Knight Frank: One in four people more likely to move house in next 12 months
The recently-released Knight Frank Global Buyer Survey reveals that over a quarter of respondents are more likely to move house in the next 12 months as a result of the Covid-19 pandemic, with the top three locations abroad being UK, Spain and France. The survey studies global residential buyers’ attitudes around the world, with over 700 clients in 44 countries. It noted that more than half of respondents have either travelled abroad already or will do so within three months of borders reopening. It stated that improved access to quality of healthcare is now the second most important motive behind a property purchase, after the upgrade of a family’s main residence. Foreign governments’ handling of the Covid-19 crisis has also become a key consideration for second home buyers around the world. Knight Frank Malaysia’s associate director for International Residential Project Marketing Dominic Heaton-Watson noted that after the UK, Spain and France, other preferred destinations are Australia, Canada, Switzerland and the US. (The Edge)
SC raises gearing limit for M-REITs
The Securities Commission (SC) will temporarily increase the gearing limit for Malaysian real estate investment trusts (M-REITs) from 50% to 60%, effective immediately, until Dec 31,2022. The regulator said the “temporary increase in gearing limit would provide M-REITs greater cash flow flexibility and allow M-REIT managers to manage their REIT’s debt and capital structures more efficiently”. It said the temporary measure was crucial due to the challenging operating environment during the Covid-19 pandemic. SC expected managers of M-REITs to consider sustainability of the REIT and best interests of unit holders, before taking on any additional debt. (The Star Online)
Singapore firm obtains majority stake in Melaka project from Hatten Land
Singapore-based firm Tayrona Capital Pte Ltd is obtaining a 99% stake in real estate developer Hatten Land Ltd’s Harbour City mixed development in Melaka as part of a US$323 million deal. Hatten Land — which is listed on the Singapore Exchange (SGX) — said the agreement with Tayrona Capital will see the latter invest US$23 million in Hatten Land’s unit Gold Mart Sdn Bhd, which is developing Harbour City, through the issuance of new shares which allows Tayrona Capital to obtain a 99% stake in the company. Tayrona Capital will also be injecting a further US$240 million to “improve and to complete the development and marketing of Harbour City”. Harbour City is a themed development that comprises the thematic Harbour City Mall, Melaka’s largest ‘Sky’ water theme park at 500,000 sq ft, as well as a luxury hotel. (The Edge)
Mega project in Teluk Dumpil to create more than 6,000 jobs
The RM10 billion mega mixed development project in Teluk Dumpil in Putatan, Sabah is expected to create more than 6,000 jobs. To be developed by Setara Juara Sdn Bhd (SJSB), the seaside project which will commence in September will be constructed on 101.17 hectares along the Kota Kinabalu-Putatan-Lok Kawi highway. SJSB chairman Datuk Seri Arsit Sedi said among other things, the project comprises the development of a hotel and a theme park, as well as the state’s biggest shopping mall. Arsit said the construction will be carried out in four phases, and phase one is expected to be completed within five years. He added that the SJSB is collaborating with a company from China with regards to the project, and plans for the area to be turned into a commercial free zone. (The Edge)
Dr Mahathir unveils latest party — Pejuang
Tun Dr Mahathir Mohamad has unveiled his latest political party — Pejuang — in what observers described as his final political struggle in the country. In a blog post yesterday, Malaysia’s longest-serving prime minister announced the party’s name, a week after he unveiled his plans to form a new Malay-based party. Pejuang means fighter or warrior in Bahasa Malaysia. Pejuang is chaired by Dr Mahathir, while his son Datuk Seri Mukhriz Mahathir is the president. Dr Mahathir said the party was formed to eliminate corruption and kleptocracy. “This could well be his last battle,” said Asli Centre of Public Policy Studies chairman Tan Sri Ramon Navaratnam, adding that Dr Mahathir’s drive remains phenomenal. He believes Pejuang should be able to offer something new that other Malay parties have not paid attention to, such as promoting inclusiveness in the society. Currently, the Malay votes are divided among Umno, PAS, PKR, Parti Pribumi Bersatu Malaysia and Parti Amanah Negara. Last night, Pejuang named lawyer and ex-Bersatu Teluk Intan division chief Amir Khusyairi Mohamad Tanusi as its candidate in Perak’s Slim by-election. Pejuang currently has the support of six MPs, including Dr Mahathir himself. (The Malaysian Reserve)
