I warn everyone few years ago, that when one buy property in a country; one should just stick to that country developers.
So one will not get affected by factors affected by another country policies.
When I buy in Singapore; I only choose CDL, Keppeland, Capitaland.
When I buy in Malaysia; I choose MB, SP Setia and Astaka.
Now I start buying in Vietnam and my only 2 developer will only be Vinhomes or Vinaland.
Keppel and Capitaland are both available in Vietnam but I will never choose them.
Great suggestion and good point drawn. Underlying explanation would be: local developers target on local and know what local wants...meaning, the demand for their project would more likely to be solid (钢需), while foreign developer will bring in foreigner fryer that want to flip or want to rent.... careless about those who really want to stay.
If really much of the some 10,000 Chinese buyers decide to quit from the sales, you think the development of this project can still proceed as scheduled?
Although the mega buyers/seller tussle may take some time to settle and if this really happen, I'm very sure local banks would not be too keen to offer anyone a loan for the unsold units of this project.
1. I believe it will continue 2. 14k units sold, i believe quite a number of them starting to regret...but will not be too many. 3.Local banks as in malaysia banks? haha nope, they dont involve with loan to PRC chinese. 4. Malaysian want to buy, local banks will unwilling to give out loan unless with more assurance like collateral or higher lending margin.
In terms of capital control, I hear rumours something will happen on July 1st. It's the foreign reserve that the Chinese government is worried about.
What rumours? I only know Trump's gov by April will decide whether China is a currency manipulator country. So China gov is eagerly stopping the fall of yuan further, to avoid further agitate trump, at the same time control capital outflow and using reserve to buy in yuan. China always quite lax on capital control, recent capital control seem like more of a political move.
I gut feeling tell me, after April derisk-ed, yuan will fall further to 7+ to 1 usd. Capital outflow is good to their export sector.
China buyers cannot pay their instalment is small problem.
The biggest problem is the China developer cannot bring in the fund to complete the project.
R&F and Forrest City is "so call" buy 1 get 1 free project. They can give out condos in Malaysia FOC; you don't think they will just leave without completing their "over promise".
1. Buy 1 free 1, remain unproven. 2. Country Garden current corp bond rating is Bb1....possible solution (one of the many, but this practise seem quite commonly used): 1. collect money in yuan in china from buyers and 2. sent out money from china using corporate name, as a way to repay bond debt.
China capital control do not ban company to use the money as debt repayment. Good example is Apple issuing bond to pay dividend to shareholders because bringing money back to US subject to high taxes.
So whole project might just collapse?
I hope it collapse, should be a good thing for Johorean. Property bubble burst mean economy inefficiency happen as the money being used in unproductive purposes. That is what being taught, but if you think deeper, actually still depend on situation.
Anyway, will be a big slap on sultan, and state gov face....and they have to put HSR iskandar puteri station closer to FC, afterall, not that bad too.
It's like treason to believe Forest City 'lies', Sultan tells Johoreans
Johor's Sultan Ibrahim Iskandar has likened Johoreans who believe "lies" peddled on the Forest City development in Pasir Gudang, to individuals who committed treason.
"For Johoreans who are influenced, it is like they have committed treason.
The Pasir Gudang development on four reclaimed land islands is fodder for political debate, with the opposition questioning the sale of freehold land to foreigners.
Malaysiakini reporting standard..... since when FC is in Pasir Gudang?
Leasehold - You own the property and its land for the length of your lease agreement.
Freehold - You own the property outright, including the land it’s built on.
So, here you have a situation where the buyer actually bought a 99 years lease property but was advertised as freehold!
And you have the property owner on leasehold of 99 years but with strata title with freehold status!
However upon expiry of the lease, if the land reverts back to the state, then the land lease is actually leasehold and never freehold.
So, who is the real freehold owner of the land in FC?
Very confusing!
No need to be confused la, the more you read from malaysia sotong ministers, the more blur you will be. Like you quoted malaysia second trading minister about Petronas do not beg Aramco to stay. It is funny to see you quoting on malaysian minister to make your point...they dont even know what they say.
Truth: Najib told the wrong thing about leasehold land. The land is freehold. Then Mahathir went to FC, point at the banner about freehold writing. Then another malaysia sotong minister from Johor stand out to defend his master, saying the land is leasehold, but strata title is freehold....which make no legal sense.
Freehold land or not has nothing to do with sovereignty rights, this is what mahathir trying to fools ppl that do not know anything about law, he is doctor by the way. Malaysia can convert leasehold to freehold, legally, I did that before with on one of my house, not that hard, just time consuming.
In malaysia, my understanding is that, they do not take back your ppty easily after your leasehold expire, you can extend your 99 lease again with some payment....unless you are foreigner, then situation can be diff. Our group (not company group, just a group of 4) did take advantage on a singapore company (one of the sg bank's parent company, i wont disclose the name, but start with O end with C) after acresss of land lease expire (99 years). Blocked the renew application and we buy on cheap. Old time singaporean allowed to own agri land in malaysia, and if they are on leasehold, very danger, no jalan to find ppl help you, after 99 years, will all kena makan. Delicious!
Still too early to see what will happen later.
Many are already forming chat groups to discuss course of action.
What actions the buyers will take and how the developer reacts and actions they take in the coming weeks will determine the fate of this project.
So, we will not seeing any more busloads of Mainlanders coming to the FC showroom for a long while.
The all the retail outlets in FC will not be get customers and will probably also "closed for renovations".
The group of local buyers should watch out vigilantly on the coming events unfolding.
The local banks which gave out loans to the buyers in FC should be now having something to worry about now.
Local banks in malaysia dont give out loan to china buyers. A lot of them pay by cash. And if banks kena, then more likely it is from china.
No more busloads of mainlanders? When i got time, i will check again. Dont use malaysian or singaporean common sense to understand them. The more you block, the more bueh tahan want to buy feeling will come out. Hunger marketing will make those with money more rushing to buy.
Some of the retails already open back...but seem like no more focusing on FC liao, should have change strategy, make it like "you not rich enough, we wont layan you", hunger them a few weeks before tell them to join FC trip after some difficulty in finding some extra units remain unsold.
Sometimes, the early bird catches the poisonous worms.
Greenfield project certainly must danger. Those might not be early bird.....they are early worms. 早起的虫儿被鸟吃。
Why take the risk with China developers; when there are so many nice project all over JB done by Malaysia developer?
Johor Sultan words already throw them under the bus. What other hints do one need to understand the difficulty this project will face in the future.
China buyers backing off.
Developer have fund transfer problem.
Banks whom loan them may sue first to cut losses.
All bad publicity. (Mahathir)
Chance of project been abandon.
Sultan's bad impression.
Time will tell what will happen; but why take risk with China developer?
Errr... dont talk like FC failure has nothing to do with sultan. You know the shares arrangement for FC? FC failure, sultan will lose face and lose money... then they will have to do more to save this project, whatever it takes, closer HSR station, foreigner only casino, special custom to enter malaysia CIQ, harbour. Im bad, i do hope it fail, and see how they are going to save this project.
I think dont oversimplify the issue between foreign or local developers. Local developers also not quite solid guarantee de, some small scale even runaway. If china developer target on malaysian, then malaysian would rather give more trust to china developers...for their quality and efficiency. Their oversea project quality always much better than the one in their home country.
Country garden central park, just opposite Hatten capital 21, will be 100% targets on local, building much sensible apartment price ~RM500 psf.
https://theedgeproperty.wordpress.c...ntral-park-begins-soft-launch-of-first-phase/
Why they build there? Because larkin bus station and future public transport hub will be just located at the opposite of CG central garden. <<my intel. Many ppl looking down on capital 21...but actually it might locate at the gold pot area.
I've already said many times, the Chinks are the scums in this world. They created the attractions and now their government created the shit for them and their buyers. Does their government gives a hoot? No.
Exactly bcoz of china gov, they want to park their money to safer place. First, they have no place to invest, china sharemarket eat ppl de. Second, invest in ppty, china residential only 60 years lease, no such thing as "freehold" in china.