The Tamarind Show Unit Living Room

Eastern & Oriental Bhd (E&O) and Ikea have collaborated to come up with a fully furnished show unit for the former’s soon-to-be launched executive apartments – The Tamarind– in Penang.

E&O, a lifestyle property development group, and the Swedish home furnishing specialist had undertaken a maiden partnership to collaborate from inception the interior design of a show unit to providing its full furnishings within.

A joint statement issued on Tuesday said the teams at E&O and Ikea worked closely on the design brief and budget, styled to target upwardly mobile professionals with young families.

The combined efforts showcasing Ikea design and products in The Tamarind’s show unit will be unveiled next month at E&O’s Seri Tanjung Pinang sales gallery.

The Tamarind, a seven-acre freehold high-rise development located at E&O’s seafront community of Seri Tanjung Pinang, is also E&O’s first executive apartments.

The Tamarind features two blocks of 33 storeys comprising 1,104 units in total, where a typical unit size of three bedrooms and two bathrooms start from 1,042 square feet and is competitively priced from RM600,000 onwards.

E&O deputy managing director Eric Chan Kok Leong said: “At E&O, we are committed to crafting premium properties in every segment.

“At The Tamarind, we present the opportunity for young executives and families to own an aspirational home within Seri Tanjung Pinang, which is competitively priced yet still has the hallmarks of innovation and style for which E&O has become synonymous.”

Chan said as E&O wanted The Tamarind to capture the aspirational, but also have a well-grounded functional and achievable appeal, the lifestyle property developer believed there could be no better partner than Ikea, a universally loved brand by all proud homeowners, not only in Malaysia but the world over.

Under the collaboration, the E&O team spent many hours of brainstorming and discussion with the home furnishing specialists at the IKEA store in Mutiara Damansara followed by an on-site trip to Seri Tanjung Pinang.

This included recording necessary measurements of the bare show unit for The Tamarind, as well as viewing other completed show homes and projects such as the Andaman resort condominium and the company’s namesake E&O Hotel in George Town.

When ready for fit out, the instantly recognisable yellow and blue Ikea truck made its way up to Penang, and the team worked to transform concept into reality.

IKEA Damansara store manager Gerard Jansen said: “We have been collecting feedback from Malaysians through the IKEA Life@Home Study.

“Last year, one in four homeowners told us that their biggest furnishing and renovation challenge is lack of ideas and inspiration.”

Registration of interest for The Tamarind is only via the official website www.thetamarindpenang.com or personally at The Sales Gallery, Seri Tanjung Pinang, Tanjung Tokong (604 890 9999).

Source: StarProperty.my

Artists impression of Shorefront in Penang comprising 115 units of sea-front low-rise (six floors) and low-density condominiums.

YTL Land & Development announced it had sold 67 of the 115 units of its RM330mil Shorefront project in Penang during the launch of the property on Feb 6 and 7.

Group executive director Datuk Yeoh Seok Kian said the project, comprising 100-odd luxurious units in three blocks next to the Eastern & Oriental Hotel, had attracted 2,500 registrants prior to the launch.

He said the project was targeted at high-net worth individuals, Penangites working abroad, and foreigners looking for luxury developments in prime locations.

“Buyers queued up as early as 7.30am on both preview days, which saw the release of only one block on each day. We still have one last block comprising 48 units, which we have yet to decide when to release,” Yeoh said.

Shorefront is YTL Land’s first foray into Penang, and the units are priced between RM1,200 per sq ft and 1,500 per sq ft.

“We have been watching Penang’s property market very closely, and noted the impact of the recent cooling measures adopted by the Malaysian Government.

“Buyers have maintained a cautious approach and are very selective in their purchase.

“The imposition of additional restrictions by the Penang government to curb speculative activities poses another challenge. However, we remain confident on the state’s long-term economic and investment fundamentals,” he said.

The success of Shorefront was largely driven by YTL Land’s well-articulated product in terms of concept and design to complement the landmark address, said Yeoh. Moreover, Shorefront was one of the last remaining sea-front locations in Penang.

“The other key attraction is the low-density feature,” he said.

According to Yeoh, two private lifts serviced each floor, with only two condominium units on each level with a private lift lobby serving as entrance foyer for each unit.

“All the three blocks are positioned to take advantage of the sea-view from various angles.

“The blocks are separated by landscaped gardens and water features that nestle between the buildings.

“The units on the ground floor have private gardens, while those on the highest floors come with rooftop or sky terraces,” he said.

According to Yeoh, the group planned to expand its prime land bank in Penang, either on the island or in Seberang Prai, for residential or hotel projects.

On the local property market, he said Penang remained attractive as a property investment destination for both locals and foreigners.

“It enjoys an enviable track record for capital gain, and is second only to Kuala Lumpur in this respect. Nostalgic streaks of Penang’s Old World charm – its tradition, culture and heritage are instantly recognisable abroad,” he noted.

The declaration of George Town as a Unesco World Heritage Site was another boost, Yeoh added.

He said while demand in the property market had moderated due to stringent financing policies, there was still a demand for niche, luxury properties on the island.

“Prices in Penang are still deemed very competitive, being much lower than neighbouring countries like Hong Kong, Singapore and Thailand.

The property market is likely to remain stable on the back of the state’s healthy fundamentals – its young population demographics, high employment rates and stable income levels,” he concluded.

Source: StarProperty.my

U1 @ Batu Uban, an upcoming freehold luxury condominium development by Asia Green Group in Penang. Strategically located within the township of Batu Uban, just a mere minutes drive to 1st Penang Bridge. Other than an infinity swimming pool with panoramic preview, there will be two exclusive private lifts direct to the units.

This project is currently open for registration only. More details to be available upon official launch.

Project Name : U1
Location : Batu Uban, Penang
Property Type : Luxury Condominium
Land Tenure : Freehold
Developer : (new developer to be confirmed)

The Real Estate and Housing Developers Association Penang (Rehda) and Henry Butcher Malaysia Penang is once again organising the Malaysia Property Exhibition (Mapex).

The event is from Feb 21 to 24 at G Hotel in Gurney Drive, Penang, and it features a wide range of offerings from 15 major exhibitors, along with informative talks and other exciting activities.

Among the participating companies are IJM Land Bhd, Chong Company, Sunway Bhd, Airmas Group, Plenitude Bayu Sdn Bhd, New Bob Realty, IOI Properties Sdn Bhd and Hatten Group.

Also on board are UDA Holdings Bhd, Ideal Properties Group, Tropicana 218 Macalister, Golden Agro Plantation, Australia Property and Development, Penang Development Corporation and Bank Simpanan Nasional.

Properties to be showcased start from RM300,000. They range from affordable homes by Ideal to retail lots and hotel suites in Malaccas Harbour City by the Hatten Group.

Those seeking a luxurious lifestyle can check out offerings like IJM Lands condos and water villas priced at around RM15mil.

Visitors can also look forward to gaining valuable knowledge from property experts via talks on Feb 23 and 24.

Ahyat Ishak, a popular property investment expert and bestselling author of ‘The Strategic Property Investor’, will speak on ‘Seven Basics in Strategic Property Selection’.

It is a must-attend session for those harbouring ambitions of making it big via the right investment approach.

Feng shui enthusiasts will get to meet the renowned Master Yap Boh Chu, the youngest son of grandmaster Yap Cheng Hai, as he is slated to speak on both days on what to expect for residential high-rise buildings and landed property for the new year.

Other talks include Royal Malaysian Customs senior assistant director Lee Wing Onns session on GST and its impact on property.

Lawyer Khaw Veon Szu will offer advice on inheritance and estate planning.

Penang Local Government, Traffic Management and Flood Mitigation Committee chairman Chow Kon Yeow will give a talk on the state’s future transport system.

Meanwhile, state Housing, Town and Country Planning Committee chairman Jagdeep Singh will speak on the latest developments on affordable housing.

Besides the property showcase and seminars, Mapex 2015 will also have activities like fortune telling, Chinese calligraphy and lucky draws as well as free treats for children to ensure families have a fun-filled outing.

Despite a softer property market due to various factors, the organisers believe Penang’s uniqueness still makes it a location of choice for investors when it comes to property and lifestyle.

Source: StarProperty.my

Jarnell: ‘The sector is definitely moving into slower growth.’

There are too many offices, malls, hotels and high-rise residentials and few affordable housing projects

It was a somewhat sombre 8th Malaysian Property Summit on Wednesday with property consultants and a taxman highlighting how prices will move post-goods and services tax (GST) as a result of an over supply in most sub-segments. There will be more clarity by the middle of the year.

The main take-away was the over supply in high rise residentals, hotel rooms, office and retail space. The shortage is in affordable housing, shop houses, industrial land and landed units.

The event was organised by the Association of Valuers, Property Managers, Estate Agents and Property Consultants in the Private Sector Malaysia (PEPS) .

Says organising chairman James Wong: “There is a mismatch of what the market demands and what’s available, with developers not paying attention to affordable housing the last two years as they concentratre on high-end and upper middle housing.”

Jones Lang Wootton senior vice-president David Jarnell says 2015 will be an “extremely challenging year” for developers who will have to be less greedy. “The sector is definitely moving into slower growth,” he says during a panel discussion.

PEPs president Datuk Siders Sittampalam says the impending GST will not have a major impact on pricing.

“The fundamentals of the market will affect pricing. But the GST will affect developers’ cost,” he says.

Obervers say unlike in Thailand, Singapore, Australia and Hong Kong, when the GST – or its equivalent – was introduced, there was a mild property boom in these countries. But this did not happen in Malaysia. Buyers and real estate personnel are waiting to see how prices will move after April.

The general sentiment is that developers may have to absorb the GST and the days of pricing one launch higher than the previous one are over.

Office sector

Presenting his paper on office space, Christopher Boyd of CBRE, says as of the end of 2014, total office supply stands at 96.6 million sq ft, excluding those in Putrajaya and Cyberjaya.

It was less than 10 million sq ft in the early 1970s.

“We have more office office space than Singapore, same level as Manila and Bangkok,” he says.

Last year, only 300,000 sq ft of space was absorbed by the market, six times less than in 2013, he points out.

Occupancy, currently at about 80%, is expected to deteriorate this year and beyond. Likewise, rental rates. The market is seeing a flight to quality and older buildings will struggle, but tenancies tend to be “sticky” as contracts are already signed and it costs to move, he says.

Occupancy is expected to move downwards with 18 million sq ft scheduled to be completed by end of 2017 in Greater KL, he says.

Falling oil price may affect demand as traditionally, oil and gas and banking/finance sectors require large amounts of office space in central/strategic areas in the city.

Oil and gas (O&G) players will be cautious about expanding or relocating in 2015, he says.

Rentals of quality offices are above RM8 per sq ft, with three offices breaking the RM10 mark, namely Menara Petronas, Menara Maxis and Integra Tower at The InterMark.

“Landlords of better quality new buildings have remained steadfast, and for the most part, held rents firm or raised them slightly. But is this situation going to last in 2015 as the over supply situation starts to be felt, and O&G prospects drop out?

Retail and hospitality

The retail scene tend to work in tandem with the hospitality sector. Adzman Shah Mohd Ariffin, ExaStrata Solutions chief real estate consultant says the rising number of malls and the increase in integrated developments which combine residential with retail component will further weaken sentiment. The increase in online shopping is another factor.

Adzman says 10 malls are due to enter the market this year, offering 5.25mil sq ft of net lettable area in the Klang Valley, with five million sq ft more in 2016/2017. Mall owners are doing all sorts of promotions and shows to attract shoppers because when they peg rental to sales, the onus falls on them to make sure their tenants do well. Occupancy from 2009 to the first half of last year was about 85%.

In the hotel sector, there is an over supply of rooms, says James Wong of VPC. He says there are about 200,000 hotel rooms in Malaysia with occupancy of between 60% to 65% compared with 80% to 85% in Singapore and Thailand.

Hotel room rates are the second lowest in Asean after Cambodia when in terms of economic status, Malaysia is in the Top 5.

“Local authorites do not know what the other local authorities are approving,” he says. Based on his research, there is a huge oversupply, with 60,000 rooms in the four to five star category, with the Klang Valley having 21,000 of them. The hotel and tourism sector attracted a total of 69 projects with approved total investments of RM3.88bil in the first half of 2014. Domestic investments accounted for most at RM3.7bil or 96%.

The number of approved hotel/tourism projects declined by 15.85% in the first half of 2014 compared with the same period a year ago. Capital investments declined by 41.67%.

Residential

Foo Gee Jen from C H Williams, Talhar & Wong says the number of serviced residences in the Klang Valley has overtaken those of condominium units.

Serviced residences are residentials built on commercial land. Their monthly service charges and utilities will be priced about 25% to 30% higher than a condomium project, which is built on residential land.

In 2010. the ratio between the two was 60% condominiums and 40% serviced apartments. It is now 46% condominium and 54% serviced residences.

He also drew focus on the dire shortage of affordable housing and the two million families who earn RM3,000 or less a month. Their affordable level is RM200,000.

This group represents a third of the country’s household and their needs have not been met even as the Government goes about talking about affordable housing priced at RM400,000 a unit.

Source: StarProperty.my