KUALA LUMPUR: The worst is most likely over for the high-end property segment, and that a gradual return to normality is expected once the borders are reopened in 2022.
China-based China Communications Construction Group Ltd (CCCG) Overseas Real Estate Pte Ltd director Zhang Bao said the combination of mega infrastructure rollouts, reactivation of Malaysia My Second Home (MM2H) programme and reopening of borders in 2022 had generated excitement in the property market.
"Our online engagements with potential buyers from countries and regions such as Hong Kong, China and Singapore are ongoing, and they have expressed their desire to fly into KL to examine our project once they are allowed to," he said in a statement today.
CCCG and its partner WCT Holdings Bhd, through joint-venture (JV) company CORE Precious Development Sdn Bhd (CPD), are developing CORE Residence @ TRX, which is a high-end freehold project worth RM1.4 billion in gross development value (GDV) at Tun Razak Exchange.
During the pandemic, CPD took immediate measures to transform digitally and enable its international buyers to make purchasing processes remotely.
This includes using high-quality visuals, virtual reality technology and agent live streams.
"Interest in our project remained resilient due to its prime location in the international financial district of the country and attractive price per square feet.
"This provides the confidence and room for customers to enjoy some price appreciation post-pandemic," he said.
CPD has now shifted its marketing strategy to focus more on the local market while closed international borders.
The company seeks to capture the pent-up demand from Malaysian buyers looking for their stay, upgrade or investment.
"The property industry had observed a burst of recovery in market activity and transaction price when the movement control order was lifted.
"Potential local buyers and investors who have solid financial footing and an appetite for higher-priced properties may be enticed to purchase our products now to take advantage of the stamp duty exemption as well as the current low interest-rate environment," Zhang said.
CORE Residence @ TRX, which comprises three serviced residence towers, has reached up to Level 20 in construction, he said.
Moving forward, CCCG is planning to expand its workforce and make Kuala Lumpur its hub for Malaysia, Singapore and other Southeast Asian countries.
Joint ventures for new property development projects will be sought in Malaysia, particularly those in prime locations around the capital city area.
"We believe that the property market will recover in 2022, however, it will take some time to reach pre-pandemic levels of activity," Zhang said. - NST