JLL sees JS-SEZ, data centres supporting Malaysia's long-term property outlook

PETALING JAYA (Aug 4): Government policy, infrastructure investment and digitalisation are increasingly shaping where real estate demand is concentrated across Southeast Asia, with Malaysia well placed to benefit through the Johor-Singapore Special Economic Zone (JS-SEZ), expanding digital infrastructure and industrial corridors, according to global property consultancy JLL.

In its latest report, Planning for a Multipolar World: Southeast Asia – Poised for Growth, JLL said governments were playing a bigger role in directing market growth, while cross-border connectivity and new economy industries were reshaping investment opportunities across the region.

For Malaysia, the consultancy identified the JS-SEZ as one of Southeast Asia's most significant cross-border initiatives, saying it has the potential to redistribute economic activity across both sides of the border and support demand for industrial, commercial, residential and logistics property.

"Malaysia exemplifies the shift we're seeing across Southeast Asia — from single-city concentration to networked, corridor-led growth," said JLL head of research and advisory for Southeast Asia Dr Yang Liang Chua.

"The Johor-Singapore axis represents not just cross-border cooperation but a fundamental reimagining of how economic activity can be distributed across interconnected systems," he added.

Separately, JLL Malaysia head of research and advisory Yulia Nikulicheva said Malaysia's investment incentives, reliable utilities network, skilled workforce, Torrens-based land title system and independent legal framework continued to support its attractiveness to international investors seeking long-term opportunities and geographical diversification in Southeast Asia.

The report identifies industrial and logistics platforms, data centres and digital infrastructure, asset repositioning, and cross-border developments as among the key themes expected to shape Southeast Asia's property markets over the coming years.

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