We take a closer look at Kajang’s housing landscape with the help of iPropertyiQ.com’s latest data. Meanwhile, Aziz Ahmad, Founder, Hartanahguru.com provides his insights into Kajang’s growing appeal as a residential address.
At 42.9%, landed property takes the crown for the sub-sale residential category. This trend has remained unchanged for years, given that most home buyers in Kajang are families or young couples planning to start a family. As explained by Aziz, Kajang is one of the top residential options among house-hunting working professionals who have been outpriced in the city centre whereas there are numerous affordable residential products in Kajang. As shown in the graph above, flat is the second most popular option with 24.5% or 300 transactions. The second-runner up, apartments garnered 17.6% or 215 sales.
The top performer, terrace homes, recorded high capital growth value at 11.2%. Aziz says that said percentage makes this property type extremely appealing to investors as average figures in the current market are trending in the 7-8% range. Also, many developments in Kajang still bear a freehold status. Meanwhile, flats provided above – average rental yields of 7.4%. As shared by Aziz, it is quite difficult for landlords to obtain rental yields exceeding 6%.
GROWTH POTENTIAL
Given the recent launching of the MRT Line 1 in July 2017, more purchasers, especially working professionals are turning their attention to Kajang, which is now served by 4 MRT stations.
• Bukit Dukung MRT:
Located at Sungai Balak interchange of the Cheras – Kajang Expressway (E7) and Kajang Dispersal Link Expressway ( SILK).
• Sungai Jernih MRT:
Located at the Saujana Impian interchange of E7 and nearby KPJ Kajang Specialist Hospital and Tesco Kajang.
• Stadium Kajang MRT:
Connected to Kajang Stadium in the town centre.
• Kajang MRT:
Located 1km south of the town centre.
The MRT now makes it incredibly convenient for Kajang residents to commute daily to areas such as Damansara, KLCC and Cheras. Investors too are keen to get a piece of the Kajang property pie considering how new transportation infrastructure is only expected to provide robust capital appreciation values for the surrounding properties.
Aziz feels that the open-end stations of a rail line bear an added edge as there is more room for capital growth, thus his faith in Kajang’s high growth tangent. Also taking into account how property development in the Klang Valley is gravitating southwards, Kajang is on track to progress further as a residential hotspot.
As it is Kajang has all the makings of a self-sustained township. It is home to numerous higher education institutions such as New Era College, Universiti Kebangsaan Malaysia, University Kuala Lumpur Malaysia France Institute (UniKL MFI) and the German Malaysian Institute.
Residents can satisfy their shopping needs at the Metro Point Mall, Kajang Tesco Extra and Giant hypermart whereas hospitals in the area include Hospital Kajang, Kajang Plaza Medical Centre and KPJ Kajang Specialist Hospital.
Kajang’s appeal explains why developers have been flocking to the area in recent years. New transportation infrastructure coupled with a strategic location on the outskirts of the KL city centre promises high property demand. In addition, Kajang is surrounded by the budding neighbourhoods of Semenyih and Bandar Baru Bangi; further boosting its growth value.
MKH Berhad, a prominent developer in Kajang is planning to build the area’s biggest mall yet. To be located within the Kajang 2 Township, the mall will be built nearby the Kajang MRT station. Aziz also commented that MKH Berhad will be teaming up with PR1MA Corp Malaysia to jointly develop a mixed-development project on a 8.22-acre land situated nearby the Kajang MRT station. The RM464 million venture will offer 1,200 stratified residential units which will be complemented by a commercial area measuring approximately 42,000 sq ft.
KLites are slowly realising Kajang’s value as a residential address. The area is not as fast-paced and hectic as Kuala Lumpur and yet the city centre is easily accessible with the recently improved connectivity. An added boost is the newly opened Bandar Baru Bangi-Kajang 2-Bandar Teknologi Kajang flyover. The toll-free road is a huge relief as it will help ease traffic congestion in the area.
Aziz shared that there has been a growing demand for G&G developments as security is now a top factor for many homebuyers. In alignment with this demand for wholesome, family-conducive homes, some developers have recently launched attractive G&G developments within Kajang. For instance, the Semanja Kajang township is offering double storey link homes priced from RM856,800 onwards while Ridgefield Residences townhouses in the Tropicana Heights Township are going for RM846,000 and above.
