The Ministry of Housing in Malaysia actually compiles a list of black-listed developers.
As of February 2013, there are 278 of them. However, I wonder if any of them actually care if they are black-listed at all.
278 black-listed developers seems like Malaysia has a very high number of developers. Even if we say 10% of the developers are in the black-listed, which is far-fetched, we are talking about over 2700 developers in Malaysia. But it is not really so...
Developers tend to create a unique company for each of their project. This is so that if the project fails, the liabilities are only limited to that company, leaving the parent company un-touched. This might be a reason why developers don't seem to care if they make it into this notorious list at all.
However, buyers like us should care and for every project, we should 1st of all trace who is the parent company of the project developer and then try to find out if any of their other subsidiaries are black-listed.
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Dear sinleong, good day. Thanks so much for sharing your info and opinion which I think is very useful especially for me as a first time buyer. I am looking at Cyberjaya at the mo hence I came across with your blog where you have topic about this area. Also I read on your recent post of blacklisted developers.
Could you please provide me with some guidance? I will be much appreciated with your help.
I'm looking at HYVE Soho Suites Cyberjaya which is near Shaftsbury Sq, develop by Posh Atlantic Sdn Bhd which is a subsidiary of Kimlun Corp Bhd. According to the info that Block A is almost sold out and Block B has increased 15% even though it's not official launch yet. I'm wondering this news is trust worthy.
I'm looking at to invest a low end unit which is Icono (studio) Type A, 450 sg ft. Selling at RM270K. As I believe it will be easier to sell after completion. My intention is to earn reasonable profit.
I have some questions and hope you will be able to assist:
1) Is this Posh Atlantic and Kimlun are good/reliable developers? Have they got into any trouble before?
2) Based on your many years experience, do you think this will be a good investment for a small profit?
3) Do you see the potential of this development in Cyberjaya? Or is it too late now due to too many developments in Cyberjaya?
4) Overall, do you see the potential of Cyberjaya?
Sorry for asking so many questions here and hope you will be able to assist. Your help is greatly appreciated.
Thank you, David T
personally, i think studio units, unless its at large commercial areas like the CBD, KLCC area are bad investment. i talked about this somewhere in this blog...
secondly, many other areas in KL like bangsar south and 1utama/mutiara damansara have also been designated MSC status zones. so, cyberjaya is not exclusive anymore. everyone talks about shell investing in 3000 staffs/expats in cyberjaya. so, are you just renting to shell?
always think about what rent people willing to pay in the area and then calculate if anyone buying from you can get a decent 4-6% returns. if not, then dont waste your time n money no matter how low the downpayment or entry costs are
Dear sinleong, thansk so much for your reply and I'm very grateful.
I have a few reasons of considerig investing in this studio in Cyberjaya. However, they are my worries too cos I'm not sure if they are valid.
1) No more land to develop in KL/PJ to develop another Puchong hence quite a few big developers have now moved in to Cyberjaya - it's approx 20-30 mins to KL and approx 30-40 mins to KLIA - location is ok - however, this will take at least 3 -5 years
2) with current list of companies in Cyberjaya (ie HSBC, Dell & etc) proves that the area is potential to be the next PJ
3) for the same studio, the entry cost is lower than the areas in PJ/Damansara/Mont Kiara
4) I'm going to sell once on completion and estimating a return of 25% - due to the location of this studio is in the heart of Cyberjaya
However, at the same time, I'm worrying about:
- if the area will be developed as what I thought of - then why most of the big developers are there now?
- my return estimation is too unrealistic? Is it possible?
- no one can predict the future - especially the economy and current uncertain political situation
Look forward to hearing from you soon. Again, thanks so much in advance for your valuable opinions.
Best regards,
David T.
u r looking to flip... have you thought about how many units are there being built? and all the other buyers have the same idea. so, when the time comes for you to flip, what happens to the market? who will be buying from you? will the buyer enjoy a decent rental yield?
Dear sinleong, thanks so much for your reply. Yes, I'm thinking to flip the property however, the uncertainty is scaring me but the potential is trying to tell me not to miss this opportunity.
It takes 3 years to be ready and I hope by then that the market in the area will be active.
They have 760 units and various o 1+1 & 2+1.
I honestly can't answer the questions you have asked and is there a way that I can do some research? Online or visit the sales office?
So sorry for askng so many questions and again your help is greatly appreciated.
Thank you. Best regards, David T
my questions were not meant to be questions. if you can see through my questions, you will know what i mean :)
Hi sinleong I have some question for you on a property I want to buy in Bukit jaili. The price of the unit of 1000sqft is about 640k.The condo is build with a mall beside it. And its main aim is to attract students from overseas to stay there since there are two international colleage there. The colleage are said to have 70% foreign students. And the condo is next to tech park of malaysia where there might be expats as pool of tenants. I am wondering from your experience what else should i look into for this condo if i intend to flip in 3-4 years when it is built ( beside calculating gains after taxs and misc.)? Please advice :) thanks a milion!
At RM640k, renting to students might be a bit challenging. What is the density of the place? How many units are there? What is it facing?
ok.it is acutally a new project "COG" at BJ. one block there is around 200 + units and there should be around 800 units or so.I am not sure if you have heard of it before. The block i am getting is facing putrajaya(south).Wondering if you have any view/comment on this project?Thank you so much :) *btw your blog is very informative, like it alot,thanks for all the sharings!*
TOP URGENT CASE FOR UR IMMEDIATE ACTION!!!!!
My company name is : Bina Jasa Corporation Sdn Bhd.But When search under your http://realtymalaysia.blogspot.com/..website is listing under 'Blacklisted Property Developers in Malaysia without Lincense..
Is 'RADICULOUS & SARCASTIC' to us when we informed by our Purchasers... (n after searched d website). It is really seriously affected our Company's REPUTATION as a Developer w proper track record all these while.
True Fact: IS BIG MISTAKE DONE BY THE GOVERNMENT!!!-KPKT. The Government KPKT had key in WRONGLY DEVELOPER'S NAME through their source of info, the company Black listed one is NOT US!!! (is other we knew,but not to mention their co name here,...).
We had recently clarified w KPKT and they ADMITTED THEIR MISTAKE n taken out our Company's name from the list n update in their LATEST'S SYSTEM!!!... Which is http://www.kpkt.gov... 'SENARAI PEMAJU TANPA LESEN SEHINGGA 31 MEI 2013'-Our company's name already TAKE OUT FROM BLACK LISTING!!!
We will take action against all these'mistake' happened to us as it's already JEOPARDIZE Our Company's Reputation n Affected our sales n confidence to our Purchasers...
SO PLEASE UPDATE UR'www.blogger.com N SEARCH ENGINER'website IMMEDIATELY to keep our name out of it n CLEAN!!! CRITICAL URGENT!!!
Thank you
Hidayu
hi, thank you for your threat to take legal action. please furnish us details of the retraction from the ministry of housing and local government. as the list is not from us and it is published in the website of the ministry, i suggest you sue the ministry instead. thank you.
Please do not threaten me in my blog. If you want to ask something, ask nicely
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