ETP projects giving rise to new hot spots in the Klang Valley

With key projects under the Economic Transformation Programme (ETP) showing progress, areas once considered too far away from the Kuala Lumpur city centre or of little investment potential are expected to boom in the near future.

Locations with mass rapid transit (MRT) stations along the Sungai Buloh-Kajang (SBK) MRT line such as Kajang, Kota Damansara and Cheras have already gained interest from investors and home buyers, says Ho Chin Soon, director of Ho Chin Soon Research Sdn Bhd.

He adds that developers have jumped into action by buying land and launching new projects in these areas. Ho believes one location along the SBK line investors should look at is Cheras South.

While Cheras is considered a mature area, there is a growing market of upgraders in search of new homes with lifestyle concepts. With the MRT line in place, there will be a market for those wanting to live closer to the city centre, says Ho.

A few major developments in Cheras South include PJ Development Holdings Bhd's 20.6-acre integrated development You City in Taman Cheras, Malaysia Land Properties Sdn Bhd's RM125 million refurbishment of Cheras Sentral (formerly Plaza Phoenix), Selangor Dredging Bhd's RM431 million luxury Windows On The Park and Mitraland Group's upcoming Vina Versatile Homes.

The building of new highways will also impact the property market. Ho singles out Shah Alam North, which will be serviced by the Damansara-Shah Alam Elevated Expressway (DASH).

DASH is one of four new highways proposed to alleviate traffic congestion in the Klang Valley. The 20.1km, three-lane dual carriageway will start from the Lebuhraya Damansara-Puchong (LDP) interchange at Puncak Perdana in Shah Alam and end at Penchala Link along the SPRINT Highway. It will connect the north of Shah Alam to Mutiara Damansara and Kota Damansara by crossing over the New Klang Valley Expressway (NKVE) and the Guthrie Corridor Expressway to the LDP and SPRINT Highway.

Ho expects prices of developments in Shah Alam North such as SPK Homes' Cahaya SPK and Melati Ehsan Holdings Bhd's Bukit Bayu @ Shah Alam U10 to increase upon completion of DASH.

Looking beyond the Klang Valley, Ho believes the proposed Malaysia-Singapore high-speed rail link will increase demand and prices of properties in towns like Seremban, Ayer Keroh and Pagoh.

Ho spoke at The Edge Investment Forum on Real Estate 2013 held on May 11 at The Royale Bintang Damansara in Mutiara Damansara.

His presentation, entitled 'Looking below the radar: Emerging hot spots', explored new and emerging areas for investments now and in the near future.

Sponsors of the forum were Malaysia Building Society Bhd and Sunway Bhd.

The forum is an annual affair organised by The Edge. Participation is free for readers, with seats available on a first-come-first-served basis.

This story first appeared in The Edge weekly edition of April 29-May 5, 2013.

Looking for properties to buy or rent? With >150,000 exclusive listings, including undervalued properties, from vetted Pro Agents, you can now easily find the right property on Malaysia's leading property portal EdgeProp! You can also get free past transacted data and use our proprietary Edge Reference Price tool, to make an informed purchase.