Joey Yap: Don’t expect property market to recover soon
Mastery Academy of Chinese Metaphysics founder Datuk Joey Yap foresees the real estate market in Malaysia to remain sluggish in the Year of the Dog. “The real estate industry is categorised under the Earth element, which has not much improved over the last year. We predict that we will not see the property market recovering this year,” said Yap. Yap explained that the Earth element this year is favourable to the low and affordable price range of properties, or properties located out of the city or town, and near mountains or hill sides. Similar to last year, this year will continue to be a buyer’s market. (The Edge Markets)
SunCon eyeing PDP role in high-speed rail project
Sunway Construction Group Bhd’s (SunCon) outstanding order book of RM6.785 billion — an all-time high — has not stopped the country’s largest pure play builder from elevating its current capability as a turnkey contractor to project delivery partner (PDP). The group is confident of securing its first PDP job in the highly anticipated Kuala Lumpur-Singapore high-speed rail (KL-SG HSR) project as it has enlisted IJM Corp Bhd as one of its JV partners. (The Edge Markets)
SP Setia to raise RM1bil from placement
Property developer, SP Setia is raising close to RM1bil from the placement of 9.5% of its existing share capital. The placement involves an issue size of up to 325mil shares offered between RM3.07 to RM3.11 per share. The proceeds are to be used for on-going development projects and general working capital requirements. (The Star Online)
Report: Malayia is top pick for retiring Chinese expats
More Chinese expatriates are making Malaysia their retirement destination, drawn by investment opportunities here primarily in the real estate sector. According to the South China Morning Post, over 1,000 Chinese nationals signed up in 2016 for the Malaysia My Second Home (MM2H) programme. Most Chinese applicants became interested in the programme after China invested heavily into several major developments in Malaysia. The lower ringgit could also be regarded as a factor. Many of these retirees are particularly interested in Forest City and Country Gardens projects in Johor as they were greatly promoted in China. According to China’s largest property website, Juwai.com, KL, Johor and Melaka were among the locations that were most sought after by Chinese investors. (Malay Mail Online)
Scale model of the Forest City Golf Resort (Photo from Estate123.com)
Sibu Transportation Hub an economic growth booster
The construction of the RM160-million Sibu Transportation Hub will provide a boost to Sibu’s economic growth upon its scheduled completion in two years. The project is sited on a 1.3-acre land in front of the express boat terminal at Khoo Peng Loong Road, and is undertaken by Best Magnitude Sdn Bhd in partnership with Sibu Municipal Council (SMC). The earth-breaking ceremony for the nine-storey Hub will be held in March, with works starting in July. The Hub would be made up of a multi-level shopping mall, a nine-screen cinema, as well as a multi-storey carpark. (The Borneo Post)
CapitaLand terminates Bukit Bintang link bridge project
CapitaLand Malaysia Mall Trust (CMMT) has terminated the joint collaboration agreement for the construction of a link bridge between Sungei Wang Plaza and the existing pedestrian bridge leading to Berjaya Times Square. The JCA was inked on June 1, 2017, with an estimated project construction cost of RM8.5 million and the contribution of each party was initially RM4.25 million to be made in progressive payments to meet the cost of the project. (The Sun Daily)
Dalian Wanda sells US$5.4bil stake in property arm
Dalian Wanda Group Co. said it is selling a 34 billion yuan ($5.4 billion) stake in its property arm to a group of investors and “will strive to take the company public as soon as possible”. Chinese internet giant Tencent Holdings Ltd. is leading the acquisition of the 14% stake. The unit will be renamed Wanda Commercial Management Group underlining the real-estate business’s transition away from property development to management. (The Star Online)
DBE Gurney registered unit for property development
Poultry firm DBE Gurney Resources Bhd has incorporated a wholly-owned unit to enter into the property development business. It incorporated DBE Development Sdn Bhd with property development as its intended principal activity. Prior to this announcement, the group has not declared any possible venture into the property business. (The Edge Markets)
