Monday, May 21, 2012

Much to do in order to draw more tourists


THE blueprint to turn Penang island into an international tourism hub will auger well for the state’s development.
Universiti Sains Malaysia (USM) School of Building and Planning senior lecturer Dr Azizan Marzuki (pic) said Penang was a “complete destination” as it had everything like nature, heritage and urban attractions.
“The (Barisan) framework is good because eventually, we’ll need to rely on the service industry to grow the economy.
“However, the proposed blueprint must take into account every single aspect of the tourism industry.
“The different groups of tourists and their preferences must be identified with long and short-term goals outlined.
“Every area be it medical, education, Meetings, Incentives, Conven-tions and Exhibitions, heritage or urban tourism must be studied in great detail,” said Dr Azizan in an interview yesterday.
He said all stakeholders including non-governmental organisations, travellers, government agencies, aca-demicians and Penangites must be engaged.
While the blueprint is welcomed, the devil is in the details.
Dr Azizan said that in aiming to be an international tourism hub, the state’s assets must be well managed to ensure sustainability and accessibility.
“Are we prepared to receive an influx of tourists? Are there enough professional tour guides?
“What about public transport?” he asked, adding that an LRT system was much needed.
He said a feasibility research of every aspect of the blueprint was critical before implementation could be considered.
“More crucial than having more tourists come is ensuring that they stay longer.
“Women travellers should be our target.”
USM School of Social Sciences senior lecturer and its economics section chair Dr Saidatulakmal Mohd said the state’s high growth rate was from the manufacturing and service sector.
“Tourism is one of the biggest contributors to the service sector but recently, the island has been facing a lot of challenges from nearby locations like Phuket, Langkawi and Bali,” she said.
“So if we are to become an international tourism hub, new or more interesting products must be introduced.
“(However) it’s more important to maintain Penang as a tourism hub and keep its Unesco World Heritage status in the face of challenges from nearby competitors,” she said.
Dr Saidatulakmal said proposals in the “alternative blueprint” were doable but not immediately as proper planning, negotiations and costing were required.
She lauded the proposed developments for the mainland.
“So far, most programmes are focused on the island.
“It’s about time some proper planning is carried out on the mainland,” she said, adding that food and local heritage could be further promoted in Seberang Prai.
She said shopping tourism would give Penang an advantage.
On housing premium outlets in old heritage houses, she said the concept would attract lots of visitors.
“I would also love to see the eco-tourism ideas realised. Cruises are doable — the concept was adopted in Thailand and Hawaii,” she said.- The Star

BN’s vision for Penang


BARISAN Nasional’s alternative blueprint for the development of Penang will include new tourism products and attractions plus new premium shopping outlets.
It is learnt that under the proposal, Penang will be a hub for the northern region’s tour and travel operators.
Also proposed are more incoming airline flights which will generate additional airport tax while also promoting service apartments and condominiums as alternative accommodation for tourists.
In George Town, neglected inner city areas like Magazine Road and Noordin Street will be rejuvenated and turned into hives of activity with the opening of premium outlets.
“Allowing various premium brands to rent the shops without changing the heritage structures will create a win-win situation as the city’s heritage will be preserved while job opportunities are created,” said a source who is helping to draft the blueprint.
The ‘Sia Boey’ town square concept to capture the feel of old Penang is also being considered.
Revival idea: BN has plans to turn the old Sia Boey site into a floating market.
Clearing the surrounding drains will allow small boats to enter from the clan jetties on Weld Quay to the old market spot.
“We can have the taikong wearing traditional Chinese costumes to row the boats.
“On board, art and craft items will be sold — it will be a floating market of sorts.
“Once the waterways are cleared, stalls selling popular local dishes and trendy coffee outlets can be set up. We can have the trishaw peddlers converging there.
“The entire ambiance will be attractive to tourists,” he said, adding that adventure cruises along Sungai Pinang and island hopping packages to Pulau Jerejak, Pulau Aman, Monkey Island, Muka Head, Pantai Keracut and the many surrounding isles would also be promoted as eco-tourism attractions.
The iconic Penang ferries could generate greater income if they were turned into floating restaurants that offer sunset and sunrise cruises, he pointed out.
Meanwhile, the Penang International Sports Arena and Pulau Jerejak have the potential to become centres for nightly cultural shows.
“These are just some of our ideas — the details are being finetuned and nothing has been finalised yet.”
On May 14, Penang Barisan chief Teng Chang Yeow announced plans to restore Penang’s free port status as part of a “comprehensive development framework” to make the service industry an engine of growth for the state and narrow the gap between the island and the mainland.
He said the state could capitalise on medicine, entertainment, sports and education.
He said Barisan would get the rakyat’s feedback before proceeding with the next stage of its “people-centric” plan.
There are also plans to develop the mainland into an international monetary centre and to have an innovative dynamo park as well as a modern aquaculture centre.
He said the plan would include infrastructure and public amenities projects. - The Star

槟500建筑物无消防证书可被提控


(北海20日讯)为了省下一年数百令吉的更新费用,许多业者宁愿不为自身产业与建筑物取得消防证书!
槟州消拯局副行动主任拉占透露,在1988年消防服务法令下,有9种人潮多的建筑物需要有消防证书,在目前记录中,槟州共有逾1000个类似的建筑物,但,至今,却有半数的建筑物业者未向消拯局申请消防证书。
“消防证书的申请费用介于400令吉(酒店)至620令吉(工厂类别中的高风险建筑物)之间,视建筑物类型而定,之后,酒店业的消防证书每年的更新费用约200令吉,高风险建筑物的更新费用则是310令吉,一些业者不申请消防证书,不排除是基于费用考量。”
槟州消拯局火灾安全部副主任戈雅诺丁沙益认为,许多外国厂商在投资时都会考量本地业者的防火系统与配备,因此,若本地厂商有了消防证书,意味着防火能力达到标准,那么自然也会吸引到更多投资者或顾客,对促进业务有相当大的帮助。光华

Sunday, May 20, 2012

City&Country: Serious homebuyers still investing in properties in prime areas


Homebuyers are naturally attracted to good locations, reliable brands, affordable prices and, of course, easy loan financing. However, new government measures to curb speculative buying may have prompted some to postpone their house purchasing plans. Be that as it may, serious buyers have not been deterred from inking sale and purchase agreements. 
The reintroduction of the 5% real property gains tax, a limit on loans for the third house and the more stringent lending policies of banks are forcing homebuyers to ask themselves if this is the right time to invest in property. 
“No doubt, buying activity has been affected by Bank Negara Malaysia’s new policies. Speculation has eased because buyers now have to pay higher downpayments at new launches,” says Daniel Lim, COO of Sunway Group’s property development division. 
But, he adds, serious investors are still buying if the properties are located in prime and potential areas of growth. Landed property and high-rise developments in these areas that are in the affordable price range will continue to dominate the market. “Urban redevelopment is another area that investors should look out for,” Lim remarks.
Christopher Boyd, executive chairman of CB Richard Ellis (Malaysia) Sdn Bhd, believes that the right investment strategy, looking forward, is to think long term. “Don’t buy on price alone; low and medium-low cost is cheap, but they do not offer much upside in the long run. Regrettably, the most distressed properties fall into this category.”
He says the key to getting good capital appreciation is to buy what people want. “Right now, property with a decent level of security is favoured. People are also looking for ease of access and local amenities.”
Dato’ Ahmad Zaini Othman, CEO of Malaysia Building Society Bhd, says demand varies from place to place in the country. “High-rise residential homes priced below RM500,000 are in demand in big cities like Kuala Lumpur and Penang while landed residential properties valued at below RM500,000 are preferred in the smaller cities.” 
Affordably priced landed homes, SoHos (small office/home office) and high-rises in suburban areas that are well connected are also in demand. “Those who buy SoHos are usually professionals who are single. This group wants security and likes the convenience of living in the centre
of busy prime areas,” says Ahmad Zaini.

All three of them say it is wise to buy from established developers with a good track record and financial standing as they will continue to reinvest in their respective developments by providing more amenities and expand the developments, which, in the long run, will achieve sustainable growth.
Lim, Boyd and Ahmad Zaini are panel members of The Edge Investment Forum on Real Estate 2012 and will be sharing their views in a discussion entitled “Buy now or wait?”. The forum will be held at the Sime Darby Convention Centre, Kuala Lumpur, on April 28.


This article appeared in City & Country, the property pullout of The Edge MalaysiaIssue 907, April 23-29, 2012
 

险压中休闲车 日月城山坡两度山石滚落


(槟城19日讯)垄尾日月城附近山坡1小时内两度发生山石滚落事件,庆幸没有殃及路过的车辆及造成人命伤亡。这起事件是于周六下午2时许发生山石滚落后,下午约2时30分左右,突然又有一块大石头从山坡上滚落至道路中央,险些殃及停在路旁的一辆休闲车。
路段暂关闭
国阵垄尾区协调员许文栊在接获投报后,第一时间赶往现场了解情况,并联络公共工程局前来清理。许文栊说,他已经指示公共工程局官员封锁现场,并在确保道路安全后才重开有关路段。他表示,为了解决山坡石头掉落问题,他也会致函予市政局地质工程部、公共工程局以及县属,促请他们派员到现场调查。
工程局派员即时鉴定山坡安全
山石掉落不久后,公共工程局即时派员清理,但是,无奈的是清理工作完成后,不到1小时,又再传出山石再次滚落的事件。事发后,垄尾区人民社警、槟州民联政府巡逻队也赶往现场了解情况,公共工程局也在事后封锁现场路段,并派员即时鉴定山坡石头安全。
另一方面,当地居民也担心石头会再次掉落,纷纷把停放附近的轿车驾走,避免殃及池鱼。居民促请槟州政府即时派员调查,并公布山坡地质报告的安全与否。- 光华

Saturday, May 19, 2012

7万中廉屋竟卖21万 网友揭霹雳冷炒楼疑云


(槟城18日讯)7万5000令吉的中廉价屋,入伙不足一年即有人在网上以21万令吉放盘,掀中廉价屋“炒楼”疑云。日落洞国会议员黄泉安在面子书指,接获一名网友投诉指霹雳冷一栋原本价格7万5000令吉的中廉价公寓,被屋主以翻倍价格,放上产业公司网站出售,网友也提出疑问予黄泉安,询及当局是否能制止这类中廉价屋炒楼风。这栋中廉价公寓,也是去年黄泉安揭发的“变相起价”中廉价公寓。
当时,槟州房屋部发200多张公函,给认购上述中廉价屋单位申请者,以引导他们确认获得分配的单位屋价为7万余令吉,非发展商所指13万余令吉。有13名申请者发现单位变相起价后,向黄泉安投诉,揭发发展商强制购屋者须购泊车位等配套,致使价格调至13万余令吉。
黄汉伟:将介入调查
针对疑有人借中廉价屋“炒楼”疑云,黄泉安接受电访时指出,他已据网友提供的网页连接查悉网友的投诉。针对这现象,他已把问题电邮予槟州首席部长林冠英、槟州房屋发展委员会主席黄汉伟、槟州行动党主席曹观友、及槟州行动党秘书黄伟益反映。
他指出,黄汉伟也于较后给予电邮回应,指中廉价屋需过了5年期限,才能在自由市场上买卖,对方也表示将介入调查。对此,黄泉安希望槟州房屋部严谨看待上述问题,以防止有人滥用获分配中廉价屋的配额进行炒楼。他说,中廉价屋原本就是分配给有需要房屋的中下阶层民众购买,他不希望看到有人轻易获分配到购买单位后,转一手放盘就轻易赚取暴利,导致房价间接被炒高。针对黄汉伟回应指中廉价屋需过了5年期限才可自由买卖,他希望当局需严谨把关,以确保这项条令能发挥权效。他也促当局在分配中廉价房屋配额方面,需谨慎把关,避免有产业者,有漏洞获得配额。- 光华

Foresight in resolving social and community problems crucial for the local authorities


LOOKING around our housing estates, work and recreation spaces, I believe many of us must have a wish list of things for a better living, work/study and recreational environment.
Although headway has been made in the residential arena with more practical and creative designs and concepts (depending on who the developers are), more value-adding initiatives are still needed in our work place and recreational facilities.
Im sure many of us have noticed there are quite a number of office buildings in some zones of Kuala Lumpur that are built up to the maximum plot ratio and are too close to the pedestrian walkways and roads. A high percentage of the built-up space has been sold which explain why the buildings dont have enough parking spaces for the office workers and visitors.
There have been quite a number of cases when open parks and fields have been turned over for development purposes; a move that usually invite protests from the local residents.
Allowing such building designs will further exacerbate the severe parking space shortage in the city.
During the construction of these buildings, the presence of the many tractors, cranes and fork lifts so close to the roads pose a threat to pedestrians and other road users. To prevent any untoward incident, the local authorities should ensure that all new buildings maintain a safe distance from the walkways and roads.
Given their role as the governing authority for land matters and project plans, local authorities that include district and municipal councils, play a highly crucial role in determining the well-being of the local communities and in how the areas that come under their administration fare.
Despite being one of the non glamourous public bodies with their placing in the lower rank of the public administration order, the local authorities are actually important institutions at the local level and the guardian of public property and facilities.
Among their traditional duties are the provision and upkeep of public health and sanitation, general maintenance functions of infrastructure and public facilities, as well as overseeing all land and development matters.
Thats why grouses over clogged drains, poor garbage management, potholes and floods, to town planning matters, environmental protection, building control, and issuance of certificate of fitness for occupation, come under their purview.
Being the authority that is closest to the people, their performance has a direct and immediate impact on the peoples daily lives. Their efficiency or inefficiency in discharging duties will affect the public and rate payers in many ways.
That could explain why the local councils are the recipients of a fair number of letters to the editors to newspapers.
With the many developments going on around us and an expanding population, there is a need for the local authorities to be more proactive and act as the catalyst of change and progress in their areas.
They should not just uphold their traditional roles but be effective thinkers and implementors of plans for social and economic development in their areas.
They must act fast and efficiently at all times, and must also have the foresight and initiative to undertake preventive measures to resolve some of the lingering social and community problems in the long run.
There have been quite a number of cases when open parks and fields have been turned over for development purposes; a move that usually invite protests from the local residents.
Instead of signing over public parks, lakes and open spaces for development purposes, the local authorities should act as the guardian of these public spaces and wherever possible undertake enhancement efforts to further add value to these facilities.
Local authorities should also promote best industry practices in building designs and development planning practices for more environmental friendly designs and healthier living environment.
To prevent over building and congestion, plot ratio of building projects should be strictly adhered to. This is so that the infrastructure, utilities and amenities are not strained.
Our local authorities can take a leaf from their counterparts in the more developed countries such as South Korea and Japan with well structured and transparent practices in building matters.
Over there, fair trade practices are standard operating procedures for all industry players where even the sale of property has to abide by the balloting process; and strict building design guidelines have to be followed even on matters concerning the amount of lighting to a building and natural ventilation. - The Star
Deputy news editor Angie Ng hopes shopping complex owners will set aside space for a library and garden which although non-revenue generating, will be much appreciated.

onditions that can derail growth in the property sector


IN my last article, I touched on two reports that offered a very positive outlook for the property market in Malaysia and its neighbours in this region.
According to the Malaysian Property Market Report 2011, the property sector recorded a significant growth in the five preceding years, and the value of property transacted and the number of transactions also rose substantially in 2011, compared with the previous year.
And according to the Asia Property Market Sentiment Report 2012, Malaysians were generally quite positive about the property market, with more than half expressing a desire to acquire new property in the next six to 12 months.
Sadly, these upbeat sentiments could all change as a result of recent events and some prevailing conditions if they are allowed to continue unabated.
The most recent is, of course, the Bersih 3.0 rally and the ensuing violence that have certainly raised a lot of concerns, at the very least, about conditions in this country.
It may still be too soon to realise the full impact of the April 28 event. Nevertheless, the experience of our northern neighbour should give us some invaluable lessons on how a prolonged open show of dissent and how the authorities deal with such incidents can have an adverse impact.
The Red Shirts and Yellow Shirts rallies that brought Bangkok to a standstill for months in 2010 and which eventually caused the downfall of Prime Minister Abhisit Vejjajiva, should offer some invaluable insights.
Of course we have to concede that the Bersih 3.0 rally was on a much smaller scale, and it lasted only for a day, so the effects would be dramatically different.
But incidents such as Bersih and the Anti-Lynas protest also bring to light how people power causes can sometimes be hijacked and be diverted from the real issue.
In the property sector, for instance, it is not uncommon to see groups banding together to object to one thing or another in an upcoming project even if all conditions are met.
Things are aggravated further by a lack of clear-cut guidelines on what is and is not allowed in a project. When guidelines are not clear, city or local council officials are inclined to make decisions based on political expediency. In such instances, investors or developers usually end up with the short end of the stick.
Then there is the personal safety issue. A day before Bersih, 12-year-old schoolboy Nayati Shamelin Moodliar was abducted while he was walking to school from his home in Mont Kiara, Kuala Lumpur.
Thankfully, the boy was released unharmed just over a week later upon payment of a ransom. All the same, the incident has certainly raised concerns about the level of security in the Mont Kiara area.
Indeed, the police may tout facts and figures on how much the crime index has dropped over the years, and how safe the streets are now. But the reality is that parents are still worried and anxious about letting their children out of the house, and out of sight.
Another urban centre where personal security is an issue is Johor Baru. We may not like it that the Singaporeans complaint about rampant carjacking when they visit Johor, but we cannot deny that these things happen.
Apart from these, we are constantly being tested by natural disasters that rock this region. While Malaysia is not located in the Ring of Fire, the 2004 tsunami and occasional tremors only show that we are not exactly a safe distance from a major disaster.
Then, there are the man-made calamities floods and landslides caused by irresponsible and uncontrolled interference in the natural landscape.
What, you may wonder, do all these have to do with property' Put simply, disturbances of any kind public show of dissent, criminal activities or natural disasters are not good for the economy and, by extension, for the property market.
As mentioned earlier, we have done fairly well over the past few years. The economy has been growing at a steady pace, and property was selling well.
Many homebuyers have seen their investments record substantial increases in value in the secondary market, and are still looking forward to bigger gains.
However, this feel-good factor can very easily be reversed by any number of developments groups taking the law into their own hands, street crimes, another big natural disaster or worse a man-made calamity.
How well are we dealing with all these conditions' Are the authorities making the right moves' Do we continue to pander to the loudest voice, never mind what is right or wrong'
Value, location and design are no longer the only considerations when we look for a new home to buy. The security situation has also become a prime consideration.
We also now have to check if our new home is located in a flood-prone area, or if we are likely to feel an earth tremor.
The property sector is already facing so many challenges.
Recently, Bank Negara introduced stricter lending guidelines that substantially reduced the quantum of loan an individual could qualify for. That essentially means that fewer people will be able to get loans and among those who still qualify, the amount they can get will be much lower.
The impact will be significant and it may take some time before the market adjusts to the new lending regiment.
At the same time, costs to the developer continue to rise. Land prices, particularly in urban areas, are going up. The cost of building materials have been increasing over the past few years and is expected to rise further. The cost of labour has also risen.
Anymore uncertainty in the political front, or concerns about personal safety, will only make things worse. We cannot afford to continue on this road. - The Star
● Teh Lip Kim is the MD of SDB Properties Sdn Bhd, a lifestyle property company. Bouquets and brickbats are welcomed. Send by e-mail tomd@sdb.com.my.

GUH keen on non-core ops


RIDING on a strong net cash of RM142.56mil, Penang-based mainboard printed circuit board (PCB) manufacturer GUH Holdings Bhdhas initiated a business action plan that will enable its non-electronic business divisions to contribute more substantially to the groups revenue over the next five years.
Although principally a PCB maker, the group, in 2004, entered into the property development business in Negri Sembilan, ventured into the oil palm business in 2006, and the water treatment business last year.
H’ng: ‘We are expanding our oil pa lm estate.’
The rationale for positioning GUH in these areas was to reduce its dependency on PCBs, a volatile business, which generates about 90% of the groups revenue to 70%. Property, water treatment and oil palm businesses are the areas with potential to achieve the objective.
According to McIlvaine Company, an Illinois-based market research company, this years market for water treatment and consumables in China is estimated at over US$25bil.
Group managing director Kenneth Hng says in an interview with StarBizWeek that to boost the contribution of the property division, GUH plans to launch projects worth RM700mil in gross development value (GDV) on a 150-acre in Taman Bukit Kepayang in Negri Sembilan over the next five to six years.
The properties planned for Taman Bukit Kepayang include gated and guarded projects comprising two to three-storey bungalows, semi-detached and terrace houses to be launched in various phases, and three-storey shop lots.
This year, the group is launching 40 semi-detached houses with a RM28mil in GDV in Taman Bukit Kepayang.
Hng says the group expects to see the property division contributing 15% to the groups 2012 annual revenue.
Revenue contribution from the property segment to GUHs annual revenue has increased from 6% in 2010 to 10% in 2011.
White goods: A worker in GUH’s plant Suzhou, China. The group is increasing monthly production of double-sided and mu lti-layered PCB components.
GUH has completed about 375 units of landed residential houses and commercial shop lots with GDV of RM200mil in Taman Kepayang since 2004.
We are looking for opportunity to create a strong brand name for higher-end properties in prime areas especially in the Klang Valley and Penang. The search is on now for land in the identified areas, he says.
Over the next five years, GUH will focus on landed, high rise residential and landed commercial developments, for example shop-lots, Hng says. We are pursuing all kinds of expansion, including joint-venture projects with land owners, buying land or companies with land.
On the water treatment business, the group is now carrying out a feasibility study via its subsidiary GUH International (HK) Pte Ltd on a project in Jiangsu.
Last year we entered into a preliminary agreement with the Gaochun Economic Development Zone in Jiangsu to undertake the construction of a 100 million litres per day (MLD) water treatment plant on a build-operate-transfer basis.
The investment in the project is estimated at 180 million yuan, which includes distribution networks to be implemented in two phases of equal capacity, Hng said.
A Forbes magazine report released in April says that from 2011 to 2015, China will spend US$536bil on water purification and waste water treatment plants, irrigation systems, and flood control projects.
Currently, only 50% of urban sewage is treated. By 2015, the government intends to add 42 million tonnes of daily sewage treatment capacity to increase its urban waste water treatment rate to 85%, the report says.
GUH is completing in June 2012 its takeover of a 70% stake inTeknoserv Engineering Sdn Bhd, a company specialising in the design and building of water treatment plants for municipal water supply and sewage treatment works, which will enable the group to look for more lucrative water treatment business deals in China and Asean.
On GUHs oil palm business, the group is now entering the second phase of its oil palm business in Kedah. We are expanding our oil palm estate in Sungai Petani, to 10,000 acres, after which, we can consider moving into the production of palm oil and palm kernel oil.
In 2006, we started by converting a 385-acre in Sungai Petani for the cultivation of oil palm trees. Over the years, we believe we have acquired sufficient knowledge and expertise as an operator of an oil palm estate to expand the business further, he says.
On its PCB business, GUH is tapping into the market of new power-saving household appliances and also the light-emitting diode (LED) lighting segment with their double-sided and multi-layered PCB products.
The group is investing RM18mil this year to produce the double-sided and multi-layered PCBs.
We are increasing the monthly production of double-sided and multi-layered PCBs to 70,000 sq m this year at our plants in Penang and Suzhou, compared with 55,000 sq m per month a year earlier, Hng says.
The new double-sided and multi-layered PCB range will serve the branded white-goods segment such as air-conditioners, refrigerators, and washers, and also the LED commercial lighting market.
We are seeing orders from customers in Asia-Pacific coming now for the second and third quarters, Hng says adding that GUH was beefing up its white-goods segment due to slower growth in the LCD/LED TV market.
In the first quarter, we expect slower sales for the PCB business, due to slower sales of LCD/LED-backlit TV worldwide, Hng says.
GUHs high-end PCBs generate about 40% of the groups revenue. - The Star

Friday, May 18, 2012

S P Setia purchases land in Penang for RM186m

KUALA LUMPUR (May 16): S P Setia Bhd's wholly-owned subsidiary, Intra Hillside Sdn Bhd, has entered into a sale and purchase agreement with Penang Realty Sdn Bhd for the proposed purchase of 21.31 acres (8.5ha) of freehold land on Penang Island for RM185.65 million or RM200 per sq ft.

Intra Hillside said it plans to carry out the development of terraced houses and condominiums with a gross development value of RM1.1 billion.

The tract is less than 10 minutes' drive from the international beach resorts along Jalan Batu Ferringhi and 15 minutes' drive from George Town. - The Edge Property