Property Hunter Magazine Property Hunter Magazine Issue 54 - May 2014 | Page 58

/// Contributor The Raise of the High-Rise R ecently I’ve been reading in several magazines and articles, all property market related, a number of experts explaining why the Malaysian Property market has to be looked at as a market with positive and sustainable outlook. Most of the thousands words can be summarized in few very good and “sustainable” points: 1. Dr. Daniele Gambero Compared to most of the “advanced economies” Malaysia is performing well and with still room for improvement. In the region comes right after Singapore. For this reason is definitely attracting a large part of the huge liquidity that from West (Europe and US) is moving East. USA EU JAPAN AUSTRALIA UK MALAYSIA CEO and co-founder of REI Group of Companies GDP Growth 2.10% -0.90% 0.90% 0.55% 0.63% 4.70% Gov debt as % of GDP 101.60% 90.60% 218% 21% 92% 54.80% Dr. Daniele Gambero is the CEO of strategic marketing consultancy firm REI Group of Companies. He holds an MBA from L. Bocconi University in Milan-Italy, Master in Communication from the University of Michigan Ann Arbour MI – USA, Ph.D in Marketing Strategies and Communication from L. Bocconi University and University of Michigan. Gov deficit as % of GDP -8.50% -3.7% -9.2% -3.1% -6.3% -4% -440 USD Bill 25.9 USD Bill 60 USD Bill -57 USD Bill -93.5 USD Bill 18.6 USD Bill With his vast experience in strategic marketing consultancies, investment studies, researches, property market reports and business valuation globally, the REI Group of Companies helps Malaysian developers with business solutions relating to design, concept, strategic marketing and pricing, advertising and marketing and sale procedures for their residential, commercial and industrial projects since 2007. Dr. Gambero’s lectures attract large crowds due to his lively presentation of serious topics with deep insight into the Malaysian Property market since 2011. Balance of current acc inflation 1.5% 1.10% 1.10% 2.20% 2.70% 2.50% Unemployment 7.20% 12% 4.10% 5.60% 7.70% 3.10% Business confidence 56 -1 12 12 7 115.2 Consumer confidence 73 -14 45.2 108 -18 125.3 2. Raising purchasing power of GenY looking forward to own a house first and invest later. This means medium-long term market stability or, in other words, there is a medium-long term demand that has a consistently raising trend. 3. Malaysia is strategically located in the region 4. The Malaysian Government has a medium-long term Economic Transformation Plan which covers all the different layers of the Malaysian society. The final aim of the ETP is to bring Malaysia to the “Fully Developed Country” by or before the year 2020. All the economic and social indicators are showing this as an achievable target. The stable economic panorama combined with a positive outlook will surely increase the already good incoming flow of FDI (i.e. Iskandar Malaysia alone has been reaching RM133.07Bilof committed investment with more than 50% already realized. Kuala Lumpur and Grater KL, Penang, Malacca, Ipoh and Sabah are also, in different ways attracting huge numbers of local and oversea investors. Kuala Lumpur and Greater KL for the big undergoing investment in infrastructures and in Building up the image of “world class” business destination (TRX, City of Malaysia, PJ Sentral, KL Eco City, KL Sentral and many more mega project are proceeding well and obtaining the due attention from international investors). Malacca, Penang, Ipoh and Sabah are, each of them in a different and very personalized ways, commanding serious and committed investors’ attention by presenting different interpretation of “tourism industry” (Malacca has start branding itself as alternative to Penang as Heritage and a very attractive shopping destination, Sabah with unpolluted deep sea diving and the untouched nature lovers destinations, Penang and Ipoh proposing a different way of spelling retirement homes and medical holiday). GenY and the Malaysian Demographics While the author makes reasonable efforts to present information which he believes to be reliable, the author makes no representation that the information or opinio