26/06/2014
Global Real Estate Market News 2014
Johor in position to be richest state via Iskandar Malaysia
Johor is slated to be the richest state in the country supported by investments brought upon via Iskandar Malaysia by 2025.
Iskandar property specialist Ho Chin Hwa noted that there has been an immense amount of promotion activities by the government to promote this project to Malaysians. According to Ho, the reason for such heavy promotion was due to the high potential of the area itself.He explained that at the moment, there has been more focus on Iskandar from Singapore due to its close proximity and that the opportunity stemming from the project is ‘humungous’.
The gross domestic product (GDP) in 2005 was recorded at US$20 billion is slated to grow up to US$93 billion in 2025 thanks to the Iskandar Malaysia project with a GDP per capita growth from US$14,790 in 2005 to US$31,000 in 2025. It is also set to push employment rate from 0.610 million in 2005 to 1.428 million by 2025.
“Iskandar is a very ‘wholesome’ and ‘comprehensive’ development ranging from commercial, residential to a multitude of niche business endeavours.“Even areas such as Nusajaya is slated to not only be a key driver of the Iskandar Malaysia project but also to be the largest fully integrated urban development in Southest Asia,” he enthused.
Among the key areas that are being developed at Iskandar includes government sector (Kota Iskandar), high-end living (Puteri Harbor), industrial parks (SiLC Nusajaya), health (Afiat Healthpark), education (EduCity Iskandar Malaysia), mixed used development (Medini Iskandar Malaysia), recreation (Legoland) as well as film production (Pinewood Studios).
To further add value to the area, the KL–Singapore high speed railway is set to have a station located at the new township to further increase the human traffic flow at the area, boosting the spending of Iskandar. “Iskandar is overflowing with potential that is already benefiting the early movers there. The cost advantage as compared to Singapore has lured a multitude of investors from the small island nation and the added tax incentive is set to make Johor grow faster than Penang.
“It is currently the only township that is implementing the modern metropolis concept where the moment you step in the area, it would not feel as though you are in Malaysia.” He said for Sarawakians, this is a great opportunity to grab one of the hottest prospects in the country before everything ‘fully takes off’ as there has been a multitude of foreign interest in the area. “It is also a great way to diversify your investment portfolio,” he added. Ho noted that property prices there has been booming with some property prices doubling in less than a year. “There have been overnight millionaires thanks to the development of the project and since it is linked to the government, it is a very safe investment with a huge potential to grow.”
Source: Extracted from The Borneo Post
