This article first appeared in City & Country, The Edge Malaysia Weekly on July 8, 2024 - July 14, 2024

The neighbourhoods of SS12, SS13, SS14, SS15, SS17, SS18 and SS19 made up the original Subang Jaya and comprised mostly landed residential properties. The exception was SS16, which was zoned as the commercial hub of Subang Jaya.

Located at the fringe of Subang Jaya, SS16 is bordered by Federal Highway to the north and Jalan Kemajuan Subang to the south, with Jalan SS16/1 running through the middle of SS16.

SS16 is served by a network of highways, which include the Federal Highway, New Pantai Expressway (NPE), New Klang Valley Expressway (NKVE), Damansara-Puchong Highway (LDP) and Shah Alam Expressway (Kesas). Accessibility to public transport includes the Subang Jaya LRT and KTM stations, which are part of the Kelana Jaya line and Tanjung Malim-Pelabuhan Klang line respectively. There are also RapidKL and SMART Selangor buses whose routes include Puchong, Kuala Lumpur and the greater Subang Jaya area.

Nawawi Tie Leung Property Consultants Sdn Bhd managing director Eddy Wong says: “SS16 is unique because the area has been zoned as a commercial area whereas the other areas in Subang Jaya comprise predominantly landed housing and pockets of neighbourhood commercial centres.”

In the early years, the area comprised a Tenaga Nasional Bhd (KL:TENAGA) (TNB) transmission line, the Subang Jaya KTM station, Subang Parade mall, AEON BiG Subang Jaya, Menara Mesiniaga, Wisma Consplant 1 and Wisma Consplant 2, Subang Racquet and Golf Centre, and the Toyota Subang service centre, says PA International Property Consultants (KL) Sdn Bhd group managing director Subramaniam Arumugam.

A prominent landmark is the iconic Subang Parade. Completed in 1988, it was known then as the longest shopping centre in Southeast Asia.

Sarah, a resident in SS16, recalls fondly her visits to the mall. “Subang Parade was one of the go-to malls in Subang Jaya, besides Sunway Pyramid. I remember when I was younger, my family always visited Subang Parade. [Because we are from Klang,] there was only Klang Parade in Klang; so, there were not a lot of choices at the time. We started going to Sunway Pyramid only in the mid-2000s.”

As Sunway Pyramid grew in popularity, Subang Parade’s appeal dwindled over the years. These days, Subang Parade is positioned as a neighbourhood mall that serves the immediate neighbourhood.

Its proprietor, Hektar REIT (KL:HEKTAR), has taken a repositioning strategy to rejuvenate Subang Parade, according to Hektar REIT’s 2023 annual report. The strategy will include a facelift, creation of new retail spaces, placemaking opportunities, upgrading of amenities and modernisation of infrastructure.

In 2023, the mall opened 16 new outlets and attained 4.5 million in visitor footfall.

Meanwhile, serviced apartments started coming up in the area during the 2010s. They are Casa Tiara (2008), E-Tiara (2008), Saujana Residency (2009), Subang Avenue (2009), Subang Olives (2010) and Isola (2011).

Empire Subang was completed in 2010. It is an integrated development consisting of four components: Nu Empire Shopping Gallery, Empire SoHo, Empire Tower and Empire Hotel.

The landscape of SS16 has seen little change over the years, says Subramaniam. The major update is the completion of the Subang Jaya LRT station in 2016, as part of the Kelana Jaya LRT line extension.

“In 2014, Sime Darby Bhd (KL:SIME) (before the demerger of Sime Darby Property Bhd [KL:SIMEPROP] in 2017) had initiated urban regeneration projects in the Klang Valley to coincide with the completion of the Kelana Jaya LRT extension line between 2015 and 2016. SS16 was then targeted as part of the urban regeneration plans, owing to the Subang Jaya LRT station.

“Consequently, the northern part of SS16 was renamed Subang Jaya City Centre (SJCC). The SJCC master plan was designed with the concept of transit-oriented development in mind. It will offer an integrated mixed-use development consisting of offices, serviced apartments and retail podium,” he says, adding that only 20% of the master plan has been launched.

SJCC is a 29-acre development with a gross development value (GDV) of roughly RM4 billion, of which Sime Darby Property is the master developer. The development comprises six plots of commercial land. 

According to Wong, it has been positioned as the gateway to Subang Jaya because of its strategic location next to the Subang Jaya LRT and KTM stations, as well as the Federal Highway. “SJCC is also an important nexus between the community of Subang Jaya and the commercial developments in SS16 and has the potential to act as a catalyst for the whole area and transform it into a vibrant ‘live, work, play’ community hub.”

Subramaniam says: “In the last few years, Sime Darby Property has launched several serviced apartments, which are Lot 15, Aurora and Teja in SJCC.”

Teja is a serviced apartment comprising retail and residential components. Expected to be completed in 2027, it offers a total of 244 units, with prices starting from RM850 sq ft and built-ups ranging from 800 to 980 sq ft.

Aurora was launched in 2019 and completed in 2023. Its 234 units, with built-ups of 788 to 1,158 sq ft, were sold from RM769,000. Lot 15, launched in 2017 and completed in 2022, has 361 units with built-ups of 624 to 1,001 sq ft and a three-level retail podium.

Other new and upcoming developments in SS16 are Pinnacle Subang Jaya by Pinnacle Homes Group of Companies; and Sixteen @ Subang Jaya by Conlay Group of Companies.

Launched in 2023, Pinnacle Subang Jaya will have 941 SoHo units priced from RM850 psf and with built-ups from 525 to 620 sq ft. It is expected to be completed in 2027 and already has a take-up rate of more than 90%.

Details of Sixteen @ Subang Jaya have yet to be announced.

Compared to the rest of Subang Jaya, which is generally an owner-occupier market (68% owner-occupiers), SS16 has a higher proportion of tenants, says Wong.

Wong says: “There is a slightly higher percentage of tenants in SS16 than in the rest of Subang Jaya, owing to the number of high-rise apartments, some of which cater for students at educational institutions located in the vicinity [such as SS15 and Bandar Sunway]. The accessibility of the location, along with the amenities, makes it a very attractive rental market.” He notes that the addition of newer products in SS16 could also change the demographics of the renters.

“The new product offerings with the higher price points will bring in occupants of a younger and higher-income demographic. This will, in turn, result in a revival of commercial activities targeting this new and growing population segment.”

The average transacted prices for the properties range from RM450 psf to RM725. Meanwhile, the average rental rate is RM2 to RM3 psf,  with a gross yield of 5% to 6%.

“Based on the data, it can be seen that residential prices are holding very well, with prices appreciating 3% to 5% annually. The price appreciation is dependent on the development, location, size and age of the property.” According to Wong, the residential property market in SS16 has been stable and is driven by current market conditions such as construction cost and inflation.

Although there has been a lack of major developments in the area, Subramaniam and Wong believe the outlook for SS16 remains positive because of its prime location and SJCC.

“The potential success of SJCC could serve as a catalyst for the area’s growth. The outlook [of SS16] is promising, especially with the planned mixed-use development in SJCC, which has the potential to highlight the unique aspects of a transit-oriented development in SS16. The development of SJCC is still in the preliminary stage. We believe it will gain traction as [SJCC] is developed. The success of the retail component will also depend on the tenant mix,” says Subramaniam.

He adds that besides SJCC, the other remaining undeveloped land in SS16 are the Subang Racquet & Golf Centre parcel, the plot adjacent to Subang Olives and the open-air car park space next to Wisma Consplant 1 and Wisma Consplant 2.

Wong suggests that the remaining vacant land in SS16 be developed into products that are community-centric.

“There are about 700,000 residents in Subang Jaya. There is a fairly large community for the commercial developments in SS16 to serve. The developments being planned for the vacant land there should incorporate design strategies for placemaking — a place for the community to meet, connect and socialise with friends. It can be the third place — the first being home and the second, the workplace. This will boost the appeal and vibrancy of SS16.”

In sociology, “third place” refers to spaces outside the work and home spaces where people can meet and socialise.

“Nothing will refresh an ageing neighbourhood more than a new development such as SJCC, which could act as a catalyst for the older malls to renovate and refresh their formats,” Wong adds.

Save by subscribing to us for your print and/or digital copy.

P/S: The Edge is also available on Apple's App Store and Android's Google Play.