New developments to share

[shctaw]

Put it this way.....

Any buyers of any condo in Iskandar from 2008-2012 look like a genius in 2013.

Likewise when you buy any condos in 2013; you will look like a genius in 2020.

There are too many launches. Unlike Singapore where land bank is few and small; developers in JB (IOI, Genting; UEM etc) are holding large amount of land some as cheap as RM2 psf.

Must be very selective as the developers can sell at RM300 to make money. Imagine those condos they intend to sell at RM300; just because of Setia Sky 88; they launch at RM1100.

Play smart. Be choosy. Be very choosy.

Hi Prof,

Any take on Capri Residences by Dijaya? According to agent, its launching on 17th May 2013. Indicative prices from RM$1050psf with some 10% Disc. Its located very near Brunsfield's Development.

The price of Zone A is shooting through the roof (with Tri Towers @ $1100 psf onwards) and as your words of wisdom has it: "margin of safety is getting lesser ... ppl are helping developers break records in psf!"

 

[shctaw]

Haha; I read my reply and I find out I did not reply your question at all.

If there are 20 to 30 launches in phrases in Danga bay. Just try to be vested in the first 2-3 phrase. Do not enter too late.

Along the way; you will always find people whom kick themselves for not getting in early. Just make sure you are not one of them.

Hi Prof,

Any take on Capri Residences by Dijaya? According to agent, its launching on 17th May 2013. Indicative prices from RM$1050psf with some 10% Disc. Its located very near Brunsfield's Development.

The price of Zone A is shooting through the roof (with Tri Towers @ $1100 psf onwards) and as your words of wisdom has it: "margin of safety is getting lesser ... ppl are helping developers break records in psf!"

 

[sgtsk]

Put it this way.....

Any buyers of any condo in Iskandar from 2008-2012 look like a genius in 2013.

Likewise when you buy any condos in 2013; you will look like a genius in 2020.

There are too many launches. Unlike Singapore where land bank is few and small; developers in JB (IOI, Genting; UEM etc) are holding large amount of land some as cheap as RM2 psf.

Must be very selective as the developers can sell at RM300 to make money. Imagine those condos they intend to sell at RM300; just because of Setia Sky 88; they launch at RM1100.

Play smart. Be choosy. Be very choosy.

Further, Iskandar is 3 times and Johor 27 times of Singapore. The developers should not be enticed into leaving too little money on the table.

 

[shctaw]

For those whom think I am tough on other zone in Iskandar....

E&O bought 210 acres at RM380m. Cost RM38 psf.

Sunway own 3 land banks.
Including one in Medini South. Total 1858 acres. Total RM597m. Cost RM12 psf.

Be careful out there. Is a dog eat dog world.
This are big corporation that have own interest to protect. You interest is never their problem; if you screw up your investment you cannot blame anyone else except you did not do enough research.

 

[shctaw]

Top 3 land owners in Iskandar. (including platation which can be converted to other uses.)

1. Sime Derby - 169,173 acres
2. IOI - 63,489 acres
3. KL Kepong - 52,376 acres

You seldom see their names yet, but you will see them soon in the very near future.
It make Leisure Farm look so tiny. (don't get me wrong; Leisure Farm is huge; but there are much more land out there.)

 

[Chocolate]

For those whom think I am tough on other zone in Iskandar....

E&O bought 210 acres at RM380m. Cost RM38 psf.

Sunway own 3 land banks.
Including one in Medini South. Total 1858 acres. Total RM597m. Cost RM12 psf.

Be careful out there. Is a dog eat dog world.
This are big corporation that have own interest to protect. You interest is never their problem; if you screw up your investment you cannot blame anyone else except you did not do enough research.

Thanks for the info. Based on this, Danga bay should be selling at significantly higher price than Medini? How much higher? Also, in terms of future potential I understand Danga bay will also have retail, offices etc, would it be popular with JB people or just foreigners?

 

[shctaw]

Selling price is base on how much people are willing to pay.

If there are enough people to pay RM2000 psf to buy up the whole project; the developer will surely sell it at RM2000. (even though their land cost is only RM2 or RM50 psf.)

Danga Bay, Senibong Cove or Tri-Tower for that matter. The price is base on Singaporeans and Foreigners buying power. If you base on local Johoreans buying power; you will need to sell around or below RM500 psf. And even at RM500 psf; 90% of the Johoreans will still think it is expensive.

I remember a field trip to a Terrace project at Seri Austin. The Taxi driver say "RM500,000 is so expensive. I can buy at RM100,000-Rm150,000 somewhere else."
When I ask why he is not buying at RM150k; he told me he got better thing to do than to buy terrace.
It just confuse me.

Thanks for the info. Based on this, Danga bay should be selling at significantly higher price than Medini? How much higher? Also, in terms of future potential I understand Danga bay will also have retail, offices etc, would it be popular with JB people or just foreigners?

 

[shctaw]

How big is 1 acre?

1 international acre is equal to the following metric units:
4,046.8564224 square metres
0.40468564224 hectare (A square with 100 m sides has an area of 1 hectare.)
1 United States survey acre is equal to:
4,046.87261 square metres
0.404687261 hectare
1 acre (both variants) is equal to the following customary units:
66 feet × 660 feet (43,560 square feet)
10 square chains (1 chain = 66 feet = 22 yards = 4 rods = 100 links)
1 acre is approximately 208.71 feet × 208.71 feet (a square)
4,840 square yards
43,560 square feet
160 perches. A perch is equal to a square rod (1 square rod is 0.00625 acre)
4 roods
A furlong by a chain (furlong 220 yards, chain 22 yards)
40 rods by 4 rods, 160 rods2 (historically fencing was often sold in 40 rod lengths[citation needed])
1⁄640 (0.0015625) square mile (1 square mile is equal to 640 acres)
Perhaps the easiest way for U.S residents to envisage an acre is as a rectangle measuring 88 yards by 55 yards (1⁄10 of 880 yards by 1⁄16 of 880 yards), about 9⁄10 the size of a standard American football field.

The area of one acre (red) superposed on an American football field (green) and association football (soccer) pitch (blue).
To be more exact, one acre is 90.75 percent of a 100 yards (91.44 metres) long by 53.33 yards (48.76 metres) wide American football field (without the end zones). The full field, including the end zones, covers approximately 1.32 acres (0.53 ha).
For residents of other countries, the acre might be envisaged as approximately 56.68 percent of a 105 metres (344.49 feet) long by 68 metres (223.10 feet) wide association football (soccer) pitch.
It may also be remembered as 44,000 square feet.

Top 3 land owners in Iskandar. (including platation which can be converted to other uses.)

1. Sime Derby - 169,173 acres
2. IOI - 63,489 acres
3. KL Kepong - 52,376 acres

 

[DCputeri]

Hutton will achieve 100% sold out for block A. Price will be higher for the next block. Suppose that will be the strategy.

 

[potter]

Selling price is base on how much people are willing to pay.

If there are enough people to pay RM2000 psf to buy up the whole project; the developer will surely sell it at RM2000. (even though their land cost is only RM2 or RM50 psf.)

Danga Bay, Senibong Cove or Tri-Tower for that matter. The price is base on Singaporeans and Foreigners buying power. If you base on local Johoreans buying power; you will need to sell around or below RM500 psf. And even at RM500 psf; 90% of the Johoreans will still think it is expensive.

I remember a field trip to a Terrace project at Seri Austin. The Taxi driver say "RM500,000 is so expensive. I can buy at RM100,000-Rm150,000 somewhere else."
When I ask why he is not buying at RM150k; he told me he got better thing to do than to buy terrace.
It just confuse me.

50k is a big n hard earn $ for a taxi driver. Chit Chat with a street sweet corn seller came from pahang with a similar question, with $100k, she got a better idea to buy than e taxi driver..wahaha..


Those sweet corns like moochi, ah tiong, jade_apple... u'll get different story..

 

[sgtsk]

Selling price is base on how much people are willing to pay.

If there are enough people to pay RM2000 psf to buy up the whole project; the developer will surely sell it at RM2000. (even though their land cost is only RM2 or RM50 psf.)

Danga Bay, Senibong Cove or Tri-Tower for that matter. The price is base on Singaporeans and Foreigners buying power. If you base on local Johoreans buying power; you will need to sell around or below RM500 psf. And even at RM500 psf; 90% of the Johoreans will still think it is expensive.

I remember a field trip to a Terrace project at Seri Austin. The Taxi driver say "RM500,000 is so expensive. I can buy at RM100,000-Rm150,000 somewhere else."
When I ask why he is not buying at RM150k; he told me he got better thing to do than to buy terrace.
It just confuse me.

He could but 1-2 acres of agri land at more remote place to grow veg, fruits, rear chickens and goats and build huge bungalow, albeit the wooden zinc roofed type.

 

[sgtsk]

​

In my opinion, yields are still fairly attractive for REITs compared to other places you can park your money. However , I would prefer to buy on dips as current prices may be abv valuations. Fundamentals still count. I am also vested in Reits. There is a lot of Industrial supply coming on stream over the next few years so that is also a risk factor especially if businesses arent doing so well.Some Reits like Sabana have a lot leases due for renewal this year so a lot depends on what sort of rates thay can renew at. In the short term it looks good but like other counters on the stock mkt, you have to watch also the overall market.

Thank you for sharing.

 

[arsenal]

Anyone know when the temasek condo in medinni is selling?

 

[wuqi256]

Hutton will achieve 100% sold out for block A. Price will be higher for the next block. Suppose that will be the strategy.

More than 3 separate agents (interesting all had the same last name) from that company were trying to use this forum as a platform for "discussion" with the view of promoting new launches that they were handling. Subtle advertising. None were willing to approach the owner of this site to do advertising and disappeared after being told to do so.

 

[shctaw]

Just to share this website, it is my proxy toward investment in properties.

Have follow them for a few years; went thru Lehman era.

It is a very motivating podcast on properties investment.

http://realestateguysradio.com

 

[Chocolate]

Hutton will achieve 100% sold out for block A. Price will be higher for the next block. Suppose that will be the strategy.

Since Meridin didnt sell out at lower prices ( if indeed they launch Iskandar Res @ 750 to 800psf) I doubt they will sell out. Just thread with care and don't buy into the hype. I am not saying Meridin doesnt ahve potential, undoubtedly its one of the more atas locations in iskandar. But if Meridin didnt sell out we need to be discriminating about the price we're willing to pay. Lets see if they lower price for Iskandar Res. I am not inclined to buy at 750 to 800psf, although it has 30 years lease more than Meridin.

 

[Charlie258]

For those whom think I am tough on other zone in Iskandar....

E&O bought 210 acres at RM380m. Cost RM38 psf.

Sunway own 3 land banks.
Including one in Medini South. Total 1858 acres. Total RM597m. Cost RM12 psf.

Be careful out there. Is a dog eat dog world.
This are big corporation that have own interest to protect. You interest is never their problem; if you screw up your investment you cannot blame anyone else except you did not do enough research.

You are a very high Precision guy. As far as general investment approach goes, we are similar. But you are incredibly precise.

For example, I just took one look at Iskandar and nixed it. I did not even have the exact psf numbers you have quoted above. All i know is......it looked too big......Big as in...... Gobi Desert...... Kalahari Desert....... Namibia.......Morocco........the Australia Kimberley.......you get the idea?

So, I am more of Gut Feel guy...... an Instinctive trader guy. You are very systematic, very analytical.

We probably both get similar returns on our investments.

 

[shctaw]

My strategy is not to lose money.

Making money is secondary, as the fund is already there for me to retire.

Just itchy backside. But I have a bad habit to put my money where my mouth is.

Iskandar will appreciate in value. But must be choosy. There will come a time when the is a price, but no buyer.

In Hong Kong we call this 有价无市。（Yao gah mo shi)

You are a very high Precision guy. As far as general investment approach goes, we are similar. But you are incredibly precise.

For example, I just took one look at Iskandar and nixed it. I did not even have the exact psf numbers you have quoted above. All i know is......it looked too big......Big as in...... Gobi Desert...... Kalahari Desert....... Namibia.......Morocco........the Australia Kimberley.......you get the idea?

So, I am more of Gut Feel guy...... an Instinctive trader guy. You are very systematic, very analytical.

We probably both get similar returns on our investments.

 

[Maserati]

Heard rumours that Peter lim pull out of auto city project. Don t know true or not

I hope not and don't think Billionaire Lim will pull out since the sultan is a petrol head. Not good to aggravate the royal when he has other projects in Iskandar.

 

[Maserati]

I am thinking about d'Residences. Huttons is having a talk at their office today, I plan to attend. If any of you are interested you may ask any Huttons agent to invite you.I know there has been a lot of talk abt FH vs Leasehold here and one downside of Medini is its not FH. But as a seasoned investor in Singapore who's bought and sold FH, 99 and 999 over the past few years let me say that on many occasions, holding over a 5 year period I have made more from some leasehold than I have from prime Orchard Rd FH. Its all about the price you pay and the potential of that location. Look at bungalows in Sentosa.How many 100% have they gone up? They are 99.
Having said that, I agree Malaysia has FH in plentiful supply. But In JB they are starting to launch 99 now, I believe Sun City and SouthKey( not sure abt this one) are also 99.
The question to ask is are we getting value for money and is there enough upside? Rental yield is also very important for investment properties. Otherwise the investor may have cash flow problems. In SG I bought Industrial properties a few years back, 60 years lease. I am getting over 7% yield and I also have a good capital gain.But current prices no longer offer the same upside potential nor rental yield.
One of my concerns about Medini is that its still unproven and will there be too much supply? Its purely dependent on investment as its not an 'own stay' kind of place. Just like Marina bay. Local families wouldnt choose to stay there.
Just expressing my thoughts. Am still undecided.Hopefully I will learn more at the talk.

Well said. I made good money on 99 LH property in SG. However, SG and Iskandar may not necessarily be compared in the same light as the latter has a lot more land. Though if one is going for yields, 99 LH property will be higher as Psf is lower. Tenants don't bother whether they are renting a LH or FH property.