Another crazy scene as reported. Take a look at the PTLM Facebook page image. According to the report, within the 2 hours of launch in the developer’s office, almost 82% were sold. This is the official launch of REV.O Suites @ Bukit Jalil City which is located next to Pavilion Bukit Jalil (nicknamed “Pavilion 2”)
A deeper look revealed that the units are also the smaller ones. It’s between 318 sq ft to a maximum of 597 sq ft. According to the developer, these units are located within a prestigious. It’s aimed at new start-ups and entrepreneurs with providing the conveniences of a banking and lifestyle needs. Gross prices start from RM323,185. Thus, price per sq ft wise, it is not considered cheap but then again on an overall basis, price is considered within the affordable range. Recently, there was a similar case of ‘queuing early and buying frenzy.’ Read here: Queue started at 5am and 800 bookings within 5 hours?
The buyers are definitely not buying for their family and most probably are using it as an office or to rent it out to the targeted market. The question would be, are there so much demand for these rental units? The answer depends on the economic growth and the urbanisation which is happening in Malaysia. Graduates whose hometown are smaller towns or villages are all striving for a better career in cities. These new entrants into the job market must have a roof over their head and it’s not easy to buy a place as soon as one has started working. Thus first few years are most rental years. Smaller units which offer lifestyle would be a better choice compared to a bigger unit which may need more upkeep. This maybe that demand that these buyers have in their mind.
Of course another huge group would be those who have worked for a few years and is entering the market for their first home. Yes, they could have bought properties which are further and bigger but it’s tough if all their friends are not staying in the same area. In fact many of these younger individuals are not used to shopping or wandering in any little known malls. Their lifestyle mall has be trendy, easy and popular and somewhere their friends would prefer to be. Haha. Truth is, it’s a trend and it’s hard to tell them otherwise. Therefore for some who would like to take advantage of this trend, it’s buy, buy, buy today to rent, rent, rent tomorrow.
My personal preference? I belong to the older group, thus it’s size and price with duration thrown in for convenience instead of distance or current popularity. It’s just my choice which meant the market is always vibrant because everyone have their own way of investing. The final aim may be similar, to have good returns on investments and hopefully a smoother time when we are old. I do not think the market has turned around from the current downturn. However, selective demand remain strong, especially for the seemingly easier entry ones. Happy investing!
written on 31 Oct 2015
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