KL office market vacancy rate drops due to higher domestic demand

KUALA LUMPUR: The average office market vacancy rate in Kuala Lumpur was at 12.8% in the fourth quarter of 2014 (4Q14), a decrease from 15.6% year-on-year (y-o-y) due to higher domestic demand, according to Jones Lang Lasalle Property Services Malaysia Sdn Bhd’s (JLL Malaysia) property market monitor for January 2015.

“[As for the office] rental market, the average rental rate is stable as most of the supply comes after 2Q15, vacancy is expected to marginally increase due to more office lettable area supply,” JLL Malaysia country head YY Lau told The Edge Financial Daily.

In 4Q14, the average gross asking rents for prime office buildings within Kuala Lumpur increased to RM6.20 per sq ft, a 3.5% rise y-o-y from RM5.99.

According to JLL Malaysia, a total of two million sq ft of Grade A office space is expected to be completed by 2015 within Kuala Lumpur.

Some of the developments include Naza Tower @ Platinum Park by Naza TTDI Sdn Bhd offering 506,000 sq ft of net lettable area (NLA), which is targeted to be ready by April this year; Ilham Baru Tower by IB Tower Sdn Bhdoffering 394,000 sq ft of NLA; and Summer Suites and Versatile Office Suites by UEM Sunrise Bhd ( Financial Dashboard) offering 540,000 sq ft of NLA.

All the developments are located within the Kuala Lumpur City Centre vicinity.


This article first appeared in The Edge Financial Daily, on February 27, 2015.


No GST on maintenance fees for all high-rise units

KUALA LUMPUR (Feb 26): Maintenance fees for all types of stratified residential properties will now be exempted from the goods and services tax (GST), Deputy Finance Minister Datuk Ahmad Maslan said.

He added that this was a shift in the government’s policy on the consumption tax which residents of low and low-medium cost apartments had feared would still be passed to them as consumers.

The exemption would apply to all types of apartments, condominiums and flats, he said of the tax that would be enforced starting April 1.

“I want to confirm the change of policy. All of it. Whether it is a condominium, flat, low or low-medium-cost apartment. All will be exempted from GST.”

“Whether it is luxury or not… medium or low… the maintenance fees will not be charged with GST,” he told a press conference after a briefing on the 6% tax in Kuala Lumpur yesterday. Read more

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Things to Consider Before Upgrading

Many families choose to move into a bigger and better home when they have children. There are also those who upgrade their homes to reflect their success in life. Whatever the reasons, you might want to consider the following factors before making your choice:


Moving to a new location would mean readjusting your current travel routine. Your new home should ideally be located near your work place or schools if you have children. It would not make sense moving to some place far away where you have to spend hours on the road every day just to get to work or school.


You should also check out the surrounding area of your new home. A well-developed neighbourhood would mean easy accessibility to various amenities such as public transportation, schools, hospitals, shop lots and eateries. For families with children, relocating to a new home which is near a reputable school would be ideal. Safety and reputation of the neighbourhood should also be considered. Read more

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Mapex 2015 attracts young property buyers

GEORGE TOWN: The Malaysia Property Exhibition (Mapex) 2015 being held here has attracted many young couples looking for the right property to invest in.

Real Estate and Housing Developers’ Association Malaysia (Rehda) Penang chairman, Datuk Jerry Chan said the property fair, themed “A New Year, A New Home”, has helped many Malaysian home-buyers to purchase their dream homes at affordable prices.

“It has also helped generate demand for housing and ensure sustained growth of the housing and property industry,” he said in his speech at the launch of Mapex 2015 by Chief Minister Lim Guan Eng here Saturday.

Chan said Rehda Penang has come a long way to become the leading voice of the real estate and housing industry. Read more


iProperty to recognise real estate professionals

KUALA LUMPUR: iProperty.com Malaysia will honour professionals in the real estate industry at the inaugural iProperty.com Malaysia Agents Advertising Awards (AAA) on June 16.

iProperty group managing director and CEO, Georg Chmiel said the AAA recognised the highest level of achievements, leadership and innovation by agents, negotiators and agencies.

“The AAA provides an excellent platform to pay tribute to real estate agents, negotiators and agencies in the real estate industry.

“Last year, we paid tribute to developers for their significant contributions towards shaping the skylines of Malaysia with their prestigious developments through the iProperty.com People’s Choice Awards 2014.

“This year, we wanted to pay the same honour and recognise the achievements of our country’s very talented and knowledgeable team of real estate professionals,” he said in a statement.

Chmiel said iProperty.com invited all licenced Malaysian real estate professionals to submit their entries online at www.iproperty.com.my/agentsawards by March 31, 2015.

Source: Astro Awani

MRT Sungai Buloh-Kajang Line 59.5 pct completion as at January

KUALA LUMPUR: The construction of the 51-kilometre Mass Rapid Transit (MRT) Sungai Buloh-Kajang Line has reached progress rate of 59.5 percent as at January.

Deputy Finance Minister, Datuk Ahmad Maslan, said despite various hiccups, development cost remained within the government’s budget range of RM22.18 billion, as most of the materials were bought locally.

“A total of RM21 billion of the contract had been awarded with 38 work packages worth RM10.6 billion given to Bumiputera contractors,” he told reporters after visiting the MRT Taman Midah construction site.

Also present was Mass Rapid Transit Corp Sdn Bhd (MRT Corp) CEO, Datuk Seri Shahril Mokhtar.

The underground section of the MRT Sungai Buloh-Kajang Line was at 73 percent completion as at December 2014, while for the elevated section it was at 49.2 percent.

Meanwhile, Shahril said the company was determined to carry out the MRT Line 2 public display by end-May despite having to “tweak” the alignment.

Shahril said the minor changes to the second line was to accommodate the Malaysia-Singapore high-speed rail terminal in Bandar Malaysia.

“With that slight change of alignment, we need to go back on the drawing block and resubmit the new alignment to the Land Public Transport Commission,” he said.

Source : Astro Awani