Work in progress at Andaman Island

The ban on short-term rental in Penang has resulted in an increase in property values and rental yields, according to Eastern & Oriental Bhd (E&O).

E&O executive chairman Datuk Tee Eng Ho said the group’s property development in Penang was never intended to be marketed as an investment play.

“Whichever condominium without Airbnb, their property price goes up, rental even much better,” he told reporters and analysts at E&O’s 2QFY2024 results briefing on Wednesday.

“Our [development in] Andaman Island, we never targeted it for people to do Airbnb,” Tee added.

Tee was referring to the Andaman Island development, an artificial island off the Northeast coast of Penang that is set to be launched in the first quarter of 2024.

Effective May 25 this year, the state government of Penang imposed a ban on almost all types of short-stay accommodation, making it the first state in Malaysia to impose such a ban.

Source: TheEdgeMalaysia.com

Damai Springs, a small landed housing development by General Supreme Sdn. Bhd. (a subsidiary of Airmas Group) in Bukit Mertajam. Strategically located near Jalan Betek, diagonally opposite Harmoni Residensi gated and guarded community by the same company. With direct access to the ever-bustling Jalan Song Ban Kheng, an abundance of essential amenities are easily accessible within a mere minutes’ drive, which includes public schools, banks, markets, popular eateries and others.

This development comprises 26 units of 2-storey terrace and 4 units of bungalow houses.

Project Name: Damai Springs
Location : Bukit Mertajam
Property Type : Residential
Total Units: 26 (terrace), 4 (bungalow)
Built-up Size: 1,655 sq.ft. (terrace), 2,830 sq.ft. (bungalow)
Land Tenure : Freehold
Indicative Price : RM1,800,000 (bungalow), RM928,000 (terrace)
Developer: General Supreme Sdn. Bhd. (Airmas Group)

SITE PROGRESS

SITE PROGRESS: Damai Springs (Dec 2023)

DISCLAIMER: This article is solely based on research done using publicly available data. This is not an advertisement. Any claim, statistic, quote or other representation about a project or service should be verified with the developer, provider, or party in question.

The fate of Penang’s undersea tunnel project hinges on the comprehensive masterplan for the North Butterworth Container Terminal (NBCT), set to be finalised by the Penang Port Commission (PPC) by the year’s end.

Zairil Khir Johari, chairman of the state Infrastructure, Transportation, and Digital Economy Committee, emphasised that the preservation of the ship navigation area in the port’s northern waters is paramount for smooth vessel movement.

“Before delving into the tunnel project, we must factor in the alignment, and this will be contingent on the PPC’s NBCT expansion masterplan,” stated Zairil during his winding-up address at the State Legislative Assembly.

The project, along with three major road constructions amounting to RM6.34 billion, includes the Tanjung Bungah-Teluk Bahang, Tun Dr Lim Chong Eu Expressway-Bandar Baru Air Itam, and Pangkor Road-Tun Dr Lim Chong Eu Expressway.

Alternatively, Zairil expressed optimism about Penang’s trajectory toward becoming an international smart city by 2030.

He commended the state’s commitment to infrastructure development, highlighting initiatives such as the Creative Digital District project, ESG Incubation Hub, SME100 Digital Champion, and Founder’s Grit Seed Programme.

Zairil noted that these efforts, spearheaded by Digital Penang, aim to attract more investors to the state.

Collaborating with the Malaysian Business Angel Network (MBAN), Digital Penang facilitates the growth and establishment of startups in Penang. MBAN has established branches in the state to assist startup companies in securing their initial capital.

To enhance service delivery, the state launched the Digital Integrated Service Centre (DISC) across its 40 constituencies.

Zairil reported that 17 constituencies have already embraced this system, aligning with technological advancements.

Addressing perennial traffic congestion, Zairil emphasised ongoing discussions with various authorities to develop infrastructure projects as part of the state’s long-term planning. He specifically highlighted the importance of addressing traffic issues for motorists traveling from Juru to Sungai Dua.

Providing an update on the Penang South Island (PSI) project, Zairil assured that progress is underway. Dismissing claims that the project would adversely impact the marine environment, he cited the approval of the Environmental Impact Assessment (EIA) report by the Department of Environment (DOE) after considering public feedback and relevant authorities’ approval.

Source: Buletin Mutiara

The Penang light rail transit (LRT) project is on track to become a reality, the state legislative assembly heard on Tuesday.

State Infrastructure Committee chairman Zairil Khir Johari said the project manager, Mass Rapid Transit Corporation Sdn Bhd (MRT Corp), has already called for a tender to appoint a consultant to conduct research for the project.

“The project is in the research stage and the research is expected to be completed early next year,” he said when replying to a question by Gooi Hsiao-Leung (PKR-Bukit Tengah) on the project.

He assured Gooi that the cross-channel LRT, linking Penang Island and Butterworth, will become a reality.

He said Prime Minister Datuk Seri Anwar Ibrahim had announced that the federal government would fund the project.

“The state government has met with MRT Corp in various meetings to discuss the project so we are 100 per cent confident that this project is on track to be built as planned,” he said.

Zairil said the state had also conducted various technical, feasibility and alignment studies on the LRT project.

He said the studies have been handed over to MRT Corp.

“We hope the project will begin in the near future,” he said.

In May this year, Anwar announced that the federal government would fund the development of LRT in Penang.

The LRT alignment, which was originally Bayan Lepas to Komtar, will now be from Bayan Lepas to Komtar to Tanjung Bungah, Air Itam to Butterworth to Kepala Batas and to Simpang Ampat.

Meanwhile, Zairil said the costs, implementation and start date of the project will be decided by the Transport Ministry.

He reiterated the state’s commitment to implement the Penang Transport Master Plan (PTMP).

The rise in housing prices in Penang correlates with the growth in household income, Datuk Seri Sundarajoo Somu (PH-Perai) said.

Replying to an oral question posed by Muhammad Fauzi Yusoff (PN-Sungai Dua) during the State Legislative Assembly yesterday, Sundarajoo, a first-term assemblyman, substantiated his claim with the data reported in the Property Market Report in the second quarter of this year.

“Based on the information from the National Property Information Centre (NAPIC), only 502 out of 2,901 units, equivalent to 17.3%, remain unsold in the state. The unsold houses, priced at RM300,000 and below, are primarily due to unapproved loans from financial institutions.

“In addition, the Real Estate Sector Stimulus Policy and the Home Ownership Campaign (HOC) initiated by the state have yielded positive results for the market.

“Through these policies, maximum housing prices have been reduced by 10%, with affordable housing on Penang island and Seberang Perai now priced at RM270,000 and RM225,000 respectively.

“Our initiatives have enabled the people of Penang to become homeowners,” he explained.

Sundarajoo pointed out the state still maintains control over the ceiling prices for affordable housing, capping it at RM300,000, despite other states in the country having raised their housing prices.

“We are currently working on introducing a new housing category for the B2 families. The targeted price meant for this category is RM100,000, specifically tailored for the youths with a total household of RM5,000,” he added.

The following are the types of affordable housing units in Penang along with their control prices:

• RMM A – 650sq ft (RM42,000)
• RMM B – 750sq ft (RM72,500)
• RMM C1 – 750sq ft with renovation (RM150,000)
• RMM C2 – 800sq ft (RM250,000)
• RMM C3 – 850sq ft (RM300,000)

Source: Buletin Mutiara