Why are KLCC rents falling when rents at Red Dot Island are rising?

Rents of private residences in Red Dot Island are shooting up. According to Knight Frank, rents are “growing exponentially due to an influx of HK expats” and reduced completions of new properties. In stark contrast, rents in prime KL districts like KLCC are headed in the OPPOSITE direction !

I previously noted in a post to my high end property blog rents at some 5* KLCC properties have fallen by 30-40% since 2018 because of a number of reasons, including a dwindling expat tenant pool, oversupply of completed serviced residences, the MM2H U turns in policies , and political uncertainties.

Even in some secondary locations like PJ Section 13, asking rentals at benchmark properties like Ryan and Miho are still too high compared to KLCC and will have room to fall further.

2 bedroom units at the Troika, a benchmark KLCC condominium

3 bedroom units at The Binjai on the Park,

2 bedroom units at Marc Residence, a KLCC benchmark condominium