Market Trends & Beyond

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Transcript

1. Market Trends Today & Beyond ::: The New Generation ::: Greater Kuala Lumpur Highlights
2. Highlights in 2014+ • Market Outlook • The New Generation: G-Y and G-Z • Infrastructure Boost • Mega Real Estate • Iconic Developments • Branded Residences • Vertical Communities • Green Integration • Lifestyle Facilities & Trends • New Townships • Affordable Homes • Touristic Attractions • Medicare & Retirement • Retail & Hospitality
3. Market Outlook – General • Primary market slowdown, hit by cooling measures and tightening credit, i.e. no DIBS, loans based on net selling price, stricter loaning • Secondary market to catch up, however, also hit by tightening credit and demotivation due to seller’s high asking price • International buyers, i.e. from Singapore, adopt wait-and-see approach due to new minimum price threshold policy • Three major concerns are (1) increasing construction costs, (2) increasing household debts, and (3) potential risk of oversupply • As property price increases, Rental Yields go down; our rentals are highly correlated to income levels of tenants • Inflows of foreign expats dependent on economic situation and foreign investment levels (FDIs); increasing number of Blue-Collar Expats that are on working class and personal budget • Regardless, good location properties still high in demand • Affordability issue is the biggest obstacle for Young Generation of homebuyers • People are more demanding, we want quality product, developer reputation, better security, lifestyle convenience, vibrant living and freebies like furnishings • Affluent investors may relook at commercial shops and limited-edition properties • House, condo and service apartment exempted from GST, i.e. from April 2015
4. …SO MARKET WILL GO UP OR DOWN?
5. Market Outlook – Implications • No DIBS Take up rates in primary market slowed, detriment to first homebuyer • Increase in RPGT Investors think twice before commit, more selective now than before • BLR to increase? Replacing BLR (-) with PFR (+), rising inflation and debt influence OPR • Before & After GST Costs still increasing, residential has no GST but developers incurred them • Subsale improving? Nationwide secondary market accounts for 70%-80% of total transactions
6. Market Outlook – Hotspots? • Jalan Klang Lama (Old Klang Road) • Jalan Bukit Jalil • Jalan Ipoh • Jalan Cheras • Jalan Universiti • Jalan Sentul Pasar • Jalan Gombak • Jalan Genting Klang • Jalan Puchong • Jalan Tun Razak • Jalan Ampang STILL CAN BUY MEH???
7. The New Generation: G-Y and G-Z • Lazy, Tech-Savvy, Mobile, Creative, Ambitious and Egoistic • Very attracted to Trends & Concepts, Modern International Architecture, Convenience, Lifestyle Elements • As Gen Y today is highly mobile, Connectivity element is getting important, i.e Technology, Own Car or MRT • Home Affordability is a major issue, especially for newly grads, couples and first homebuyer • For experienced homebuyer, they are becoming conscious about improving financial standing via Property Investment • Proactive on Social Media such as PTLM as a source of information, Lesser use of Conventional Media. i.e. Newspaper
8. The G-Y Developers
9. Infrastructure Boost • MRT 1 – SBK Line and LRT Extensions • MRT 2 – SSP Line and Monorail Ext. • MRT 3 – Circle Line and LRT 3 • Sunway BRT and Federal Highway BRT • KTM Improvements, Extension, Spur Line and Double-Tracking • ~10 New Highways and Extensions • KLIA2 and KLIA Satellite 2 • 2nd Penang Bridge, Penang Sentral and Penang-Butterworth Undersea Link • Integrated Multi-Modal Terminals • KL-Singapore High Speed Rail • JB-Singapore Rapid Transit System • Shah Alam / Petaling Jaya Rail or Tram • Pedestrianised Linkways & Walkways • Centralised Sewerage Treatment • River of Life Kuala Lumpur Project
10. Infrastructure Boost • KIDEX – SKIP – DASH • MRT SSP Line & MRT Circle Line
11. Mega Real Estate • Decade-long masterplan , high density • TRX Phase 1 has started • Several new Skyscrapers for Kuala Lumpur City • Revival of Plaza Rakyat? • Bukit Bintang City Centre • KL Metropolis and Matrade Centre • EB Gateway, EB Quay, EB Park Place @ KL Bund • Sunway Velocity and Cochrane Developments • Pantai Sentral Park • KL Eco City, Bangsar South City and KL Gateway • Setia Federal Hill • Paradigm OUG Kuala Lumpur • Lakeville Residence, Taman Wahyu • Bukit Jalil City (“Pavilion 2”) • Damansara Trade Centre (PBD) • Empire City 1 and 2 and Empire Remix 1 and 2 • F&N City, Sec.13 PJ and Icon City PJ • Subang Jaya City Centre and Tropicana Metropark • i-City Shah Alam • Pan’gaea Cyberjaya • Southville City @ KL South, Bangi • Integrated Green townships, i.e. Desa ParkCity, Bandar Malaysia, Kwasa Damansara, Sunway South Quay, Bandar Rimbayu, Tropicana Heights, Setia Eco Hill, EcoMajestic
12. Iconic Developments • Platinum Park Kuala Lumpur • The Capers and The Fennel • Resonance @ South Bangsar • TWY @ Mont’Kiara • Pavilion Hilltop Mont’Kiara • The Robertson • Star Residences • LGT Green • The Establishment • The Potpourri @ Ara Damansara • Residences @ The LINK 2 • DK-City @ Bandar Sunway • Pinnacle Petaling Jaya • Tropicana M Greens • Queensville Kuala Lumpur • Sentul Village • Quill City • PJ Sentral • One Setapak • Sunway Geo • 9 Seputeh • Dream City • You City @ Cheras • Cloud Tree @ Cheras • Damansara City • City of Green • IOI Rio City • IOI Resort City • Semarak City • Radia Bukit Jelutong • One South • Mines Wellness City • De Centrum City • Setia Eco Glades • Kajang 2 • Ion d’Elemen@Genting
13. Iconic Developments - Concept
14. Iconic Developments - Connectivity
15. Iconic Developments - Convergence
16. Upcoming Developments
17. Branded Residences • The St. Regis Residences Kuala Lumpur • The RuMa Residences Kuala Lumpur • Four Seasons Private Residences Kuala Lumpur • The Ritz-Carlton Residences @ Berjaya Central Park • Banyan Tree Signatures Pavilion Kuala Lumpur • Harrods Hotel & Residences Kuala Lumpur
18. Vertical Communities Artist Impression of an Integrated Vertical Community in Malaysia
19. Vertical Communities
20. Green Integration
21. Lifestyle Facilities & Trends • SOHO, SOFO, SOVO, Duplexes, Lofts, Designer Suites • Now we even heard of SOLO – Small Office, Liveable Office! • Sky Facilities are becoming common: Sky Gardens, Sky Bar, Infinity Pool, Lounges
22. Lifestyle Facilities & Trends
23. New Townships • Matured Masterplan Desa ParkCity, Setia Eco Park, Jade Hills, Lake Edge • Integrated “Green” Townships City of Elmina, Bandar Rimbayu, Setia Eco Glades, Lakeside Residences, M Residence, Setia Ecohill, Emerald Rawang • Upcoming Townships Kwasa Damansara, Hillpark Shah Alam, Nadayu99, EcoMajestic, Tropicana Heights, Serene Heights, Areca Contempo Homes • Landed Homes New growth areas in Canal City, Cyberjaya, Kajang, Bangi, Semenyih, Rawang and Dengkil (Xiamen University)
24. Affordable Homes • PR1MA Homes • Rumah Selangorku • HI: RM2,500 – RM7,500 • HI: <RM3,000; <RM6,000 and <RM8,000
25. Touristic Attractions • More than 90 upcoming regional malls, shopping centres + hypermalls + retail arcade and retail plaza • Upcoming Outlet Parks are: Mitsui Outlet Park @ KLIA The TWO @ Rawang The Outlet Shoppes @ Dengkil • 20th Century Fox World Theme Park @ Genting • Another largest Thematic Theme Park in ASEAN? • River of Life Kuala Lumpur Project • The proposed Malaysia Truly Asia Centre and upgrade of Heritage Trail Kuala Lumpur • International Retirement Enclave such as The Green Leaf Retirement Resort in Sepang • A cultural precinct in Warisan Merdeka and the proposed Kota Warisan Kuala Lumpur • Likewise Sentul East, the proposed Setia Federal Hill may incorporate a Performing Arts Complex
26. Medicare & Retirement • Something that is considered “new” in Malaysia • Upcoming RM11 billion Mines Wellness City • Upcoming RM1.2 billion Universiti Malaya Health Metropolis • Projects such as AraGreens in Ara Damansara and some in Iskandar have been marketed along this theme • Singapore’s IHC plans medical suites highrise in KLCC • Far East Organization Singapore is studying to build medical suites-cum-mixed development in Old Klang Road? • The proposed Mediplex Subang Jaya by Ramsay Sime Darby Healthcare is a purpose-built healthcare and retail complex
27. Retail & Hospitality • Very competitive and potential to be managed under REIT • Our goal is to attract 36 million tourists by 2020 (2013: 25.72m) • Retail market is getting sophisticated and internationalised • Pavilion KL continues to attract New Entry Global Brands • Going nationwide! – AEON, Tesco, Padini Group, H&M, Uniqlo • More international brands entering our hospitality industry and existing hoteliers expanding nationwide IKEA Cochrane, Cheras Sheraton in Petaling Jaya Parisian-styled Mall, Marriott Hotel, 10- storey Cinema & Ice Rink @ Empire City
28. Shopping Malls Oversupply? • Competitive, not all malls will survive! • Affluent mall needs first mover advantage • Living near convenient mall appeals to Gen Y
29. To Recap Topics Covered • Market Outlook • The New Generation: G-Y and G-Z • Infrastructure Boost • Mega Real Estate • Iconic Developments • Branded Residences • Vertical Communities • Green Integration • Lifestyle Facilities & Trends • New Townships • Affordable Homes • Touristic Attractions • Medicare & Retirement • Retail & Hospitality
30. PTLM @ Facebook
31. PTLM @ Property Insight
32. Thank You