Tag: malaysia property

WEEKLY PROPERTY ROUNDUP
Week in Review | 12–18 September 2026

Malaysia • Regional Property • Global Insights

The property market is bigger than house prices. Follow the money, the people and the assets.

🇲🇾 1. KIP REIT: Retail Property Is Being Repositioned, Not Abandoned

What Happened

KIP REIT plans asset enhancement initiatives at three malls — KIPMall Masai, KIPMall Kota Warisan and AEON Mall Kinta City.

The strategy is aimed at improving operational efficiency and supporting longer-term rental growth.

There is another interesting move: KIP REIT is targeting completion of its RM435 million acquisition of Setapak Central Mall, which would be its largest acquisition to date and take assets under management to about RM2.2 billion.

Why It Matters

Retail property is often written off as “old economy”.

But successful malls are increasingly becoming community infrastructure — food, services, groceries, healthcare, entertainment and daily necessities.

The question isn’t simply:

“Is shopping mall demand declining?”

It should be:

“Can the asset remain relevant to its surrounding population?”

Miichael’s Review

This is something I find particularly interesting.

Property owners don’t always need to build something new to create value.

Sometimes, repositioning an existing asset can be the smarter strategy.

Source: EdgeProp, 18 September 2026.

🇲🇾 2. RM475 Million Sukuk: Affordable Housing Needs Capital Too

What Happened

Lagenda Properties has completed its first RM475 million sukuk issuance under a larger RM1.5 billion Sukuk Wakalah programme.

The proceeds will be used for acquisitions, working capital and affordable housing developments.

Why It Matters

Affordable housing is sometimes discussed only from the buyer affordability perspective.

But there is another side:

How do developers finance affordable housing profitably and sustainably?

If construction costs, land costs and financing costs continue rising, access to capital becomes critical.

Miichael’s Review

I like this story because it reminds us that property is not just about selling houses.

There is an entire financial ecosystem behind every development:

Land → Financing → Construction → Sales → Delivery → Exit

Understanding that chain helps us understand why some developers can keep expanding while others struggle.

Source: EdgeProp, 18 September 2026.

🇲🇾 3. Glomac Returns to Profit — A Reminder to Watch Developer Health

What Happened

Glomac returned to the black in its first quarter of FY2027.

Net profit attributable to owners reached RM7.6 million, compared with a RM1.42 million loss a year earlier.

Revenue jumped 163% to RM68.53 million, with property-development revenue more than tripling to RM61.12 million.

More encouragingly, borrowings fell from RM237.0 million at end-April to RM224.4 million at end-July, while cash and short-term placements stood at RM249.5 million.

Why It Matters

When considering a new development, buyers often focus on:
- Location
- Price
- Facilities
- Discounts
But one question is frequently overlooked:

Who is the developer and how financially healthy are they?

Miichael’s Review

A property doesn’t exist in isolation.

The developer’s financial strength can influence construction progress, delivery, future phases and ultimately buyer confidence.

For me, developer due diligence should be part of property due diligence.

Source: EdgeProp, 18 September 2026.

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🌏 4. IOI Properties Completes RM7.95 Billion Singapore Acquisition

What Happened

IOI Properties Group has completed its acquisition of the company owning Asia Square Tower 2 in Singapore.

The total cash outlay was approximately S$2.47 billion — around RM7.95 billion.

The 46-storey integrated development at Marina View includes Grade A offices, retail space and parking, with approximately 773,000 sq ft of net lettable area.

Why It Matters

This is much bigger than a Malaysian developer buying an overseas building.

It demonstrates how Malaysian property groups are increasingly looking beyond Malaysia for income-producing assets and geographical diversification.

Miichael’s Review

I find this particularly relevant to Malaysian investors.

The property industry is becoming increasingly global.

A Malaysian developer today may have:

Residential → Industrial → Retail → Office → REIT → Overseas Assets

That diversification can create resilience — but only if the company understands the market it is entering.

And there’s another lesson:

Sometimes the best property opportunity isn’t a new development. It is an existing income-producing asset.

Source: EdgeProp, 18 September 2026.

🌏 5. Australia: Housing Values Fall as Higher Rates Bite

What Happened

Australia’s housing market is showing signs of meaningful weakness.

The latest Australian Bureau of Statistics data showed the total value of residential dwellings fell A$34.1 billion, or 0.3%, in the June quarter to A$12.69 trillion.

The mean dwelling price fell 0.7% to A$1.10 million.

New South Wales saw the mean dwelling price fall 2.4%, while Victoria fell 2.1%.

And this week, the Reserve Bank of Australia’s governor warned that inflation risks are returning, keeping the possibility of further interest-rate tightening alive.

Why It Matters

This is a useful reminder for Malaysian property investors who look overseas.

A country can have:

Strong population + housing shortage + high property prices

…and still experience falling values when financing conditions change.

Miichael’s Review

This is exactly why I keep saying:

Property is a long-term financial commitment, not just a location decision.

Interest rates can change the affordability equation very quickly.

Source: Australian Bureau of Statistics and Reuters, September 2026.

📊 PROPERTY NUMBER OF THE WEEK

RM7.95 BILLION

The approximate cash outlay by IOI Properties for Asia Square Tower 2 in Singapore.

That’s not just a property transaction.

It’s a statement about where Malaysian property companies are looking for growth.

👀 WORTH WATCHING

1. Malaysian REITs

Will more REITs reposition existing retail and commercial assets instead of simply acquiring new properties?

2. Affordable Housing

Can developers continue delivering affordable homes while land, construction and financing costs remain elevated?

3. Johor

Land banking and development activity around the Johor-Singapore economic corridor remain worth watching.

4. Interest Rates

Australia’s renewed inflation concerns show how quickly monetary policy can change property-market sentiment.

5. Malaysian Developers Going Overseas

Will more Malaysian developers follow IOI Properties into Singapore and other regional markets?

💡 MIICHAEL’S TAKEAWAY THIS WEEK

This week’s five stories are deliberately very different.

And that’s exactly what makes the property market interesting.

We have:

Retail repositioning.
Affordable housing finance.
Developer financial health.
A RM7.95 billion overseas acquisition.
And a housing market reacting to interest rates.

Put them together and one thing becomes clear:

There is no single “property market”.

Different property sectors behave differently.

Different states behave differently.

Different countries behave differently.

And different investors have different objectives.

So rather than asking:

“Is property going up or down?”

Perhaps the better question is:

“Which property, in which location, for which purpose, under which economic conditions?”

That’s where better property decisions begin.

Miichael Yeoh

Property Strategist

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September 20, 2026
Malaysia Budget 2025: Enhancing Homeownership

Prime Minister and Finance Minister Datuk Seri Anwar Ibrahim has unveiled the Malaysian Budget 2025, highlighting significant measures to boost housing and development. Key initiatives focus on making homeownership more affordable and improving community living standards.

First-Time Home Buyers Support

The Housing Credit Guarantee Scheme (SJKP) will now provide guarantees on loans up to RM500,000 for first-time home buyers purchasing properties on wakaf land. So far, the scheme has approved RM12.8 billion in loans, benefiting more than 57,000 first-time buyers.

Housing Tax Relief

To encourage homeownership, first-time buyers of homes priced up to RM500,000 can claim tax relief of up to RM7,000. For homes priced between RM500,000 and RM750,000, buyers can claim up to RM5,000 in tax relief. These benefits can be claimed for three consecutive years for sale and purchase agreements signed between January 1, 2025, and December 31, 2027.

Affordable Housing Initiatives

A budget of RM900 million has been allocated for 48 People’s Residency Programs (PRR) and 14 Rumah Mesra Rakyat (RMR) projects, including new PRR developments in Port Dickson and Seberang Perai Tengah. By the end of 2025, 30 PRR projects will be completed, providing homes for nearly 17,500 people.

Additionally, up to RM90,000 in financial aid will be available for building new homes for residents, including those in the hardcore poor housing programme (PPRT), fishermen, and Chinese new villages. The government has also raised the maximum financial assistance for home repairs to RM20,000. UDA Holdings Bhd will receive RM200 million to develop affordable housing on wakaf land, and the Public Sector Home Financing Board (LPPSA) will assist civil servants in buying homes on such land.

Maintenance and Facilities Upgrades

RM200 million has been set aside for maintaining low- and medium-cost public strata housing, with funds going toward replacing old elevators. Another RM100 million will be used to upgrade 48 Madani Public Parks, enhancing recreational areas across the country.

To further improve communities, RM84 million will be allocated to upgrade basic infrastructure and social facilities in Chinese New Villages, while the Housing and Local Government Ministry will focus on meeting the needs of Indian settlements.

These comprehensive initiatives aim to ease the path to homeownership and improve living conditions for Malaysians across various communities.

From the Desk of Miichael Yeoh

October 19, 2024
7 Critical Factors to Consider Before Investing in Property
Investing in property can be lucrative, but it requires careful planning and consideration. Based on my experience in the industry, I’ve seen many success stories as well as horror tales of financial loss and even bankruptcy. To avoid pitfalls, you must prepare thoroughly. Here are seven critical factors to consider before investing in property:

1. Objective
- Define Your Goals: Have a clear investment objective. Determine whether you’re looking for short-term gains or long-term investments.
- Rental Strategy: Decide how you plan to rent out the property. Is it for long-term tenants or short-term rentals like Airbnb?
- Return on Investment (ROI): Set a target ROI that aligns with your risk tolerance. Remember, higher risk typically comes with higher returns. Personally, I prefer calculated risks with an average return.
2. Financial Planning
- Affordability: Assess your financial situation meticulously. Don’t overextend yourself by buying properties beyond your affordability level.
- Savings: My rule of thumb is to have at least 12 months of bank installments saved before purchasing a property. This cushion helps avoid financial stress.
- Budgeting: Carefully calculate your income and expenses to ensure you can manage the investment without compromising your financial stability.
3. Bank Loan Eligibility
- Pre-Approval: Understand how much the bank is willing to lend before committing to a purchase. Getting pre-approved for a loan can prevent future disappointments.
- Creditworthiness: Ensure your financial records and credit score are in good shape to qualify for better loan terms. Banks favor prudent borrowers.
4. Demographics
- Population Density: Choose locations with a high population density to ensure demand for your property.
- Target Audience: Consider who your potential renters or buyers will be. A property in a well-populated area is more likely to attract tenants and buyers.
5. Infrastructure
- Accessibility: Ensure the property has good access to roads, public transport, and essential services. Lack of infrastructure can make it difficult to rent or sell the property later.
- Local Development Plans: Check with the local council for any planned infrastructure developments that could enhance the property’s value.
6. Pulling Demand
- Market Demand: Avoid properties in areas with little to no demand. Research the local market and industries to understand who will be your customers.
- Economic Activity: Proximity to thriving industries or business hubs can increase rental and resale value.
7. Future Prospects
- Growth Potential: Investigate the area’s future growth prospects. Look for upcoming developments, planned amenities, and general economic outlook.
- Long-Term Viability: Ensure the location has the potential for long-term growth, making it easier to rent or sell the property in the future.
Investing in property is not just about buying; it’s about making informed decisions based on thorough research and strategic planning. By considering these seven factors, you can mitigate risks and increase your chances of a successful investment.

From the desk of Miichael Yeoh
June 23, 2024