Gathered at the roundtable discussion are (seated from left) Lau, Tong, Star Media Group chief business officer Lydia Wang, Ishak and Adzman. Standing from left are Hoi, Tay, Sarly, Shanker, Goh and Wong.

Roundtable timely in addressing pain points

By Joseph Wong

According to the Malaysia Property Market Centre (Napic), there are approximately seven million properties in Malaysia. Of that total, there are about 9.6 million housing units in Malaysia bearing in mind that high-rise condominium or apartment buildings can house many individual units. 

Alongside residential properties, there are also office towers, shopping complexes, shops, industrial buildings, hotels, student and workers hostels, care centres for the elderly, prisons and medical institutions, among others. 

The average lifespan of a high-rise apartment or office is estimated to be 50 to 60 years but thankfully, the majority of Greater Kuala Lumpur’s buildings have yet to reach this age. One of the oldest buildings in Kuala Lumpur is the Federal Hotel, which at 57 years old was completed in time to host the Merdeka grand celebrations. Subsequent high-rise buildings came much later. Even the world’s tallest Petronas Twin Towers is 26 years old. 

An independent home ages much slower than a building or apartment because the amenities and common services are shared among the residents. However, their lifespan can be extended by carrying out proper maintenance and regular refurbishments. 

Building lifespan is calculated based on the depreciation of construction investments. It is important to distinguish between the lifespan of the building that the components are used in and the lifespan of the materials that are used in that component. For residential properties, about 1% of the building's value should be put aside every year to ensure that refurbishments and renovations for the property can be done every 30 years.

Hence, it was timely for StarProperty to host its first roundtable conference of the year on Sustainable Refurbishment of Existing Buildings. Held on June 20, 2024, the roundtable was conducted in Menara Star with nine panel members across the real estate, architecture and surveyor sectors.

In collaboration with Nippon Paint (M) Sdn Bhd, the roundtable aimed to promote sustainability in the construction and building industry, focusing on the management and upkeep of existing buildings. Nippon Paint provided expertise and technical knowledge on issues like waterproofing, while promoting awareness of sustainable refurbishment solutions. The panel discussed solutions that benefit the environment and meet the needs of building occupants and stakeholders.

StarProperty conducted preliminary research on core issues impacting the management of existing buildings, contacting 148 joint management bodies for on-the-ground knowledge, innovative ideas, best practices, and technological advancements. Key insights were obtained from real estate consultancies such as JLL, Knight Frank, and GreenRE, among others.

The roundtable centred on issues of policy and regulation, the people factor, finance, material and production as well as renewable energy initiatives based on the findings from the wishlist.

The roundtable members included Real Estate and Housing Developers' Association (Rehda) president Datuk NK Tong, Malaysian Institute of Property and Facility Managers (MIPFM) president Ishak Ismail, Rahim and Co International estate agency chief executive officer Siva Shanker, Royal Institution of Surveyors Malaysia (RISM) immediate past president Adzman Shah Mohd Ariffin and past president Datuk Lau Wai Seang, Malaysian Institute of Architects (PAM) past president Sarly Adre Sarkum, PAM environmental social and governance (ESG) committee chairman Axxu Hoi Jung Wai and Nippon Paint (M) general manager Tay Sze Tuck and senior manager Ester Goh Chung Chen.

The roundtable session lasted nearly four hours, during which the panel engaged in an in-depth discussion to address various pain points. The possible solutions that emerged from this extensive dialogue are outlined in the following recommendations:

1. Streamline existing laws and regulations: Streamlining and refining existing laws and regulations rather than introducing new ones would be a better solution as the current ones are sufficient to regulate refurbishing and renovations. New enactments often come with a transition phase that can hinder refurbishment efforts. Additionally, various councils and stakeholder agencies may have differing interpretations of new acts, regulations, and procedures, leading to confusion and delays. By optimising the current legal framework, we can ensure smoother implementation and greater consistency in sustainable practices, said Sarly. 

Further details on the issues related to policy and regulation are elaborated on page 6.

1. Diversify income sources: It is essential to explore alternative sources of income rather than solely relying on maintenance fees and sinking funds from residents, Ishak pointed out. Innovative ideas include renting out rooftop vegetable gardens, creating co-working spaces within the building, hosting community events or leasing out advertising space on the property. “Such initiatives can generate additional revenue streams, thereby reducing the financial burden on residents and ensuring a steady flow of funds for maintenance and sustainability projects,” he said.

Regarding the people factor, the panel emphasised the importance of selecting the right management corporation to ensure proper building maintenance and preparedness for future refurbishments, given their expertise and industry contacts. For joint management bodies (JMB), they noted the unfortunate trend of experienced members stepping down once their term ended. To address this, keeping former office bearers in advisory roles is crucial for sustaining long-term initiatives. Additionally, the panel highlighted the importance of community building and collaboration among residents to foster a cohesive and engaged community.

Detailed discussions on financing and expertise challenges are provided on page 7 & 14.

1. Invest in high-quality materials: On the materials and production front, the recommendation is to avoid cutting costs on high-quality products, Adzman said. “Investing in superior materials, even if it requires a higher upfront cost, can lead to significant savings in the long run by reducing maintenance needs and avoiding disruptions,” he explained. For instance, choosing durable roofing materials, energy-efficient windows and long-lasting plumbing fixtures can enhance the building's longevity and performance, ultimately providing better value for money, Tay added.

Another point made during this discussion was the possibility of using a total solutions provider such as Nippon Paint’s Total Coating and Construction Solutions (TCCS) system which could provide a comprehensive network of expertise and materials from start to finish, including drymix solutions, sealants, adhesive and filler solutions (SAF), waterproofing solutions, flooring solutions, protective coatings and architectural coatings. This ensures efficiency, timeliness, and minimal disruption to construction schedules.

This is in contrast to looking at multiple contractors who might not be able to provide complementary solutions at the same quality levels, impeding the lifespan of the construction.

More discussion details on material and production  challenges are provided on page 10.

1. Reduce Energy Usage: Instead of solely focusing on greener power sources, it is crucial to also prioritise reducing overall energy consumption. Examples of this include implementing energy-efficient lighting systems, such as LED bulbs, installing smart thermostats to optimise heating and cooling, using motion sensors for lighting in common areas, and improving insulation to minimise heat loss. Additionally, encouraging residents to adopt energy-saving habits, like unplugging electronic devices when not in use and using energy-efficient appliances, can collectively contribute to a significant reduction in energy usage. 

Moderator Joseph Wong, the senior content manager for StarProperty, pointed out that by using what is available in the market such as Nippon Paint’s heat resistant coating which reflects the heat of the sun to reduce surface temperature, cooling down buildings. “This lowers energy expenditure by reducing the need for air conditioners,” he said, adding that any solution that reduces energy usage ultimately makes it more green than trying to create a green energy source.

For a more in-depth exploration and additional insights into the discussions surrounding renewable energy, please refer to page 11.

By implementing these recommendations, the nation can move towards a more sustainable and resilient built environment that benefits both current residents and future generations.

As buildings age, the need for refurbishment becomes more pressing.

A solution to refurbishment woes

Nippon Paint Malaysia (Nippon Paint), a one-stop construction solution provider, believes that its Total Coating and Construction Solutions (TCCS) can assist management corporations and joint management bodies (JMBs) solve their refurbishment issues.

During the round table discussion on sustainable refurbishment of existing buildings, Nippon Paint (M) general manager Tay Sze Tuck points out that through collaborations with these professional bodies, Nippon Paint can help reduce project costs, improve quality and shorten building project timelines by providing a comprehensive range of innovative solutions from coatings to sealants, adhesives, fillers, waterproofing, flooring and dry-mix.

TCCS is the market's first all-in-one solution, offering comprehensive repainting, re-waterproofing, and reflooring services, each performed by professional applicators to breathe new life into buildings, improve their performance, and ultimately extend their lifespan.

Effective waterproofing is essential for maintaining building integrity and preventing costly damage. Nippon Paint takes a streamlined approach to re-waterproofing across construction phases:

Pre-Construction Phase: Start with a diagnostic assessment to identify leaks in roofs, windows, and walls. Based on findings, a proposal is created, recommending appropriate materials, budget considerations, and warranties. Selecting high-performance waterproof membranes suited for specific areas ensures the right system is in place.

During-Construction Phase: Surface preparation is crucial. The substrate must be cleaned, dried, and free from contaminants. Cracks and defects are repaired with specialized systems. Precision in installing waterproof membranes and sealing seams ensures comprehensive protection. Regular inspections monitor the effectiveness of the waterproofing system, and any issues are promptly addressed.

Post-Construction Phase: A thorough final assessment ensures the waterproofing system meets quality standards. This evaluation verifies the effectiveness of the solutions, and the site is handed over to the owners once approved.

By adopting a comprehensive approach to re-waterproofing—from diagnostics to final assessment—enhances building durability and performance. These strategies protect against water damage, contributing to the structure's sustainability and longevity. Incorporating detailed re-waterproofing solutions ensures better outcomes and long-term peace of mind.

And the benefits speak for themselves. Professional refurbishment drives higher occupancy, enhances resale and rental value, maintains a positive image, is cost-effective on maintenance, prolongs the lifespan of the property and improves indoor air quality.

"As the market leader, Nippon Paint is advancing innovation with products like Nippon Paint Weatherbond, featuring Quartz technology. We also address efflorescence, a common issue of white chalky deposits on masonry surfaces, with their new anti-efflorescence system. This system includes CMI® Base Mortar Grey EX981 as the skim coat, 5100 Wall Sealer as the sealer, and Weatherbond as the finish coat," said Tay.

CMI® Base Mortar Grey EX981 is a high-quality, polymer-modified hydrophobic skim coat that offers excellent water repellency and flexibility, reducing water seepage and surface cracks. This innovative system ensures superior efflorescence prevention and sets a new standard in exterior building protection, he said.

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