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Kuala Lumpur Property Pulls In Investors
August 21, 2009Article by Ray Withers
Kuala Lumpur property looks attractive for investors since Malaysia was voted the fourth best country in the world for price competitiveness on the back of outstanding tourism returns during the recession, according to a prestigious survey.
Out of 133 countries, Egypt, Brunei Darussalam and Indonesia only pipped Malaysia to the top place after taking in to account low fuel prices, cheap airport taxes, competitive hotel prices and a friendly tax regime, according to the Travel and Tourism Report 2009.The Travel and Tourism Competitiveness Report is published by the World Economic Forum and measures factors making countries attractive for the travel and tourism industry.
All these factors have boosted tourism – with traffic at the main Kuala Lumpur airport up 33% thanks to new budget flights launched by Air Asia Express to destinations including daily to London Stansted.
The report also points out that tourism is expected to grow in Malaysia as the government is promoting the industry as a top priority for investment.Malaysia is one of the few countries where investors can still source quality property with a reasonable yield for both the private and tourist markets.International property consultants Property Frontiers reckon Malaysia is currently one of the best places to invest in property.
“With fantastic mortgage opportunities available to non-resident foreign investors and this makes Malaysia probably the most attractive global investor’s market,” the company says on their web site.
For example, Property Frontiers is marketing the i-Zen @ Tiffani development in the sought-after Mount Kiara district of Kuala Lumpur that links a state-of the art hi-tech specification with cutting edge interior design.
Apartments come with parking, a sky-high infinity pool on the twin tower’s 27th floor and other relaxation and sports facilities. They are priced from £68,000 for two bedrooms and £94,000 for three bedrooms.Investors can also pick up an 80% loan-to-value mortgage (subject to status) for financing their apartment.
Locally managed investments are expected to return a yield of about 8.5% a year.Mount Kiara is well placed for letting to Malay tenants as well as holiday rentals as the district is a comfortable travel distance from the airport and city centre.Another development marketed by Property Frontiers offering good value is the dual complex of Axis Deluxe and Axis Crown, Pandan, Kuala Lumpur.
Just 10 minutes from the KLCC golden triangle, a two bed room apartments start from £50,500 and three bedroom apartments from £75,781.The Axis development is above the city’s largest shopping centre and comes with ‘club membership’ to sports and relaxation areas.
Finance for non-resident foreign investors is available at 60% loan-to-value, subject to status. Annual yields are estimated at around 7%.