posted by C Mahida on May 13, 2007Mont Kiara located in the Klang Valley, is situated to the north of Kuala Lumpur in Malaysia. A short 15-20 minute drive from KL centre it is ideal for expats and holiday home buyers alike.
Mont Kiara is a relatively new up and coming area with a lot of construction going on at present. Infrastructure has been drastically improved and the area has less traffic than inner suburbs. Mont Kiara is a mix of both commerical and residential areas and has attracted the attention of many overseas property buyers especially from Korea. It boasts golf clubs, a stadium and equstrian club in its midst.
The Malaysian government is actively trying to improve the environment for people looking to invest in the country, the upshot is that its capital city, Kuala Lumpur has become the regional headquarters of many of the world’s major corporations and its landmark Petronas Twin Towers are the centrepiece that kicked of Malaysia’s construction boom. With rapid urbanisation underway throughout the city, districts such as Mont Kiara and the Central Business District close to KLCC are becoming highly sought after property locations with the international affluent expat community and Malaysian city executives seeking upmarket serviced residences close to international schools and attractive shopping plazas. Driving through this global village, Mont Kiara appears to be condominium central with upmarket residences popping up on every corner and the success of project brands such as I-Zen, developed by the enclave’s second largest developer Ireka, whose first condo project Kiara 1 condominium launched two years ago is about 85% sold and completed in April of this year. Kiara 1’s initial average prices were RM380 to RM400 psf but its balanced units were now priced around RM500 psf. Ireka executive director Lai Voon Hon is confident of selling the remaining units in view of the strong demand from young professionals who like to live in Mont’Kiara because of its many amenities and good security. He said “Our Kiara 2 units have gone up in price. A one-bedroom 765-sq ft unit was transacted at RM555 psf in the secondary market and it could fetch RM4,500 a month in rental or a 15% yield,” he said. The high profile celebrity endorsed Tiffany condominium launched last July has also achieved 80% sales and One Mont’Kiara has almost been sold out although it has not been officially launched.
Property Prices in KLCC and Mont’Kiara have been reported to be stable achieving good capital appreciation and prices are likely to continue to rise given the increase in land price. In addition, average occupancy is about 90% and rents remain stable ensuring investors enjoy attractive rental yields averaging 8-10 per cent, with the better properties fetching as high as 15 per cent. The high-end and niche market is expected to continue flourishing with the outlook for these property developers looking bullish, enjoying the benefits of a recent Government ruling relaxing the rules on foreigners owning residential properties. Kuala Lumpur is just the start of things to come.
