KDN PP18893/11/2015(034373) W for business whilst those which were not, International Trade of and Industry were allowed Ministry to open the by listed essential goods and services which were offering companies only and suspended was Parliament next. the to district one from also but another to state one from placed on movement of people not only emergency, the restrictionsvarious were 2021 to 1 August 2021. Under the rules of the for January effectivefrom11 country whole emergency of state to a approval declare Shah’s Billah Al-Mustafa Ri’aya­ Abdullah Al-Sultan Agong di-Pertuan Yang the the secured and Minister Tan Sri Muhyiddin Yassin sought Prime First,the butuneventful. anything Tang CheeMeng With Greater Optimism? Entering SecondHalfof2021 first half of the year has been been has year the of half first of2021.The second half e havenowentered the TECHONOLOGY, tuddin tuddin in particular, hit the retail trade as well well as trade retail the hit particular, in and businesses all on impact a significant had restrictions lockdown these All beenforced.will businesses of operation and residents of movement over control stricter even and 34 mukims in under which Order (EMCO) for 14 localities Control in an Movement the announced Enhanced as just come has to to government is extended Worse June. later 28 was which 14 to June 1 from (FMCO) Order Control Movement Full a under lockdown full a then and 3.0 MCO firstly implemented cases positive the government the up, shoot to continued Covid-19 when of worse, number matters make To required toworkfrom home. had to close their shutters with their staff and the fines were not small sums. For sums. small not were fines the and viewing property a conducting caught being being for clients his with together fined agent estate a real of verified, social media, though not independently was at least one case being circulated on There services. essential as considered not were these as affected badly most the were marketing project and agency realin estate dealing Those SOPs. strict were allowed to operate as usual but management with property in involved staff only sector, services property the in us and tourism hospitality industries badly. For those of the in involved those as JULY -SEPTEMBER2021 FINALLY RIPEFORTHEPICKING hs suc o icm i from is income of commissions earned from closing deals, negotiators source and whose agents estate real uiess a rcvr n go, and that grow, and so recover can people businesses the of lives daily the in normalcy restoring in crucial also pandemic is Covid-19 the against the its fight in which immunity herd at reaches country speed The situation. political country’s the also but sphere adverse developments in not only the economic by affected negatively be to not sentiments investors’ for important also is It things. other amongst market, property which the into way its everyone find then will of pockets money the more into put will this as growth economic positive recording be should to it country the for Firstly, flourish. key place and boom in of be to number ingredients a requires stock market, the like industry, property The for hold year the us? of of all rest the does What under current tryingtimes. employment alternative find to enough lucky those for industries other in job time part or full a up taking or drivers food deliveries and working as e-hailing businesses, catering food based home put eg. families their for tables their on rice to avenues other to turned have period, difficult this through them tide to sufficient reserves without those and affairs of state depressing very a is this Business Valuation. Benefits of Performing Will Writing 101.Will Writing Cheras North. Cases &MCOs. Interrupted by Rising Market Comeback PLUS pg 8 pg 12 pg 6 pg 10 for the investors to return to the equity On the economic front, the Finance together and take the right steps to and property markets. So where are we Minister Tengku Datuk Seri Zafrul Abdul lead us out of this dark and harrowing in all these areas? Aziz has indicated that his ministry is period in our history. Although the studying whether the GDP growth rate government has unveiled another In the political arena, the current for 2021 as projected in his budget RM150 billion aid package called administration appears to be more speech last November needs to be Pemulih to assist businesses as well as unstable compared to a year ago. revised. 2020 saw the country registering the B40 and M40 groups, the decision The surge in Covid-19 infections a negative growth of 5.6% which was of the government to put Kuala Lumpur despite the proclamation of a state of the second worst decline after the 7.5% and Selangor, where the country’s emergency as well as the constant flip negative growth in 1998 brought about economic engines are located, under flops in government announcements by the Asian Financial Crisis. The general an EMCO will have a drastic impact on on the SOPs plus the perceived uneven consensus is that the business slowdown the economy, especially if the lockdown treatment of VIPs and celebrities caused by the declaration of emergency is extended for too long and will lead compared to normal folks have led and the introduction of FMCO will to increased business closures, pay to a feeling that the government is certainly have a negative impact on cuts and retrenchments, and ultimately unable to handle the pandemic and economic growth and will bring down impact investor’s confidence. With have given rise to frustration as well as GDP growth from the earlier projection this in mind, our house view is that anger against those in power. of between 6 to 7.5%. This may in turn the property market will not show any translate to a slower recovery of the dramatic recovery for the remaining In a recent development, the Yang property market. months of the year and at best, growth di-Pertuan Agong has met with the will be flattish. If the government is leaders of all the major political parties The most positive development is the able to achieve its targets set under to discuss the situation and has then recent ramping up of vaccination rates the NRP, we may see a more marked met with his brother rulers to seek from the under 100,000 shots given improvement in the market in 2022. their views on the current state of out per day before June 2021 to above affairs. The Palace as well as the rulers 250,000 vaccinations a day currently. In Let us pray and hope that we will be have issued statements suggesting fact, the government has confidently able to celebrate our New Year, Chinese that Parliament be reconvened as projected that the vaccination rates New Year, Hari Raya, Deepavali and soon as possible although this quickly would go above 400,000 shots a day Christmas in 2022, the way we have became a point of debate between the in August in order to achieve 80% herd always been doing before the pandemic opposition and government leaders as immunity by September. came and disrupted our lives. to how soon is “as soon as possible”. The royal statements also mentioned As at 24 June 2021, a total of 6.3 million To all our readers, stay safe and stay that there would not be any need for doses were reported to have been given healthy and please remember to the emergency to be extended beyond out to 1.73 million people or covering observe the SOPs at all times. its current 1 August 2021 end date. about 5.4% of the population. Achieving herd immunity is the key to returning to On the day before the meeting of the a state of normalcy and recovery of the Tang Chee Meng rulers, the Prime Minister came up with economy; the sooner we achieve it, the Chief Operating Officer a post pandemic exit plan (NRP) which less financial pain and emotional stress set various targets for the four phases suffered by businesses and the rakyat. Footnote: of the plan to map out its recovery Since the writing of this Editor’s Note: path out of the pandemic. Although For the property market, there a) The government has announced short on details and panned by the was some good news for property that Dewan Rakyat proceedings will opposition, the plan is at least a step developers in that the Home Ownership take place from 26 to 29 July and 2 forward in the country’s journey out Campaign (HOC) which was due to end August whilst the Senate will sit for of the economic quagmire brought in June 2021 has now been extended to three days from 3 to 5 August. about by the pandemic. Nevertheless, December 2021. Some equity analysts b) The Minister of Finance has also the royal call to reconvene parliament have predicted the property market to indicated that GDP growth for 2021 asap has taken another dimension as stage a gradual recovery in the second will likely be closer to 4%. the opposition could well use this as half of the year due to the current low c) As of 12 July 2021, the country has a way to bring down the government interest regime, wider availability of administered more than 400,000 which it claims has lost its majority and affordably priced products and reduced daily doses of the Covid-19 therefore the legitimacy to continue to pricing which may encourage people to vaccination. rule. The months ahead would certainly take the opportunity to own a home. d) In the latest announcement by the be very interesting and intriguing as This paves the way to a higher level government, the EMCO for 34 both sides of the political divide will of optimism in the property sector mukims in Selangor which ended on play out their cards. However, the although it is still left to be seen whether 16 July 2021, will not be extended political uncertainty will not be helpful we have finally seen the proverbial light whilst there are a number of areas to the investment climate of the at the end of the tunnel. We can only for which the EMCO has been country. pray and hope our leaders get their act imposed or extended. HENRY BUTCHER REAL ESTATE SDN. BHD. July - September 2021 No.199201004957 (236461-w)

SALE BY EXPRESSION OF INTEREST 2.054 Acres of Prime Freehold Development Land Located Along Jalan Ampang

Publisher Henry Butcher Sdn Bhd 25, Jalan Yap Ah Shak, Off Jalan , 50300 Kuala Lumpur T: 603-2694 2212 E: [email protected] W: www.henrybutcher.com.my

OUR SERVICES Valuation T: 603-2694 2212 F 603-2694 3484 E: [email protected]

TH Project Marketing CLOSING DATE: 5.00 PM FRIDAY, 30 AUGUST 2021 T: 603-2694 2212 F 603-2692 5771 E: [email protected] ● Situated in the heart of kuala lumpur’s diplomatic enclave & surrounded by embassies ● Short drive to KLCC and The Intermark Real Estate Agency ● Within close proximity to shopping amenities like Hock Choon Supermarket and AmpWalk T: 603-2694 2212 F 603-2694 1261 E: [email protected] ● The Royal Selangor Golf Club is within a short drive from the Properties ● Nearby to a number of educational institutions Market Research & Development Consultancy T: 603-4270 2072 F 603-4270 2082 FOR A COPY OF THE INFORMATION MEMORANDUM, PLEASE CONTACT E: [email protected] ANY OF THE FOLLOWING Retail Consultancy T: 603-9130 5550 F 603-9130 4003 +6012 373 5580 - Shi Chuen (PV 1848) +6012 314 2864 - Christine (REN 09437) E: [email protected] [email protected] [email protected] Facilities & Asset Management +6016 295 4988 - Yanto (PEA 1377) +6012 236 3065 - Linda (REN 09433) T: 603-6205 3330 F 603-6206 2543 [email protected] [email protected] E: admin.assetmgmt@henrybutcher. com.my

Plant & Machinery Consultancy 25, Jalan Yap Ah Shak, 50300 Kuala Lumpur, Malaysia. T: 603-2694 2212 F 603-2694 3484 Email: [email protected] E: hbmalaysia_pnm@henrybutcher. EJEN HARTANAH Tel No: +603 2694 2212 / Fax No.: +603 2602 1842 com.my E (1) 0501 Auctions & Tender Sales T: 603-2694 2212 F 603-2694 1292 Exclusive Lots For Sale, Seputeh Heights E: [email protected] In the strategic location tucked between Kuala Lumpur and PJ is a high end gated & guarded Art Consultancy residential development featuring 103 bungalow lots for sale. Seputeh Heights is beautifully T: 603-2691 3089 F 603-2602 1523 landscaped, adorned with decorative street lighting and equipped with jogging tracks and a E: [email protected] children’s playground. OUR OFFICES Convenience is a real plus being so easily accessible via Federal Highway, connecting to the KL city VALLEY | • centre, Mid Valley Megamall, , PJ, Old Klang Road and Cheras. North-South Highway is only | KEDAH | Alor Setar • Kulim | PENANG | less than 10 minutes away and the NKVE is no more than 20 minutes drive. Penang Island • Seberang Perai | PERAK | Ipoh | NEGERI SEMBILAN | Seremban | MALACCA | Melaka | JOHOR | Johor Bahru Highlights • Muar • Kluang • Pontian | PAHANG | ● 41 acres, 103 Bungalow Lots, Gated & Guarded. Kuantan | TERENGGANU | Kuala Terengganu ● Freehold; Land and Encumbrances: Nil | KELANTAN I Kota Bharu | SABAH | Kota ● Land size range from 8,000sf to 23,000sf. Kinabalu • Tawau • Sandakan | SARAWAK | ● 24-hour security, perimeter fencing, drive through access gate system. Kuching • Miri ● For sale at RM700psf negotiable. Publishing Agency ● Maintenance charges, RM0.065psf. Rightwiz Sdn Bhd ● Accessibility via Jalan Syed Putra, KL-Seremban Highway, Bangsar-Federal Highway. ● Beautifully landscaped, decorative street lighting, jogging tracks & children’s playground. Printed by ● Nearby amenities include established schools & colleges, Mid Valley Megamall, business centers, Percetakan CL Wong Sdn Bhd financial institutions, hotels, restaurants, kindergartens, police station, fire station, private hospital AS-84, Jalan Hang Tuah 4, Taman Salak Selatan, Cheras, & clinics. 57100 Kuala Lumpur. ● Developer: Berjaya Tagar Sdn Bhd, a wholly-owned subsidiary of Berjaya Land Bhd.

For enquiries, contact: Linda Ooi (REN09433), 012-2363065 | Christine Chua (REN09437), 012-3142864 PROPTECH

Technology, Finally Ripe for the Picking Covid-19 has been hammered for many things but one area where it is lauded for is technology.

he curtailment of movement has (IoT), Machine Learning, Artificial opportunity for technology in this given rise to the increased use Intelligence (AI), Blockchain and the discipline to flourish behind closed of tech through a plethora of less daunting Virtual Reality (VR) doors. Although the marketplace Tapps for everything from education, and Augmented Reality (AR). The is flushed with classified portals for entertainment, food delivery and a host turnaround however could not have marketing purposes, developers could of e-commerce offerings. As global happened had fintech not taken off in not move the needle if there was citizens congregate on the Internet, a big way because aside from the self no digital way to go from expressed it is but safe to say that all these tech or non-regulated marketing technology interest to committed signatures to platforms are not new, they were merely (eg. social media), accounting, supply seal the deal. Realising this gap, several thrust under the spotlight because of chain or enterprise systems, just to companies have been on the hot pandemic restrictions. name some examples, fintech was pursuit to fulfill this loop. probably one that had the most Just over in the last decade, one of the stringent compliance requirements Founded in 2015, TRB Ventures Sdn rising scions was fintech or financial from central banks and monetary Bhd provides an end-to-end solution technology. The aim was to democratise authorities both in the domestic and called MHub that helps complete the financial services to the man on the foreign markets. Fintech’s superior property purchase cycle by connecting street and bring them closer to the implementation hence became a all stakeholders like the property financial realm. Needless to say, it hallmark of where technology can go developers, real estate agents, imploded mass adoption as it appeals and one such bold pursuit witnessed banks, lawyers and the buyers in the without the hassle of queues and long the property sector as an unassuming ecosystem. It does this with its suite waiting time on the phone. beneficiary. of ten apps to facilitate booking, a CRM to handle customer data, Like fintech, newer processing magic Property Technology loan application as well as defects was to follow suit into the mainstream PropTech as it is commonly known, management and management of such as Big Data, Internet of Things Covid-19 has opened up the residential schemes.

2 HB ADVISOR | JULY - SEPTEMBER 2021 Another company that also extends In May 2020, right in the thick of the In 2013, another proptech company such tech services is Infra Mobile Covid-19 pandemic, it also launched called Red Ideas Sdn Bhd leveraged Digital Sdn Bhd via its individually Storyteller as a virtual walkthrough tech’s accuracy and timely reporting for marketed apps dubbed ProSales, that combines 3D visualisation of the the operational and management of ProHouse, ProBuilder etc. Aside from subject property, its surroundings and real estates. After spending some time the similar services like MHub, it has a a video presentation by the property developing the software, it launched module to bridge the communication developer. JagaApp in 2015 and rolled out process in the construction side of the features such as the emergency assist, business and assists in documenting To the uninitiated, the two proptech visitors management system, general defects post-handover that complies companies have since merged into updates about the subject property with building regulations. one where PropertyGuru made a from the management body etc. The full acquisition of REA Group Ltd in company was then listed on the LEAP Completing the Circle May 2021 which owned iProperty. (Leading Entrepreneur Accelerator Seeing that completing the business com.my and Brickz.my in Malaysia Platform) Market on Bursa Malaysia in cycle may be the game changer and thinkofliving.com and Prakard. 2017 and by 2020, it reportedly has of what proptech could provide, com in Thailand. This expansion by more than 400 sites using the app. household names like iProperty and the PropertyGuru Group is in itself an PropertyGuru have also striven to exciting tale given the once fearsome The property management offices of penetrate the market in as much rivalry between the two - homegrown Henry Butcher also engage the use of detail as possible with either large iProperty and from across the more than four different apps to fulfill geographical coverage or API Causeway in Singapore, PropertyGuru. its property management duties for the (Application Programming Interface) clients. These apps are usually chosen integration with tech partners or both. Rivalry however breeds healthy together with the management body competition for the market and of the specific projects because other For example, around April 2019, in the Malaysian proptech space, than the familiarity of use, there are PropertyGuru began offering there have been a rising number of also other considerations that make home loan eligibility assessment to market entrants especially just in the it a better match such as its technical interested buyers. Doing the same last decade alone. For example, the configuration, users expectations and around the same time was also less talked about iBilik which was the cost of procuring its services. iProperty.com who via LoanCare established in 2011 and caters to began providing property buyers rooms, home stays and short term Where No Tech Has Gone Before with the feature to evaluate one’s rentals has shown that it now has The future of proptech would also loan eligibility with up to 17 banks footprints in Malaysia, Singapore, not be complete if it did not involve in Malaysia. The service is said to Indonesia, Philippines and Brunei. scenes mimicking Star Trek and Star be powered by Finology, another tech setup behind the personal finance website called Loanstreet. PropertyGuru on the other hand partnered MyProperty Data, which it subsequently acquired from TechnoDex Bhd in November 2020, to offer the service.

Another feature worth mentioning is PropertyGuru’s FastKey, promoted as a service that connects newly launched properties to the agents for a speedier sales cycle. It also provides an end-to- end documentation process for the benefit of the buyers and sellers. The tool is said to have a reach exceeding 50,000 agents from its home base in Singapore, Malaysia, Indonesia, Thailand and Vietnam. The future of property is here today.

JULY - SEPTEMBER 2021 | HB ADVISOR 3 PROPTECH

Things of science fiction can now be seen to market properties.

Wars, and this is where virtual reality called Lesys Property System, developed At this point, it may be relevant to (VR) and augmented reality (AR) can by Lepro System Bhd founded in 2016, point out that market proponents have stretch the possibilities of imagination to pair with apps to complete the legal categorised the differing proptech into the digital goggles for an intricate documentation process without having into four distinct verticals and they are exploration and hard to forget the agreements couriered to each other. Marketing & Promotion for Buying & experience. Established in 2016, VR Selling, Operating & Management, Lab Bhd made VR and AR virtual tours In all, the data points researched Automation of Smart Buildings, and possible for property developers. If at to arrive at this article exceeds 23 Investing & Financing. Nevertheless, one time the gadgets and technology companies with each having its own set these categories will surely be were still too new for ease of adoption, of USPs (unique selling propositions), challenged in form and structure as time and space have proven that this can and so the functionality extended by new formulations come into play now be done because VR Lab’s services such technologies can be endless, more to meet the needs of tomorrow’s were seen as possible avenues that can so when technological updates are demand. circumvent the lockdown that prevented constantly shipped with new patches gallery viewing by prospective and improvements. But regardless of where the Malaysian customers. proptech industry is headed to, some As far as adoption goes, the Malaysian veterans might recall that before all The narrative of proptech can actually market is pretty well entrenched and has the evolutionary talk of the current go much further than what we can no problems assimilating the use of say tech play, IFCA MSC Sdn Bhd founded see. With every conceivable purpose the Internet of Things (IoT) for keyless in 1987 was just about the only few programmable to be compatible entry and management of short term companies that served the property between protocols of devices, gone door accessibility, or like how blockchain industry back then. In comparison to are the days where machines fail to can be utilised for tokenising real estate the more flamboyant and younger shake hands due to its proprietary ownership, peer-to-peer lending and technopreneurs of today, one can say built-ups. These days the APIs are the investing. Unknowingly, the Malaysian this company has contributed its part tunnels that connect all seamlessly in brick and mortar business may have just to fan technology familiarisation so the unison and to perform the desired tasks landed at a runway that far exceeds the new breed of apps and modules may with just a few taps on the screen. The traditional limitations of plot ratios and not be too alien to everyone. Looking convenience has also yielded ground for scarcity of topography, and it is actually back, we have indeed come a long a conveyancing documentation system ready for take off. way.

4 HB ADVISOR | JULY - SEPTEMBER 2021 HENRY BUTCHER REAL ESTATE SDN. BHD. No.199201004957 (236461-w)

Bungalows and Service Residences For Sale and Rent

RM2,800,000.00 (nego) From RM2,750,000.00 (nego) From RM3,350,000.00 (nego) Bandar Mahkota Cheras Kemensah Heights, Ampang Maplewoods Saujana, Type Bungalow Tenure Freehold Type Bungalow Tenure Freehold Type Semi-D Tenure Leasehold Built-Up 6,000sf Land Area 7,700sf Built-Up 3,600sf Land Area 5,736sf Built-Up 4,300sf Bedroom 7 Bathroom 7 Bedroom 6 Bathroom 6 Bedroom 5 Bathroom 6 Furnishing Fully Furnished Furnishing Partly Furnished Furnishing Partly Furnished CK Lum (REN09439), 016-3028936 CK Lum (REN09439), 016-3028936 Christine Chua (REN09437), 012-3142864

RM6,500,000.00 (nego) For sale from RM550.00 per sq ft (nego) From RM3,000 per sq ft Sierramas, For rent from RM5,000.00 per month Four Seasons, KLCC Type Bungalow Tenure Freehold (nego) Type Private Residences Built-Up 8,000sf Land Area 9,990sf Taman Hevea Kemensah Tenure Freehold Bedroom 5+2 Bathroom 6 Type Semi-D Tenure Leasehold Built-Up from 1,098sf Furnishing Partly Furnished Built-Up 3,600sf Land Area 2,960sf Bedroom 1/2/3 Bathroom 2 / 3 Linda Ooi (REN09433), 012-2363065 Bedroom 5 Bathroom 6 Furnishing Partly/Fully Furnished Nigel (REN09436), 012-3960307 Furnishing Unfurnished /Partly Furnished Christine Chua (REN09437), CK Lum (REN09439), 016-3028936 012-3142864 Carolyn (REN09438), 017-8722781

From RM5,570,000.00 (nego) From RM1,700 to RM2,110 per sq ft From RM3,800,000.00 Jalan U-Thant Kuala Lumpur Le Nouvel, KLCC Oval, KLCC Type Condominium (Simplex, Duplex, Type Service Residence Type Service Residence Triplex) Tenure Freehold Tenure Freehold Tenure Freehold Built-Up from 1,700sf Built-Up 3,700sf Built-Up 3,568sf to 6,601sf Bedroom 2/3 Bathroom 2 Bedroom 3+1 Bathroom 4 Bedroom 4+1 Furnishing Partly/Fully Furnished Furnishing Partly/Fully Furnished Furnishing Partly /Fully furnished Christine Chua (REN09437), Christine Chua (REN09437), Christine Chua (REN09437), 012-3142864 012-3142864 012-3142864

From RM1,900,000.00 From RM1,600,000.00 From RM2,155,000.00 (before rebates) Ruma Residences KLCC Tropicana Residence KLCC Retail @Cantara Residences, Ara Type Service Residence Type Service Residence Damansara Tenure Freehold Tenure Freehold Type Retail Lots (12 units only) Built-Up from 900sf Built-Up from 700sf Tenure Freehold Bedroom 2, 3 Bathroom 2 / 3 Bedroom 1/2/3 Bathroom 1/2/3 Built-Up From 1,841sf to 4,682sf Furnishing Partly/Fully Furnished Furnishing Partly/Fully Furnished Facing East Furnishing Bare unit Christine Chua (REN09437), Christine Chua (REN09437), Nigel Chin (REN09436),012-3960307 012-3142864 012-3142864 **Attractive rebates & special promo Nigel (REN09436), 012-3960307 Nigel (REN09436), 012-3960307 given by developer

JULY - SEPTEMBER 2021 | HB ADVISOR 5 NEW LAUNCHES

Market Comeback Interrupted by Rising Cases & MCOs Nevertheless, there were more new launches in in 1H 2021 compared to 1H 2020.

and in every state, the overall trend of new launches picked up significantly Kuala Lumpur KUALA LUMPUR 1 in March and April 2021 with 11 and 1) = 1 Project 7 launches respectively, quite unlike Highrise = RM500 - RM550psf 1H 2020 with only 3 launches in March and none in April. 2) Bangsar = 1 Project ● Project launches in 1H 2021 were Highrise = RM1000 - RM1300psf again pressured by the increasing 3) = 1 Project 2 infectious rate of Covid-19 resulting in Highrise = RM500 - RM600psf 4 5 only 4 launches in May and 1 launch 4) KL City = 1 Project in June when the country was already Highrise = RM800 - RM900psf 3 undergoing its nationwide lockdown 5) Pudu = 1 Project under full MCO beginning 1 June Highrise = RM350 - RM400psf 2021, preceded by MCO3.0 which began on 12 May 2021 and followed 6) = 1 Project by Klang Valley’s stricter MCO from Highrise = RM600 - RM700psf 7 6 25 May 2021. Launches were however 7) = 1 Project making its way into the market in May Highrise = RM650 - RM700psf and June 2020 with 1 and 2 launches respectively after the first MCO was Number of Units Launched loosened to a Conditional MCO from 4 Number of New Project Launches in New Projects May 2020 and Recovery MCO from 10 2020 2021 2020 2021 June 2020. Projects 12 31 Units 6,037 6,931 ● Terrace/Superlink homes continued dominating Klang Valley’s new ● There were a total of 31 projects of Kuala Lumpur’s 3,230 units (53%). launches in 1H 2021 with 15 projects launched in Klang Valley in the first The trend was however reversed in or 44%, which is almost half of the half of 2021, almost 3 times the total the corresponding period in 2020 total 34 new projects in the market. launched in the same period of 2020. with Kuala Lumpur’s 3,317 units (55%) In the same period previous year, The glaring difference is attributed edging Selangor’s 2,720 units (45%). the same category recorded 6 new to the Covid-19 pandemic which saw ● Reflective of the continuous launches out of a total of 12 projects. Malaysia experiencing the Movement implementation of the MCO albeit ● New landed properties more than Control Order (MCO) starting from at a different variant depending on doubled highrises in 1H 2021 with 18 March 2020. the state of the caseloads nationwide 23 projects (68%) compared to 11 ● Selangor had a higher number of launches over both periods, Types of Projects 15 registering 24 projects (or 77%) in 1H 2021 against Kuala Lumpur’s 7 2020 2021 projects (23%). In 1H 2020, Selangor had 9 projects (75%) while Kuala Lumpur launched 3 projects (25%). 6 ● With a rise in activity after a year from 5 5 5 the pandemic, 1H 2021 registered a 3 14.8% increase in the number of units 2 1 1 1 1 1 launched with 6,931 units compared to 6,037 units. Bungalow Semi-D Cluster Terrace / Condominium Serviced Apartment / ● New projects in Selangor contributed Super Link Residence / Flat 3,701 units (47%) in 1H 2021 ahead Serviced Apartment

6 HB ADVISOR | JULY - SEPTEMBER 2021 UNIT SIZES BY PROJECTS

2020 2021 0% Below 600sf 6%

601sf - 800sf projects (32%). The gap of difference prominent sizes were the 801 to 33% 12% was narrower in 1H 2020 with 7 1,800 sq ft which was offered by 31 801sf - 1,000sf landed projects (58%) against 6 out of 34 projects in 1H 2021. 33% 24% highrise projects (42%). ● Built-ups measuring above 2,000 sq ft 1,001sf - 1,200sf ● In terms of units launched in both the were offered by 20 out of 34 projects 25% 21% landed and highrise categories, both in 1H 2021 compared to 6 out of 12 1,201sf - 1,500sf registered an increase with highrise projects in 1H 2021. 17% 24% projects going from 4,697 units in 1H ● If pricing is a measure of market 1,501sf - 1,800sf 2020 to 4,849 units in 1H 2021 (up performance, then 1H 2021 proved 25% 24% 32.36%) while the landed category to be a better period with 11 projects 1,801sf - 2,000sf went from 1,340 units in 1H 2020 to offering units above RM751 per sq 33% 15% 2,082 units 1H 2021 (up 55.37%). ft as opposed to only 2 projects Above 2,000sf ● With regards to built-up, the more offering the same price range in 1H 50% 59% 2020. Selangor PRICING BY PROJECTS 1) Sungai Buloh = 3 Projects 2020 2021 Landed = RM300 - RM1000psf Below 17% RM400,000 9% 2) = 1 Project RM401,000 - Highrise = RM800 - RM1,000psf 25% RM600,000 35% 3) = 2 Projects SELANGOR RM601,000 - Landed = RM350 - RM750psf 58% RM800,000 62% 4) Klang = 3 Projects RM801,000 - RM1,000,000 Landed = RM350 - RM650psf 50% 53% Above 5) Shah Alam = 2 Projects 67% RM1,000,000 68% Landed = RM450 - RM550psf 1

6) Subang Jaya = 1 Project 2 PRICE PER SQUARE FEET (PSF) Highrise = RM500 - RM700psf 3 2020 2021 6 7) = 1 Project 4 Below 5 14 Landed = RM750 - RM950psf 7 8 67% RM500 50% 8) Sri Kembangan = 1 Project 13 RM501- 9 12 58% RM750 44% Highrise = RM550 - RM700psf 10 RM751- 9) = 2 Projects 11 8% RM1,000 26% Landed = RM600 - RM1,100psf RM1,001- 10) = 1 Project 8% RM1,500 6% Landed = RM300 - RM400psf Above 0% RM1,500 0% 11) = 1 Project 13) = 3 Projects Landed = RM300 - RM400psf NB: The percentages shown in the table are based on Landed = RM250 - RM500psf our analysis of the projects that we surveyed but they 12) are not computed based on the number of units within Bangi = 2 Projects 14) = 1 Project those projects. The way to read this table is as follows eg. based on the projects that we analysed, 56% of Landed = RM350 - RM550psf Highrise = RM550 - RM600psf them included units of above 2,000 sq ft in size. It however does not mean that 56% of all the units are above 2,000 sq ft. Each project will probably only have very few units of above 2,000 sq ft in size. Location 3 Location 2021 2020 2 3 3 3

1 1 1 1 1 1 1 2 2 2 2 Alam Damai Bangsar Bukit Jalil Dengkil Kajang KL City Petaling Jaya Puchong Pudu Sepang Setapak Subang Jaya Desa Taman 1 1 1 1 1 1 1 1 1 1 1 1 1 1 Klang Dengkil Klang Semenyih Sungai Buloh Bangi Cyberjaya Setia Alam Shah Alam Puchong Setia Alam Mont Kiara Sungai Buloh

Kota Kemuning JULY - SEPTEMBER 2021 | HB ADVISOR 7 VALUE MAP

Cheras North Positioned to meet urban demand.

KAMPUNG PANDAN 26 27 PUDU

A 28 25 1 B 29 2 3 C 4 TAMAN20 5 D 21SHAMELIN19 6 22 PERKASA 7 E 18 8 23 F TAMAN 17 24 KOBENA 16 PANDAN 10 9 12 15 PERDANA 11 TAMAN

PERTAMA13

CHERAS 14

LEGEND

Primary 12) Vistaria A) One Cochrane Residences 13) Taman Pertama UNDER COMPLETED B) Sunway Velocity Two 14) Seri Bahtera CONSTRUCTION C) Una Service Apartment 15) Astaka PRICE RM(psf) D) Lavile KL 16) Bestari E) Parc 3 @ Cheras 17) Bustan F) M Vertica 18) Sri Shamelin 19) Arena BELOW 201 - 300 301 - 400 401 - 500 Secondary 200 20) Shamelin Star 1) Plaza 393 21) Sri Cempaka 2) Warisan 22) D’ Alamanda 3) V Residence 23) Villa Tropika 501 - 600 601 - 700 701 - 800 ABOVE 4) Amaya 800 24) Pudu Impian * = Asking Price 5) Taman 1 25) Casa Ria 6) Miharja Condo 26) Pertiwi 7) Taman Miharja 2 QUICK STATS 27) BAM Villa Built Up Price (RM 8) Taman Kobena (SF) PSF) 28) Taman 9) Villa Seri Puteri Maximum 2,508 1,103 29) Manor Minimum 527 257 10) Pertama Residency Median 964 431 11) Vila Vista

8 HB ADVISOR | JULY - SEPTEMBER 2021 ● Cheras was originally part of Hulu Primary Development (Completion Year & Built-Up, sq ft) Langat in the state of Selangor. However on 1 February 1974, part Completion Project Type Minimum Maximum of it was annexed as Kuala Lumpur 2021 Lavile KL Service Apartment 750 1,060 to form the Federal Territory. As 2021 M Vertica Condominium 850 1,000 such, the northern part of Cheras 2021 One Cochrane Residences Condominium 926 1,227 under Kuala Lumpur which borders Ampang comes under the city 2021 Parc 3 @ Cheras Service Apartment 592 1,226 council of Kuala Lumpur (DBKL) 2021 Una Service Apartment Service Apartment 807 1,356 while in the southern side under 2022 Sunway Velocity Two Service Apartment 635 1,281 Selangor which borders Kajang is under the (MPKJ). Secondary Development (Completion Year & Built-Up, sq ft) Completion Project Type Minimum Maximum ● The entire Cheras locality has 11 1994 Miharja Condominium Condominium 959 / MRT stations out of the 31 stations 1990's Casa Ria Condominium 1,001 1,173 allotted on the Sungai Buloh- Kajang MRT line. This adds to the 1990's Taman Kobena Flat 969 / already robust road accessibility 1990's Taman Maluri Flat 527 / via East-West Link Expressway, 1990's Taman Miharja Fasa 1 Flat 581 650 MRR2 (Middle Ring Road 2), Kajang 1990's Taman Miharja Fasa 2 Apartment 799 844 SILK Highway and Cheras-Kajang 1990's Taman Pertama Flat 549 / Expressway. 1996 BAM Villa Condominium 936 1,173 ● A full suite of life conveniences 2002 Plaza 393 Apartment 915 / can be found in Cheras such as 2005 Warisan City View Condominium 904 1,055 conventional shops for groceries, 2000's Arena Shamelin Apartment 1,023 / dining, banking, shopping malls, 2000's Bustan Shamelin Apartment 1,023 / hospitals, sports & recreation grounds and education institutions 2000's Manor Apartment Apartment 926 / up to the tertiary level like UTAR 2000's Pudu Impian Flat 667 / (Universiti Tunku Abdul Rahman) 2000's Sri Cempaka Service Suite Service Apartment 566 / and UCSI University. 2000's Sri Shamelin Apartment 614 / 2000's Seri Bahtera Flat Flat 614 / ● This value map covers a wide area in Cheras North which encompasses 2007 Astaka Heights Apartment 1,076 1,184 Taman Maluri, Shamelin, Taman 2007 Pertiwi Indah Condominium 1,001 1,281 Miharja, Taman Pertama, Taman 2009 Pertama Residency Service Apartment 603 936 Bukit Ria, Taman Bukit Mewah 2012 Vistaria Residensi Condominium 1,453 1,701 and Pudu Ulu with approximately 2013 Amaya Maluri Service Apartment 657 1,655 29 existing and 6 new high rise 2014 D'Alamanda Service Apartment 695 1,424 developments. 2014 Villa Seri Puteri Condominium 1,302 2,508 ● In the 1990’s, high rise 2010's Shamelin Bestari Condominium 1,044 / developments were mostly 2010's Vila Tropika Condominium 947 / dominated by flats with general 2016 Shamelin Star Residence Service Apartment 1,119 / built-ups of below 667 sq ft. Taman 2016 Vila Vista Condominium 1,582 1,679 Kobena Flats however had larger V Residences @ Sunway units measuring up to 969 sq ft. 2019 Service Apartment 883 1,512 Velocity ● BAM Villa, Casa Ria and Miharja Condominium were later introduced City View were the only 2 ● Condominiums that were to the market and featured larger condominiums completed in the subsequently built in 2010’s were units of between 936 to 1,173 sq ft. first decade of the 2000’s. Unit significantly larger in unit built- built-ups were between 904 to ups, offering buyers and investors ● The first decade of the 2000’s saw 1,281 sq ft. between 947 to 2,508 sq ft per unit. the addition of 8 apartments & Service apartments on the other service apartments offering homes ● The trend in Cheras’ property hand had varying sizes, ranging from 566 to 1,076 sq ft, reflecting market continued to change in from 657 to 1,655 sq ft. the changing appetite of property the 2010’s with 6 condominiums buyers in Cheras. coming on stream and joined by ● Moving into the 2020’s, 4 service 4 service apartments which were apartments and 2 condominium ● Based on our data, Pertiwi Indah considered new in this part of projects are slated to be completed Condominium and Warisan Kuala Lumpur. between 2021 and 2022.

JULY - SEPTEMBER 2021 | HB ADVISOR 9 BUSINESS VALUATION

Benefits of Performing Business Valuation By Adie Gupta

n general, businesses grow overtime value should be appealing to potential or company, the ultimate value is and so should the value. But how buyers but should not undervalue the determined by what purchasers are do you measure that? Undergoing relevant business or the company. prepared to pay. A robust business Ia business valuation process can help or company valuation will look at you answer that question. Undergoing a proper business valuation the history of the relevant business process enables equity owners to know or company, market circumstances, Business valuation services can be the value of their shares and ensures projected income, comparable extremely important in certain contexts. they are prepared to sell when the time companies or businesses, consider Let us look at these contexts in some comes. Business owners should verify economic and market parameters, risk detail in this article. that no money is left on the table and and opportunity factors to help ensure that the shares are valued fairly, just as that the investment one is considering Selling A Business or Shares one would when selling a property or an making is viable. When selling a business or company to asset. a third party, one needs to make sure Business valuation therefore becomes that what is obtained is fair value or at Buying A Business paramount before buying any business least what the market may be prepared Even though sellers and buyers often or company. It is prudent to engage an to pay ie. its market value. The asking disagree on the value of a business experienced business valuer to provide

10 HB ADVISOR | JULY - SEPTEMBER 2021 an independent and objective view and in understanding the success of the Important Points a guide on the value, and hence the business exit strategy. A valuation is a procedure for price one should pay. Often emotions determining a business or entity’s can play a part in overpaying or not Litigation market worth. Business restructuring, seeing through certain risk factors in During a court action, such as a shareholder conflicts, stock option the haste of completing the transaction. personal injury lawsuit, divorce or a schemes, mergers and acquisitions, Again, an independent and objective dispute over the value of a business and takeovers may all require business view here would reduce risks to a or shares, one may be required to valuation. considerable degree. submit proof of the relevant business or shares’ worth so that any damages Most experts consider valuations to Funding awarded are based on the actual value be a critical component of sound When negotiating with banks or of the business or shares rather than decision-making in companies, both other possible investors for capital, an inflated figures assessed by a lawyer. now and in the future. Even though it is objective valuation is often required. difficult to anticipate what will happen Professional assessment of the General Accounting and Finance in the future, companies must plan for relevant business or company’s value Planning uncertainties. is recommended since it improves the A depreciation plan may not reflect lender’s/ funder’s confidence in the the actual worth of business assets Business valuation is a critical financial borrower/funds seeker. and if the balance sheet has not been analysis tool that requires the expertise adjusted for numerous conceivable of a valuation professional with the Planning Exit Strategy modifications, it might throw up a necessary experience, commercial When planning to sell a business, it is value which is not at all practical or acumen and credentials. When business crucial to first establish a base value commercial ie. far from market value. owners choose low-cost valuations, for the business or company and they often overlook the substantial then develop a strategy to grow and In any event, valuations based on advantages of doing a robust and improve its profitability to boost its balance sheet may undervalue, many independent valuation with trained value as an exit strategy. The business a times significantly, the underlying valuation professionals. exit strategy should begin far in business and any intangible assets (IAs) advance of the exit, considering many or intellectual properties (IPs) it may Business owners can not only negotiate possible scenarios and options. In have created over the years. Having a a tactical sale of their company, but addition, valuing the relevant business current business valuation will provide they could also devise an exit strategy, or company over a period when the the business owners with helpful get funding, and lower their financial owners are attempting to grow and information that will assist in making risk during a lawsuit by undertaking a improve its profitability also helps better business or corporate decisions. business valuation exercise.

This article is authored by Adie Gupta, the Co-Founder and Managing Director of Spring Galaxy, an Associate firm of Henry Butcher Malaysia. Adie has been providing valuation and strategic advisory services to the corporate sector and government agencies across the Asia Pacific region for more than 20 years. He is a regular trainer for accounting bodies, business schools, angel networks as well as speaks at various conferences and other forums on valuation and IP.

Spring Galaxy is a business valuation and strategic advisory services provider. For more information, please visit https://springgalaxy.com Every business has its value and valuation helps to give it a fair assessment.

JULY - SEPTEMBER 2021 | HB ADVISOR 11 WILL WRITING

Will Writing 101 Death is not the end. There remains the litigation over the estate ~ Ambrose Bierce (a similar expression in Chinese ~ “人在天堂，钱在银行，亲人对簿公堂“)

ill writing is a topic that be of sound mind, has executed the Will may appoint up to 4 Executor(s) in many still find unpleasant to voluntarily and is at least 18 years old. his Will. If any Beneficiary is an infant discuss. Some take it into The Testator must also understand the (below 18 years old), administration Wtheir own hands to write their Will but contents of his Will. will be granted to not less than two (2) before you consider this option, here’s individuals. what you need to know. In the case of Gan Yook Chin & Anor v Lee Ing Chin & Ors, the issue on the If there is a Will, the Executor shall apply What is a Will? testamentary capacity of the Testator to the High Court for a Grant of Probate It is a legal document detailing your was raised ie. whether the Testator who and to distribute the estate according to intention on the distribution of your was at the material time so debilitated the Will. The application will generally estate in the manner you desire and to was capable of having a sound take two to three (2-3) months. the Beneficiaries of your choice. Once disposing mind. The Federal Court ruled executed a Will is valid but it only takes that the Will was valid as the Testator Who can be a Beneficiary to a Will? effect upon your demise. With a Will, had understood the nature and effect of A Testator may distribute his estate to the distribution of assets will be much his act, and the extent of assets he was anyone and in any manner he desires, faster than without one. disposing of under the Will. Hence, in including to the Executor. The more determining the capacity of the Testator common Beneficiaries of a Will are the The person making the Will is known to make his Will, it is the soundness of spouse and children of the Testator as the Testator, whereas the person mind or mental capacity of the Testator (“Family Member”). who inherits or benefits from the Will is at the time of execution of the Will that known as the Beneficiary. The person matters. If you wish to leave a Family Member who is appointed in the Will to carry out out of your Will, it is advisable to the instructions in the Will is known as Who can be appointed as the state your intention clearly in the Will the Executor. Executor? with reasons thereof in order to avoid The Executor must be of sound mind potential challenge to your Will by any For a Will to be valid, a Testator must and at least 18 years old. A Testator aggrieved Family Member. For instance,

12 HB ADVISOR | JULY - SEPTEMBER 2021 an indication in the Will that “there has a Beneficiary who is disabled or a minor of a new Will, Testator’s subsequent been adequate provision for the Family and to empower the Executor to utilise conversion to Islam, Testator’s marriage Member made during the Testator’s the asset for the maintenance, education or re-marriage after the making of lifetime”. and benefit of the disabled or minor a Will (save for a Will expressed to Beneficiary. be made in contemplation of such In the case of Harjinder Kaur Sham marriage or re-marriage) or if the Will is Singh & Anor v Balvinder Singh Employees Provident Fund/Insurance intentionally destroyed by the Testator Sham Singh & Ors, the movable and Proceeds or someone else under his direction. immovable properties of the deceased Please note that your funds with EPF and were to be equally distributed to insurance proceeds will be distributed Conversely, a divorce will not result in her two sons to the exclusion of her according to your nomination with EPF the revocation of previous Will. daughters because they had been given and insurance company respectively. sufficient jewellery, cash, clothes as well Can a Will be signed electronically? as payment of the customary dowry Assets Outside Malaysia No. Section 5(2) of Wills Act expenses by the deceased. A Will made in Malaysia may include 1959 specifically enumerated the assets both within and outside Malaysia, requirement for the presence of the What constitutes a valid Will? subject to the re-sealing of the Grant of Testator and Witnesses at the same A valid Will must be in writing, signed Probate in foreign jurisdiction in order time. In addition, the Witnesses will by the Testator in the presence of at for it to take effect in another jurisdiction have to bear witness to the mental least two (2) witnesses present at the (subject to the Reciprocal Enforcement capacity of the Testator at the material same time, and such witnesses shall of Judgments Act of each country). A time and his voluntary execution of the subscribe the Will in the presence of the Testator may also consider having multiple Will. Testator. Wills for assets in different jurisdictions. However, it is paramount to make clear Conclusion Witnesses need not know the contents in each Will that any subsequent Will Will writing is an intricate matter. The of the Will but should witness to the for assets in another jurisdiction will not best option is to consult a lawyer who fact that the Will was executed by the replace the previous Will. is familiar with Will writing. Otherwise, Testator voluntarily and without any there is a risk that your intentions may undue influence or coercion. Selling of Assets not be carried out effectively. It is advisable to include a clause in the Please note that the Beneficiary or Will empowering the Executor to sell This article is written by Chee Siah Le spouse of Beneficiary cannot be a certain assets. By having this clause, the Kee & Partners, Advocates & Solicitors. witness to the Will. Executor is spared from having to apply The information provided above is for for a separate Order for Sale from the general informational purposes only What happens if a certain asset is left Court. and not intended to constitute legal out from the Will? advice. Readers should contact their It is common to include in a Will a How to revoke a Will? lawyers to obtain advice with respect residuary clause to deal with distribution A Will is a living instrument. It can be to any particular legal matter. For more of any assets not specifically mentioned revoked before the Testator’s death information, please email csilk@csilk. or assets acquired after the making of in circumstances such as the making com.my. the Will. The Testator has the liberty to determine how these residuary assets should be dealt with. Alternatively, the Testator may opt to deal with such assets specifically via a new Will or a Codicil.

Other Considerations Special Instructions You may wish to give your Executor other special instructions, such as an instruction for the Executor to hold a certain asset upon trust as guardian, Section 5(2) of Wills Act 1959 stipulates that the Will must be signed with physical presence of custodian and trustee for the benefit of the Testator and Witnesses at the same time.

JULY - SEPTEMBER 2021 | HB ADVISOR 13