Penang received RM5.4bil last year, says state investment body

GEORGE TOWN: Penang’s drop in investment figures was mainly caused by two principal factors, one of which being the global slowdown in the electronics industry, says investPenang director Datuk Lee Kah Choon.

“The other is that Mida’s investment figures for 2012 did not include the RM2.9bil recorded by the Northern Corridor Investment Authority (NCIA),” he pointed out.

He said whilst there was a drop in investments, Penang’s investment figure was actually RM5.4bil if NCIA’s contribution of RM2.9bil in 2012 had been factored in.

“However, investPenang continues to be optimistic that the state will remain on top of the list of favoured investment locations following the success of getting branded names like Bose to set up their first Asian plant in Penang last year.”

Lee said the top two investments in Malaysia last year were in chemicals (oil and gas) and transport equipment (automotive), making up 37.4% of the total investments in Malaysia.

“Penang’s strength is not in this area,” he said. “That explains why Penang has dropped significantly in terms of ranking in 2012.”

Lee said that the state Government concurred with Mida to actively look into developing more of the domestic investments.

“Investment in services, which take up half of Penang’s economy such as logistics, tourism and heritage, has not been captured by the investment numbers,” he said.

He also said investPenang’s performance over the past five years beginning 2008 amounted to RM36.1bil as compared to RM18.7bil for the previous five years. - The Star

李家全：“投资槟城”表现杰出 5年取得361亿投资额

(槟城24日讯)槟州首长投资顾问及投资槟城董事拿督李家全指出，“投资槟城”过去2008年至2012年5年内共取得总投资额361亿令吉比2003年至2007年的187亿令吉表现更加杰出。
他说，“投资槟城”有信心槟城仍旧是投资者首选的地点。虽然槟城的投资额根据大马投资与发展机构(MIDA)的数据从2011年的91亿令吉掉落到2012年的25亿令吉。但槟城投资额滑落主要是因为两项核心因素。
第一，全球电子工业产能衰退大大影响了作为世界电子工业重镇的槟城。第二，大马投资与发展机构(MIDA)并没有将29亿令吉的“北马经济走廊”计划的投资份额列入，若把“北马经济走廊”计划所取得的投资额列入，槟城2012年的实际投资额应该是54亿令吉。
槟城能续成为首选地点
“无 论如何“投资槟城”对槟城能继续成为首选投资地点抱持乐观的态度，因为去年槟城成功吸引了世界著名的高阶音响厂商首度在亚洲设立其生产线。我们强调我们的 投资者取向，注重在能专注在研究发展及服务业的高科技、高价值及知识型公司。然而，我们了解这不能带来立竿见影的效应，但它的确能凭着高质量的投资，减少 依赖低廉的外国客工之余，在长期来说能提供更多的高收入工作给马来西亚人。” - 光华

老街场商店须让路 峇六拜要建高架天桥

（槟岛西南区23日讯）峇六拜及公巴区人民引颈长盼的提升道路工程终于迎来喜讯，峇六拜狭窄的老街场将获得中央政府斥资3亿9000万令吉，加宽至4条车道，以缓解进入堵塞瓶颈的交通，居民更可以摆脱逾10多年的塞车痛苦。

哈出指出，除了将峇六拜老街从来往方向只有2条车道，提升至共4条车道，使当地交通更流畅外，在靠近峇都茅、峇东及公巴交界处的附近大街来往方向将兴建一条长3公里的高架天桥，届时该区居民能使用高架天桥，直达峇六拜的槟城国际机场。

他说，这新开辟的高架天桥令人期待，而这项工程属于第二阶段，届时将惠及从公巴、峇都茅及峇东交界欲前往峇六拜国际机场者，不需要再等候红绿灯，以高架天桥取代即可来往国际机场，非常便利及省时间。

公共工程局下月招标　料6月将开始动工

槟州公共工程局（道路）主任哈山接受《光华日报》访问时指出，公共工程局将在下个月公开招标，预计此项提升道路工程将在今年6月开始动工，需要约两年的时间才能完工。- 光华

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Boustead Hotels and Resorts invests RM60mil in Penang hotel

PETALING JAYA: Boustead Hotels and Resorts Sdn Bhd has invested about RM60mil in its latest Royale Bintang hotel in Penang.

“We are hoping the hotel in Penang would be completed by early November, and another hotel in Cherating, Pahang, be completed in two years' time,” Boustead Hotels and Resorts director of operations Datuk Mokhtar Khir said. The four-star Penang hotel will have 180 rooms.

Of the five hotels currently in the stable of the company, a subsidiary ofBoustead Holdings Bhd, all but one are four star The Royale Bintang Kuala Lumpur, The Royale Bintang The Curve, The Royale Bintang Resort and Spa Seremban and The Royale Bintang Damansara. It also owns and operates the five-star The Royale Chulan Kuala Lumpur and manages The Royale Aryani Resort in Terengganu.

Although the expansion of its hotel chain augurs well for the company, it faces a shortage of workers.

Yesterday, Boustead Hotels and Resorts and UNITAR International University signed a memorandum of understanding (MoU) for the latter's undergraduates and graduates to be integrated into the hospitality sector.

Mokhtar said “we hope that through the MoU, it would somehow fill this gap”.

“We also want to train graduates to be future managers of the hotels,” he added.

The MoU aims to provide a platform for both organisations to collaborate on the establisment of a career framework for industrial training for permanent employment opportunities for UNITAR students at Boustead Hotels and Resorts.

UNITAR Capital Sdn Bhd chief executive officer Wan Ahmad Saifuddin Wan Ahmad Radzi said the MoU was the third inked by the university after Maxis Bhd and Themed Attractions and Resorts Sdn Bhd last year. UNITAR Capital is the operator of UNITAR.

Asked if he saw more collaborations this year, Ahmad said he was hoping to seal several partnerships.

“Right now, we have two partnerships in the pipeline with the IT hardware and IT infrastructure industries,” he said.

The MoU with Boustead Hotels and Resorts is for a three-year period, but Ahmad said both parties were hoping it would extended for a longer term.

The first intake is expected by June this year and would involve at least 15 students in a three to six-month internship.

“We are responding to changing curriculum needs by providing quality access to industry.

“We want to bring the industry into the classroom and the classroom to the industry,” he explained. - The Star

Klang Valley office stock reaches historic milestone

A FLURRY of activity in the Klang Valley office market, in terms of completed stock and take-up, was noted by Jones Lang Wootton (JLW) at the end of 2012.

According to JLW's David Jarnell, senior vice president and head of research, “the Klang Valley's office market supply (prime and secondary stock) has registered an historic milestone by surpassing 100 million sq ft.

In Q4'12, seven office buildings in the Golden Triangle, the decentralised area, KL Sentral in Bangsar Pantai, Petaling Jaya and Putrajaya, totaling 2.23 million sq ft, were issued with certificates of completion and compliance and the office stock accumulated to 100.694 million sq ft.”

JLW defines office stock as purpose built self contained buildings which are generally above five storeys. Federal and state government office complexes, which are solely used by the Government and older buildings where part of the space has been sold on strata are excluded from JLW's monitored stock.

Malathi Thevendran, executive director of JLW, attributes the strong supply growth to steady and sustainable economic growth and a vastly growing services sector, integrated mixed use developments and the improvement in public transportation.

JLW monitors many office locations and the highest supply growth is the Bangsar/Pantai locality which experienced a compounded annual supply growth of 29% (1998 2012) primarily contributed by the continuing KL Sentral development in which Malathi has been involved since the master planning stage in 1995.

Menara CIMB, which is managed by JLW was completed in Q1'13 and 1 Sentrum, for which JLW is the exclusive leasing agent, will be completed later in the year, are two prime office buildings adding to KL Sentral's office stock in 2013.

In 1998, the Klang Valley's office stock was approximately 50 million sq ft and over the past fourteen years, this has grown significantly. David comments, “the stock has grown at an average of 3.62 million sq ftper annum since 1998”. Driven by strong demand, mainly from Malaysian companies and international companies already represented in Malaysia, take-up of office space in 2012 totaled 3.26 million sq ft (61% above the net average take-up over the past fourteen years of 2.03 million sq ft per annum).

Interestingly, comparing the Klang Valley with other metropolitan areas in the South-East Asian region, it has the largest office stock. Greater Bangkok has approximately 87.85 million sq ft with a similar amount of central business district accommodation at 45.42 million sq ft compared with the Klang Valley's 45.73 million sq ft.

The third largest office stock in the region is the Special Capital region of Jakarta, which has 65.66 million sq ft of offices, 47.36 million sq ft of which is in the CBD. Primarily constrained by land availability, Singapore has an office stock slightly less than Jakarta at 64.01 million sq ft.

Over the next three years (2013 2015), the Klang Valley office market will expand significantly with a vast incoming supply. If projects are completed on schedule, 17.97 million sq ft could be delivered into the market over the next three years.

On a regional basis, this three year supply pipeline is only surpassed by the Special Capital region of Jakarta, which is estimated at a huge 31.2 million sq ft. Strong demand from business expansions in the banking, insurance, oil and gas and the mining and natural resources business sectors is driving construction activity. Metro Manila, in the Philippines, has the third largest three year pipeline at 16.05 million sq ftall of which is Grade A accommodation.

There is just over 21 million sq ft of vacant office space, a considerable amount even though the market continues to show good take-up. Secondary accommodation is generally quite stable in terms of stock and average occupancy rate but the newer Prime Grade A buildings, even in the more established commercial locations, are placing downward pressure on the average occupancy rate.

David points out that some landlords of the newer buildings, which are competing for occupiers are offering more incentives such as longer rent free periods to secure tenants. He believes however that “rental rates for Prime Grade A buildings with good occupancy will be stable in 2013, particularly for those which are both green building and MSC Cybercentre certified and benefit from being in highly accessible locations”.

David reckons better monitoring of developers' intentions by a regulatory body to govern and direct future supply would help to ease the growing competition between landlords.

Malathi concurs “developers of office buildings should also be fully aware of what they could be up against and act prudently at the master planning stage, particularly the large scale projects which will need to be phased over many years before they are fully built out”.

David also adds that “KL is vying to become an international financial centre supported by the Government's Economic Transformation Programme and brand new infrastructure including rail networks such as Greater KL's Mass Rapid Transit (MRT) and the announcement of the KL-Singapore high speed rail link.”

He anticipates that the proposed High Speed Rail link between KL and Singapore will have a positive impact on the movement of people, which will help to spur Malaysia's tourism, business and trade sectors.

The property sector would also benefit from more international demand (especially from Singapore) due to KL's enhanced accessibility.

In the office market, for example, more foreign companies will consider locating their businesses in KL due to the relatively low costs of operation and better opportunities to attract a wider range of workforce.

Thus the Klang Valley will continue to be a key target for both Malaysian and foreign investors and our team of professionals is in a position to help our clients take advantage of the tremendous investment opportunities which are available.”

David Jarnell is the senior vice-president and head of research in Jones Lang Wootton and Malathi Thevendran is executive director - The Star

State: We’ve provided cheap housing

THE Penang Government has denied claims that it did not provide affordable housing for the people, saying that 14,702 low-cost (LC) and low middle-cost (LMC) units were built between March 2008 and last July.

State Town and Country Planning, Housing and Arts Committee chairman Wong Hon Wai said these units in 47 projects statewide received the certificate of occupancy issued by the Penang Municipal Council and Seberang Prai Municipal Council.

“At the same time, 12,246 LC and LMC units have also been granted planning approval.”

He was responding to the simultaneous demonstrations on Saturday organised under the Sekretariat Rakyat Bersatu Pulau Pinang umbrella in Jelutong, Teluk Kumbar, Permatang Pauh, Kepala Batas, Tasek Gelugor and several other areas to highlight their unhappiness over Chief Minister Lim Guan Eng’s failure to build affordable houses in the state.

Wong added that the state government had also allocated RM500mil for the construction of 19,172 units of affordable housing in the state.

“Registration for 13,320 affordable housing units in Jalan S.P. Chelliah and Batu Kawan, which was launched last month, has attracted more than 17,000 applicants.

“The state government also restored abandoned and neglected houses in the state which were left vacant for over a decade.

“We repaired 170 units in Rifle Range, which were originally army quarters and left vacant in early 2000.

“We then rented them out to the poor for RM90 a month,” he said in a statement yesterday. - The Star

Catching up with progress

PADDY fields, mangrove swamps, rolling hills and pristine beaches herald the natural beauty of Balik Pulau.

The parliamentary constituency consists of three state seats - Bayan Lepas, Pulau Betong and Teluk Bahang.

The rustic countryside exudes a relaxed lifestyle of tranquility and peace, and well known for its mouth-watering durians and laksa stalls.

Balik Pulau, which means ‘the other side of the island’ in Bahasa Malaysia, is undergoing rapid development and is slowly shedding its image as a quiet backwater.

The traditional kampung houses are still all over the place but rows of spanking luxurious houses are coming up in some areas.

Slow and easy lifestyle: The town of Kuala Sungai Pinang in Balik Pulau

It has pristine beaches in Pantai Kerachut and Pasir Panjang which are favourites among locals.

The beaches are usually quiet unlike the beaches in Batu Ferringhi which are frequently swarmed with tourists.

The tranquility of the area is enough to attract anyone who prefers serenity compared to the hustle and bustle of city life.

There are many fishing villages untouched by development. An example is the picturesque Kuala Sungai Pinang which has mangrove forest.

Here, one can see fishermen laying traps for crabs and mending nets in their boats at dilapidated wooden jetties.

Balik Pulau is being turned into an education hub with several international colleges planning to open its campuses there.

Besides Mara Junior Science College and the Prince of Wales Island International School, it is also home for several institutions such as Mara Higher Vocational Training Institute and Island College of Technology.

The development of the RM120mil Escape Theme Park in Teluk Bahang has boosted tourism.

Escape Adventureplay, which is the first phase of the Escape Theme Park opened its doors to the public in November last year while the entire theme park spanning 17.8ha is expected to be completed in 2017.

Upmarket homes: One of the new housing projects in the Balik Pulau parliamentary constituency

Real estate prices in Balik Pulau have shot up as more people are buying luxurious houses there.

The completion of the much-delayed road upgrading project costing some RM60mil has made the town more accessible from Bayan Lepas.

The project was once dubbed the ‘sickest’ road project in the state since there were repeated changes to contractors who could not complete the work on time.

Although initially it was supposed to be completed in two years, it took some five years to complete the stretch from Teluk Kumbar to Pekan Genting.

Now, it is a breeze to travel along the 3.3km stretch which has several flyovers.

There is no doubt that Balik Pulau is set to be a ‘hotspot’ for developers in the next few years.

Locals are concerned over the mushrooming of luxurious houses.

“I don’t think many locals can afford to buy houses which are above RM500,000,” said security guard Raja Shaharuddin Raja Ahmad, 43, who stays in Sungai Rusa.

Wider and safer: The completion of the upgraded road link between Teluk Kumbar and Pekan Genting has shortened travelling time

“I am not against such development. All we want is more affordable homes for locals,” he said.

His wife Normaziah Abu Bakar, 40, concurred with her husband saying the state government should step in help low-income people to buy their own houses.

Another local factory worker Ahmad Sapuri Yahya, 39, from Kampung Masjid said he preferred the construction of low-medium units to three-storey bungalows.

A similar view was expressed by housewife Koay Swee Kim, 36 from Pondok Upeh who said that instead of building more affordable housing on the northeastern side of the island, such units should be built here.

Koay said all efforts must be taken to preserve the lush greenery of the area.

Fishmonger Chee Khoon Seong, 60, said he was unfazed by the rapid development in the area, saying it was unavoidable.

“However, I’m more comfortable living in a kampung lifestyle,” he said.

Accountant Alan Low, 33, said the price of properties in Balik Pulau were cheaper than other parts of the island.

“For RM500,000, one can buy a two-storey landed property here. In George Town or other areas, one can only buy a condominium with that money,” he said.

All the seats in the parliamentary constituency are expected to be keenly contested by candidates from Barisan Nasional and Pakatan Rakyat. - The Star

Positive outlook for Malaysian economy

KUALA LUMPUR: The Malaysian economy is expected to grow steadily at 5% to 6% in 2013, thanks to strong domestic demand, robust private investment and a better global outlook.

Bank Negara Governor Tan Sri Dr Zeti Akhtar Aziz expects growth to be sustained on the back of higher domestic demand and an improvement on the exports front as the global economy recovers.

She added that last year's better-than-expected 5.6% full-year growth came despite a weaker global economic environment.

Zeti said private investments were expected to grow 15.6% this year, led by investments in the services sector while private consumption growth would remain firm at 7.1% backed by income growth and stable employment prospects.

She told a press conference that the minimum wage policy would contribute positively to income growth while the unemployment rate was expected to remain stable at 3.1%.

Meanwhile, CIMB Investment Bank Bhd economic research head Lee Heng Guie expects the economy to grow by 5.5% this year.

“While domestic catalysts will continue to anchor growth, the cyclical upturn in exports should improve economic prospects,” he said.

Lee also said robust private investment growth and public spending would continue to fuel total investment growth.

The country’s economy is doing fine and is set to grow by 5% to 6% this year. The expansion will be due to strong domestic demand, private investment and a better global outlook, says Zeti.

“More projects under the Economic Transformation Programme will be realised this year, thus creating a spillover effect on the construction, real estate and financial services sectors,” he added.

Zeti expects the inflation rate to average 2% to 3% this year. She said the central bank would focus on addressing potential risks to inflation and growth.

She said the Government's fiscal consolidation efforts would continue with the debt-to-gross domestic product ratio to be trimmed to 4% after falling to 4.5% in 2012 and 5% in 2011.

“Government spending will be moderate while revenue will improve significantly, notably that of the Inland Revenue Board, which raised 14% more than expected,'' she said.

On another note, Zeti said the online interbank GIRO fee would be capped at 10 sen effective May 2. According to her, the current rate was RM2 per transaction.

The online interbank GIRO transfer would only be applicable to the Internet and mobile channels.

Zeti also said that the cheque issuance price would be increased progressively to encourage users to migrate to online transactions. - The Star

Tips on selling your home

IF you're planning to sell your house, then there are certain steps you should consider before putting it out on the market.

Here are some simple steps to follow to help you command “top dollar” for the house you plan on selling.

Get a registered estate agent

Hiring a registered estate agent can help you avoid getting conned and get the best deal possible, says Malaysian Institute of Estate Agents (MIEA) deputy president Siva Shanker.

“Always go to a registered estate agent and not to one that is not. There are plenty of them out there,” he says.

“By going to a registered estate agent, then you can be assured that you're protected by law.”

Siva also says a seller should engage just one estate agent, if possible.

“Have just one estate agent to handle the deal for you. That way, there would be better accountability,” he says.

Publicise your sale

Once you've decided to put your house up on the market, the next thing to do is to ensure everyone knows that you want to sell.

“There are many ways to publicise this via newspaper ads or on web portals,” says MIEA president Nixon Paul.

Siva says one of the simplest and most effective methods to let people know your intention of selling your house is to simply place a sign on your gate or in front of your property.

“By doing this, chances are, more often than not, the potential buyer will come from the immediate neighbourhood,” he says.

Oddly, Nixon says that there are sellers that don't actually want to publicise the sale of their homes, preferring instead to keep the whole transaction private and personal.

“Sometimes they might be in financial difficulties and don't want people to know.”

Siva concurs that there are actually sellers that “prefer to keep things under wraps.”

“The seller should readily be willing to tell all and sundry that their house is for sale. With more people knowing, the seller would stand a better chance of negotiating a better price!”

Clean it up

When it's time to let a prospective purchaser inspect the house, it definitely helps to “spruce” the place up a bit.

“It only makes common sense to make the property ready for viewing. One should spruce up the place and just make it look more appealing,” says Siva.

“When a prospective purchaser walks into the house, turn on the air-conditioning, spray a little air freshener to make it a pleasant experience.”

Nixon concurs that first impressions, especially appearances, can either make or break a deal.

“When the house does not look good, it would not be able to command good value.”

In Western countries, this is known as “staging,” which is essentially the act of preparing a home (and its contents) for sale, with a special emphasis on presentation and appearance.

According to US-based property website HomeBuyingInstitute.com, staging a home for sale normally involves things of an aesthetic nature, such as design, organisation and overall appearance (as opposed to mechanical or functional improvements).

The goal of staging is to improve the home's appearance in the eyes of potential buyers, with the ultimate aim of selling the home more quickly and for the highest possible price.

Siva says that if the house is vacated, every effort should be made to make it look as habitable as possible.

“If a home is vacated for a while, it might look abandoned or even a little bit run down and a lot of people don't want to spend money sprucing it up. By not doing this, you're only doing a disservice to yourself.

“Even if it's for rent, the landlord, instead of spending money to improve the condition of the home, would rather wait to secure a tenant first before deciding to do anything.”

He says the seller or landlord should spend money to fix whatever defects that are visible as soon as possible.

“A simple thing like giving it a fresh coat of paint would help to do wonders. Sure, a buyer might end up renovating the place soon after. But if he likes what he sees, the seller can command a higher value for the house.”

Is timing relevant?

Nixon says the timing of when to sell a property in Malaysia does not matter very much.

“To some degree, it doesn't really matter. Of course, there tends to be a slowdown towards the beginning and end of the year as people tend to wind down during that time.

“And during the fasting month, the Malay community isn't really looking to buy either.” - The Star