BY DAVID TAN, CHRISTOPHER TAN, AND JOLYN FRANCIS

GEORGE TOWN: Ten developers from Penang and Kuala Lumpur are showcasing about RM9.52bil in property at the Star Property Fair 2015.

The developers are Eco World Development Group Bhd (RM710mil), Mah Sing Group Bhd (RM4.328bil), Ewein Zenith Sdn Bhd (RM800mil), Seni Bahagia Sdn Bhd (RM72mil), Sunway Bhd (RM628mil), Asia Green Group (RM1.6bil), Aroma Development Sdn Bhd (RM500mil), Bionic Development Sdn Bhd (RM300mil), Trimension Properties Group (RM200mil) and KB Group (RM384mil).

The properties are targeted mainly at the local market despite the difficulty in obtaining bank loans.

Mah Sing Group Bhd CEO Ng Chai Yong said the group believes that there would still be a need for well-located properties with mid-range prices for the middle-income segment.

While market sentiments are poor, there is still a supply and demand gap where only 70,000 to 80,000 units of new homes are completed each year, while approximately 200,000 units of new properties are required to meet household formation arising from new marriages.

“We are very careful with the projects we roll out at the fair, which is why we have selected these projects to exhibit at the fair.

“We believe they will do well as they are a good mix of investment-grade properties as well as residences, priced to attract the mass market and at good locations.

“The weakening ringgit may attract more foreign investors but it is also a compelling reason for local buyers to invest now to hedge against inflation and economic concerns,” Ng said.

Zeon Properties Sdn Bhd CEO Leon Lee said the local segment was still the market to go for because there were still many who had yet to own a property.

Speaking at the Star Property Fair 2015 at Queensbay Mall here, he said the market was not confined to that of Penang.

“From our survey, the market extends to the market in the northern states such as Perak, Alor Setar, and Perlis.

“Most of our properties are priced below the RM1mil range, which are not allowed to be purchased by foreigners who are not registered under the Malaysian Second Home Programme.

“The exceptions are City of Dreams, which are priced between RM1.4mil and RM2.3mil, and some units of Sang Sarang and Starhill,” Lee said.

The projects exhibited by Zeon are Ewein Zenith’s City of Dreams in Gurney Drive, Aroma Development Sdn Bhd’s Starhill in Sungai Ara, Bionic Land Bhd’s Prominence in Butterworth, Trimension Properties’ G Mansion in Bukit Gambier and KB Group’s Sang Sarang in Lumut.

Meanwhile, Eco World Development Group Bhd sales assistant manager Juliet Ooi said both the RM310mil Eco Meadows and RM400mil Eco Terraces in Paya Terubong were targeted at local buyers.

“The selling price for Eco Meadows’ two-storey terrace houses starts from RM708,000,” she said.

Ooi said the Eco Terraces located in Paya Terubong had already registered a take-up rate of 60%.

BSG Property is displaying The Landmark in Tanjung Tokong, Middleton in Minden Heights, Oakridge in Sungai Nibong and Raffle Residence 199 in Minden Heights at the fair.

Selling point: Prospective buyers checking out The Landmark project at BSG Property’s booth during the Star Property Fair 2015 in Queensbay Mall.

BSG Property sales executive Eevonne Lim said The Landmark consists of 308 commercial and residential units.

“The built up ranges from 7,990sq ft to 3,004sq ft. The minimum price starts from RM1.2mil due to the location and every unit has a sea view,” she said.

She added that the project was 60% to 70% sold since its launch in 2013.

“We have both local and foreign investors for this project,” she said.

“Eight per cent of our Middleton luxury condominium units in Minden Heights with a starting price of RM1.1mil have been sold while our Oakridge three-storey semi-detached development in Sungai Nibong and our Raffel Residence 199 three-storey terrace in Gelugor have four units left.”