MAY 2, 2014
Low PART 2 carbon cities > Iskandar’s unique blueprint
AST week, we touched on the research institutions from Malaysia and memorandum of understanding Japan, including Universiti Teknologi (MoU) between GreenTech Malaysia (UTM), Kyoto University, Okayama LMalaysia and Iskandar Regional University and the National Institute for Development Authority (IRDA) that is Environmental Studies. While designed for intended to facilitate the regional Iskandar Malaysia, the blueprint, which is DID YOU KNOW? development’s 50% carbon intensity target derived from a research project on According to the United States by 2025. The two-year partnership will see “Development of Low Carbon Society challenge Environmental Protection Agency, GreenTech Malaysia implement the Low Scenarios for Asian Regions”, can also projects for black carbon (BC) is among the strongest Carbon Cities Framework and Assessment be used as a model and template for other schools, promoting light-absorbing component of particulate System (LCCF) in stages in an effort to countries in the region. It outlines 12 actions energy-saving devices, matter (PM), and is formed by the reduce carbon emissions within Iskandar to reduce carbon emission (grouped in providing interconnected incomplete combustion of fossil fuels, Malaysia. The role of GreenTech Malaysia three themes): pedestrian walkways and biofuels and biomass. include generating a baseline study report, cycle lanes for greater use of identifying low carbon strategies plus Green Environment: bicycles, and creating a pedestrian-friendly It has emerged that BC is a major action plans and finally executing, 1. Walkable, safe, livable city design city and neighbourhoods. contributor to global climate change, tracking and assessing the effectiveness 2. Smart growth possibly second only to carbon dioxide of the action plan, in line with IRDA’s Low 3. Green and blue infrastructure & LOW CARBON CITIES VS (CO2) as the main driver of change. Carbon Society (LCS) blueprint. rural resources ECONOMIC GROWTH These BC particles strongly absorb 4. Sustainable waste management Besides low carbon cities encouraging a sunlight, thereby giving soot its black WHAT IS THE LCS BLUEPRINT? 5. Clean air environment healthy and sustainable environment, colour. BC is produced both naturally Essentially, the LCS blueprint has a similar it has a great impact on socio-economic and by human activity. Primary sources objective as the LCCF in that it promotes Green Economy: development. The vision for Iskandar include emissions from diesel engines, the low carbon development of a city. 6. Integrated green transportation Malaysia as a low carbon region was in cooking stoves, wood burning and What sets the LCS blueprint apart is that it 7. Green industry essence to holistically and sustainably forest fires. is unique to Iskandar Malaysia. It features 8. Low carbon urban governance benefit the development of an BC increases warming in two ways. methodologies, contents, actions, 9. Green buildings & construction economic powerhouse. When suspended in air, BC absorbs measures and programmes to reduce 10. Green energy system & renewable energy According to UTM Faculty of Built sunlight, generates heat in the greenhouse gases, to ultimately establish Environment Prof Ho Chin Siong in an atmosphere, which warms the air “a strong, sustainable metropolis of Green Community: article on Iskandar Malaysia: “...the and can affect regional cloud formation international standing by 2025”. However, 11. Low carbon lifestyle integration of two competing goals – ‘strong’ and precipitation patterns. When it does not have an assessment system, a 12. Community engagement & and ‘sustainable’ in a single development deposited on snow and ice, it absorbs function the LCCF compensates. IRDA consensus building vision poses great challenges to Iskandar sunlight, again generating heat, which chief executive officer Datuk Ismail Malaysia’s growth policies and development warms both the air above and the snow Ibrahim expounds: “The LCS blueprint Through the application of the LCS planning.” Ismail espoused: “IRDA planned and ice below, thus accelerating melting. is a model to minimise carbon emission in blueprint, Iskandar Malaysia will encourage a that there must be a comprehensive and Because BC remains in the atmosphere Iskandar Malaysia, while the LCCF is a tool lifestyle that minimises carbon footprint in holistic approach on the development of for only one to four weeks, its effects on to calculate the green house gas (GHG) the environment. This includes promoting Iskandar Malaysia, so as to ensure that climatic conditions are largely regional. emissions resulting from human activities more use of public transport, mobile growth is maintained in a sensible, timely Its short lifespan also mean that its effects in cities within a defined area.” management system for public transport, and sustainable manner. As such, setting on the climate would dissipate quickly if Sponsored by Japan International use of hybrid vehicles, green office practices, targets for a low carbon future, enabling black carbon emissions are reduced, thus Cooperation Agency (JICA) and Japan green hybrid or freight transportations, positive support and promotion of a green benefiting, most directly, the countries or Science and Technology Agency (JST), harnessing solar energy, smart working economy through increased investments in communities that invest in policies to the LCS blueprint is a partnership between lifestyles i.e. working from home, eco-life environmental assets and green technology reduce BC emissions. and production must all be properly planned and managed.” Ultimately, it involves policies and strategic engine for socio-economic growth. strategies on green economy, green The impact of green technology adoptions community and green environment to and deployment is expected to increase the decouple rapid growth from carbon number of high income jobs, encourage a emissions in Iskandar Malaysia, wrote Ho. proficient workforce, reduce fossil fuelled Interestingly, Malaysia aspires to be a power, plus increase renewable power and world hub for green technology by 2030. The increase gross national income/gross objective of GreenTech Malaysia (formerly domestic product and investments. known as Pusat Tenaga Malaysia), which was restructured in 2010 in line with the National X Please email your feedback and queries Green Technology Policy 2009, is to catalyse to: [email protected]
BERNAMAPIX green technology deployment as Malaysia’s
Shell Malaysia grants for sustainable projects ENVIRONMENTAL sustainability relies 1. Running a safe, efficient, responsible and on conditions that facilitate harmony profitable business between humans and the natural world. 2. Bringing wider benefits to the communities Due to industralisation, the symbiotic and countries in which it operates relationship has been detrimentally 3. Shaping a path to a sustainable energy future altered. Hence, businesses are increasingly expected toto make vital and necessary In 2014, Shell Malaysia awarded changes to its practices. To make a RM294,000 to six organisations under its greater impact, bigger organisations are Shell Sustainable Grants programme. The consequently exhorted to support non- programme, inter alia, covers environmental governmental organisations (NGO) in conservation and community development. their environmental saving efforts. Shell Malaysia chairman Iain Lo said: “These Shell Malaysia, one of the largest projects are distinguished by the long-term Shell Malaysia chairman Iain Lo (5th from left) and Natural Resource and Environment international investors in Malaysia’s difference they will make to the host Minister Datuk Seri G. Palanivel with the recipients of the Shell Sustainable Development Grants energy sector, is also a supporter of NGOs communities in environmental conservation that are invested in environmentally and sustaining livelihoods.” sustainable efforts as well as community The six organisations awarded are: 5. Caring Community Centre for two reasons: programmes. Working in collaboration 1. UK Marine Conservation Society 6. Biji Biji 1) That the national economy is inter-related with businesses, governments and civil 2. Persatuan Ibu Bapa & Guru Guru SK (2) with our capability to conserve natural society, including non-governmental Damansara Jaya Minister of Natural Resources and resources and safeguard our environment organisations (NGOs), Shell’s 3. Enactus Universiti Utara Malaysia Environment, Datuk Seri G. Palanivel was 2) It reflects the growing involvement of CUT AND KEEP approach to sustainability works across 4. Land Empowerment Animals the guest of honour at the awards ceremony. businesses in the conservation of our three levels: People (LEAP) He asserted that Shell’s efforts are significant nation’s rich natural heritage. CUT AND KEEP ‘green’ and ‘natural’ interiors can give them ‘green’ and‘natural’interiorscangivethem can comebacktoafterabusyday.Ithink “Everyone needsapeacefulspacethey it isalsoanidealwaytocalmthemind. and affordable. “green” interiorscanbestylish,easy and expensiveprocess.Thetruthis, with the flexibility to be creative and execute your own unique designs. with theflexibilitytobecreativeandexecuteyourownunique designs. carpet tilesareavailableinamyriadofpatternsandsizes,providing you Whether youarelookingtocarpetanentireareaorasmallspace, recycled ruining theoriginallookthroughharmfulandunfriendlychemicals. new one.Insteadofsendingtheentirecarpetforrepairsorpotentially traditional rolledcarpeting. repairing themisalsofairlysimple;aquickerprocesscomparedtousing easy-to-use adhesivebackingsthatmakethemsimpletoapply.Thetaskof Relatively cheaperthanthetraditionalrolledcarpeting,theycomewith friendly totheenvironmentbecausetheyaremadefromrecycledmaterials. Recycled carpettilesaresquaresectionsofcarpetingthatconsidered RECYCLED CARPETTILES compost soilthatiscompletelyreusable. mature. Thebestpartis,whenbambooproductsdecompose,theyturnintonutrientrich to harvest,bamboocanbeharvestedwithinjustthreefiveyears. hardwoods thattakeatleast30years renewable andreusable.Unlikemost because itisextremelysustainable, furniture, thebambooiseco-friendly alternative tomosthardwood sustainable manufacturing.Agreener environmentally awareandbelievein trustworthy companiesthatare ensure theyarepurchasedfrom excellent furnishingchoices;just sustainable bamboofurnituremake Whether tables,chairsorheadboards, FURNISHINGS SUSTAINABLE BAMBOO T behaviour of property seekers. behaviour ofpropertyseekers. divulging dataand statisticsonthe the localproperty scenebesides sentiments and insights regarding growing uncertainties,Khoshared and mediaontheindustry’s Gerard Kho.Explainingtoguests and Malaysiacountrymanager managing directorJamesSundram PropertyGuru Group(International) outlook for2014-2015. and viewsonthepropertymarket their 2013performanceresults hosted aneventtoannounce PropertyGuru Malaysiarecently PROMINENT Gurus predictchallenging times Apart from being aesthetically pleasing, Apart frombeingaestheticallypleasing, If a section is damaged, simply remove that piece and replace it with a If asectionisdamaged,simplyremovethatpieceandreplaceitwith Bamboo iseasytogrowanddoesnotrequireanyharmfulchemicalsorpesticides Present at the event were Present attheeventwere achieved throughacomplicated evoke imagesofconfusingdécor term eco-friendlyinteriorsmay O the uninitiated homeowner, the the uninitiatedhomeowner, real estate portal real estateportal Stylish eco-friendly MAY 9,2014 Looking to liven up a boring wall? Ditch the paint and Looking tolivenupaboringwall?Ditchthepaintand CORK WALLCOVERING wallpaper andgoforacharactergiving material, is derived from the bark of the Cork Oak material, isderivedfromthebarkofCorkOak covering. Thisimpermeable,waterandfire-resistant because they are more durable, easy to maintain and because theyaremoredurable,easytomaintainand Tree. “Corkmaterialisgettingpopularinthemarket very natural and safe for the environment too. very naturalandsafefortheenvironmenttoo. install,” confirmedLiew.Theextractionprocessis source grows back within nine years. It also source growsbackwithinnineyears.Italso Once thebarkhasbeenharvested,renewable indoor allergens and is by nature water, mould, indoor allergensandisbynaturewater,mould, has anti-microbialpropertiesthatreduce mildew and insect resistant. mildew andinsectresistant. property buyers, viewing over property buyers,viewing over group, accessed byalmost11million Asia’s leadingonline propertyportal PropertyGuru prides itselfas half amilliondownloads. languages, whichhaveenticed over applications, infourcountries three developed andlaunched12mobile the award-winningcompanyhas in Singapore.Overthelast18months, company’s regionaloperations. property climate,trendsandthe Sundram talkedabouttheregional and tapintothesechanginghabitudes. Since its inception in 2006, Since itsinceptionin2006, PropertyGuru isheadquartered Savvy developerscouldlearnabout > Environment-friendlyproductstobeautifythehome attractive, appealing look ... and character. attractive, appealinglook...andcharacter. respect theplanetyetgivehomean designer-recommended productsthat beautiful, butethicalandeco-friendly. décor thatisnotonlyfunctionaland conscious consumer’sneedforinterior manufacturers arerecognisingthe Interior Design. says AsleyLiewofBeansConcept that impactphysicallyandmentally,” From furniture to carpeting, here are five From furnituretocarpeting,herearefive With growingenvironmentalawareness,
cork wall cork wall forward plans. forward plans. cagey aboutrevealing thecompany’s Sundram andKho wererelatively the “cooling”property period,both Klang Valley. soon totakeonkeyrouteswithin the company’s new“brandedbus”, followed bytheunveilingof company’s localheadsofdepartments, appreciation werehandedoutto the success,” statedSundram.Souvenirsof to focusonpeople,“thereasonforour local propertymarket,itcontinues challenging timesaheadforthe 89 millionpropertypages. Having forged ahead in 2013 despite Having forgedaheadin2013despite Although thecompanypredicts prove fatal, along with other harmful toxins within. prove fatal,alongwithotherharmfultoxinswithin. effectively removeformaldehyde(methanal)whichcanalso placing abamboo,rubberplantorspiderinthehomecan and feelinaspacebyliveningitup,”saysLiew.Moreover, “Natural elementsinaroom,suchasplants,canalterthelook filters whichfacilitateacleanerandhealthierenvironment. the beautyofahome.Plantssimultaneouslyfunctionasair Perceive themasversatileandlastingdecorwhichenhances No eco-friendlylistwouldeverbecompletewithoutplants. PLANTS fast and dense. This makes it extremely difficult for weeds to grow fast anddense.Thismakesitextremelydifficultforweedstogrow eco-friendly. Itisderivedfromthestemofhempplantandgrows curtains) thathaveadverseeffectsontheenvironment,hempfibreis petroleum-based andnon-biodegradablesyntheticfibres(inmost earthy lookthatworkswellwithmosttypesofdécor.Unlikethe Hemp fibrecurtainsgiveyourwindowsanuncomplicated, HEMP FIBRECURTAINS
interiors around them, thus dispelling the need for herbicides. around them,thusdispellingtheneedforherbicides. resisting disease-causingbacterium. violet rays. It is also naturally anti-microbial, violet rays.Itisalsonaturallyanti-microbial, durable, hempfibrecurtainsalsofilterultra- making pesticides unnecessary. Thick and making pesticidesunnecessary.Thickand Hemp is also naturally resistant to pests, thus Hemp isalsonaturallyresistanttopests,thus the company’s new‘branded’bus. (From left)Kho andSundramunveilamock unitof X [email protected] Please emailyourfeedbackandqueriesto: MAY 16, 2014
Perlis PART 1 progressing > Sleepy northern state on the road to modernisation
Kangar town Picture taken from www.aseannewsnetwork.com ERLIS is the smallest state in Malaysia. Perlis. Land is also relatively cheap as ECONOMIC OUTLOOK The seven wonders of Perlis It is situated on the northern edge of Under the Northern Corridor Economic compared to the price in Kedah (which can 1) Chuping sugarcane plantation the peninsula, bordering with Thai Region (NCER) programme, the government also be bought for a song). The savings rate – this 22-hectare plantation received provinces of Satun and Songkhla. has put aside some three million ringgit to P here is high since there is not much its name from a limestone quarry Kangar is the capital city while the royal town help boost six industry sectors in Perlis. entertainment and hardly any place to spend hill. Those interested in learning of Arau is where the residence of the Raja These include: agriculture, tourism, one’s money. People here are also very how sugar is made from cane should of Perlis lies. infrastructure, manufacturing, corporate conservative and prefer to buy ‘brick’ (a make it a point to visit. house) compared to other investments like services and social development. UNRUFFLED AND RELAXED the share market etc,” Cheng informs. Once known as a huge producer of 2) Timah Tasoh Dam – nature lovers Land in Perlis is basically flat. Nevertheless, Up and coming areas are Jejawi, Pauh, padi, Perlis is now famous for its Harum will enjoy the sights around this man- there are hills in towns like Chuping and Ulu Pauh (due to UNIMAP), Chuping and Manis mangoes. “In fact, it’s just about the made dam built in 1987 in the town Ulu Pauh. Perlis is generally a laid back, Mata Ayeh due to its close proximity to season now. These mangoes are sold for of Beseri. sleepy state, occupied by people with Kangar and Arau. “Generally, the towns in about RM20 per kg. They are high in demand 3) Snake and reptile farm – one of lifestyles that are simple. Main towns are Perlis are small and clustered or centred. and have huge potential as Perlis’ soil is ideal the biggest breeding and research Kangar, Arau, Padang Besar, Kuala Perlis There are no traffic jams here for sure,” and the government is all out to promote it, centres in Malaysia with more than and Pauh. Still, unlike most main towns in Cheng adds. along with other downstream industries like 20 Malaysian snake species and other states, the way things run here is slow Harum Manis juice, ice-cream, cookies and so other reptiles. and unhurried. forth,” informs Cheng. Still, the fruit has not “There aren’t many hotels or received enough promotion or investment for 4) Harum Manis mangoes – a must- entertainment outlets in Perlis. There are DID YOU KNOW it to be at par with the Musang King durian … try which is in season from March also no cinemas. There are, however, plenty • The 17th SUKMA games will be at least not yet. till June. of warungs and kedai kopis where people held in Perlis. The games, which The tourism industry in Perlis is also 5) Kuala Perlis laksa – made with gather to chat way into the night,” shares begin from May 24 to June 4, undergoing a five-year transformation plan. rice flour noodles and accompanied REHDA chairman for Kedah and Perlis, Datuk involves some 10,673 athletes, Mentri Besar Azlan Man said earlier in the with a range of condiments, poured Rick Cheng. “The current ‘modern’ mall or as officials and volunteers. All events will year that Kuala Perlis is being developed as a over with a spicy fish gravy, this is a we would call it here, supermarket, would be be held in the state’s premises. tourist destination. Measures have already Perlis specialty. the one and only C Mart located in Arau,” • Kolej Universiti Islam Perlis (KUIPs) been taken by the state government to help 6) Perlis seafood – famous especially Cheng adds. And there are no hypermarkets recently opened its doors to 80 upgrade facilities and create attractions. in and around the coastal areas like Tesco, Giant or Carrefour throughout students. The second intake will be Azlan said that by 2030, the state plans to draw where one can indulge in fresh Perlis. “By and large, there really is no place to in June. A total of 80 students will be some RM34.5 billion in investment via its seafood while enjoying the spend one’s money,” Cheng informs, one of homed on its brand new 20-hectare tourism sector. Some new businesses that cool seabreeze. the reasons the director and owner of campus, situated near Kangar. have already started generating revenue for Encomas choses to develop property here. the state include high-speed broadband 7) Padang Besar – the district “There is not much competition here in networking; an environmental-friendly acts as a gateway in and out, for rubber factory in neighbouring areas such as Kangar, Chuping; additional Perlis and Thailand. It is famous residences under the for its open markets selling almost 1Malaysia Housing everything under the sky. Scheme; preparations for three, four and five- star hotels in Kangar you like the laid back, simple lifestyle and Arau and more. that is slow in pace, why not … after all, With economic Perlis is a safe place with low crime rates development on the which is a plus point,” states Cheng. For rise, one can expect more information on the property scene in property development Perlis, follow out column next week. to flourish. “For now, people buy homes in X Please email your feedback and queries Padang Besar Harum Manis mangoes Perlis to live in, rather than to invest in. If to: [email protected] Picture taken from buzuediany.blogspot.com Picture taken from nurlinidris.blogspot.com Tropicana Corporation signs deal with leading Chinese property developer PROPERTY developer Tropicana while Tropicana will earn 30%. development will provide a new Corporation Berhad has announced the sale Agile Property is a leading property dimension to KL property market including of approximately 3.138 acres of prime developer in China and is principally “cutting-edge designs and new and freehold land located along Jalan Bukit engaged in the development of large-scale innovative concepts” thanks to their
Bintang to Offshore Triangle Sdn Bhd for a comprehensive property projects, with collaboration with Agile Property. “The total cash consideration of RM448.4million. extensive presence in the businesses of hotel strategic partnership will also elevate Offshore Triangle Sdn Bhd is an alliance operations, property investment and Tropicana’s brand presence and visibility between Tropicana and Agile Property property management. The group currently across regional markets including Hong Holdings Ltd, a leading property developer owns a diversified portfolio in over 40 cities Kong, Macau and China.” in China. In what is the biggest land and districts and has a land bank with a total The sale and joint venture is part of transaction in the Greater Kuala Lumpur GFA of over 40 million square metres. Tropicana’s transformation strategy in CUT AND KEEP to date, between a local and foreign Tropicana group executive vice-chairman unlocking significant value of its landbank Tan (left) and Agile Property Holdings property developer, Agile Property will Tan Sri Danny Tan Chee Sing said the land through development as well as forming Ltd vice-president Chen Lu Lin seal acquire 70% equity stake in the joint venture earmarked for mixed commercial strategic alliances to accelerate growth. the deal with a handshake. MAY 23, 2014
Perlis progressing PART 2 > View of the property scene, general market and tabled issues
HE state government has terrace houses and plans to develop Perlis’ below RM300,000 Residential property transactions by tourism sector. Under the for single-storey ‘house-type’ (Q3 - 2013) TNorthern Corridor semi-d’s,” Economic Region (NCER) plan, he informed. TYPE TOTAL VALUE projects to raise the state Encomas (RM Million) economy have already been recently launched a Vacant Plot 149 7.01 established. Various industry couple of projects in fields have operations already Perlis. These are 1 - 1½ Storey Terrace 136 16.49 set up and running. The ripple located at Desa 2 - 2½ Storey Terrace 45 11.00 effect has drawn investors and Halban in Jejawi, attracted projects worth Taman Enyun Setia 1 - 1½ Storey Semi-Detached 86 21.93 hundreds of millions, which will in Arau and an area 2 - 2½ Storey Semi-Detached 26 8.57 in turn boost the economic offering single- development of the state. storey terrace Detached 12 4.31 houses in Chuping Condominium/Apartment 0 0.00 GENERAL OUTLOOK which has yet to be One of the industries to benefit named. “Our first Cluster House 0 0.00 from the state’s economic growth ever project in Town House 0 0.00 is the property sector. To meet Perlis was in the residential demand, it is reported town of Padang Flat 0 0.00 that the state has plans to engage Besar. We launched Low-Cost House 52 2.67 contractors to build 2,000 it in the year 2000. housing units under its 1Malaysia All 111 units of Low-Cost Flat 0 0.00 Housing Scheme (PR1MA). On single-storey Others 0 0.00 the drawing board are proposals terrace houses were for medium-cost houses and sold within three Total 506 71.99 high-end residences including days,” informed Statistics taken from NAPIC (National Property Information Centre). bungalows, semi-detached Cheng. He added homes and terrace links. that people in Perlis According to REHDA do not have many developing Kuala Perlis to become a president for Kedah and Perlis avenues to spend their earnings. tourist haven. It intends for it to Datuk Rick Cheng: “Currently, “The savings rate is high in Perlis. become a bustling, modern we have projects with GDV of People here would rather invest in commercial and administrative RM200 million and projects in the ‘brick’ (as in a house) than in other centre. Reports inform that the pipeline for the next three to four types of investments like the share beach-front areas have potential to years. We recently completed the market etc.” be further developed and plans are Medan Sri Lanchang commercial being discussed to build theme- project in Jejawi. It consisted of RESIDENTIAL BRIEFS parks, supermarkets, hotels and 19 units of double-storey shop The house types preferred in this commercial centres. As a start, one lots, all which were sold-out part of the peninsula are the single- can explore Kuala Perlis, known for WWW.EGUIDE.COM.MY almost instantly.” Cheng, also storey terraces and the semi-d’s. its sea produce and fishing, and put FOR DISCUSSION director of Encomas, a property High-rise accommodation is not up at the Putra Brasmana Hotel There is demand for development firm, explains that favoured but with modernisation which has all the necessary residential property property development projects in creeping in and slowly transforming amenities and facilities for a comfy in Perlis mainly due Perlis are rather small scale the sleepy state, it is highly likely to and “connected” stay. to the slow processing compared to those in bigger be the rage in due time. “Perhaps in of property towns. Likewise, the prices of the next 10 years,” Cheng felt. PROPERTY MARKET development residences are lower - “Below The state government has Cheng informed that up and coming applications RM200,000 for single-storey already taken initiatives and started towns where freehold land has according to Cheng. garnered a higher price tag on “Applications take properties are Pauh, Jejawi, Mata about three to four Ayeh, Chuping and Ulu Pauh. years before it gets “Although land prices are cheap and approved. At the Kuala Perlis ferry terminal. very affordable in Perlis, I wouldn’t moment, there is a WOLFGANGSLADKOWSKI/WWW.ASEANNEWSNETWORK.COM recommend investing in property in need for about 4,000 Perlis - perhaps buying to stay, if houses a year. one can adjust to the slower pace of Developers are only able to supply allotment (which from 40% was life here,” Cheng commented. Then between 2,000 and 3,000 houses per raised to 50%, then 60% and now again, investors in no hurry to “flip” year ... this is due to the slow 70%) which is the highest rate their property/properties would approvals which leads to the among all the states in Malaysia. disagree. One can only imagine the shortage of houses. To solve this, “It is very discouraging especially rate at which land prices will, if not the state government needs to when there is demand and a already, shoot up in the long run. expedite housing project shortage of residential units,” On the other hand, Cheng informed approvals.” Cheng also expressed said Cheng. He also added that no Famous limestone hills in Perlis. that most of the land in Perlis is his concern on the state swapping of land is allowed in Perlis NICOLAI BANGSGAARD/WWW.FLICKR.COM Malay reserve land. government’s 70% Bumi quota – which means one cannot change the title of a Bumi lot. Developers are also unable to apply to change Number and percentage of transactions by price range for principle property sub-sectors (Q3 - 2013) land titles from Bumi gazetted to open land. PRICE RANGE RESIDENTIAL COMMERCIAL INDUSTRIAL AGRICULTURAL DEVELOPMENT OTHERS TOTAL (RM) LAND On the whole, Cheng says there is not much freehold land in Perlis. 0 – 25,000 9 1.8 0 0.0 1 100.0 135 31.3 4 10.3 0 0.0 149 14.4 Land policies are also rigid, though cheap. However, dialogue sessions 25,001 – 50,000 175 34.6 0 0.0 2 200.0 116 26.9 5 12.8 0 0.0 298 28.9 have been on-going between 50,001 – 75,000 40 7.9 0 0.0 0 0.0 72 16.7 5 12.8 0 0.0 117 11.3 REHDA and the state government, 75,001 – 100,000 41 8.1 1 1.9 0 0.0 36 8.4 2 5.1 0 0.0 80 7.8 “not with the new state government … yet” informed Cheng. He is, 100,001 – 150,000 25 4.9 2 3.8 0 0.0 35 8.1 3 7.7 0 0.0 65 6.3 however, putting in an appeal 150,001 – 200,000 61 12.1 0 0.0 0 0.0 15 3.5 4 10.3 0 0.0 80 7.8 on the Bumi land allotment quota, for it to revert to 40% as it was
200,001 – 250,000 33 6.5 3 5.8 0 0.0 7 1.6 2 5.1 0 0.0 45 4.4 before. “To be fair, the state should 250,001 – 500,000 121 23.9 27 51.9 1 100.0 10 2.3 10 25.6 0 0.0 169 16.4 have given a window period or transition period to the developers 500,001 – 1,000,000 1 0.2 19 36.5 0 0.0 4 0.9 3 7.7 0 0.0 27 2.6 who have invested there.” 1,000,001 & Above 0 0.0 0 0.0 0 0.0 1 0.2 1 2.6 0 0.0 2 0.2
CUT AND KEEP TOTAL 506 52 4 431 39 0 1,032 X Please email your feedback % BREAKDOWN 49.03 5.04 0.39 41.76 3.78 0.00 100.00 and queries to: Statistics taken from NAPIC (National Property Information Centre). [email protected] MAY 30, 2014
Digital direction 2015 > theSun gleans insights on the market climate from PropertyGuru Malaysia
URGEONING property prices and 70%. Likewise page views growing uncertainties in the local escalated to 90%, says the property market did not hinder company’s Malaysia country Bprominent real estate portal manager Gerard Kho. PropertyGuru’s improved performance. Data from Google Analytics In fact, these “hindrances” that come as also reveals a rise in the stumbling blocks for many, were the very number of the company’s challenges that contributed to the property agents during the company’s success in 2013. second half of 2013; an almost 50% hike in Malaysian FRUITFUL YEAR agent memberships across all countries. Observations on market outlook and change of consumer PropertyGuru CEO and co-founder behaviour, due to influence of technology Steve Melhuish shares: “2013 has seen MARKET OUTLOOK 1) Majority of consumers (68%) are not satisfied with the property price hike continuous growth for the group in A study conducted by the real estate predicted for 2015. Singapore, Malaysia, Thailand and portal experts reveals consumers’ sentiments Buying interest has dropped Indonesia. PropertyGuru Malaysia is towards the local property market. 2) ; investors (owning one property), are more interested shifting towards becoming a leading It shows a decrease in purchase intent in rental value than purchasing additional properties. brand in Malaysia in 2014 by establishing a for properties across ALL categories. 3) Apartments and condominiums are the preferred property type. solid presence in the digital property Reason for this decline: towering costs of 4) There is an average steady increase of 10% in property prices across all property portal platter, taking the role of a home ownership. types including private condos, semi-d’s, terraced houses and bungalows. competitive market leader in full force”. The report also indicates dissatisfaction 5) Whether there is a 6% service tax and no GST or a 6% GST and no service tax, Apart from putting people first, in the local property market, with homes Klang Valley property prices have increased by 30%. PropertyGuru focuses heavily on in Malaysia deemed less affordable. 6) Consumers wish-lists include: reduce cost of essential goods such as food; reduce innovation. Over the last 18 months, “The average household income of income tax lower financing rates lower house prices create feasible home the company developed and launched Malaysians comes up to an average of ; ; ; 12 mobile applications in four countries RM5,000. Unfortunately, the property price ownership schemes for first-time home owners; make affordable homes such as and three languages which have received affordability benchmark stands between a PR1MA; establish longer loan tenures and others. over half a million downloads. range of RM300,000 – RM600,000 and is 7) The average household income of Malaysians is RM5,000. Price range of homes Its 2013 report shows that searches backed by an accolade of underlying factors considered affordable in KL is between RM300K and RM412K; in Selangor RM252K on its local portal increased by 100% while such as household debts, Real Property Gains and RM350K. Affordable homes are therefore stipulated within the RM300K and the number of website visitors rose by Tax (RPGT), the Goods and Services Tax RM600K bracket (statistics obtained from Department of Statistics). (GST), oversupply and Under 8) There is a massive increase in online search queries across South East Asia proving Construction Risks. As a result, THE REALITY: that property seekers have moved to on-line measures to seek information many Malaysians face difficulties in pertaining property. Average household income RM5,000 obtaining their own property of seven steps to purchasing a home Affordable homes price range RM300k – RM600k choice and are often overwhelmed 9) According to research by Google, there are : by the factors that surround their explore, check finance, info search, view property, close transaction, secure financing STATE FY 2012 and sell existing property. RANK purchasing decisions,” says Kho. MALAYSIA RM 5,000.00 Likewise, the future looks 10) With property prices continuing to soar, cooling measures implemented by challenging even for developers Bank Negara Malaysia (BNM) like the abolition of the interest capitalisation scheme 1 W.P. Kuala Lumpur RM 8,586.00 and potential buyers, especially and DIBS; GST implementation and RPGT adjustment; and the RM1 million 2 W.P. Putrajaya RM 8,101.00 with the 30% increase in RPGT benchmark for foreign property purchase, etc will lead to less demand and 3 Selangor RM 7,023.00 for buyers who sell their home an over supply of property. within five years from the time of (Information from Gerard Kho of PropertyGuru) 4 Penang RM 5,055.00 purchase, and the property price 5 Malacca RM 4,759.00 threshold for foreigners raised to RM1 million. finance companies are required to fix their A DIFFERENT PERSPECTIVE 6 Johor RM 4,658.00 Additionally, with the loan-to-value (LTV) ratios based on the net Although market changes, new 7 Negri Sembilan RM 4,576.00 government’s intention to introduce selling price rather than the gross selling implementations, subsidies and cuts may GST in April 2015 (though residential price. Prudent as these measures are, Kho give the local property outlook a gloomy 8 Sarawak RM 4,293.00 properties are exempted), inflation feels they do not address the right issues. forecast, there are always two ways of looking 9 Sabah & W.P. Labuan RM 4,089.00 and living expenses will naturally “This will cause a sluggish and expensive at circumstances. Kho shares his perspective escalate, especially in the urban incoming supply of properties due to long on the GST. 10 Terengganu RM 3,967.00 areas, affecting lower-income approval processes. The new rules will “In spite of the expected home price hike, 11 Pahang RM 3,745.00 earners who will predominantly principally affect first-time home buyers; they the GST and the subsidy cuts can be a boon feel the brunt of this tax, Kho says. will need to fork out a larger down payment. for Malaysia in the long term provided these 12 Perak RM 3,548.00 “Sale of properties is also expected to measures are implemented well. Eliminating 13 Perlis RM 3,538.00 GOVERNMENT’S ACTION PLAN be “lethargic” but there will always be the subsidies will result in a free economy To control the country’s rising genuine buyers who have no qualms which in turn will lead to higher income 14 Kedah RM 3,425.00 household debt, Bank Negara purchasing their desired homes,” he says. for Malaysians,” he says. 15 Kelantan RM 3,168.00 Malaysia abolished the interest As for the major developers, Kho says they capitalisation scheme and the have the resources to comply with the new Source: Department of Statistics: Table 2: Mean Monthly Gross Developers Interest Bearing rules whereas small and medium-sized firms X Please email your feedback and queries Household Income by Ethnicity, Strata and State, Malaysia, to: [email protected] 1970-2012 Scheme (DIBS). Local banks and can adopt the “wait-and-see” approach. 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