Thursday, July 19, 2012
M-City Sohos in Ampang
I can't believe I wrote about Elements and M-Suites in 2010, more than 2 years ago. Back then, we were already talking about paying over RM1000psf for an apartment which is not even in the CBD. While both projects are not even completed, remaining units are flogged by the developer at prices that have appreciated about 10% to 20% from when they were launched. Slightly a year after, developer Mah Sing launched another pod of pigeonholes here at Ampang Hilir, the 1000+ units M-City which is at the junction of Jalan Ampang and the MRR2 highway.
The master-plan of this development is quite interesting. They've got 2 main blocks flanking a series of hanging gardens and the lowest garden on the facilities deck even has a man made river running through it. The first 3 floors are retail lots so this is really a mixed development of residential, offices and retail. Not something we would be excited about after the Empire Subang fiasco...
A year after M-City was launched, I chanced upon this project again at a property fair in Penang this month. Incredibly, despite selling like hot cakes, there was a real choice unit available on a high floor with un-paralled and un-blocked views of the Ampang lakes. It's about 500sf, comes with a car park with a price tag of just under RM600k after discounts. On top of that, the developer is offering a very easy own package with a 2% down-payment (i.e. RM3k) which can be paid over 36 months with 0% interests if I have a particular bank's credit card, DIBS and zero SPA and Loan fees. On top of that, the balance 10% of the downpayment is waived - so easy to own!!
I would say, thank GOD for the Bank Negara's 70% loan ruling for 3rd property purchased with loan, which means that despite the DIBS, I still have to fork out 20% cash during construction. If not for this, anyone thinking with his heart (or with his d*&^ if he was thinking of keeping his mistress here), would have signed up straight away.
I think I have said enough about studio units and SOHOs. We're flooded by this type of development (When are developers going to consider building homes for the young families?). The fact that such a choice unit is still available at this late into the launch suggests that:
1. Developers may have kept certain units away from the market during launch thus giving us the impression that they were selling really well thus adding more pressure on potential buyers. This is also necessary to prevent all the good units to be snapped up by the small pool of buyers leaving the bad units harder to sell when these buyers have already spent their money
2. Some early buyers may have difficulty securing their loan - but this rarely happens 1 year after the property has been launched
So, what does this suggest? I think if you go to a property launch and found that all the choice units have been taken up, don't get stressed... come back a year later and it might just appear...