Maximise Your Investment Portfolio With Unique Design Projects

Greater Kuala Lumpur remain as the key market leader in mixed-use developments. Analysts from Knight Frank have predicted that the Kuala Lumpur’s mixed-use condominiums & prime office rental is estimated to grow at positive 2.5 percentage-points indicating positive a outlook in this sector over the next 3 years,

Due to the nature of the development, which is a mix of homes, offices and retail and commercial areas, many would have invested due to the convenience factor. However, today’s developers have taken a modern twist by incorporating creative and unique design elements into the project features.

The question remains: – What are the benefits of investing in a mixed-use development and how does owning a unique design project contribute to one’s investment returns in the long run?

This was discussed during PropertyGuru’s GuruTalk seminar held at M101 Skywheel Sales Gallery along Jalan Yap Kwan Seng recently.

GuruTalk is a series of knowledge empowerment seminars aimed at providing “Guru Views” on the property market.

Held on 24 March, the seminar drew more than 60 local and foreign investors, coming together to gain latest insights from esteemed speakers – Adrian Un, CEO, SkyBridge International and Vicky How, Founder and Principal, Propedia Consultancy.

The event kickstarted with Adrian explaining on the benefits and success of owning a mixed-use development followed by the issues and challenges to be faced by the property owners and investors.

“There are many benefits of owning a mixed-use development such as the rejuvenation and revitalization of the area (from a not very famous place to a prominent area), provides the community with more integrated life cycle in which they get to work, live and play; saves cost and time; lesser car dependency as a result of the transit-oriented development and promotes a sense of community,” he said.

“For a mixed-development to be a successful establishment, it has to be iconic. The design and façade of the building has to be the talk of the town and appeals to locals and foreigners. There should be a high residential density to capture external traffic flow, which supports the commercial side of the development. Developers should also consider increasing the profit share margins and reduce the maintenance fees,” he further added.

Adrian moved on to explain the issues and challenges faced by mixed-use home and retail owners. He explained that there should be a right mix of tenants occupying the spaces of the development. Other factors to be considered include the maintenance fees for common areas, level of security and entry parking charges for visitors.

On the other hand, Vicky shared on how mixed-use development can help to increase your investment returns and on the latest developments in the Kuala Lumpur area.

“There are a few current developments around the Kuala Lumpur area and one of them is the KL-Singapore High Speed Rail. The rail project is expected to generate 3.5 million of passengers within a one-and-a-half-hour journey. With a budget of RM65 billion, the rail project will generate 111,000 jobs in industries such as banking, law, accounting and constructions,” she said.

She said that there is also the River of Life project which will be completed by year 2020 and the development of Tun Razak Exchange (TRX) financial hubs. With a total development of RM40 billion, the Tun Razak project will attract 250,000 financial companies and generate up to 40,000 jobs.

“An example of a unique construction in Kuala Lumpur would be i-City, a hub which first started out as an entertainment ground to pull the local and foreign crowds. Homebuyers of today also prefer having amenities such as hospitals and schools located within their vicinity for convenience purpose, which is why most mixed-use developments are incorporating them.

Last but not least, the structure and cost of materials used for the development are taken into consideration. These will indirectly increase the value of the property and allow homeowners to ask for a higher price,” she said.

Lucky attendees got to walk away with a complimentary trip to Germany with their property purchase.