A good friend commented the other day that the number of property transactions are going down because the economy is very bad. I reminded him that the economy is far from ‘very bad’ but sentiment can definitely be classified as ‘bad’ plus negative too. His wife disagreed with him too and said in fact, this is the best time for people with money. I laughed and agreed. The negative sentiment does not seem to include land sales though. Just look at all those announcements of huge parcels being bought by many developers, ever further away from city centre.
Another piece is now open for sale via a tender and it closes on 1 August 2016. It’s in the central business district and is smaller than one acre. The plot is located at the Jalan Imbi/Jalan Pudu corner and right next to Berjaya Times Square. It measures 41,990 sq ft. As per reported in Starbiz, Jordan Lee & Jaafar Sdn Bhd executive director Yap Kian Ann said, “It is freehold commercial and comes with an approval in principle for serviced suites or serviced apartments, which is just one step away from a development order. In that particular area, there aren’t that many parcels of land for sale. There are more in the Kuala Lumpur City Centre.” The indicative price was between RM3,300 per sq ft (psf) and RM3,500 psf, or RM230 to RM245 per plot ratio. The land comes with a high plot ratio of 14.3 which is considered higher than usual. Buyers can build higher. The higher the plot ratio is, the less accurate the price per sq ft as well. Else, the price per sq ft would be higher than the sky.
The location is also attractive because it is opposite the leasehold 19.4-acre Bukit Bintang City Centre (BBCC) development. The plot is also within walking distance of Bintang Walk, Sungei Wang Plaza, Pavilion KL and Lot 10. Besides that, it is 100 metres away from from the monorail station and about 500m from a future MRT station. Less than one km away is the Merdeka PNB118 development by Permodalan Nasional Bhd. When completed, it will beaming the top 10 tallest towers in the world. This is then followed by Tun Razak Exchange project by master developer TRX City Sdn Bhd. Let’s see which developer wins this small piece of land yeah.
written on 8 July 2016
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