Thursday, August 25, 2011

Fragonard Garden: Online Brochure

Here is VST's latest project Fragonard Garden, located at Balik Pulau Penang!
Fragonard Garden consist of :-
  1. A grand total of 68 units. (built upon 6.4 acre land)
  2. Consisting of: 54 intermediate units, 14 corner units
  3. Land Area: 20' x 60' (1,200 sq. ft intermediate unit land area;
      1. 1,639 sq.ft - 3,169 sq.ft corner unit land area)
  4. Built up Area: 20' x 40' (1,600 sq.ft nett of total built up area)
  5. Bedrooms: 3+1
  6. Bathrooms: 3
  7. Title: Individual Title
  8. Tenure: Freehold Land
Like its tagline "Fragonard Garden is close to Everything!" its TRUE!
Here are some reference for your review:

Layout Plan

Total Scheme Plan


Please contact us for further information.
Limited units available...Hurry!
===========================
= Michael
..... : 016-4207727
= Daniel....... : 016-4217121
= Luffy......... : 012-5560077
= Ryan......... : 016-4278766
==email us: the.propertizer@gmail.com
=
Thanks! :)

===========================

Fragonard Garden: About

              Fragonard, a direct French translation from the English word "Fragrance" is a project consisting of 68 units of terrace, built upon a 6.4 acre land. It's developer, VST Development Sdn. Bhd, has already 16 years in the business and currently is on its way climbing the main board of Malaysia.

  The concept: Fragonard Garden's unique surrounding promotes key feelings such as:-
"calmness, serenity, revitalization, rejuvenation, freedom and relaxation". 
The location of the project, which is nested along the main road (Jalan Sungai Rusa)'s "green township" of Balik Pulau spoils its residence in terms of choices of amenities.

Cheap housing for local folks


GEORGE TOWN: About 7,300 affordable residential units will be built in the Batu Kawan ‘People’s Housing’ project.
Chief Minister Lim Guan Eng said the units would be built on 80.9ha of land in the new Bandar Cassia satellite township.
“We will call for an open tender soon to try to secure more value-added features for the project,” he said.
“Although this is a project for affordable housing, we want to it to be comfortable and we welcome more ideas to make it better.
“After the Hari Raya festivities are over, things will move fast,” he said, adding that an open tender would also be called for a 141ha golf course on the nearby hilly terrain.
Lim said the ‘People’s Housing’ was a starting point for the state government in providing affordable units for Penangites.
He said locals were given priority as the development, expected to cost billions of ringgit, would be heavily subsidised by the state government and the Penang Development Corporation (PDC).
“Initially, I announced that only some 60ha would be used for affordable housing but we have since increased the land size,” he told a press conference yesterday.
PDC general manager Datuk Rosli Jaafar said there would be no segregation between the low and low medium-cost units to encourage neighbourliness.
“We will optimise the density to 56 units for the medium rise apartments and the blocks would be no higher than 10 storeys.
“Units of various sizes will be housed in the same blocks because we do not want the low-cost unit owners to feel segregated,” he said.
Prices for the units range from RM72,500 for about 800sq ft to a maximum of RM220,000 for the larger units. Earthwork for the entire project will take 18 months to complete.
The whole development is targeted for completion within five to seven years.

Saturday, August 20, 2011

Pavilion Resort: Personal Pointers

Who should consider?:-
  1. First time buyers
  2. Investors
  3. Our friendly Neighbors that frequently visit Penang (Singapore, Thailand, Indonesia, Hong Kong, Australia)
  4. Upgraders
  5. FTZ industry staff
  6. People that want to enjoy luxurious living on the Resort side of the island
Why you should consider this resort?, Well i have tons of reasons and facts, but to keep it short - heres a summary of what my top 5 views:-
  • Excellent location, ideally location near the junction of Jalan Bayan Lepas and Jalan Permatang Damai Laut. Just think about it, one way to work at FTZ or even exit to Queensbay area into Sungai Dua for your daily needs.
  • Easy access! "Yeah Right!" I hear you say....but hear me out here... According to the flow of the upgrade of amenities and the completion of the current construction of the Second bridge (entrance/exit near Motorola factory), Road upgrades should be in progress by the time the construction of Pavilion Resort is complete (expected 2014). We are very hopeful and this situation looks quite positive when so many big time, big name developers such as Masing, SP Setia and Bolton have bought up land at Teluk kumbar already for near future development. Here are some backing articles that we have in our propertizer archive:

  • Value for money! for a 1,477 square feet Resort condo in Penang with breathtaking seaview with good facilities awaiting for you to use everyday for the price of RM345 per square feet, any Penangnite would tell you its a hard find, even with the vast supply of especially luxurious condos on the island. Who can tell the price after the second link and the new Balik Pulau township is up and running, but i have a very good feeling that the only way the prices are going is UP.
  • Discover Comfort and luxurious lifestyle. IMAGINE....waking up to clear blue skies and looking at Penang's southern ocean seas with calm mountain breeze actively moving surrounding the building...everyday. Facilities of the Resort condo ready to welcome you to use. Comfortable space and areas designed for everyday family use. Wow your guest when you invite them to your humble aboard!
  • Easy access to amenities. Enjoy tons of seafood cafe and shops within the surrounding area, easy access to nearby CIMB bank, go on and satisfy your thirst for your morning or late coffee Starbucks and Coffee Bean at the Penang International Airport. The POLICE are also within your reach at anytime as the Teluk Kumbar police station is just around the corner. Get daily food supply at nearby wet market with valued, cheap & reasonable prices
Thanks, these are only my 2 cents, but i am sure among what i have shared you have better ideas then that :)

Personal note:
but the point is, we want people to realize what a fantastic property this is to own! Too much of times we have already personally encountered situations when we approach an interested prospect to share with them our view but procrastination always was the culprit to destroy their entree point or decision for a better life. when we meet them down the road, there are always a share of sad stories of how they "should have done this or that....or else I would have gain this or that".
Let this not be your story. apart from Pavilion Resort....this is my advise to all our readers for anything at all (property, life, business, life decisions).
Act and take action now, if your heart feels right.

Thanks

Visit Pavlion Resort online brochure:

Problems on Penang? Possible oversupply with new developments

Close to US$10billion in developments have been planned for picturesque Penang island

Malaysia’s Penang island has seen a surge of planned projects over the next 10 to 15 years worth RM29.6 billion (US$9.9billion), but some have raised concerns over the ability of the market to sustain this.

Over 1,121.56 acres of land, including reclaimed land, will hold the properties, according to The Star Online.

Some of the projects include Eastern and Oriental Bhd’s second phase of the Seri Tanjung Pinang project in Tanjung Tokong, which will include two islands comprising 740 acres of reclaimed land.

It is expected to take two years from the start of reclamation before the project can be launched and a further 10 to 15 years to fully develop the land, said E & O deputy managing director Eric Chan in a report.

“Within that time, with Penang continuing on its present growth path, the demand for better residential properties and lifestyle amenities is expected to be generated,” he said.

Other projects include 35 acres by Ivory Properties Bhd; 103 acres by IJM Land Bhd; approximately 95 acres of development by Mah Sing Group Bhd; and close to 600 units on 81 acres by Sunway City Bhd.

Approximately 70 per cent of the planned developments are residential.

Yet, even at current levels of purchasing, which is the highest it’s been in years, observers said it would take 10 to 11 years to up take all of the properties.

According to Real Estate & Housing Developers’ Association (Rehda) Penang chairman Datuk Jerry Chan Fook Sing, this is a long time.

“A RM21billion (US$7billion) GDV (gross development value) is a lot for the market to absorb even if the period of uptake were to be extended to 15 years.
“The planning and the launch of the projects must be timed to suit demand, although the demand of properties would be higher in certain areas of the island.

“But of course if the economy continues to be good and there is consistent or increasing demand, there should be no problem for the new launches to be absorbed in a shorter period of time.

“If Penang can continue to re-invent itself in the economic sphere, then it can draw people from other states to Penang to work.

“This migration could serve as the source of demand for the future property launches and create a higher population as opposed to normal birth rates,” Fook Sing said.

The oversupply of new property could have a downward effect on prices on the island, according to registered and chartered valuer C.A. Lim & Co. owner Lim Chien Aun.

“As it is, the bulk of properties purchased over the past five years were for speculation purposes.

“When the holding power is gone, the speculators will have to release the properties into the market. Add that to the supply of new launches, there will be an oversupply situation.

“Developers must identify where their markets are coming from carefully and release the new launches according to demand,” Lim said.

Lim said for the past five years, the return on investment (ROI) for properties on the island had dropped by 50 per cent, while the value had increased by about 100 per cent. This is something that had gone unnoticed.
“The ROI is worsened by the fact that Penang properties generate very low rentals. If the ROI keeps decreasing, as property values increase correspondingly, then no one would buy property in Penang for investment purposes.

“The property market in Penang would then become purely speculative in nature,” Lim said.

Lim added that there was also the affordability factor.

“To purchase a high-rise property priced above RM300,000 (US$100,553) on the island, the buyer’s monthly household income would need to be between RM8,000 and RM10,000 (US$2,700 – 3,400).

“The bulk of wage earners in Penang do not fall into this income bracket. Where would the demand for future property launches come from?” he said.

Sunway City general manager Tan Hun Beng said the volume of properties planned for launch raised the question whether developers had done enough research and analysis on market demand.

Chartered valuer and property consultant Azmi & Co (Penang) Sdn Bhd managing director Chandra Mohan Krishnan said the RM21billion (US$7billion) GDV of residential properties was a lot to absorb over a 10 to 15 years period.

“If there is no demand, there may be downward pressure on property prices. However, the value of landed properties on the island should be able to hold on, as they are becoming scarce,” he said.

IJM Land (north) general manager Toh Chin Leong said it was important for developers to build a balance mix of residential and commercial properties.

“Commercial projects are important to attract the movement of labour to Penang, which will provide demand for housing. This is why a large portion of our second phase on 103 acres comprises commercial projects such as hotels, corporate offices, and retail outlets.”

Penang Master Builders and Building Material Dealers Association immediate past president Datuk Finn Choong said the reclamation works would generate demand for workers and jobs for local contractors.

“We can see positive benefits for Penang even before the launch of the new properties.

“The reclamation activities would bring in foreign labour to Penang which would generate economic spill-over effects for the state, as the workers would have to spend money on rentals and food. On paper the number of new projects seems a lot.

“However, if the Penang government can continue inspiring confidence in investors and manages well the expectation of Penangites, the state can draw migration from different income groups into the state that can support the new properties planned,” Choong said.

Henry Butcher Malaysia (Penang) director Dr Teoh Poh Huat said Malaysia’s population stood at 28.3 million with an average annual growth rate of 2 per cent.

“Being a young population, 67 per cent are between 15 and 64. Nearly everyone will be making decisions about where to live, work, shop and play, with real estate as the major key component for the next 20 years.

“It is important to know a great deal about where they reside, educational backgrounds, family composition, incomes, and whether or not they work. Consequently future real estate needs can be anticipated,” Teoh said.

On the infrastructure supporting future development, Penang Chief Minister Lim Guan Eng said international contractors from several countries have indicated that they are interested to build four major road projects in Penang.

Lim said the contractors were from China, Singapore, Hong Kong, Japan and South Korea.

He said the state government would invite those interested to bid for the projects via request for proposals (RFP) by the end of the year.

“The RFP will be out at the end of the year. It will take another six months before the contracts can be awarded to the successful bidders,” Lim said in an interview recently.

The proposed projects are the 4.2km Gurney Drive-Lebuhraya Tun Dr Lim Chong Eu bypass, the 4.6km Lebuhraya Tun Dr Lim Chong Eu-Bandar Baru Air Itam bypass, the 6.5km Penang-Butterworth Tunnel, and a 12km proposed road connecting Tanjung Bungah and Teluk Bahang.

Coming Soon!! Another Xclusive Project from the team of ThePropertizer

Good day all ,

Watch out for our next upcoming project coming to you very soon . Do check back on us and don't miss out the opportunity :)

Hint :) Low entree deposit . Now everyone can afford to buy a home :P


Take advantage of our soft launch price and package . It's only for the 1st 20 purchasers only

Thanks :O


Friday, August 19, 2011

Pavilion Resort: Official Launch

Thanks to all buyers that have purchased units at our Gurney Plaza Roadshow. Again, would like to remind everyone that..

Pavilion Resort
is having its official launch @ Gurney Plaza, Penang

Everyone is encouraged to come and take a look of what this luxurious resort condo has to offer. Prices are from RM 509,xxx onwards* (thats from RM345* per-square feet onwards)
Look for us in front of Gold Heart Jewelery shop located on the Ground floor of Gurney Plaza (Old wing)

Enjoy Value for money as we are giving away a RM 10,000 discount for early birds!
come look for us now to find out more!

*Price quoted as from date: 17/8/2011. Price may vary over time



Pressure piling on builders


BALIK PULAU: Penang Barisan Nasional is now claiming that the DAP-led state government is piling on the pressure on developers here by demanding that they contribute more funds to Penang.
This has inadvertently led to the rise in property prices as the builders have to pass on the additional costs to the buyers, Penang Barisan working committee chairman Datuk Dr Teng Hock Nan said.
Dr Teng claimed that the state also “arm twisted” the developers to maintain and to landscape open grounds, beautify roundabouts as well as to conduct more corporate social responsibility (CSR) programmes.
As a result, he said, house buyers were charged higher prices as the developers had to spend extra to meet the state’s requests.
“This state policy is burdening the rakyat. The prices of houses today are definitely beyond the reach of many, especially those from middle down to low-income groups,” said the former state executive councillor.
“The costs of maintaining open spaces should be borne by the local authorities, not developers.”
Dr Teng said Penang’s property prices had recorded an average increase of between 50% and 100% over the last three years because of the state policy and consent to the increase in land premium charges.
The state government is reportedly charging developers a premium of RM40,000 for each low-cost housing unit not constructed in a given quota.
This is much higher than the RM8,000 penalty imposed by the former government for each unit.
Dr Teng noted that market prices of condominium units in 2008 were RM250 to RM300per sq ft, but the rate is now RM350 to RM600per sq ft,
“Whereas the terrace house price in 2008 was RM400,000 to RM550,000 per unit, it is now RM700,000 to RM1.4mil per unit.”
“The state is also imposing development charges of RM5 to RM15, which is three times higher,” he said before leading a Barisan walkabout at a Pasar Ramadan here yesterday.
Present were Bukit Gelugor MCA division deputy head and state Barisan working committee treasurer Loh Nam Hooi, Penang Barisan Information head Datuk Dr Loga Bala Mogan as well as state Umno liaison deputy chairman Datuk Musa Sheikh Fadzir and Teluk Bahang assemblyman Datuk Seri Dr Hilmi Yahya.
Penang Rehda chairman Datuk Jerry Chan Fook Sing, commenting on the claims, said the previous state government had also asked developers to make similar commitments.
He said many developers were willing to play their part in the CSR programmes voluntarily such as to adopt roundabouts and beautify open grounds.
“The main factor in the rise of housing prices is the jump in land prices of between 100% and 200%.”
Penang Town and Country Planning, Housing and Arts Committee chairman Wong Hon Wai could not be reached for comment.

Monday, August 15, 2011

Gurney Plaza Roadshow! Pavilion Resort Official Launching!

Dear all,

We would be having our official launch at Gurney Plaza Property fair this coming 17th - 21st of August 2011.
Please be informed that we would be having a RM10,000 discount promotion!!!
Please contact us for more info!

Mike

Saturday, August 13, 2011

Oversupply of new launches?


There are concerns that Penang island cannot absorb the high number of projects
The planned development of RM29.6bil worth of properties on Penang island in the next 10 to 15 years has raised concerns over the capacity of the market to absorb them.
The properties are planned for 1,121.56 acres which include reclaimed land and strategic locations on the island.
Eastern & Oriental Bhd is reclaiming 740 acres for the second phase of the Seri Tanjung Pinang project in Tanjung Tokong to develop two islands for mixed development projects, which will have an estimated gross development value (GDV) of RM12bil.
E&O is expected to reclaim the land in 2012 and the group has until 2019 to complete reclamation before the concession expired.
“It should take two years from the start of the land reclamation before the first project launch can be embarked upon.
“Phase two will be a mixed integrated development comprising two islands of approximately 740 acres.
“At three times the size of phase one, phase two is expected to generate RM12bil in gross development value,” E&O deputy managing director Eric Chan said in a report.
Chan said upon completion of the reclamation for Seri Tanjung Pinang Phase Two, it would take at least 10 to 15 more years to fully develop the land.
“Within that time, with Penang continuing on its present growth path, the demand for better residential properties and lifestyle amenities is expected to be generated.
“E&O will be poised to fulfil this demand with the realisation of Seri Tanjung Pinang Phase Two,” Chan said.
Ivory Properties Bhd is reclaiming 35 acres to add to its recent acquisition of the 67.56 acres of Bayan Mutiara land in Bayan Baru for a mixed development scheme, which will have an approximate GDV of RM10bil, according to a recent AmBank report.
IJM Land Bhd is reclaiming 103 acres for the development of an RM5bil mixed development project, which will be completed in 2021.
IJM Land is expected to complete the reclamation of the 103 acre site next year-end.
Mah Sing Group Bhd is developing properties on various prime locations on about 95 acres on the island, with an estimated GDV of RM1.6bil.
From 2012 to 2017, Sunway City Bhd will be launching the Sunway Hill Residence on an 81-acre site in Sungai Ara around 600 units of landed properties and condominiums with RM1bil in GDV.
There are also other smaller projects with combined multi-billion ringgit GDV such as the reclamation of a 100-acre site in front of Queensbay Mall by Boustead Holdings Bhd; new residential projects on the island planned by the other developers from Kuala Lumpur and Penang, and the proposed project by Penang Turf Club (PTC) on 50 acres on the PTC site.
It is estimated that about 70% of the RM29.6bil in new developments will comprise residential properties.
Last year, the purchase of new residential properties on the island was estimated to value around RM1.8bil to RM2bil, which was among the highest in recent years.
If the purchases of new properties on the island were to be maintained at the 2010 level of around RM1.8bil to RM2bil, industry observers said it would take 10 to 11 years to complete the take-up of the properties.
Real Estate & Housing Developers’ Association (Rehda) Penangchairman Datuk Jerry Chan Fook Sing said even if the uptake was consistently estimated at RM2bil per annum, the 10 to 11 years period would still be a long time.
“This is assuming that the Penang property market can consistently absorb around RM2bil worth of properties per annum.
“A RM21bil GDV is a lot for the market to absorb even if the period of uptake were to be extended to 15 years.
“The planning and the launch of the projects must be timed to suit demand, although the demand of properties would be higher in certain areas of the island.
“But of course if the economy continues to be good and there is consistent or increasing demand, there should be no problem for the new launches to be absorbed in a shorter period of time.
“If Penang can continue to re-invent itself in the economic sphere, then it can draw people from other states to Penang to work.
“This migration could serve as the source of demand for the future property launches and create a higher population as opposed to normal birth rates,” Fook Sing said.
Registered and chartered valuer C.A. Lim & Co proprietor Lim Chien Aun said there could be downward pressure on property prices on the island due to the oversupply of new launches.
“As it is, the bulk of properties purchased over the past five years were for speculation purposes.
“When the holding power is gone, the speculators will have to release the properties into the market. Add that to the supply of new launches, there will be an oversupply situation.
“Developers must identify where their markets are coming from carefully and release the new launches according to demand,” Lim said.
Lim said for the past five years, the return on investment (ROI) for properties on the island had dropped by 50%, while the value had increased by about 100%.
“This is something that had gone unnoticed.
“The ROI is worsened by the fact that Penang properties generate very low rentals.
“If the ROI keeps decreasing, as property values increases correspondingly, then no one would buy property in Penang for investment purposes.
“The property market in Penang would then become purely speculative in nature,” Lim said.
Lim added that there was also the affordability factor.
“To purchase a high-rise property priced above RM300,000 on the island, the buyer’s monthly household income would need to be between RM8,000 and RM10,000.
“The bulk of wage earners in Penang do not fall into this income bracket.
“Where would the demand for future property launches come from?” he said.
Sunway City general manager Tan Hun Beng said the volume of properties planned for launch raised the question whether developers had done enough research and analysis on market demand.
“I think developers should make the necessary studies before making their launch projections: is the present positive response to the property market a good sign or is it an early signal of an approaching storm?” Tan said.
Chartered valuer and property consultant Azmi & Co (Penang) Sdn Bhdmanaging director Chandra Mohan Krishnan said the RM21bil GDV of residential properties was a lot to absorb over a 10 to 15 years period.
“If there is no demand, there may be downward pressure on property prices. However, the value of landed properties on the island should be able to hold on, as they are becoming scarce,” he said.
IJM Land (north) general manager Toh Chin Leong said it was important for developers to build a balance mix of residential and commercial properties.
“Commercial projects are important to attract the movement of labour to Penang, which will provide demand for housing.
“This is why a large portion of our second phase on 103 acres comprises commercial projects such as hotels, corporate offices, and retail outlets.”
Penang Master Builders and Building Material Dealers Association immediate past president Datuk Finn Choong said the reclamation works would generate demand for workers and jobs for local contractors.
“We can see positive benefits for Penang even before the launch of the new properties.
“The reclamation activities would bring in foreign labour to Penang which would generate economic spill-over effects for the state, as the workers would have to spend money on rentals and food. On paper the number of new projects seems a lot.
“However, if the Penang government can continue inspiring confidence in investors and manages well the expectation of Penangites, the state can draw migration from different income groups into the state that can support the new properties planned,” Choong said.
Henry Butcher Malaysia (Penang) director Dr Teoh Poh Huat said Malaysia’s population stood at 28.3 million with an average annual growth rate of 2%.
“Being a young population, 67% are between 15 and 64. Nearly everyone will be making decisions about where to live, work, shop and play, with real estate as the major key component for the next 20 years.
“It is important to know a great deal about where they reside, educational backgrounds, family composition, incomes, and whether or not they work.
“Consequently future real estate needs can be anticipated,” Teoh said.
On the infrastructure supporting future development, Penang Chief Minister Lim Guan Eng said international contractors from several countries have indicated that they are interested to build four major road projects in Penang.
Lim said the contractors were from China, Singapore, Hong Kong, Japan and South Korea.
He said the state government would invite those interested to bid for the projects via request for proposals (RFP) by the end of the year.
“The RFP will be out at the end of the year. It will take another six months before the contracts can be awarded to the successful bidders,” Lim said in an interview recently.
The proposed projects are the 4.2km Gurney Drive-Lebuhraya Tun Dr Lim Chong Eu bypass, the 4.6km Lebuhraya Tun Dr Lim Chong Eu-Bandar Baru Air Itam bypass, the 6.5km Penang-Butterworth Tunnel, and a 12km proposed road connecting Tanjung Bungah and Teluk Bahang.

Monday, August 8, 2011

Polls a factor, property survey reveals

GEORGE TOWN: The general election appears to be a factor in property purchasing decisions by certain investors, a survey carried out by an online property portal has revealed.


PropertyGuru, Asia's leading property portal, and its Malaysian arm HomeGuru, have said 40 per cent of over 2,000 respondents of a survey carried out in Malaysia have said they will buy properties after the elections, while 49 per cent stated the polls would have no effect on their buying decision.


"About 800 of our respondents feel the coming general election will affect their property buying decision and say they will buy properties only after the election," HomeGuru Sdn Bhd country manager Steven Tan told Business Times.


The findings were part of the company's "Malaysia Property Sentiment Survey" for the second half of 2011.
He said 18 per cent of the respondents said they used the Internet to do a research on property market trends, 16 per cent for home loan packages, 15 per cent for real estate agents and 15 per cent scoured online for auction properties.


Tan was in Penang on Thursday with AllProperty Media Pte Ltd group chief executive officer Steve Melhuish to relaunch Property-Guru's northern region property website, Fullhouse.com.my.Other finds of the survey included the fact that 20 per cent of its respondents said potential profit from capital appreciation of property is the most attractive reason to invest in property."About 19 per cent say property investment is good for retirement planning and 18 per cent see property as solid and safe investment," Tan added.


"Our sentiment survey indicates that north Malaysia will continue to experience a sharp growth due to high demand from local and overseas buyers in the next two years," Melhuish said.


"This is based on the fact that an average of 46 per cent of 120 survey respondents from northern Malaysia - notably Penang - say that property prices for apartments/condominiums, terrace and link-houses and town houses are reasonable."PropertyGuru, which was founded in 2006, has a presence in 8 countries, including offices in Malaysia, Singapore, Indonesia and Thailand, along with partnerships with property websites in Australia, Hong Kong, India and Macau.


By Marina Emmanuel (The business times)

368 cheap homes for south Seberang Prai folk


NIBONG TEBAL: A total of 368 low-cost and low medium-cost houses are being built at Taman Sungai Duri Permai near here for the people in south Seberang Prai district.
They comprise 224 units of low-cost terrace, 114 units of low medium-cost terrace and 30 units of low medium-cost semi-detached houses. The low-cost units are built in townhouse style, with two units occupying each double-storey townhouse.
The houses, under the Penang government’s privatised housing programme, are expected to be completed by the end of October, said state Housing, Urban and Town Planning Committee chairman Wong Hon Wai.
Wong said the low-cost units are priced at RM38,000, low medium-cost units at between RM80,000 and RM104,760 while the semi-detached units are priced between RM90,000 and RM112,200.
“The Pakatan Rakyat state government will continue to approve and build low and medium-cost houses to meet the needs and demands of the people in the state.
“It is our commitment to provide sufficient affordable homes for the poor and the middle income group,” Wong said after visiting the RM28mil project undertaken by Asas Dunia Bhd in Sungai Duri yesterday.
He said only those whose monthly income was below RM2,500 were eligible to apply for the houses through the state housing department or their assemblyman.
Wong said the state had approved low and medium-cost housing projects in all five districts in the state under its privatised housing programme but could not provide details on the number of projects approved.
He said some developers had yet to start their projects due to factors like squatter problems and ground works.
By The Star

Thursday, August 4, 2011

Foreign firms keen to build major roads in Penang

INTERNATIONAL contractors from several countries have indicated that they are interested to build four proposed major road projects in Penang.
Chief Minister Lim Guan Eng said the contractors were from China, Singapore, Hong Kong, Japan and Korea.
He said the state government would invite those interested to bid for the projects via request for proposals (RFP) at the end of the year.
“The RFP will be out at the end of the year. It will take another six months before the contracts can be awarded to the successful bidders,” Lim said in an interview on Friday.
He said the time was needed for the state to evaluate the bids and for the bidders to conduct feasibility studies for the projects.
The proposed projects are the 4.2km Gurney Drive-Lebuhraya Tun Dr Lim Chong Eu by-pass, the 4.6km Lebuhraya Tun Dr Lim Chong Eu-Bandar Baru Air Itam bypass, the 6.5km Penang-Butterworth Tunnel, and a 12km proposed road connecting Tanjung Bungah and Teluk Bahang.
The Beijing Urban Construction Group (BUCG) is now carrying out a study for the 6.5km Penang-Butterworth Tunnel project that will connect Gurney Drive on Penang island and Bagan Ajam in north Seberang Prai.
Lim has said earlier that BUCG had stated that they had secured RM10bil in funds should the project move forward.
The Penang-Butterworth Tunnel project stemmed from a memorandum of understanding between BUCG and the state government signed in Putrajaya in April.
It was one of eight agreements signed between Malaysia and China in the presence of Prime Minister Datuk Seri Najib Tun Razak and Chinese premier Wen Jiabao.
Lim had earlier also said that while the state welcomed all proposals, the project would be awarded by open tender.
BUCG is an established state-owned company in China whose projects included the Bird’s Nest Olympic Stadium in Beijing.

Wednesday, August 3, 2011

AmInvest: Property bubble building up but not alarming

By Goh Thean Eu (Business Times)


AmInvestment Bank Group director of retail funds says he sees a small bubble in the property market, but it's no where near big yet

KUALA LUMPUR: There is a property bubble building up in Malaysia and the region but it is nowhere near alarming levels as the main indicators are still at comfortable levels, AmInvestment Bank Group said.

"As an investor, I love bubbles because that's where the money is. At this juncture, I see a small bubble in the property market, it's no where near big yet and I'm not seeing any property bubble bursting soon," AmInvestment Bank Group director of retail funds Ng Chze How said.


"For that to take place, I think you need to see a few factors taking place. Firstly, you need to see very high overall borrowings and leveraging, which is currently not happening. Secondly, is to look at the non-performing loans (NPLs). Across this region, the NPLs are still very healthy. Thirdly, you need to look at the liquidity in the market. 

There's so much liquidity, so much cash sitting in the system."
Ng was speaking to the media after the launch of the country's first Asia Pacific REITs unit trust fund by AmMutual here yesterday.
The unit trust funds will be solely investing in REITs in Asia.

For a start, it is looking at Australia, Hong Kong, Singapore, besides a minimal exposure in Malaysia. The fund will be managed by Funds Management Division (FMD) of AmInvestment Bank Group.

"When we are creating this fund, we want it to be riskier than bonds but safer than equities. This fund does that. It offers investors opportunities to diversify away from stocks and bonds and thus, reducing investors' overall portfolio risks," said FMD chief executive officer Datin Maznah Mahbob.

She added that investors will receive high dividend yields from investing in REITs as the fund is structured to distribute a high percentage of its profit to shareholders.

Over the past five years, the performance of REITs in Asia had outperformed global REITs by more than three times. During the period, REITs in Asia grew 46.2 per cent, while REITs globally grew 14.4 per cent.

"We are comfortable with Asian properties, in line with the region's continued growth, which will lead to an increasing demand for commercial occupancy rates in Asia, which are averaging to above 90 per cent.

"For certain countries in Asia Pacific, we are seeing an uptrend in rental rates for both offices and the retail sector, which will bode well for unitholders of REITs as this translates to higher income distribution," said Andrew Wong, chief investment officer of equity, asset allocation, and fund management.

The approved fund size is 200 million units with an initial offer price of 50 sen per unit. The initial offer period ends this Sunday, and its minimum investment being RM1,000 for Malaysian residents and the minimum additional investment for Malaysian residents is RM500.

The fund is distributed by all AmBank branches, AmBank Agency sales force, AmPriority Banking, AmPrivate Banking and Hong Leong Bank.

Tuesday, August 2, 2011

'Property bubble burst unlikely in Malaysia'

A property bubble burst is unlikely to happen in the Asia Pacific, including Malaysia, as there are no signs to indicate such a trend in the next two years, says AmInvestment Bank Group.

Director for Retail Funds Ng Chze How said real estate investment trusts (REITS) would also not experience a burst including those acquired by the group."I don't see a burst or a crash in the property market. "You have high wages, ample liquidity, small percentage of non-performing loans and these plus steps taken by the government to prevent the economy fromoverheating, augur well for the property market.


"I don't see a property burst (happening) in the next six months, one year or two years down the line," he told reporters at the launch of Malaysia's first Asia Pacific REITs fund, AmAsia Pacific REITs, here today.


He said with these factors in place coupled with an economic recovery, therewould be more upside in the market. AmAsia Pacific REITs invests in a diversified portfolio of REITs listed in the Asia Pacific region. Ng was optimistic the REITS selected by the group would see high occupancyrate and increasing rental."Selected Asian properties have yet to reach their previous peak, as such,there is room for potential growth," he said, adding that properties were seen as a good hedge during the current inflationary period. -- Bernama


By Business Times

Monday, August 1, 2011

SP Setia eyes E&O

Business Times learns that shareholders of SP Setia have made overtures in recent months with certain shareholders of Eastern and Oriental




George Town: Major shareholders of SP Setia Bhd, Malaysia's biggest developer, plan to buy a strategic stake in property and hospitality company Eastern and Oriental Bhd (E&O), people familiar with the matter said yesterday.

Business Times learnt that shareholders of SP Setia had made overtures in recent months with certain shareholders of E&O, who may have included Temasek Holdings (Pte) Ltd director Goh Yew Lin.

SP Setia's three biggest shareholders currently are Permodalan Nasional Bhd with a 32.9 per cent stake, the Employees Provident Fund with a 14.47 per cent interest, and SP Setia president and chief operating officer Tan Sri Liew Kee Sin, with 11.96 per cent.
As at July 30 2010, Singapore's G.K. Goh Holdings Ltd owned 13 per cent of E&O.

E&O managing director Datuk Tham Ka Hon and spouse Datin Chua Cheng Boon collectively own about 17 per cent of the company.

Liew did not confirm or deny if indeed SP Setia is interested in buying E&O.

A company official from SP Setia. who did not want to be named, said SP Setia is always looking for new acquisitions including land deals and strategic stakes.

"Some plans are remote and some more certain. We won't comment on speculations," he said.

E&O deputy managing director Eric Chan, when contacted, said the management was not in any acquisition talks with any party.

"We remain committed to our strategic gameplan to establish our position as a true luxury lifestyle property development group, which we will achieve via international and regional exposure of the E&O lifestyle brand.

"This is through the establishment of strategic alliances with renowned international institutions and the development of new growth engines," Chan added.

Upcoming low-cost flats


SOME 90 low-cost units costing RM35,000 each will be built in Permatang Damar Laut in Batu Maung, Penang, this year.
Batu Maung assemblyman Abdul Malik Kassim, who is also a state exco member, said the units would have a built-up area of 700sq ft.
Without naming the developer, he said the project would kick off late this year and completed in two years.
Shortlisted candidates: Buyers registering for the balloting exercise for a chance to own one of the completed 88 units of low-cost flats built by Mah Sing in Batu Maung
He said this to reporters after the balloting for some 50 shortlisted candidates for a separate low-cost project, also in Batu Maung and comprising 88 units in a six-storey building, by Mah Sing Group Bhd.
Malik said so far some 400 units of low-cost properties had been handed over to buyers this year in Batu Maung.
“This include over 300 units handed over earlier this year and the 88 units by Mah Sing which are priced at RM35,000 each,” he added.
Of the 88 units, 73 were given as compensation to squatters in Batu Maung who were affected by Mah Sing’s Southbay Penang mixed-development project.
Seven names were picked from the balloting yesterday to purchase another seven units of the project.
K. Devani, 74, showing the slip of paper that she had drawn
The seven individuals were from a list of 50 eligible applicants for low-cost housing supplied by the State Housing Department to take part in the balloting.
The remaining eight of the 88 units were reserved for sale to those whose homes were affected by Mah Sing’s Residence@Southbay project.

By The Star

.:Interesting Sites:.