WHILE a prime location such as the KL City Centre (KLCC) area will never be out of favour, a well-known brand is just as important.
Tan & Tan Developments Bhd, a household name within the high-end condominium segment, is optimistic about the near-term outlook for its Stonor 3.
Executive director Teh Boon Ghee (pic) believes the property market is currently “at the bottom” and should be back in full swing by the time the project is completed in December 2019.
“We see the market bottoming, but there will be external challenges and we expect the road ahead to remain a little bumpy,” he tells StarBizWeek.
“In spite of all the negative news, people are still investing in our country,” Teh says.
He emphasises that oil prices are now hovering at US$45 per barrel, a contrast from its level of US$30 per barrel about a year ago.
“At current levels, we believe the economy will be all right. By the time we launch our project, we expect the market to be good again.”
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Located on Lorong Stonor in Kuala Lumpur, the freehold development is a 41-storey luxury development with 12 units to a floor. It comprises 400 units and five layouts ranging from one to three bedrooms, built-up areas of between 649 sq ft and 1,232 sq ft.
Located in the KLCC area, prices range between RM1.1mil and RM1.85mil.
“About 30% of the units are taken up and we’ve had a good mix of local and foreign buyers,” he says.
The project is a joint venture initiative between Tan & Tan Development Bhd and Mitsubishi Jisho Residence (MJR).
Founded in 1971, Tan & Tan Development Bhd, a wholly owned subsidiary of Main Market-listed IGB Corp Bhd, has a renowned track record, having developed not just condominiums, but also landed properties and gated communities, commercial and residential buildings as well as a hospital development.
Its projects include Desa Kudalari Condominium, G-Residence, Damai 33, Seri Ampang Hilir and U-Thant Residence.
According to the company’s website, MJR is a leading condominium developer in Japan with projects in predominantly Tokyo. It also has projects in Sapporo, Sendai, Nagoya, Osaka, Hiroshima and Fukuoka.
The interiors are elegant with the entire floor run, excluding the kitchen and wet rooms, is laid with solid Burmese teak hardwood. The kitchen gleams with high-performance European appliances, including an integrated fridge as well as smart washing and bathroom accessories.
Teh says he is confident about the project’s gradual take-up rate as the company moves closer towards its launch in 2019, adding that the KLCC area is still growing.
“There are a number of developments, including new hotels, coming into the market, which reinforces Kuala Lumpur as an attractive city. Multinational companies are still coming in despite the slowdown in the oil and gas sector.
“This position will not shift as it continues to be a liveable, international city.”
Teh says property prices in Malaysia are also cheap, compared with other countries in the region.
“In terms of pricing, we’re considered low for a global city,” he says.
