Thursday 30 Jan 2025
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KUALA LUMPUR (April 14): Property developer Astaka Holdings Bhd will be launching its integrated development ‘One Bukit Senyum’ within this year, as it is gearing up for a projected spike in property sales in Johor in the first quarter of next year.

Chief executive officer Datuk Zamani Kasim said the company has raked up 70% sales at its The Astaka @One Bukit Senyum project, belying the much-touted soft property market at Iskandar Malaysia, Johor.

“Astaka Holdings is poised and ready for the spike in the first quarter, 2017,” he said, adding the company is well ahead of its projections, with no signs of slowdown.

One Bukit Senyum, an 11.85-acre development comprising offices located 1km from the Customs, Immigration and Quarantine (CIQ) Complex, high-end retail, 5-star hotels and serviced residences, boasts a gross development value of RM6 billion.

The development includes The Astaka @ One Bukit Senyum, which is poised to become the new Central Business District (CBD) for Johor Bahru, the statement read.

Addressing property sector analysts’ negative projections for Johor, Zamani said the sector is entering a “corrective period” after the spike in sales seen previously.

“When a number of developments come-on-line and are sales-ready at the same time, this spike can look hyper-inflated,” he said.

“Then, when the initial fervour has settled down, one enters what is called a ‘corrective period’ where the spike balances out.

“This spike in sales is normal and will always level-out when the developer or developers hit the 50% to 60% sold benchmark,” he added.

Zamani said despite this corrective period, the property sector in Johor is poised for a pickup in sales next year, as approximately 20% of Johor’s current population will be reaching the home-renting or home-buying age over the next three years.

He also said once the development and facilities related to the nine growth sectors for the Iskandar Malaysia region — electrical and electronics, petrochemicals and oil & gas, food and agro-processing, logistics, tourism, health services, creative, education and finance, insurance, real estate and business services — are fully set up, it will further boost the demand for property in the economic hub.

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