It’s always good to hear positive remarks from developers. One said that they have no overhang units just a few weeks back. (no debates on how true it is okay.) Many have also since released their sales targets for 2019 which is definitely not a smaller one compared to the year before. (In case some of us think 2019 will be a worst year compared to 2018). (one earlier article here about their sales launches) Quarterly results also continue to show positive numbers too. (one earlier article here) Here’s another confident developer from a state I love to visit at least once per quarter; Melaka. (earlier article about Melaka for property investment here)
Article in edgeprop.my here about Hatten Land Ltd’s thoughts. Hatten Land Ltd’s executive chairman and managing director Datuk Colin Tan June Teng shared that the current environment gives it the opportunity to buy good companies at bargain prices. He said, “There are small developers who are looking to grow but are unable to given their limited means. We are on the lookout for them — we can acquire a controlling stake in their company via the issuance of shares and, with the support of our financiers, help them grow their business. They can still run the business on their own.” Hatten Land is based in Melaka but listed in Singapore. Their GDV RM3 billion mixed-use development in Cyberjaya, Selangor is pushed back for the next 1.5 years.
He added further, “We have also deferred two projects in Melaka for almost two years as supply and demand conditions here have slowed. One project involves the construction of a RM942 million international convention centre on a 9.34-acre parcel in Melaka Tengah. For now, our priority is to clear off [all unsold properties] in our existing projects and wait for the property cycle to turn more favourable before we launch any new projects.” Beyond just Melaka, Hatten will also be working with the Sabah government to develop a floating city in Semporna. The project is still in the conceptual stage currently. For a full reference to their projects, do refer to edgeprop.my here.
Learnings from Datuk Colin Tan? Sometimes, we just need to wait for the right opportunity. He delayed some launches because it’s necessary. As a working professional, we could also delay spending too much money on the unnecessary and instead save those ‘bullets’ for potential investment opportunities. He is also on the lookout for bargains. For us, there are times when there are more opportunities than for speculative activities. This is no longer the time when everything seemed rosy but expensive. This is the time when everything seemed thorny and yet worth investigating deeper. Too bad, for working professionals, we do not have too much investment flexibility but for those who has yet to invest into anything at all, don’t waste this opportunity. Happy investing.
written on 25 March 2019
Article written and edited by Charles. News article summarised by Dina Batrisyia.
Next suggested article: Property thoughts. Better rent or buy