News: Johor Bahru has ample land for affordable homes: Koh
Johor Bahru still holds large parcels of land that can accommodate decent residential properties and sold at affordable prices to first-time property buyers, said Koh Moo Hing, Chairman of Johor Real Estate and Housing Developers Association.
Koh noted that land supply had never been an issue in Johor, unlike in the Klang Valley and Penang, where developers "are hampered by the excessively high prices of land."
Although the establishment of Iskandar Malaysia has caused land prices in the economic growth corridor to continually rise between 30 percent and 40 percent, he believed that the prices of properties in Iskandar are ‘still reasonable and competitive.'
Hence, Kho attributed the positive growth in the Johor Bahru property market to Iskandar as it made a large contribution in boosting the demand of properties in the area.
"Confidence in Johor is now at all-time high - the progress in Iskandar is not only about Johor but the nation as well."
Johor property market is yet to reach its ‘boiling point', unlike in Penang Island, where residential property prices had mounted over 25 percent in the last five years, Koh added.
According to Simon Heng, Senior general manager at IOI Properties Bhd, the situation in Penang resembles Singapore and Hong Kong where land use needs to be maximised.
Currently, IOI Properties is busy with the Bandar Putra Kulai, a 2,428.11ha integrated township project in south Johor.
Meanwhile, Datuk Chang Khim Wah, Executive Vice-President of SP Setia Bhd's property division, agreed that Iskandar is still a good location for bigger landed properties given the availability of land in the area.
"Comparing Penang to Johor Bahru is like comparing an apple to an orange; they are two different places with different market scenarios."
Image: Malaxi.com
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