in the region such as Hong Kong, which, inter alia, doubled its sales tax on properties valued at more than HK$2 million in February 2013, so as to curb speculative transactions, have seen Hong Kong’s existing home prices bottoming out after falling as much as 5% from a peak in March, 2013. Further, new home prices in Hong Kong have dropped by 15% to 20% since October 2013 (according to a JP Morgan Chase & Co report last month).

Although the cooling measures which were announced in December 2013, came into force only in March this year, it is hoped that it will be effective primarily to curb speculation which will only give rise to spiralling house prices.

The second prong mission of the Penang State government is to make accessible affordable housing, in particular, to first time Penangite house buyers.

In this regard, together with Penang Development Corporation, we have embarked on several affordable housing projects which will deliver approximately 20,000 units of affordable housing in the next 5 to 15 years. A summary of these projects are enclosed herewith.

Apart from these public affordable housing projects, as you are aware, the Penang State government is also encouraging the private sector to build affordable housing whereby we will in return give them several incentives so as there is a workable formula for them to participate in building 100% affordable housing projects. Towards this end, the Penang State government is taking into consideration the views of all stakeholders, and will, in the near future, announce its guidelines for private developers who undertake such 100% affordable housing projects.

In fact, it should be noted that several private developers have in fact submitted such plans to build affordable housing, which todate is about 10,000 units.

Since December, 2013, when the new application forms (Borang PN1) for affordable housing (including the new range of RM200,000; RM300,000 and RM400,000 categories) were launched, more than 100,000 forms have been taken by the public.

Todate approximately 3,000 have been returned and registered in our system. Enclosed herewith is a summary of the number of applicants (for low cost, low medium cost and affordable housing units) in our system.

We understand that it might be difficult for applicants who are working to come and submit their forms together with all relevant documentation, especially during working hours. As such, I have decided to go on a road-show entitled ‘Mission: Home-Possible’, whereby officers from the state housing department together with PDC will be going from one parliamentary constituency to another every fortnightly on Saturdays, whereby, apart from showcasing our affordable housing projects, Penangites can come forward to obtain registration forms, update their status in our system and also submit their completed application forms.

This ‘Mission: Home-Possible’ for the parliamentary constituencies of Jelutong and Tanjong, will begin on 23.8.2014 at the foyer at level 3 Komtar, from 10am-5pm.

Source: Buletin Mutiara

Phoenix Residences, a proposed residential development in Batu Maung, Penang. It is strategically located within Taman Iping, adjacent to Schenker Logistic.

This development has 32 units of 2-storey semi-detached and 2 units of bungalow houses. The actual details of this project, including project name and the actual launching price is yet to be confirmed.

* This developer has recently been acquired by PLB  Engineering Bhd. (18 Jan 2016)*

More details to be available soon.

Project Name: Phoenix Residences (to be confirmed)
Property Location : Batu Maung, Penang
Property Type : 2-Storey Semi-Detached, Bungalow
Land Tenure : Freehold
Total Units: 32 (semi-d), 2 (bungalow)
Indicative Price: RM 1,120,000 (semi-d), RM 1,760,000 (bungalow) onwards
Developer : Phoenix Residences Sdn. Bhd.

Location Map:

EVER come across the terms “monthly rest interest” and “daily rest interest’”? These are terms you should look out for when shopping for a loan. They are basically calculation methods used by financial institutions to charge payable interest. Before we take a look into the differences of the two, it is essential we address the definition of “rest”.

Unfortunately, in this scenario, “rest” does not refer to relaxation. It is simply defined as the time frame at which the principal amount is reduced as you repay the loan.

The mechanics of calculation between the two are highlighted below:

I. Monthly rest interest

The interest of loan is calculated based on outstanding balance from the previous month.

II. Daily rest interest

The interest of loan is calculated based on the outstanding balance from the previous day.

Let’s take a look at the basic framework of how these two modes of calculations can affect what you pay to banks.

Interest calculation

“Ali has a home loan of RM500,000. The interest rate is set at 5% per annum with a tenure of 20 years. Based on the amortisation formula, Ali’s monthly instalment adds up to approximately RM3,299.78. Ali proceeds to pay his first instalment on the 15th of the month.”

A table of calculation breakdown is done based on the scenario above to give you a better picture.

• Monthly rest interest (Refer to Table 1)

• Daily rest interest

For the daily rest calculation, we have to first calculate the interest charged from 1st interest charged from June 1 to June 15 (Refer to Table 2)

Now let’s calculate how much is paid to the principal after paying off the interest from June 1 to June 15 (Refer to Table 3)

Now, let’s calculate the remaining interest for the rest of the month (Refer to Table 4)

To calculate the total interest paid for that month (Refer to Table 5)

Comparison of monthly rest interest versus daily rest interest (Refer to Table 6)

*Note : The number of days in a year used in daily rest interest calculations will vary from bank to bank. In this illustration, we used a total of 360 days in a year. In reality, banks may use a total of 365 days in a year to work out the daily rest interest calculations.

From the illustration above, Ali saves a grand total of RM4.37 when he pays his instalment on the 15th of the month. Based on the daily rest interest calculations above, you will see that the earlier payments are made, the more you save.

The savings of interest payable may not be significant in the short run (just RM4.37 in this illustration). However, the effect is compounded in the long run when you factor in the larger sum of principal reduced down the line.

Are daily rest interest rates really better?

It’s important to note that this is not a one size fits all scenario. The daily rest interest mode of calculation could also be a double-edged sword. Take a look at the habits below:

1. Clears off monthly instalments in advance.
2. Willing and able to make extra payment towards monthly instalments.

If your payment habits match the above then the daily rest interest mode of calculation is certainly beneficial.

However, if you don’t repay your instalments on time, you can end up paying more due to late payment penalties. Remember, the late payment penalties go up every day based on the daily rest interest, albeit at a marginal difference.

Conclusion

Pragmatically speaking, the daily rest interest serves as the superior choice due to its equitable calculations of interest payable.

Additionally, it is clear that your payment behaviour plays a big role in how much you save/lose. There are also several other factors to look out for, such as preference of flexi or non-flexi loan, lock in periods and other hidden fees or charges.

– To find out more about the best home loan interest rates in the market, visit www.loanstreet.com.my

– Loanstreet.com.my is a website that helps Malaysians compare and apply for loans online, free of charge.

Source: Loanstreet

Regalia Suites, a luxury development located along Peel Avenue in Georgetown, Penang. Just a short drive a way is a wide choice of schools, restaurants, grocers, shop, shopping mall such as Gurney Plaza and Gurney Paragon, eateries, hospitals, clinics, banks police stations and post offices.

There are only 2 suites per floor. Each unit comes with a junior suite attached on the same floor, with a separate entrance. A dual-key condominium is popular amongst investors, as the junior suite can be rented out to cover partial of the mortgage.

Security features are extensive with 24-hour guardhouse, CCTV surveillance and 3-tier card access security system. Lifts will only travel to the suites designated by the access card. It also offers ample amenities to ensure that you live absolute comfort and convenience. With a gym, landscape garden and children’s play area, there is plenty to do for the whole family.

Project Name : Regalia Suites
Location : Georgetown, Penang
Property Type : Luxury Condominium
Built-up Area : 7,386 sq.ft – 11,225 sq.ft.
Total Units: 15
Land Tenure : Freehold
Developer : Regalia Property Group

Location Map: