Malaysian developers keen to tap London market

KUALA LUMPUR: Malaysian developers are keen to tap the London property market with a handful of  new players sizing up the market there, said Knight Frank Malaysia Sdn Bhd associate director Herbert Leong.

He said these companies are looking for sites of less than 2ha, which offer them the opportunity to regenerate the property.

“The developers are keen on central London and the real estate consultancy has brought a few companies for site inspection,” he told a media briefing on the London property market here yesterday.

Leong said one of them was an infrastructure firm eager to make a foray into the property sector.

“Many Malaysian companies want to divert their focus overseas and London offers them a lucrative return despite the requirement of a huge capital investment,” he said.

Among the established developers that have a foothold in London are S P Setia Bhd, Berjaya Group and Eastern & Oriental Bhd.

Knight Frank Asia-Pacific head of research Nicholas Holt said east London is a rising area that developers and investors should look into.

“The ongoing large-scale redevelopment projects mean that east London, covering Newham, Tower Hamlets and Greenwich boroughs, is in demand for both new homes and jobs,” he said. — Bernama

This article first appeared in The Edge Financial Daily, on July 24, 2014.