Shah Alam – Strong momentum in housing sales
A showcase for exquisitely-planned townships and exclusive residential enclaves, Shah Alam’s housing outlook continues its upward momentum
Townships springing up around the Klang-Shah Alam corridor is nothing new. Ever since SP Setia conceptualised and built Setia Alam project in 2004 and funded the NKVE-Setia Alam Link, which was followed by many more highway linkages, scores of developers have followed suit with their planned community living concepts. Think Kota Kemuning, Bukit Jelutong, Alam Impian, Alam Suria, Subang Permata, Taman TTDI Jaya, Glenmarie, and Bukit Rimau.
This development is not unexpected. Soaring property prices in Kuala Lumpur and Petaling Jaya have naturally resulted in big developers moving further away from the two city centres towards Klang. Buyers and investors have followed suit and have caused prices to move northwards as well. Early buyers have to their glee discovered that their property prices have jumped significantly in the last few years.
Steven Lim, Head of Property Division of SPK Homes cited the example of their first Superlink Homes which were launched at RM350,000. “The recent transacted price in the subsale market has gone up to RM460,000,” he said. “We are optimistic that the prices of properties in Shah Alam, especially in areas near our township will appreciate steadily.”
SPK Homes’ development concept echoes a similar theme throughout the townships in the corridor – resort-home environment by the lake with water activities, gentle rolling slopes, parks, spacious playgrounds with jogging and cycling tracks, low-density development with large built-ups and lot sizes, clubhouse, guarded community with 24-hour security, green street concept, concealed utilities, extensive landscaping, wide road frontage and buffer zones. Some even have golf courses.
With hundreds of thousands acres of land at their disposal, and relatively a distance away from KL and PJ, it’s only natural that developers have come out with the “perfect” living environment to drive sales. Competition is keen. But with competition comes innovation. And that’s how Shah Alam ended up with so many innovatively-designed townships and residential enclaves.
But what will drive further demand in Shah Alam housing in future? The growing student population is one of the positive factors, says Gerard Kho, Reapfield Properties Sdn Bhd’s senior vice-president. The student population is expected to continue to grow with many institutions of higher learning located in Shah Alam. They include UiTM- main campus, Puncak Perdana and Puncak Alam campus, Universiti Industri Selangor in Sec 7, PTPL and MSU in Sec 13, and Politeknik Shah Alam in TTDI Jaya. The government and corporate sectors will also create demand for housing.
Furthermore, the fact that it is easily accessible to other parts of Klang Valley makes it a good alternative to KL and PJ in the near future.
However, because land there is mainly leasehold, it might not be very appealing to investors and speculators except for certain freehold areas such as Sec 25, 27, 28, Bukit Jelutong, Alam Impian, Kota Kemuning, Bukit Rimau, TTDI Jaya and Denai Alam, added Kho.
On the other hand, as the price is slightly lower than freehold properties, they are still appealing to the majority who buy to stay or for long-term investment. As a result there is still good potential for medium-range properties and shoplots and office space because businesses like to set up there due to the growing population which currently stands at 600,000.
Bernard Yong, Senior Marketing manager of Naza TTDI Sdn Bhd concurs, saying that Shah Alam is poised for significant growth as more and more planned and integrated townships take shape within it.
Both are right. In recent months, the demand for residential properties in Shah Alam has been strong and sales performance has been quite encouraging for developers as well as the subsale market. With another good 10 years at least to go before the completion of all phases of the townships, brace for more property launches and maybe even 6am queues to book them.
Shah Alam is well connected to other main cities in Klang Valley by highways such as the Federal Highway, New Klang Valley Expressway (NKVE), Shah Alm Expressway (KESAS), Guthrie Corridor Expressway (GCE), North-South Expressway Central Link (ELITE) and Kemuning-Shah Alam Highway (LKSA).