PROPERTY locations such as Kuala Lumpur city centre (KLCC) have long been favoured by foreign investors. But because of global economic uncertainties, many investors held back from buying in Malaysia and other countries.
With the ringgit’s current value, Malaysia is seen as an attractive market where there is a value proposition with major developments and infrastructure projects in the works.
“If you are a foreigner and looking for a luxury property in Kuala Lumpur... in KLCC there are many residential units which you can buy for below RM2.5 million.
“KLCC has among the cheapest luxury residential units versus other countries in Southeast Asia,” said Alpine Return Sdn Bhd chief operating officer Alan Koh.
“I believe that prices are still quite reasonable in the KLCC area. You can still buy a RM2,000 per sq ft (psf) development on the specs that you put in, but I think in the future we are looking at RM3,000,” he said.
Koh said the KLCC area, for the longest time, has lacked in terms of pricing compared to the suburb areas.
Prices of properties in suburb areas like Damansara are averaging between RM1,200 psf and RM1,300 psf while in KLCC, it is about RM1,600 psf, he said.
“But because of land scarcity in the area, coupled with higher construction cost, this is sure to increase especially when the MRT Line 3 comes up,” he said, adding that prices will definitely move up to between RM2,500 and RM3,000 psf.
Koh was speaking to NST Property after the launching ceremony of Ascott Star KLCC service apartments and the official signing with The Ascott Ltd recently.
Alpine Return inked a deal with The Ascott Ltd to manage Ascott Star KLCC, which has a gross development value of RM1 billion.
Ascott Star KLCC will have 471 fully-fitted service apartments with sizes from a 700 sq ft (one-bedroom) to 2,972 sq ft (four-bedroom units).
Under the terms of agreement with The Ascott Ltd, it would manage a minimum of 353 fully-furnished units and provide amenities and conveniences of a hotel concierge, room service, broadband connectivity, daily housekeeping and laundry facilities.
Ascott Star KLCC will be developed on a 1.6ha piece of commercial land in Jalan Yap Kwan Seng in Kuala Lumpur.
The 58-storey tower will complement Star Residences Tower One and Tower Two.
Koh said the price tag for the serviced apartments in Ascott Star KLCC starts from RM1.7 million or between RM2,400 psf and RM2,500 psf.
He added that key markets for Ascott Star KLCC include China, Hong Kong, South Korea and Japan.
The first two towers of Star Residences sold for between RM1,600 and RM2,200 psf on average. Tower One and Tower Two have successfully achieved 100 per cent and 90 per cent sales rates, respectively.