Impact of rising costs of construction
Will residential property prices increase because the costs of construction are rising ?
It depends on which property market you are talking about.
Except for landed property in demand, I think there is not a lot of leeway for developers to hike selling prices for high end properties in KL, Damansara, MK. Why?
A looming overhang problem is going to get worse next year when properties that were delayed because of MCO start getting VPed. And rentals at KLCC still have not recovered to pre pandemic levels. So who is going to rent all those shiny New Projects properties in Jalan Conlay (1000+) and Sultan Ismail (500+) projected to be delivered next year?
Marketing Serviced Residences Part 1. (focus: using video billboards and infographics to show progress reports at construction sites @ 22MacalisterZ & @YOO8 Serviced by Kempenski Branded Residences at 8 Conlay)
Marketing Serviced Residences Part 2 (focus : mini case study on using Digital Marketing techniques to market Quill Residences at Jalan Sultan Ismail)
Auction prices for high end 5* properties in KL are now around RM600 to RM650 psf. Some auctions of luxury condominiums are seeing no buyers at 3nd auctions. All these point to lacklustre interest by high end property investors.
For more reasons why the KL high end property market is in big trouble, check out my KL high end blog, 360 KLCC where you will find Insights, Analysis & Perspective on the KL property market.
#8Conlay #QuillResidences #brandedresidences #auctionproperty #klcc #realestate #22MacalisterZ