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Published every friday Friday, october 23, 2020 . issue 3140/2020 . PP19055/06/2016(034530) DIGITAL Is your building THE BEST MANAGED & SUSTAINABLE PROPERTY in Malaysia?
J 2 FR I DAY O C TOB E R 23, 2020
ENDORSED BY
MINISTRY OF HOUSING AND
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te r
En w!
AWA R D S O B J E C T I V E
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Published every friday
Friday, october 23, 2020 . issue 3140/2020 . PP19055/06/2016(034530) DIGITAL
CEO Talks
with
Exclusive live interview with
Datuk Voon
Tin Yow Live
Chief Executive Officer
of IOI Properties Group detaiLS
oN PaGe 11
EP
12
Pro PE r ty C h at
Extending the
Defects Liability
Period (DLP)
protection
post-CCC
Location, location, location is no longer the only
EP property buying mantra. Are developers nailing it?
14 Or, are they still trapped in the pre-pandemic times?
F Eatu rE
Turn to Pages 7 to 10 to find out.
British billionaire
sells priciest
penthouse in
Singapore for S$62m
pictures: ecoworld group, kenny yap | tHe edge, Haris Hassan | tHe edge
Five emerging
trends in property
landscape amidst
Kenny Wong Mohd Salem
a pandemic UEM Sunrise Bhd Kailany
EP Chief marketing officer UDA Holdings Bhd
15
Ho Kong Soon Datuk Chang President and CEO
Matrix Concepts Khim Wah
Holdings Bhd EcoWorld Group
F Eatu rE
Group managing President and CEO
director
EP 4 FRI DAY O C TO B ER 23, 2020
News highlights from www.edgeProp.my
Low Yen Yeing | edgeProp.my
Water
disruption
in Klang
Valley
The Edge Property Sdn Bhd
(1091814-P)
Level 3, Menara KLK,
No. 1 Jalan PJU 7/6, Mutiara File picture of the residents
Damansara, 47810 Petaling Jaya, in Flat Sri Kedah fetching
Selangor, Malaysia
water from the water
tankers in an earlier water
disruption incident.
EdgeProp.my
Managing Director/Editor-in-chief
Au Foong Yee Water pollution in Sungai Selangor carry out “flushing” activities to Azam Jamaludin said the investigation
EDitoriAL has caused four water treatment reduce the pollutants. was still in the early stage and water
Assistant Editor tan Ai Leng plants to stop operation on Oct 19, Last week, several areas in the samples had to be sent for analysis to
Deputy Chief Copy Editor
James Chong 2020, causing water supply disruption Klang Valley also suffered from water determine the cause of the pollution.
Senior Writer
rachel Chew to 1,292 areas in the Klang Valley, disruption due to burst pipes in many Air Selangor corporate
Writers according to Pengurusan Air Selangor areas. communications head Elina Baseri
Natalie Khoo, Chin Wai Lun,
Chelsey Poh Sdn Bhd (Air Selangor). The police opened an investigation told the media on Oct 21 that water
Senior Designer Jun Kit
In its statement issued at 7.30am paper on Oct 20 to investigate the supply in 1,077 areas or 83% of the
For New Launches/Events/ on Oct 19, contamination of the raw cause of the odour pollution in Sungai total 1,292 areas had been fully
Press releases/News tips
email: editor@edgeprop.my water resource was detected at 2am in Selangor that affected 1.2 million restored as at 6am on the same day.
tel: (03) 7721 8211 Fax: (03) 7721 8280
the morning, thus the water treatment account holders or almost five million The water supply for the remaining
ADvErtiSiNg & MArKEtiNg plant phase 1, phase 2, phase 3 and consumers in the Klang Valley. 215 affected areas was restored on Oct
Associate Account Director,
Advertising & Marketing Rantau Panjang were shut down to Selangor police chief Datuk Noor 22 morning.
Heidee Ahmad (019) 388 1880
Senior Account Managers
ian Leong (012) 359 1668
Cecilia too (012) 319 7666
Marketing Support & Ad Traffic
Muhyiddin back Anwar syahrin
Madeline tan (03) 7721 8218
email: marketing@edgeprop.my in office after Get breaking appointed
BUSiNESS DEvELoPMENt completing 14-day property Malakoff MD
Manager
Nimalen Parimalam (014) 324 3193 home quarantine news delivered Anwar Syahrin Abdul Ajib (picture)
has been appointed the managing
AgENCY SALES Prime Minister Tan Sri Muhyiddin to you daily via director of Malakoff Corp Bhd, to take
Sales Manager Yassin was back in the office on Oct
Stannly tan (012) 538 1687
19, 2020, after completing a 14-day
WhatsApp! effect from Dec 1 this year, replacing
ProDUCt DEvELoPMENt self-quarantine at home which end- its former CEO Datuk Ahmad Fuaad
& CUStoMEr ADviSorY
ed last Friday. Mohd Kenali, according to exchange
Associates
omar Nawawi (012) 537 1687 He resumed duty by first chair- filings in Bursa Malaysia on Oct 20,
Nazrin Hakimin (017) 368 6061
ing the Economic Action Council 2020.
For enquiries and listings meeting held via a special video The appointment came after UEM
email: support@edgeprop.my conference to discuss the impact of Sunrise made a filing announcing
tel: (03) 7733 9000 Anwar’s resignation as managing
the Covid-19 pandemic on the Johor
director and CEO from the company
EdgeProp.my e-Publication
is published by the Edge Property
economy. TO SUBSCRIBE effective Oct 30, 2020.
Sdn Bhd. Download it for free at The meeting was attended by
Minister of International Trade and 1. Add +6018 290 2116 Coincidently, his resignation is at
www.edgeProp.my
Industry Datuk Seri Mohamed Az- to your contact list the time when UEM Sunrise’s board
min Ali, Finance Minister Datuk Seri as EdgeProp News. is expected to deliberate a proposal
The Edge Malaysia The parks were previously shut made by its controlling sharehold-
Tengku Zafrul Tengku Abdul Aziz, Or scan this QR code. in adherence to the ongoing two- er, UEM Group Bhd, to merge with
Publisher and Group CEO Minister in the Prime Minister’s
week conditional movement con- Eco World Development Bhd. UEM
Ho Kay tat Department Datuk Seri Mustapa 2. Send us a WhatsApp
Mohamed and Johor Menteri Besar trol order (CMCO) imposed on the Group, a wholly-owned unit of Khaz-
EDitoriAL with "NEWS" and Klang Valley — which includes the anah Nasional Bhd, holds a 66.1%
Datuk Hasni Mohammad, as well
Editor-in-chief Azam Aris your full name in Federal Territories of Kuala Lumpur stake in UEM Sunrise Bhd.
CorPorAtE as senior officials from the Johor
Chief Operating Officer Economic Planning Division. the message. and Putrajaya — from October 14 to
UeM sUnrise
Lim Shiew Yuin October 27.
ADvErtiSiNg & MArKEtiNg Announcing this on Twitter on
Chief Commercial Officer
Sharon teh (012) 313 9056 MOF: Govt allocates aster Management Authority and Oct 18, Annuar said, “CMCO SOP
RM247 million to the Ministry of (standard operating procedures)
general Manager
Fong Lai Kuan (012) 386 2831
more than RM1.7b Home Affairs. allows certain sports. Golf courses
Senior Sales Manager
gregory thu (012) 376 0614
to fight Covid-19 “The Government will not hesi- are open. Gyms are open. But public
Head of Marketing Finance Minister Tengku Datuk Seri tate to increase the financial alloca- parks are closed. JKKN WP (Federal
Support & Ad Traffic Zafrul Abdul Aziz said the Govern- tion if needed, especially to meet the Territories state security committee)
Lorraine Chan (03) 7721 8001 ment has allocated over RM1.7 bil- needs of the frontliners,” he said in a after consultation with MKN (Na-
lion to fight Covid-19 transmission, statement on Oct 19, 2020. tional Security Council) and KKM
channelled through 14 ministries (Health Ministry) decided that pub-
and state governments, and remains lic parks in FT can be opened with
committed in ensuring that the
Public parks in FT the condition that there are SOP
frontliners as well as the healthcare reopens on Oct 18 compliance controls. Give opportu-
system have sufficient funds to pro- Public parks in the Federal Terri- nity for allowed recreation activities
tect the people. tories (FT) are now allowed to be only.” There was no further elabora-
Of the amount that has been al- opened to the public, similar to gym- tion, reported the Malay Mail.
located so far, RM1 billion has been nasiums and golf courses, FT Minis-
channelled to the Ministry of Health, ter Tan Sri Annuar Musa announced How do I get past issues of this weekly e-Publication?
RM250 million to the National Dis- on Oct 18, 2020. Go to www.edgeProp.my to download for free!
EP 5 FRI DAY O C TO B ER 23, 2020
News highlights
News highlights from www.edgeProp.my
from www.edgeProp.my
Low Yen Yeing | edgeProp.my
change that the group, through
Utama the its subsidiary Wistron Technol- Subang Jaya is the
biggest Covid-19 ogy (M) Sdn Bhd, has acquired
third city in Selangor
after Shah Alam
active cluster in Western Digital’s PJ factory. This and Petaling Jaya.
confirmed theedgemarkets.com’s
selangor report dated Oct 16.
The Utama cluster is currently It is learnt that the site will not
the largest active one in Selangor, be redeveloped. Instead, Wistron,
with 194 positive cases, Health which currently operates a facility
director-general Tan Sri Dr Noor in Klang, may commence a new
Hisham Abdullah revealed on Oct business on the site, as opposed to
20, 2020. It has also spread to six manufacturing of hard disk drives
generations. (HDD) operated by its former owner.
As for 1 Utama shopping mall,
Dr Noor Hisham assured the public
that the shopping mall is now clear PNB, KWEST
of the virus, reported Malaysiakini. and AREA ink JV
“When you get an infection in agreement for
a mall, you will return to your
home. Then you will start to infect
COMPASS @
your friend, your family, etc. Kota Seri Langat
“So now the infection has actu- Permodalan Nasional Bhd (PNB),
ally involved six generations. That KWEST Sdn Bhd and AREA Group
means it is not just the first gen- of Companies (AREA) have en-
eration (of cases from the mall). tered into a joint venture (JV) for
But those (who) came back home the development of COMPASS @
and then infected others. It has Kota Seri Langat (KSL), a freehold
already led to six generations of integrated industrial and logistic
cases,” he was reported as saying hub in Selangor.
by the news portal. COMPASS @ KSL, which carries Subang Jaya Municipal Council attains city status
a gross development value (GDV)
of RM1.4 billion, will be built on a The Subang Jaya Municipal Council (MPSJ) attained city status and was declared
Taiwan’s Wistron 220-acre site. The industrial and Subang Jaya City Council (MBSJ) effective Oct 20, 2020.
confirms buying logistics hub is set to provide a
Selangor Menteri Besar Datuk Seri Amirudin Shari said the declaration was
fully integrated suite of services
Western Digital to logistics and e-commerce op- made after obtaining the consent of the Sultan of Selangor, Sultan Sharafuddin
plant in PJ erators, manufacturers as well Idris Shah.
Taiwan Stock Exchange-listed as SMEs in the light and medium
Wistron Corp is acquiring West- industries.
He said in accordance with Subsection 10 (1) of the Local Government Act
ern Digital Sdn Bhd’s factory lo- The gated-and-guarded devel- 1976, MPSJ president Noraini Roslan was appointed the Mayor of Subang Jaya
cated in Sungei Way Free Trade opment will offer “built-to-suit” effective the same day.
Industrial Zone, Petaling Jaya (PJ) warehouses and manufacturing
“Hopefully with the declaration of MBSJ, the sustainable development of
for RM120 million, according to facilities of sizes ranging from
the group’s bourse filing with the 100,000 sq ft to 1,000,000 sq ft for Subang Jaya and its surrounding localities will continue to be enhanced through
Taiwan Stock Exchange on Oct sale or lease, and smaller “built- a world-class service delivery system,” he said in a statement.
20, 2020. for-sale” detached factories of
Wistron told the stock ex- 8,000 sq ft to 50,000 sq ft.
Thailand welcomes
DisneY
Covid-19: Approaching Number of daily foreign visitors with
positive cases ‘Special Tourist Visa’
25k positive cases from Oct 19 – 22
Thailand is starting to receive foreign
862 tourists after a ban of seven months,
For four consecutive days, Malaysia reported over 800 according to a report by Associated Press
positive cases a day, from Oct 17 to Oct 20, 2020. Although 865 847 (AP).
on Oct 21, the number of daily cases declined to 732 cases, 732 A total of 39 tourists from Shang-
the high number of cases still worries the nation. hai arrived at Bangkok’s Suvarnabhu-
As of Oct 22, the total number of positive cases in Oct 19 20 21 22 mi Airport on Oct 20 via the country’s
Malaysia stood at 23,804 cases, with 204 death cases. Special Tourist Visa programme in a
The implementation of the conditional movement Covid-19: Disneyland “step-by-step” plan to revive Thailand’s
control order (CMCO) in Kuala Lumpur, Putrajaya, Selan-
gor, Sabah and Labuan, starting from Oct 14, didn’t seem HOTLINES will be kept shut for Covid-19-impacted tourism industry. But
there are still strict conditions to be met
effective in flattening the curve. ‘foreseeable future’ under this programme.
Hence Senior Minister (Security Cluster) Datuk Seri The US authorities have issued guide- Foreign tourists who “commit” to a
Ismail Sabri Yaakob announced that all workers from lines for the reopening of theme parks on stay of at least 30 days will be issued
public and private sectors in areas under CMCO were to Tuesday (Oct 20), allowing smaller parks 90-day visas that can be renewed twice,
work from home starting Oct 22, 2020. to reopen soon but large theme parks AP reported.
To ensure economic activities remain running, the For COVID-19 screening like Disneyland and Universal Studios They then have to stay in govern-
Ministry of International Trade and Industry, on Oct 21, or tests, contact the Health Hollywood might take another few weeks ment-approved quarantines in a hotel or
elaborated only a maximum of 10% of managerial or Ministry’s Crisis Preparedness or months to resume operations, foreign hospital for 14 days, and also confirm that
supervisory-level employees in selected fields will be and Response Centre (CPRC) media and newswires reported. they have “arrangements for long-term
allowed to work in the office for a restricted time (10am Tel: 03-8881 0200, According to USA Today’s report, large accommodations”.
- 2pm) and duration (three days a week) until the end of 03-8881 0600 theme parks were not allowed to reopen
and 03-8881 0700
toUrisM aUthoritY of thaiLanD
the CMCO. until the county they are located in reach-
Meanwhile, Health director-general Tan Sri Dr Noor from 8.30am to 5pm daily es the yellow tier, the highest tier of the
Hisham Abdullah said the third Covid-19 wave, which Or Email: cprc@moh.gov.my state’s colour-coded, four-tier reopening
has seen a surge in cases in Selangor since the end of process.
September, is due to the influx of returnees from Sabah. For more information, go to Disneyland, which is located in Or-
He added that Covid-19 infectivity (Rt) in Selangor was CPRC Telegram channel at ange County, is currently in the state’s red
higher than Sabah at 1.98, which meant that, on average, https://t.me/cprckkm tier, the second most restrictive tier. The
each infected individual in the state was passing on the guidelines said even though the theme
disease to about two more people. For queries on the Restricted parks were allowed to be reopened, they
However after about a week of CMCO enforcement in Movement Control Order, would be limited to 25% capacity.
the state, the Rt for Covid-19 in the state declined to about call 03-8888 2010.
between 1.48 and 1.50. How do I get past issues of this weekly e-Publication?
Go to www.edgeProp.my to download for free!
EP 6 Fri day o c to b er 23, 2020
EP 7 Fri day o c to b er 23, 2020
cover s tory
Paradigm shift in
home-buyinG
trends
By N atal ie Khoo Matrix Concepts Holdings Bhd
Since the implementation of People are
the movement control order
(MCO) on March 18 this year,
still buying
Despite the less direct buying process, one thing
people are spending more is for sure — people still want to buy a property
time at home — be it for that serves their needs.
Matrix Concepts Holdings Bhd group manag-
leisure or work. ing director Ho Kong Soon says the group’s prop-
erty sales have been up against the grain this year.
To reduce health risk, Nevertheless, they have still done quite well since
working and schooling from the MCO started mid-March.
“We have recorded new sales of RM350.3 mil-
home are encouraged, while lion for 1Q2021 ending June 30, an increase of 9.3%
more are opting for food compared to the same quarter last financial year.
This shows that the demand for our properties is
and grocery deliveries and very encouraging amidst the trying times, and the
takeaways. strategies we have implemented during the vari-
ous MCO periods have come to fruition,” Ho tells
Having been confined at EdgeProp.my.
In fact, he says that property bookings during
home for longer than usual, the MCO till end-June have increased almost 58%,
many have begun to rethink totalling RM827 million.
“In times of crises, we at Matrix Concepts have
what they truly want in a been quite agile in adapting as the tide turns,” Ho
home. Is it faster Internet
It is undeniable
adds.
Meanwhile, UEM Sunrise Bhd chief marketing
speed? More greenery? A
the move towards
officer Kenny Wong observes amidst numerous
safe and well-equipped challenges this year, the company has managed to
digitalisation would
achieve RM400 million in sales within two months
development? after entering the recovery MCO on June 10.
However, the good performance didn’t hap-
Besides changing
improve the way we do
pen overnight. He notes that early this year, the
requirements for a home, company has pivoted to a “digital-first” strategy
things now. — Ho
to continue building the company brand aware-
people are also changing ness online and maintaining relationships with
the way buying decisions customers or potential buyers.
“The MCO has demanded us to be a lot more
are made. Previously, agile, disciplined and innovative. However, while
homebuyers preferred to we market our products significantly on digital
visit sale galleries to have a channels through targeted digital and social me-
dia ads and virtual walk-throughs, e-signing is still
“feel-and-see” of the show not recognised as far as bank loan agreements
units. In the new norm, are concerned,” Kenny shares with EdgeProp.my.
Meanwhile, EcoWorld Development Group Bhd
other than e-brochures, (EcoWorld) has recorded sales in FY2020 amount-
digital presentations and ing to RM1.58 billion as at Aug 31, 2020. The group’s
effective share of future revenue from locked-in
virtual tours provided by real sales, including its share of EcoWorld Interna-
estate agents or developers, tional’s future revenue, stands at RM4.42 billion.
The reintroduction of the Home Ownership
homebuyers tend to do their Campaign (HOC) in June this year has contribut-
own research online before ed to an uptick in buying interest, notes EcoWorld
Group president and CEO Datuk Chang Khim Wah.
buying offline. CONTINUES NEXT PAGE →
EP 8 Fri day o c to b er 23, 2020
cover s tory
What do homebuyers want?
← fr o m p r e v ious PAG E
“We are pleased to report that as at Aug 31, to-
tal sales secured in the four months after the MCO
have reached RM1.25 billion and the bulk of the
sales are backed by end-financing loans secured
by the purchasers,” he adds.
In the secondary market, real estate agents
Stable and Partially- Projects by Green living Well-
have felt the pinch as buyers tend to look for new fast internet furnished units reputable environment equipped
launches by developers as these projects currently connection developers communal and
offer attractive perks.
Despite the intense competition, Yit Seng Realty public spaces
senior real estate negotiator and team leader Wong
Ai Ling says the exemption of the Real Property
Gains Tax until end- 2021 for residential properties
have helped to spur buying interest.
“In the meantime, the central bank has also
reduced bank interest rates to as low as 2.88% to
3.1% [for housing loans], which has increased buy-
ers’ affordability on their instalment payments,”
Ai Ling explains.
Low-density Sufficient car Projects Enhanced Amenities
Growth in digital projects parks with lower security within a radius
transactions maintenance
charges
features of 10km
As increasingly more buyers get more internet-sav-
vy, they are comfortable with digital means and
tools when looking for houses or putting a book-
ing online.
UEM Sunrise’s Kenny says, since MCO started,
customers have been more open to digital pres-
entations and engagements, as well as virtual
walk-throughs.
“This is very different from the pre-MCO period,
where buyers would visit sale galleries to have the Homebuyers are doing leries only to seal the deal or put down book-
ings. They are very specific and already have
‘property shopping’
experiential tour in the show units and talk to sale something in mind,” says Chang.
representatives to get more property information. Matrix’s Ho also observes that potential
online and making an
“The process of changing from offline to online homebuyers are spending a lot of time online
has also helped the company to discover many researching the projects, site developments,
hidden talents who reinvent sale tactics by using the surroundings, the property forums and the
social media or digital platforms to introduce the
properties and interact with customers online,” appointment to sale developers’ information before even making an
appointment to visit the show units.
galleries only to seal
says Kenny. “Also, potential homebuyers can decide which
Similarly, UDA Holdings Bhd president and banks or financial institutions they prefer based
the deal. — Chang
CEO Mohd Salem Kailany says that UDA has been on the information online. In fact, this evolu-
enhancing their digital platform where customers tion speeds up their decision-making process
can experience the products through interactive by 50% — to purchase or not at the time of visit
applications. to the show units.
“Homebuyers could discover ready products “Prior to MCO, many tend to have the “look-
and upcoming launches via browsing through the and-see” attitude and there would be many calls
UDA Property website and social media platforms. and follow-ups due to this indecisiveness. Post-
There, they are able to experience real estate dreams MCO, the potential homebuyers are quite clear
through virtual reality tours for our projects such on what they want and what they can afford.
as the Anggun Residences Kuala Lumpur and Pi- The whole process becomes easier and quite
sonia Ville Johor Bahru,” he adds. efficient,” Ho quips.
The company also leverages social media and He also raises a vital point, where the adoption
messaging applications to enable homebuyers of digitalisation on certain processes, or online
to seek further clarifications or assist them in the documents from sales and marketing promo-
buying process. tions to the science of building, will be prevalent.
With this, Salem says it could enhance customer “Change is imminent, more so with the onset
engagement experience as it enables staff to un- of the pandemic,” stresses Ho.
derstand buyers’ concerns and to offer exclusive Moving into the new normal, he sees a need
promotion packages to homebuyers. for developers to have an online presence that is
Salem also believes that property sales would equipped with interactive functions that com-
pick up as soon as both developers and prospec- bine features like live chats, virtual events and
tive buyers adjust themselves to the new norm virtual show units.
especially in assessing and buying properties on “The turnaround time of responses, deliver-
digital or virtual platforms. ies, products and services will also determine
“The Covid-19 pandemic may have discouraged the ‘value’ of the developer in the eyes of the
people from visiting public places and attending homebuyers,” says Ho, adding that approaches
events. Thus, we are continuously improving our to augmented reality and virtual reality will be
online marketing not just to promote our products the new norm soon.
but also to be one step ahead by allowing payments Meanwhile, Pepite Real Estate’s probationary
to be made in secured manners through various real estate agent Zack Ng concurs that more at-
online transactions,” Salem adds. tention are being diverted to online platforms,
ecoworld group
As for EcoWorld, Chang shares the same sen- noting that more listings and views are being
timent, noting a rise in savvier homebuyers espe- shared on platforms such as EdgeProp.my.
cially in their thriving township of Eco Majestic. “Buyers are more familiar with properties be-
“In line with the new normal where physical ing promoted on social media platforms. These
interaction is discouraged, we see a lot of home- platforms are becoming some sort of commodity
buyers doing their ‘property shopping’ online and in real estate advertisement,” he adds.
making appointments to visit our EcoWorld Gal- CON T I N UES N EXT PAGE →
EP 9 Fri day o c to b er 23, 2020
cover s tory
UDA Holdings Bhd
← fr o m p r e v ious PAG E
Bank loan approvals
in financing. Even if they can get the financing, our
customers will want to be certain that they are able
still the biggest
to make the repayments,” says Kenny.
Meanwhile, Ai Ling says that banks are filtering
hurdle a lot of applications out of their doorway due to
buyers’ professions in fields such as F&B, tourism,
Although buying interest has remained intact, event planning and construction.
UEM Sunrise’ Kenny points out that the majority “Those who have experienced pay cuts will see
of the buyers are still adopting the wait-and-see their financing debt ratio affected. It is sad to see
approach, as they are unsure about their future that the people who need financial help the most
financial stability. are the ones unable to get the banks’ support. Some
“With the loan moratorium ended on Sept 30 youngsters also have not planned their finances
and the country still reeling from the MCO after- properly, hence even when developers roll out
shocks and economic impact, question marks over very attractive packages or they come across good
their employment status, financial standing and property buys, they are unable to own it due to their
cash flow position is obviously a big factor. poorly-managed financial portfolio,” Ai Ling adds.
“While we understand the cautious position that Pepite’s Ng observes that homebuyers are now
banks have to adopt, getting the right loan-to-value looking for more below-market price properties
ratio that would put homebuyers at ease is still a big after the moratorium period ends.
issue for them. We understand most of our custom- “This actually slows down their decision making
ers find difficulty in getting anything more than 85% as it puts them in a dilemma on whether to buy
now or later. Comparable transactions are insuffi-
cient to justify the current value of properties that
are in the market,” Ng notes.
Cautious but
on the lookout
Amidst pandemic times, buyers have been very
cautious and wary to buy another property due Property sales
would pick up
to the economic uncertainties and unpredicta-
ble future property capital appreciation, UDA’s
as soon as both
Salem observes.
“The usual concerns are mainly the location,
developers and
accessibility, density, suburban or urban areas
with high accessibilities and easy transport. A new
concern now is the availability of space that can
be converted into a mini office or study room to
adapt to the new norm,” he shares. prospective buyers
Nonetheless, he says the homebuyers are
keeping an eye on the market for the best deals adjust themselves
to the new norm.
that will satisfy their requirement for a holistic
lifestyle. A lot of developers are offering a lot
— Salem
of rebates and other incentives to buyers, not
to mention the added plus of a lower mort-
gage loan interest.
“Meanwhile, real house hunters who be-
More buyers going for
fore have put on hold their dream house due
to high monthly repayments are now putting
back that option since monthly repayments are
lower-density projects
UEM Sunrise Bhd
at an all-time low.The most notable changes are
homebuyers opting for digital platforms such as Ai Ling from Yit Seng sees the majority of the buyers looking for low-den-
property forums and online communities to ac- sity developments, mainly due to the fear of the Covid-19 pandemic.
tually get feedback,” Salem explains. “Buyers are starting to avoid projects with high density i.e. more
Matrix’s Ho concurs, pointing out that nowadays than 1,000 units within one project. They prefer lower density or fewer
consumers are very knowledgeable and discern- units per floor as they feel more comfortable and secure,” she explains.
ing, plus information is readily available online. In addition to that, regardless if it is the primary or secondary market,
“Thus, purchasing big ticket items like cars and properties which come with partial renovations such as air conditioning
houses are well thought out and very much consid- units, built-in kitchen cabinets and countertop, as well as wardrobe for
Customers are
ered unlike daily expenses on food. This sentiment bedrooms are always easier to sell.
is nothing new and every single purchaser out there Most homebuyers feel it has reduced their renovation cost. If the
more open
will be cautious and prudent with their money. units are sold partially furnished, it gets financed by banks, so they can
“Especially for those within the mid-M40 and keep more cash for other unexpected emergencies, she adds.
to digital
B40 groups, the uncertain times will have a huge Furthermore, developers’ track record has also become one of their
impact on their lives and their purchasing pow- concerns as reputable and financially-sound developers will ensure the
er will not be as before this pandemic. These two quality of their projects and will deliver on time.
presentations groups are the ones who will tighten their belts and
reduce even their daily expenditures,” Ho notes.
Notably, she says that instead of queries on the types of facilities
provided, buyers now are more aware of what they are paying for. Most
and engage-
However, he highlights that the upper scale in buyers will check on the maintenance fees and look carefully at the fa-
the M40 group, which has better financial capabil- cilities provided. Developments that come with facilities that require
ments, as well
ity, would think about upgrading and have certain high maintenance will be out of their list.
improvements in their lives now, especially when Peptite’s Ng notes that more homebuyers are looking at landed prop-
as virtual
deals of a lifetime appear. erties which offer larger land space.
“For them, these trying times would be the op- “More homebuyers are looking for bigger land which can also offer
walk-throughs.
portunity to purchase bigger and better homes as them the option of rebuilding the entire property. As for high-rises,
well as shifting from compact high-rises to landed homebuyers are looking for those which are located near shopping
at a more reasonable price and value than ever be- malls such as Uptown Residences and those which offer good views
— Kenny fore. Each market segment has its own concerns
and dynamics. We as developers need to determine
which market to target,” Ho stresses.
such as The Greens at Taman Tun Dr Ismail or Tropicana Grande at
Persiaran Tropicana,” says Ng.
CON T I N UES N EXT PAGE →
EP 10 Fri day o c to b er 23, 2020
cover s tory
← fr o m p r e v ious PAG E
Beyond
transport network connectivity for
the roads and public transports,” he
location,
stresses.
The majority
For UDA, another feature apart
what else? from the ones mentioned above is
the need for two parking lots in high- of the property
One common feature agreeable across
the board since the MCO started is
rise projects.
“This is crucial especially for high
buyers are
fast internet connectivity in homes. rise residences in urban areas as most looking for
EcoWorld has conducted its own families own more than one car and low-density
survey to check with their customers
the key features that matter the most
car ownership is high. Since the new
norm, most of our time is spent at developments.
when they have to spend more time home. Therefore, incorporating new — Ai Ling
in their homes. innovations into a home is key in ap-
“The top answers received include pealing to our current market. On top
internet connectivity; enhanced secu- of that, homes which have natural
rity features; ample space for me-time lighting and air ventilation features
and family time; healthy, clean and as well as energy-saving electrical
green living environment; well-main- appliances is a bonus for homebuy-
Yit Seng Realty
tained and well-equipped communal ers as they will be able to save up on
and public spaces and ample amen- their utility bills,” says Salem.
ities within a 10km radius,” Chang
Moving on
shares.
High-speed broadband infrastruc-
ture has become more important in
the new norm as an increasing num- from here
ber of people are working from home, Competition is getting intense and
concurs UEM Sunrise’s Kenny. developers will need to understand
“During the MCO, we conduct both customers’ real needs to win their
professional and personal meetings, hearts, says UEM Sunrise’s Kenny.
exercise remotely with our friends, He adds that the developer has en-
attend classes and webinars, have gaged a renowned research company
food and essential items delivered to conduct a comprehensive market
contactless, all from the comfort of research that has helped to identify An increasing
number of
our homes. potential customers and adjust their
“A reliable and high-speed broad- product design.
band infrastructure is a must, as well “[With the results], we have seg- buyers are
as a system that reduces physical con-
tact during pandemic times,” he adds,
mentised them by not just the de-
mographics, but the psychographics.
looking for
citing for instance, the design of the This would then determine how we landed homes
traffic flow for food or parcel deliveries would market our products to them with larger
and contactless access from entrance
to lobby, carpark, lifts and facilities’
and the kind of messages that would
resonate with them and pull their land areas
floor. heartstrings,” he reveals. or properties
On top of this, Kenny notes that The findings include: Younger cli- that are close
people are more conscious of environ-
ment conservation and sustainability.
entele will want products which are
probably smaller, and at a central to various
“They are aware of the waste and and bustling location with amenities amenities.
excess they produce, and want to emu-
late recycling best practices from other
nearby; while financially-stable cus-
tomers will be looking at a different
— Ng
developed countries. They appreciate price range with more premium fin-
features like bicycle lanes, ample re- ishings and touches.
Pepite Real Estate
cycling bins, rainwater harvesting and The different segments will have
facilities for vertical farming. different emphasis on factors like den-
“If more companies shift away from sity, floor layout, specifications and
the office model and implement some even the prestige of neighbouring
kind of work-from-home policies, then developments, says Kenny.
people will also want to live further However, another challenge for the
away from the city centre. They will developers will be how to enhance
want bigger units at lower prices, and the engagements with overseas cus- the latest agreement signed with down to loan application should viduals will win,” says Kenny.
will be more invested in the common tomers in the short to medium term, Sarawak Economic Development be able to be completed remote- For Matrix’s Ho, he reminds
recreational facilities which they will due to the border restrictions to curb Corporation (SEDC). ly,” Chang stresses. us that as our way of life is being
see themselves using regularly,” he the spread of Covid-19, says Kenny. “Expansion in Sabah is also Kenny adds that while they changed due to the crisis, hence
highlights. “Some of our luxury launches ongoing, hopefully within the are cognisant of the fact that a what we do today may not be
For Matrix, Ho points out that which usually attract the high-net- next two years. As for now, we are lot of customers out there are applicable tomorrow. The same
there are different sets of require- worth foreign customers will have focusing on our current projects, holding off big purchases due goes for all businesses and what
ments which each segment of home- to be moved further down the cal- including the Legasi Kampong to the economic uncertainty, is more important for the prop-
buyers would look for but the main endar, while we narrow our efforts in Bharu mixed development in the there are many others who are erty development sector is the
common one would be safety and marketing our products priced below heart of KL, Anggun Residences taking the opportunity to hunt financial system for its homebuy-
security whether in a high-rise or on RM700,000,” he notes. at Jalan Sultan Ismail and Evoke for the best deals and bargains. ers, from first-timers to investors,
a landed development. Meanwhile, UDA’s Salem notes that Residences in Penang amongst “These are the people who are he adds.
”During this time, this is a priori- although the property market will take many others,” says Salem. confident the housing market will He explains that digitalisation
ty for many. Secondly, it is the whole time to recover, the group is optimistic For EcoWorld’s Chang, he em- bounce back like it always does. in the property buying process, be
lifestyle concept and facilities within about the property market next year phasises that homebuyers are Investing in property is still the it in mortgage loan applications
the development for each category of with seven upcoming launches in the getting accustomed to shopping gold standard for many as it pro- or the legal processes of owning
inhabitants including the parks and pipeline across the country. online and a strong digital pres- vides steady appreciation in val- the house, is crucial to encourage
green lungs, especially for landed “In line with UDA’s business pillar; ence is ever so important now to ue, not to mention it is some- homeownership.
properties. Thirdly, the availability of affordability and sustainability, about ensure that its brand is the first thing that can be passed down “It is undeniable the move to-
amenities surrounding the property 47% or 708 of our units next year are search option in home browsing. through generations. Property wards digitalisation would im-
like schools, shops and hospitals or affordable homes. We are also in the “To support the digital experi- developers who are conscious prove the way we do things now,”
clinics. On top of these is the ease of midst of expanding to Sarawak with ence, the entire sale process right enough in targeting these indi- Ho concludes.EP 11 Fri day o c to b rer 23, 2020
Debuts with Live
CEO Talks Datuk
with
Voon Tin Yow
It is no secret. Datuk Voon Chief Executive Officer of IOI Properties Group
Tin Yow has been a behind-
the-scenes and die hard
lieutenant of property
magnate Tan Sri Liew Kee Sin.
Then in recent times,
Voon made two screaming
headlines:
Late last year, Voon, then
an executive director of Eco
World Development Group
Bhd, was identified to replace
Datuk Sri Amrin Awaluddin
as Sime Darby Property
managing director. That,
however, did not happen.
On April 15 this year,
Voon, 63, emerged as
CEO of IOI Properties
Group Bhd.
Why IOI Properties?
What is Voon's
grand plan?
Catch Voon in PM for
an exclusive live REMINDERS @
interview with Facebook.com/
Au Foong Yee on myedgeprop
EdgeProp Malaysia’s
Facebook Page — Au Foong Yee If you have burning
Editor-in-Chief &
Monday, 26 October Managing Director, questions for Datuk
EdgeProp Malaysia
Voon, click here.
hbmk
@ 8.30pm
Powered byEP 12 Fri day o c to b er 23, 2020
pro perty c h at
Extending the Defects Liability
Period (DLP) protection post-CCC
no DLP in sub-sale contracts though such titlement to DLP, even if the property is
terms are sometimes negotiated depend- bought after CCC. As long as the purchase
ing on the “goodwill” and benevolence of is from a licensed housing developer, the
the housing developer. “Goodwill” in this buyer should be entitled to DLP warran-
context means the developer’s prerogative ties. After all, the defect warranties from
and at its sole discretion. the developer’s contractors/builders are
still subsisting on the balance of the unex-
Protection under DLP pired warranty period given by them.
That being the case, we propose that a
The statutory schedule contracts of sale new schedule contract (of sale) be formu-
carry a mandatory warranty period of lated to protect the rights and entitlement
24 months after the date the purchaser of those who buy houses after the issuance
takes vacant possession of the property of the CCC from licensed housing devel-
— against any “defects, shrinkage or other opers. This is to ensure that buyers will
faults” which become apparent and which not be shortchanged in terms of quality
are due to defective workmanship or ma- and compliance with the specifications of
terials or not having been constructed in constructions as stipulated by the author-
accordance with the approved plans and ities. Also, it is an extension of consumer
descriptions. Such faults should be recti- protection who should also be accord-
fied by the developer at its own cost and ed rights to enforce warranties under the
expense within 30 days from the date of DLP period or whatever its balance there-
the purchaser’s written notice. of. Justice-wise, like buyers who purchase
However, this clause on DLP is missing properties in a primary market, sub-sale
in most of the sub-sale or sale in second- buyers should also be given the right to
ary market contracts. It is a case of caveat seek redress at the Tribunal for Home Buy-
emptor or “let the buyers beware”. There ers Claim, which is a more affordable, fast
is no protection from the defects, shrink- and expedient legal process.
age and other faults. These defects may
include cracks in the walls, water leakag- Proposing new terms
es, water marks, mouldy ceiling panels, Perhaps, a new set of contract of sale
clogged piping, loose floorboards or tiles, should be prescribed in the proposed new
the purchaser was deemed to have inspect- unusable fixtures (such as electric connec- Schedule K (Post CC: Land & Building)
B y datuk Cha n g
S
ed the property and was satisfied with the tions, light switches, water taps, etc.) and and Schedule L (Post CCC: Stratified Prop-
K i m L oon g condition before signing on the dotted line. even misaligned doors, windows and safe- erty) to be included in the HDR.
Consequently, he had to fork out RM7,850 ty grills. Generally, it is a case of “what you These new contracts should cater for
for the repairs and repainting works when see is what you get”. Those contracts even provisions post-CCC with a new prescribed
c e n a r i o 1 : Cindy is ready the apartment was barely six months old. have the audacity to state that the purchas- schedule of payments considering that some
to buy a house, but hav- er has conducted independent checks and properties are leasehold with “restrictions in
doned housing projects in What the existing
ing heard of plenty of aban- is satisfied with the state and conditions. title” compared to freehold status. But the
main objective is to design a new contract of
Malaysia, she did not want to laws say
take the risk of buying new- Every Contract of Sale shall be in the forms House buyers’ rights sale to include DLP for those buyers of post-
CCC properties whether they are landed or
ly-launched or still-under-construction prescribed in Schedules G (Land & Build- to better protection stratified housing properties.
properties. Hence, she waited for the de- ing), H (Stratified Property), I (Land & Legal rights are created by the terms and Perhaps, the Minister of Housing
veloper to complete the housing develop- Building — 10:90 concept) and J (Stratified conditions embodied in the contracts be- should consider this proposal that will
ment and subsequently decided to buy a Property — 10:90 concept) of the Housing tween two covenanting parties. House buyers accord better or “extended” protection to
terraced house from the developer after she Development (Control & Licensing) Regu- who purchase a new property from a housing house buyers post-CCC.
was able to physically see the house. In the lations, 1989 (HDR). developer will establish a contractual rela-
usual way, she asked her lawyer to assist However, HDR provides exemption to tionship with the developer via the sale con- Datuk Chang Kim Loong is
her with the sale and purchase contract and the rule, inter-alia: tract. Hence, the buyers will have contractual the Hon. Secretary-General
acquisition process. HDR 11(1B) “…such (contract of sale) obligations with and entitlement from the de- of the National House
Upon handover, she found that although shall not apply if at the time of the execu- veloper in the event of defects, etc. Buyers Association (HBA).
the house was new, it had multiple defects tion of the contract of sale, the certificate of As such, why shouldn’t buyers who HBA can be contacted at:
such as cracks on the ceilings and walls. She completion and compliance (CCC) of the purchase directly from developers post- Email: info@hba.org.my
then asked the developer to rectify them. housing accommodation has been issued CCC be offered the same protection? We Website: www.hba.org.my
Much to her dismay, the developer told and a certified true copy… has been for- do not see the justification for the non-en- Tel: +6012 334 5676
her the defects liability period (DLP) had warded to the purchaser.”
expired already and her purchase was on The language of HDR 11(1B) is clear
an “as is where is” basis. The developer said enough. The statutory contracts of sales
that the DLP was not mandatory after the (i.e. Schedules G, H, I & J) do not apply to
Certificate of Completion and Compliance a sub-sale or a sale in a secondary market
(CCC) had been issued. after the issuance of the CCC. In a nutshell, We propose that
Cindy and Latiff had thought by purchas- a new schedule
S c e n a r i o 2 : Latiff was ready to buy an ing their completed properties directly
apartment in Subang Jaya from an estab- from the developers, they would have a contract (of sale)
lished housing developer. This was his first right to ask the developers to rectify de- be formulated to
time buying a property in a stratified devel- fects, if any. They were not aware that the
opment. He knew practically nothing of the developer was selling through the second-
protect the rights
selling and buying process and sought the ary market via a sub-sale and was not un- and entitlement
professional services of a lawyer. The lawyer der any legal obligation to rectify any de-
attended to the usual sub-sale transaction fects as their sub-sale contracts were silent
of those who
with Latiff eventually taking possession of on the DLP warranties normally found in buy houses after
the property from the housing developer. statutory contracts of sales. the issuance of
After shifting into his apartment with his Sub-sales are not within the purview
family, he discovered water leakage coming of the Ministry of Housing & Local Gov- the CCC from
through his ceiling and walls. He consulted ernment and do not enjoy the protection licensed housing
his lawyer and was informed that the pur- accorded to purchasers who buy proper-
chase was on an “as is where is” basis and that ties under construction. Hence, there is developers.EP 13 Fri day o c to b er 23, 2020
n ews
Report: Business parks and logistics
see bright spot in 3Q2020
nakano corporation
By Edg eProp Sin gapore other areas will decline due to the older
stock in the areas, it adds.
SINGAPORE: In 3Q2020, business parks In addition, factory rents are likely to
continued to see demand by firms seeking moderate, while high-tech rents are set to
cost-effective spaces for their workforce, remain stable, boosted by the growth of the
despite the weak economic sentiment in electronics sector.
Singapore. This is highlighted by Cushman In the prime logistics space, rents are
& Wakefield (C&W) in its report on the in- expected to increase due to a strong pref-
dustrial property market for the quarter. erence for ramp-up facilities, while rents
Among the movers, Tokyo-headquartered for conventional warehouses are expected
Kajima Corp started construction of its first to remain flat, says the research consultan-
overseas innovation centre at Changi Busi- cy. In 3Q2020, prime logistics rents rose by
ness Park. The firm will be investing S$100 1.5% over the previous quarter.
million (RM306 million) in the property, Investments in industrial assets have been
which will span 141,000 sq ft of business lagging behind the numbers from a year ago,
park and R&D lab space. recording S$446.5 million in 3Q2020, down
Upon completion in 2023, the site will 39% q-o-q and 89% y-o-y.
serve as the firm’s regional headquarters “Long-term players in the logistics sector
to conduct research and development into are reluctant to sell their assets; unless the
advancing built technologies for the con- investor is a fund with a fixed fund life, there
struction industry. A rendering of a Japanese corporation located in Changi Business Park. is no impetus for those with a long-term ho-
Meanwhile, the logistics sector contin- rizon to put their assets on the market, par-
ued to expand, with German logistics firm 35% with the use of solar panels, says C&W. facilities in Singapore or Southeast Asia as ticularly when quality assets are few and far
DB Schenker opening its 550,000 sq ft ware- On the other hand, the outlook for indus- the threat of global supply chain disruptions between. That, and the fact that investors are
house at Airport Logistics Park. The compa- trial rents is mixed. C&W projects that rent for continues to loom. bound by sale moratoriums as regulated by
ny invested S$163 million in the property, business parks in the city fringe will do well, Semiconductor players and all other re- the authorities, are reasons for the low levels
ramping up the number of its warehouses as demand is sustained by firms seeking to lated industries supporting 5G networks are of investment activity,” says Ong.
in Singapore to 13, and expanding its total cut real estate costs by moving from Grade-A poised for growth,” comments Brenda Ong, Over the third quarter, AIMS Apac REIT
warehouse footprint to 2.8 million sq ft. offices to the city fringe. Rents of business executive director and head of logistics & acquired a ramp-up logistics facility at 7 Bu-
DB Schenker will be able to handle high parks in the city fringe stood at S$5.91 psf industrial at C&W. lim Street for S$129.6 million. The property,
order volumes with automation used in the per month in 3Q2020, up 0.2% from the last Rents in the Science Park are expected which is located within Jurong Innovation
facility that will result in a 40% speed increase quarter and 2.4% from a year ago. to increase slightly due to the growth of the District, is master-tenanted to freight for-
in the handling of air freight imports and ex- “Biomedical manufacturers and the re- pharmaceutical and biomedical sector, says warding and logistics firm KWE-Kintetsu
ports. It will also be able to cut energy usage by lated R&D players are looking to locate their C&W. However, rents for business parks in World Express.
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f eatu re
British billionaire sells priciest
penthouse in Singapore for S$62m
pictures by Wallich Residence
B y edg epr op. m y One of the casual dining
rooms for residents in
SINGAPORE: British inventor of the bagless Wallich Residence.
vacuum-cleaner James Dyson and his wife are
letting go of their three-storey penthouse for
S$62 million (RM189.60 million) or an average
S$3,000 psf, a discount of close to 16% of the
purchase price of S$73.8 million a year ago,
Reuters reported.
The penthouse, which is located on the 62nd
to 64th floor of Wallich Residence – the tallest
skyscraper in Singapore at 290m above sea level,
is situated in Tanjong Pagar.
Wallich Residence is an exclusive and lim-
ited collection of 181 luxury residential units,
located at the pinnacle of the tallest building
in Singapore developed by Guocoland Ltd as
part of the S$3.2 billion Tanjong Pagar Centre
integrated development.
The integrated development is linked to a mall,
the Tanjong Pagar MRT Station in the basement
and the adjacent luxury hotel, Sofitel City Centre.
The development is designed by international
design firm Skidmore Owings & Merrill.
Wallich Residence spans the 39th to 64th
floors of Tanjong Pagar Centre and sits on top of
Guoco Tower, a 38-storey premium office block.
It offers only five luxury penthouses, four of
them are 3,509 sq ft simplexes on the 58th to
61st storeys. Each penthouse has four en-suite
Four of the
penthouses
The exclusive super
bedrooms, a wet and dry kitchen and private at Wallich penthouse
lift access. Residence The sole triplex super penthouse which was
were sold. owned by Dyson occupies the highest floors.
Measuring 21,109 sq ft, it comes with five bed-
rooms, a 600-bottle wine cellar, a pool, Jacuzzi
and a private garden with city views.
According to a Business Times report, the
buyer is Indonesian-born tycoon Leo Koguan.
He is also the co-founder and chairman of in-
fotech provider SHI International.
The apartment was once valued at S$100
million, making it the city-state’s most expen-
sive penthouse.
Earlier in January this year, one of the pent-
houses at 61st floor was sold at S$17.5 million,
translating to S$4,987 psf, the highest psf price
over six years, reported EdgeProp Singapore.
The buyer was a Taiwanese entrepreneur who
was looking for a luxury residence located in the
central business district.
Meanwhile, the 3,509 sq ft penthouse on the
58th floor was sold to a Cambodian business
magnate for S$16 million (S$4,560 psf ) in June
2018. The one on the 59th floor went to anoth-
er Taiwanese owner who paid S$16.5 million
(S$4,702 psf ) for it last September.
Currently, there is only one penthouse left
on the 60th floor.
Wallich
Residence
offers 181 luxury
residential units.
Wallich
Residence
is part of
the Tanjong The glass
Pagar Centre viewing air deck
integrated excusively for the
development. residents.EP 15 Fri day o c to b er 23, 2020
f eatu re
Five
emerging
trends
1 4
A changing Debt will be
tax landscape cheap but harder
While the property market
in property to come by
landscape
landscape is constantly changing,
major changes could happen in Already the norm in Switzerland, Japan
the next few years. Across different and the Eurozone, negative rates could
countries, taxes, visa incentives extend to the UK and the US to provide
amidst a
and foreign investment regulations further stimulus for housing markets as
are set to be altered, as economies low saving rates are making properties
strive to boost public finances after a more attractive investment choice.
pandemic
introducing unprecedented levels of Although debt will be cheap, lenders
fiscal stimulus. are embracing a more cautious stance
by lifting up their requirement on loan-
to-value rates. This means some highly
leveraged individuals may find it harder
to get new loans approved.
B y c hels ey p o h For first-time buyers, the afforda-
bility challenge will be less about the
The Covid-19 pandemic has not only price-to-income ratios and more about
how to fork out a larger deposit before
changed the way people live globally, securing a loan. Hence, they could be
2 but also the property landscape across tied up in the rental market longer.
In the long term, the good news for
countries. Knight Frank through its Global first-time buyers is that governments
A reprieve Buyer Sentiment Survey 2020, published seem committed to expediting plan-
for Airbnb?
ning systems and pushing ahead with
along with its Global Buyer Survey 2020 regeneration projects, suggesting new
released in August 2020, has identified supply may slowly come in.
In post-pandemic recovery stages,
governments are keen to rehabilitate five nascent trends due to the pandemic
their tourism sectors and reinvigorate across the globe. 5
their economies. These could possibly
Digitilisation
lead to something of a truce between
authorities and home rental platforms The survey was conducted between
June 5 and June 23, 2020 to explore the will spark more
such as Airbnb and its landlords. This is
coupled with a shift in tourists’ prefer-
ence to self-contained holiday rentals pandemic’s impact on residential property visa and work
rather than hotels with large communal markets and buyers’ attitudes. It covers
spaces.
While the limit on the number of more than 700 Knight Frank clients in incentives
nights a home can be rented out will 44 countries. All the respondents have
likely remain in major cities, we may
not see new restrictions pursued with registered an interest in buying property
as much vigour in the coming months. with Knight Frank.
3
Blurred lines The coronavirus has further promoted
digitalisation. Millions of people are now
between primary and working from home and authorities are
secondary homes
moving fast to capitalise on this trend.
From the US to Japan, stopping off in
Barbados and Italy, governments and
The benefits of improved productivity, no commute local councils are announcing new laws
and more family time have prompted some to and initiatives to help boost their econo-
consider a shorter working week in the office — mies post-Covid-19 and repopulate their
perhaps three days instead of five. towns and villages to counter decades of
Thus, the research firm sees more people buying urban migration.
second homes which could offer bigger space, Barbados has launched a 12-month
especially the outdoors, and greater privacy, if welcome visa to encourage remote
lockdowns happen. workers to base themselves from the
With children being home educated and parents Caribbean island, whilst the city of Sa-
working remotely, some homeowners are spending vannah in Georgia, US, is offering up to
longer time in their second homes during lockdowns US$2,000 (RM8,294) to cover relocation
than their primary residences located closer to their expenses for remote tech workers who
workplaces in urban areas. move to the area for at least a year, ac-
Whilst the affinity of the office and urban living cording to the World Economic Forum.
remains, the attraction of places in city outskirts We expect more rural and second home
might heighten in the short to medium term. markets to follow suit.You can also read
