Review of Budget 2020 Proposals on The Malaysian Real Estate Sector
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OCTOBER - DECEMBER 2019
Review of Budget 2020
Proposals on The Malaysian
Real Estate Sector
Budget 2020 was tabled by the In the budget, the government has will be allocated for development
Finance Minister YB Lim Guan Eng forecast economic growth to remain expenditure. Rating agency RAM has
on 11 October 2019, the second time resilient, expanding by 4.7% in 2019 projected the Malaysian economy
that a national budget was tabled and 4.8% in 2020 although some to slow down to a growth of 4.5%
by him and the Pakatan Harapan quarters felt that the growth rate for 2020. Regardless of whether the
KDN PP18893/11/2015(034373)
government. The budget has been for 2020 is a bit optimistic given the projected growth of 4.8% for 2020 is
described by some tax consultants prevailing dark clouds in the horizon on the optimistic side, a growth rate
and economists as being “neutral in the global economy. The budget of above 4% is not something to look
to mildly positive” with the focus on will see a reduction in the allocation down upon and if that growth rate can
striking a balance between driving to expenditure from RM314.5 billion in be achieved, it will provide a positive
short term growth and laying the the previous year’s budget to RM297.0 environment for the business sector
groundwork for the transformation of billion for 2020. Of this sum, RM241 to thrive and will offer the stability for
the economy to become a knowledge million will be set aside for operating consumers to continue to spend and
based and high value one. expenditure whilst RM56 billion to invest in the property market.
OCTOBER - DECEMBER 2019 HERALD 1
big way because the rentals that the
participants under the scheme have
to pay are higher than the prevailing
rental rates of similar properties due
to the financial institution building in
their cost as well as required margins
to run the RTO scheme. Another
reason for the slow response was
the strict criteria adopted which
essentially required the participant
First time home buyers will enjoy the assistance provided by the government through the Youth to meet the income levels required to
Housing Scheme, the Public Sector Home Financing Board for free personal accident insurance qualify for the loan quantum needed
for up to two years and also RM100 million allocated for the repair and refurbishment of low and to take up the property after the five-
medium cost strata housing.
year rental period. Going forward,
for the RTO scheme to take off in a
For the real estate sector, there have will promote the Rent-to-Own (RTO) big way, the scheme will need to
been no earth-shaking proposals scheme by supporting financial be tweaked to address the various
in the budget which will have a institutions which will provide loans shortcomings which have deterred a
significant impact on the sector. The of up to RM10 billion for the scheme higher level of participation.
main ones are discussed below. via a government guarantee of 30%
or up to RM3 billion. This scheme Reduction of the Minimum Price
Review of the Real Property Gains will be for first time home buyers Threshold for Foreign Purchasers
Tax (RPGT) for the purchase of homes priced The current minimum price threshold
There have been loud calls from up to RM500,000. Additionally. the for foreigners who want to buy a
various sectors for the 5% tax on government will also offer stamp duty property in Malaysia is RM1 million
individuals who dispose of their incentives for those who participate although different states have
properties after holding them for in Rent-to-Own schemes under which modified the price to suit their own
more than 5 years. This has been the stamp duty will be exempted in full for: situation. For example in Selangor,
position before Budget 2019 and the a) Sale and purchase agreements for foreigners are only allowed to buy
reasoning is that the RPGT is meant the transfer of residential properties residential properties costing RM2
to discourage short term speculative from housing developers to million and above in zones 1 and 2
activities but should not penalise financial institutions which are and RM1 million and above in zone
those who are long term investors. executed during the period 1 3. For commercial properties the
However, to the disappointment of January 2020 to 31 December threshold in RM3 million for zone 1 and
all, the tax rate of 5% for disposals 2022; and 2 only and for industrial properties, the
after the fifth year for individuals (10% b) Rental agreement for the transfer minimum price is RM3 million in zone
for companies and foreigners) was of residential homes from financial 1, 2 and 3. In Penang, the threshold
retained in Budget 2020. Nevertheless, institutions to buyers executed from is RM2 million for landed properties
as a consolation, the base year for 1 January 2020 to 31 December on the island and RM1 million on
determining the market value of 2022. the mainland whilst for strata-titled
the property being disposed will be c) The above exemption is subject to: properties the minimum price is RM1
changed to 1 January 2013 from i. The licensed financial institutions million for both island and mainland
1 January 2000 previously. This is providing financing under this
expected to provide some relief to RTO scheme and obtaining Under Budget 2020, it has been
affected taxpayers as property prices approval from Bank Negara proposed that the RM1 million price
would have appreciated much less Malaysia (BNM); and threshold be reduced to RM600,000
over the seven year period from 2013 ii. Housing developers collaborating applicable for the year 2020 and only
as compared to the twenty year with the said financial institutions for high rise residences located in
period from 2000, thus resulting in a and registering with the National urban centres. This move is to assist
smaller taxable gain. If the tax burden Housing Department and housing developers to clear the huge
is reduced, this may encourage more Ministry of Housing and Local overhang of residential properties
property owners to dispose of their Government. plaguing the market which has risen
properties and upgrade/reinvest in to an alarming 32,810 units worth
higher value/better properties after This exemption is to facilitate the RTO RM19.76 billion as at 1H 2019. Whilst
selling off their existing properties. scheme, which is a collaboration housing developers are delighted with
between the Government and this concession by the government,
Promoting and Stamp Duty financial institutions to assist house certain NGOs, notably the House
Exemption under the Rent-to-Own buyers who are unable to come up Buyers’ Association (HBA) as well as
(RTO) Scheme with the initial deposit and to secure the Consumers Association of Penang
The government recognises that end financing to assist them in (CAP) have voiced their reservations
younger Malaysians who have not purchasing their first home. against this move, arguing that this
accumulated sufficient savings to buy will encourage developers to build
their own homes would need some The RTO scheme is not exactly a new more higher priced properties as
assistance to become homeowners. initiative as it has been introduced by well as raise prices to meet the new
In this regard, it was announced in a major bank previously. The scheme floor price. For instance, a developer
Budget 2020 that the government has reportedly not caught on in a with properties currently priced at
2 HERALD OCTOBER - DECEMBER 2019
RM550,000 may jack up the selling There will also be a RM200 monthly provide a spur to the development
price to RM600,000 just to be able to instalment assistance for the first two of Pulau Carey.
sell to foreigners. Nevertheless, it may years, limited to 10,000 homes. b) The government has indicated that
not be so easy for licensed developers b) The Public Sector Home Financing it will proceed with the development
to increase their selling prices as and Board will offer free personal of Bandar Malaysia which has
when they like as they would have accident insurance for up to two previously been shelved. The new
submitted a price list to the Ministry of years to new government housing plan will include the development
Housing & Local Government (MOH) loan borrowers. of a people’s park as well as
for approval and no changes are c) RM100 million will be allocated for an additional 5,000 affordable
allowed without the MOH’s approval. the repair and refurbishment of low homes which will help in making
Our take on this is that property and medium cost strata housing. the dreams of more Klang Valley
purchases by foreign buyers make up residents to own a home a reality.The
3% or less of total national transactions The above proposals under the Budget development of Bandar Malaysia
annually and are basically focussed will help youths who are first time home will also stimulate the development
on urban centres such as Kuala buyers who would otherwise be unable of the surrounding areas.
Lumpur, Johor Bahru and Penang to raise the funding required to bridge c) After some uncertainty, the
and it is in these areas where the the gap between the price of the home Government has decided to
percentage of foreign buyers may that they are buying and the loan that proceed with the Rapid Transit
exceed 10%. they are eligible to apply for. System (RTS) between Johor Bahru
and Singapore. Once completed,
Secondly, foreign buyers seem to be Spending on Infrastructure & daily commuting between Johor
quite selective on where they buy eg. Development Corridors Bahru and Singapore will be
in the case of Kuala Lumpur, foreigners As announced under Budget 2020, the made easier and perhaps more
appear to be interested in properties government will be allocating various Singaporeans may be encouraged
located in KLCC and Mont’ Kiara sums to be spent on infrastructural to buy homes in Johor Bahru
where prices are generally mostly improvements in a number of states. and live there in a lower cost
above RM1 million. To buy properties These improvements will lead to environment.
which cost under RM1 million, they enhanced accessibility as well as
will have to look at suburban areas a more conducive environment A RM1 billion allocation has also
like Setapak, Cheras and Kepong to for economic growth. Areas which been announced in Budget 2020
give a few examples and these are are opened up by the improved for corridor development projects
areas which foreigners are unfamiliar accessibility may also see more amongst which are:
with and are not so keen to invest in. developments taking place and this a) A RM50 million allocation to the
Johor may be a beneficiary though will ultimately lead to an increase in Northern Corridor Investment
as Singaporeans may be attracted to interest in the local populace moving Authority (NCIA) for the
invest in a home in Iskandar Malaysia into the area, thus spurring housing development of the Chuping
especially with the announcement demand. In this regard, Sabah and Valley Industrial Area in Perlis;
that the proposed RTS will be go Sarawak will be able to benefit from b) The government will also allocate
ahead. Although the reduction of the the allocation given to them for RM50mil for the development of
price threshold may stimulate some infrastructure development. Amongst a 100-acre site known as the Kota
additional sales to foreigners, it is our some of the major development Perdana Special Border Economic
view that the reduction of the floor projects announced in the Budget Zone in Bukit Kayu Hitam in Kedah;
price to RM600,000 may not really are: c) A RM69.5 million allocation for
lead to foreigners flooding the market. Kuantan Port related projects by
Further, as land matters come under a) The government proposes to spend the East Coast Economic Region
the purview of state governments, RM8.3 billion on the Serendah-Port Development Council (ECERDC););
it is possible that some states may Klang Rail Bypass as well as a d) An allocation of RM42 million for
not adopt the RM600,000 floor price dedicated privatised highway for the construction of the Sungai
and may maintain their current price commercial vehicles connecting Segget Centralised Sewerage
threshold or reduce the figure by a Northport and Westport. Once Treatment Plant in Johor by the
smaller margin. As it is, the Penang realised, it will not only facilitate Iskandar Regional Development
state government has indicated that it movement of goods but may also Authority (IRDA);
is considering a reduction of the floor
price to only RM800,000 and for only
six months.
Assistance to Youths
a) The Government will extend the
Youth Housing Scheme which is
administered by Bank Simpanan
Nasional from 1 January 2020 till 31
December 2021. Under the scheme,
borrowers are also able to apply for
a 10% loan guarantee via Cagamas
to enable them to get 100% The symbiotic relationship between Johor Bahru and Singapore will be etched deeper when the
financing for their home purchase. Rapid Transit System is in place and this will bode well for the property market in Johor.
OCTOBER - DECEMBER 2019 HERALD 3
e) RM55 million for infrastructure to such companies. To qualify, these received by MIDA from 1 January 2020
development in the Samalaju companies must invest at least RM5 until 31 December 2021.
Industrial Park in Sarawak by the billion each, which is projected to
Regional Corridor Development generate additional economic All in all, Budget 2020 is mildly positive
Authority (RECODA); and activities that will support the and neutral to the property market.
f) A RM20 million allocation to the country’s SMEs, create 150,000 high- The impetus to the recovery of the
Sabah Economic Development quality jobs over the next five years residential property market generated
and Investment Authority (SEDIA) and strengthen the manufacturing by the Home Ownership Campaign will
for the Sabah Agro-Industrial and service ecosystems; likely see an improvement in transaction
Precinct. b) A sum of RM1 billion per year volume and value of transactions for
will be allocated for customised 2019 although average house prices
At the end of the day, the key to incentive packages for five years may see a drop due to the offering of
boosting the property market in for Malaysian export-oriented discounts/rebates by developers under
the country and increasing home businesses that can prove their the campaign. Whether the recovery
ownership lies in the continued ability to grow and export their can be sustained and built upon
growth of the economy in a healthy products and services globally; in 2020 will depend not only on the
and sustainable manner as a stable c) A ‘Special China-centric Channel’ measures announced in Budget 2020
economic environment with more will be established under InvestKL but also the state of the global as well
employment opportunities will lead to to attract investments from China; country’s economy. There have been
higher income levels as well as boost d) To promote high value-added predictions by some quarters that there
investors’ and consumers’ confidence. activities in the Electrical & may be a global recession next year
In this regard, it is heartening to note Electronics (E&E) sector and to and if this happens it will certainly have
that Budget 2020 has placed a lot help the sector transition to a 5G an impact on consumer confidence
of focus on measures which will digital economy and Industry 4.0, and affect the property market. If the
generate economic growth for the the following have been proposed: two big players on the world stage
country under the theme “Driving ● Income tax exemption of up to can settle amicably on a trade deal,
Growth and Equitable Outcomes 10 years for E&E companies confidence will be boosted and a
Towards Shared Prosperity”. investing in selected knowledge- global recession may not materialiseIn
based services; and conclusion, we are of the view that
a) To attract Fortune 500 companies ● Special Investment Tax Allowance Budget 2020 does not have a significant
and global unicorns in high of 50% on qualifying capital impact on the property market. What
technology, manufacturing, expenditure incurred within a unfolds on the world stage in the stand-
creative, and new economic period of five years, to be set-off off between China and the USA in the
sectors to Malaysia and to against 50% of statutory income coming months as well as whether the
promote Malaysia as the preferred for each year of assessment, for UK can reach a Brexit deal will likely
investment destination, there companies whose Reinvestment have a greater impact on the country’s
will be an allocation of RM1 Allowance period has expired. economy and this will to a large extent,
billion per year in the form of determine whether the recent mild
customised incentive packages The above incentives will be recovery in the property market can be
for a period of five years extended considered in respect of applications sustained and carried over into 2020.
4TH QUARTER 2019
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4 HERALD OCTOBER - DECEMBER 2019
Editor’s Note
A Time to Reflect and Restrategize
The past four years have been quite reduced from RM1 million to RM600,000. switched their attention to middle
stressful for property developers and This move may help to reduce the income locations like Kajang, Rawang,
investors, especially people who were overhang of residential properties to Cheras and Wangsa Maju where land
trying to sell their properties or were a certain degree although it is not prices can support the building of
involved in marketing properties in expected to lead to an influx of foreign more affordably priced homes or even
Malaysia. One developer described the buyers flooding the market. landed properties.
situation that the property market was in
as “a slow death”. How did we arrive at this situation? Those developers who are wise and
Boosted by easy credit during the are determined not to get caught in
It was not exactly a steep downturn period 2010 to 2015, developers a similar situation again in the future
but developers needed to offer more were caught up in the euphoria and would do well to reflect on and re-tune
discounts/rebates/freebies/easy embarked on ever more ambitious past strategies so as to be able to
payment schemes to boost sales projects aimed at maximising returns. face a sluggish market with products
and at the same time spend more on Complex integrated projects and that, although not yielding maximum
promotions and agents’ commissions maximising densities and plot ratios returns, are safe and are still saleable
to drive sales numbers. The alarming were the order of the day and new whatever the market conditions.
statistics released by NAPIC on the price limits were tested with every Developers can look into acquiring
huge overhang of residential properties new launch. When the government land in more moderately priced
certainly raised questions on whether started introducing cooling measures locations which appeal to house
developers have been building the right to prevent a property bubble from buyers so that they can build more
types of properties in locations that building up, that was the time the end affordably priced units which they
home buyers want and at prices that of the party started. The adoption of can bring to market in times when the
the majority of house buyers can afford. stricter loan approval criteria based market turn sluggish instead of holding
Research carried out by Khazanah on nett income meant that more a landbank which are all in locations
Research Institute (KRI) indicates that borrowers were unable to secure which can only support expensive
houses built by developers especially maximum loan margins and drop- products. They should also look into
in urban centres are way out of reach out rates experienced by developers designs which are more cost effective,
of the average Malaysian based on increased to between 40% to 60%. perhaps not too large in size so as to
current income levels. Interestingly, Developers had to offer all kinds of keep the absolute price within reach
condominium and apartment units freebies and easy payment schemes of the target buyers. More extensive
priced between RM200,000 and and mount innovative and creative research should be undertaken to
RM300,000 which are within the marketing campaigns to attract/retain provide the design team with guides
affordable price range, contribute buyers. They also resorted to reducing on what buyers prefer and can afford
most to the property overhang in the size of units in new projects to to pay. In this regard, it is heartening to
the country, mainly in the states of keep prices at more affordable levels. note that at least one major developer
Perak and Kedah. This could be an High priced projects were caught with has come up with a programme where
indication that although the projects sluggish sales and some developers they let buyers tell them what they
offered houses of the affordable price resorted to bringing their projects want and then they build according
range, they may be located in areas overseas to augment sales. to the buyers’ suggestions. The industry
that are not preferred by the target should work together and lobby the
group eg. too far from place of work The recent riots in Hong Kong was a government to look into how to bring
and without adequate public transport boon to some developers as some down compliance costs as well as to
or not close to social amenities like Hong Kong residents, uneasy with shorten the time needed for getting
schools, shopping centres, markets etc. the chaotic and worsening situation, development approvals and transfer
decided to park some money overseas the cost savings achieved to the
The tying up of vast amounts of capital in properties in Singapore, Malaysia, consumers in the form of lower selling
in unsold stocks and its negative UK, Australia and Canada. The recent prices. The key guiding principle for
impact on the real estate industry have announcement by the government developers in these trying times should
led to the government coming to the in Budget 2020 to reduce the floor be sustainability and positive cash flow
aid of developers by co-organising price for foreigners from RM1 million instead of profit maximisation.
the Home Ownership Campaign 2019 to RM600,000 may help to mop up
which was initially supposed to run from some unsold stock. If that happens, it We are hopeful that the minor recovery
March to June 2019 but subsequently will relieve the strain on developers and in the property market in the first half of
extended to the end of the year. It was release tied up capital for new projects the year will be sustained into 2020.
also proposed in Budget 2020 that the or for acquiring new land bank. Instead
minimum price threshold for foreigners of buying expensive land in premier Tang Chee Meng
buying Malaysian properties be addresses like KLCC, some developers Chief Operating Officer
OCTOBER - DECEMBER 2019 HERALD 5
Target small-format store in the US city centre.
Retail: The State of the
Grocery Sector in Malaysia
There have been media reports on the closures of a number of hypermarkets and supermarkets in Malaysia
over the past two years. Many blame the rapid rise of online shopping for the demise of these physical stores.
Many believe the future of grocery shopping will be done via the mobile phone, tablet or computer. However,
this is far from the truth.
Supermarket and hypermarket Whilst Malaysian consumers are not at a leisurely pace in this super-large
operators in Malaysia are going replacing hypermarkets with mini- grocery store. It was a family outing,
through a consolidation stage. They markets such as 99 Speedmart and KK especially on weekends!
expanded aggressively throughout Super Mart, based on our observations
the country during the 2000’s. With the and the feedback we received, In recent years, we noticed that many
current economic conditions that have consumers are indeed shopping lesser Malaysian families were getting tired
not improved, it is not a surprise for in hypermarkets and buying more of spending hours in hypermarkets
them to close under-performing stores. often in mini-markets. for their basic necessities. They are still
visiting hypermarkets for purchases in
The closure of brick-and-mortar grocery The hypermarket format (80,000 sq large quantities, but they are not going
stores is not expected to worsen ft and more) was first introduced to as often as 10 years ago.
in 2020, unless a recession hits the Malaysians with the arrival of Carrefour
country. Although Giant/Cold Storage in 1994. This format became very For purchases in small quantities, they
was highlighted in the media in recent popular among Malaysian families are shifting to supermarkets and mini-
months on its many store closures, because it was able to offer a great markets where they do not need to
it is noted that for the last few years, variety of goods under one roof at park their cars and walk long distances
AEON, AEON Big, MaxValu, Jaya Grocer, prices which were cheaper than the to do their shopping. In addition, these
Econsave, Ben’s Independent Grocer mom and pop sundry shops due to the small-format grocery stores are now
and The Store have also closed down bulk buying by the operators of such able to offer very competitive prices as
underperforming outlets. stores. They enjoyed hours of shopping compared to hypermarkets.
6 HERALD OCTOBER - DECEMBER 2019
Tesco, Mydin and Jaya Grocer offer
online delivery services for selected
markets in Malaysia. However, online
sales are still only a tiny percentage
of their total sales.
Online grocery retailers are also
investing in physical stores. Although
Redtick started as an online grocery
retailer, they now operate four
supermarkets in the Klang Valley.
Amazon, the largest online retailer
in the world, also operates a chain
Big-sized marts like the hypermarkets are undergoing a consolidation phase. of grocery stores. Amazon Go, the
automated convenience store, has
This change in consumers’ buying To stay competitive and being able 16 stores in the United States. More
pattern is also making major to meet the demanding consumers, have been planned throughout the
hypermarket operators (such as Tesco convenience stores and mini-markets country. Amazon also owns Whole
and AEON Big) open new grocery are evolving as well. 7-Eleven, Mynews. Foods Market with 500 outlets. In
stores in smaller sizes. Smaller size is one com and KK Super Mart are now October 2019, media reported that
of the winning formulas for Jaya Grocer, offering a wide selection of take-away Amazon has signed several leases
Village Grocer, Ben’s Independent fresh foods. for a chain of new grocery stores with
Grocer, HeroMarket, Urbanfresh, De 35,000 sq ft floor space each.
Market, etc. Unmanned convenience stores failed
to take off in Malaysia. It started about Alibaba, the largest e-commerce
Target, the eighth largest retailer in two years ago in Klang Valley and later retailer in China, operates more than
United States, has opened more than in Penang and Ipoh. Most of them have 160 brick-and-mortar supermarkets
160 small-format stores in downtown closed down. in 21 cities. It has plans for 2,000
areas, urban neighbourhoods and stores by 2022.
college campuses throughout the The hype of automated convenience
country. A traditional Target store is stores started in China in 2017. Within China is the fastest growing
about 135,000 sq ft. A small-format a year, several operators have opened e-commerce market in the world.
Target store has only 50,000 sq ft or less. more than 200 stores but by the end of However, there is no alarming closure
2018, most of them have closed down. of supermarkets in this country due
Another main reason for large grocery JD.com, the second largest online to the rapid growth of online grocery
stores to not be able to sustain their retailer in China, announced in July shopping.
businesses is the rising cost of operation 2018 for 5,000 unmanned stores before
and the inability to raise prices due to the end of the year. It withdrew the plan Costco, the fourth largest retailer
government pressure. To survive, some six months later. in the United States, opened its first
have cut costs to the extent that the grocery store in Shanghai in August
quality of their fresh goods has been Online grocery retailers in Malaysia 2019. It had to shut down the store
compromised. In addition, their level of are facing tough competition as well. after a few hours of operation on
customer service also dropped. There have been failures. A major its first day due to overwhelming
operator, Honestbee, stopped their response. Visitors took three hours to
On the other hand, no-frills hypermarket delivery services in July 2019 after they find parking lots. They spent at least
operators such as NSK Trade City faced cash flow problems. It started half an hour just to queue at the
and Econsave are appealing to its Malaysian operations in 2017. cashiers. Brick and mortar grocery
cost-conscious Malaysian and non- Honestbee was the online delivery stores are certainly here to stay
Malaysian consumers for cheap partner for AEON. despite the threat from online stores.
produces and daily necessities.
Although convenience stores in
Malaysia have been enjoying rapid
growth in recent years despite the
weak economic climate, it is however
not replacing supermarkets and
hypermarkets. This sector is highly
competitive as well. Circle K, one of the
largest convenience store operators in
the United States, did not survive in this
country. When it opened its first outlet in
November 2013, it announced plans for
100 stores by the end of 2014. It did not
manage to open more than 20 outlets
after two years. Small is beautiful and it’s where shoppers have shifted their attention to in recent times.
OCTOBER - DECEMBER 2019 HERALD 7
NAPIC’s Property Market Report for H1
2019: Marginal Increases Reflective of
Positive Sentiments and Outlook for
the Local Property Market
Despite looming geopolitical value of RM4.98 billion (+22.0%) in 12.1% increase in loan applications
concerns and an ongoing trade commercial properties. For residential and a 10.8% rise in loan approvals in H1
war between the world’s two largest properties, 43% (14,021 units) of the 2019 reaching 42.5%. Loan approvals
economies, Malaysia’s property market glut comprised of condominiums and have steadily increased since H1 2016, a
seems undeterred, recording marginal apartments, while 15% (4,912 units) positive marker compared to the sharp
growth in H1 2019 compared to H1 were priced between RM200,000 to decrease of H1 2015. Meanwhile, the
2018, according the NAPIC’s property RM300,000. loan approval rate for non-residential
report. One could also attribute the properties stands at 39.6%.
change in government in 2018 did not It would seem that developers are
put a dent in market growth but in fact acknowledging the glut, and are Aside from that, Bank Negara Malaysia
bucked the gradual downward trend adjusting construction activity also expanded the eligibility criteria
of recent years - transactions for H1 accordingly, in particular for new to its RM1 billion Fund for Affordable
2019 have rebounded for the first time planned supply. For projects underway, Homes, which aims to help home
since H1 2015. Overall, the property there were more serviced apartments buyers from the lower income group
sector recorded 160,172 transactions that were started (+13.0%) and to finance the purchase of their first
worth RM68.30 billion in H1 2019. completed (+56.7%). Meanwhile, the homes. Budget 2020 also has goodies
However, there is still work to be done market experienced a contraction in meant to facilitate young first-time
to get back to H1 2015 levels. completions, starts, and new planned home buyers as well.
supply for commercial properties, each
Based on volume, residential property down by 2,734 units (-25.6%), 2,943 Based on the report and the current
continued to command the lion’s units (-6.8%), and 1,440 units (-60.8%) economy, NAPIC expects a resilient
share with 62.4% market share (99,922 respectively. market throughout 2019 underpinned
transactions, +6.1%) also contributing by a GDP growth in H2 2019 at 4.9%
the most in value (RM34.65 billion or Government-driven initiatives such as and supported by government-
50.7%, +9.5%). the launching of the National Housing driven initiatives in the housing sector.
Policy 2.0 (2018 – 2025) - which includes However, the glut in supply remains
For commercial properties, there were and the extension of HOC 2019 - have an issue, and seeing as most of the
12,960 transactions (+20.4%) worth yielded results. Total sales for the residential overhang were from a
RM12.53 billion (-20.8%) recorded. ongoing campaign hit RM14.65bil more affordable price tier (RM200,000
The shop sub-sector recorded 6,922 (19,784 residential units) as at 13 to RM300,000), perhaps more steps
transactions (+25.1%) worth RM5.8 September 2019, surpassing REHDA’s should be taken to encourage and
billion (+32.7%), dominating 53.4% of initial conservative target of RM3bil. empower Malaysians to purchase
commercial property transactions and these units.
46.3% of the total value. The retail sub- Loan financing is one of the bigger
sector recorded stable performance, hurdles when it comes to purchasing We believe that the market has
recording an overall occupancy rate property, but loan approval rates have potential to grow, but it also depends
of 79.7%, from 79.3% in H2 2018. The increased to facilitate purchasing. on the effectiveness and appeal of
performance of purpose-built offices Based on NAPIC’s report, there was a the government-driven measures.
was also stable at 82.4% in H1 2019,
similar to that of H2 Volume and Value of Transactions First Half 2019
2018.
Property H1 2018 H1 2019 % Change H1 2018 H1 2019 % Change
Sub-Sector (Units) (Units) Y-o-Y (RM Mil) (RM Mil) Y-o-Y
Supply overhang
continues to be Residential 94,200 99,922 +6.1 31,655.98 34,651.05 +9.5
the elephant in the
Commercial 10,760 12,960 20.4 15,820.01 12,526.99 -20.8
room: for residential
developments, there Industrial 2,514 3,137 24.8 7,409.40 7,017.95 -5.3
was a marginal (+1.5%)
Agriculture 33,539 34,555 3.0 6,788.94 6,919.12 1.9
increase in volume
(32,810 units, RM19.76 Development
8,849 9,598 +8.5 6,061.15 7,185.90 +18.6
billion), while there Land & Others
were a total of 5,760
units (+13.9%) and a Total 149,862 160,172 6.9 67,735.47 68,301.01 0.8
Source: NAPIC
8 HERALD OCTOBER - DECEMBER 2019
Focus on Affordability
Market activity in Kuala Lumpur and Selangor from January to September 2019 compared
to the corresponding period in 2018. By Henry Butcher Research
Reflecting the mildly positive growth
reports from NAPIC, the property scene
DUTAMAS
KUALA LUMPUR in Kuala Lumpur and Selangor was
1
KEPONG active and registered positive growth in
Highrise
1 RM700 -
the third quarter of 2019, especially when
Highrise JLN IPOH TMN MELAWATI
compared to the corresponding period in
2
RM600 - RM800psf
2
PROJECT
Highrise Highrise
PROJECT
RM700psf
RM500 - 2018. Uncertainty may undergird market
RM450 -
RM600 RM1000 sentiments attributed directly to the
PROJECTS psf
PROJECTS psf newly elected government in May 2018
but based on launch activity, property
WANGSA MAJU developers would seem to have regained
2
Highrise some confidence in 2019.
RM500 -
DESA PARKCITY RM600
Based on current numbers and up
PROJECTS psf
1
Highrise until Q3 2019 (Jan-Sep’19), there was
RM1000 -
SETAPAK an increase in new property launches
RM1200
1
PROJECT psf Highrise across KL and Selangor compared to
RM400 - the previous year. Whereas Q3 2018 saw
JLN KUCHING RM500
psf
a total of 68 new launches, Q3 2019
1
PROJECT
Highrise recorded 76 - an increase of 11.6%. The
RM550 -
RM650 uptrend is consistent with the increase
PROJECT psf in total units offered - 33,313 in Q3 2019
D’SARA HEIGHTS (+3,084 units; +10.2%) compared to
1
Highrise BUKIT BINTANG 30,229 units in Q3 2018.
RM1500 -
2
RM1600 Highrise
RM1500 - Of the 76 recorded new launches, 54
PROJECT psf
RM2500 (71%) were in Selangor. It would seem
PROJECTS psf
that during this period developers in
PANTAI DALAM
Selangor were more active in pushing
out new projects compared to their
2
Highrise
RM300 - counterparts in KL compared to the
RM350 corresponding period in 2018, which had
PROJECTS psf
Landed
a 59-41 split. In terms of units launched,
RM700 - Selangor is again ahead of KL recording
RM800 19,433 units (58%) but it was the reverse in
psf SEPUTEH
2018 when KL led with 16,674 (55%).
1
Highrise
RM1300 -
RM1500 From the first three quarters of 2019, the
PROJECT psf most active month was March and this
could be due to the launch of the Home
Ownership Campaign 2019. Launch
JLN KLANG LAMA BS PERMAISURI
activity gradually slowed thereafter with
1 1
Highrise Highrise July at its lowest with 4 launches.
RM530 - RM500 -
RM580 RM600
PROJECT psf PROJECT psf With the ever-dwindling land supply,
BUKIT JALIL high-rises have just about become the
SRI PETALING
de facto new property type in KL and
1 2
Highrise Highrise
RM750 - Selangor. According to our data, the
RM650 -
RM800 RM1000 unit supply for January to September
psf
PROJECTS psf
PROJECT
2019 stands at 28,377 strata units (87%)
and 4,936 landed units (15%), closely
mirroring the corresponding period
in 2018. Launch activity for the nine
Number of New Number of Units Launched months also mostly consisted of serviced
Project Launches in New Projects residences/apartments (25 in Q3 2018;
29 in Q3 2019), followed by terraces and
2018 2019 2018 2019 superlinks (20 in Q3 2018; 25 in Q3 2019),
Projects 68 76 Units 30,229 33,313 and condominiums (12 in Q3 2018; 10
in Q3 2019).
OCTOBER - SEPTEMBER 2019 HERALD 9
transit line and these are additional
RAWANG areas to look into in the foreseeable
SELANGOR
2 Landed future.
RM450 -
SUNGAI BULOH RM600psf SHAH ALAM Pricing-wise, 48 projects (55%)
PROJECTS
4 5
Highrise launched in this period were priced
Landed
SERENDAH RM500 -
PUNCAK ALAM RM300 - between RM501 to RM750 per sq ft.
RM600psf
1
RM700psf
2
PROJECTS Landed PROJECTS
Landed In Kuala Lumpur, all high rise projects
Highrise
RM200 -
RM200 - RM350 - offering units within this price range
RM300psf RM600psf
RM220psf PROJECT were:
PROJECTS
Landed ● Wangsa Maju and Bandar Sri
RM350 -
BANDAR UTAMA
Permaisuri, RM500 to RM600per sq ft;
RM500psf
● Taman Melawati, RM500 to RM1,000
SETIA ALAM
1
PROJECT
Highrise
RM800 -
RM900psf
per sq ft;
● Jalan Klang Lama, RM530 to RM580
3
per sq ft;
Landed
RM350 -
● Jalan Kuching, RM550 to RM650 per
SERI KEMBANGAN sq ft;
RM900psf
1
PROJECTS
Landed ● Kepong, RM600 to RM700 per sq ft;
RM600 - and
KLANG
RM800psf
5
Highrise
PROJECT ● Sri Petaling, RM650 to RM800 per sq ft.
RM450 -
CHERAS
RM800psf Meanwhile, in Selangor, areas that
2
PROJECTS
Landed Highrise offered units within the aforementioned
RM300 - RM450 -
RM850psf RM700psf
range were:
PROJECTS
● Kota Kemuning (landed) and Shah
KOTA KEMUNING Alam (high-rise), RM500 to RM600
2
BANGI per sq ft); and
Highrise
4
RM130 - Landed ● Kajang (landed), RM500 to RM750
RM250psf RM300 - per sq ft.
PROJECTS
Landed RM750psf
RM500 - SUBANG JAYA PROJECTS
3
RM600psf Highrise There are still good value buys available
RM600 - with 42 projects (48%) offering units
RM1100 KAJANG below RM500 per sq ft, and they can
PROJECTS psf
5
Highrise be found in:
RM450 - ● Pantai Dalam (high-rise), RM300 to
PUCHONG RM550psf
RM350 per sq ft;
2
PROJECTS
Highrise Landed
RM400 - CYBERJAYA RM500 - ● Setapak (high-rise), RM400 to
2
RM600psf RM750psf RM500 per sq ft;
PROJECTS Landed DENGKIL
Landed RM350 - ● Kota Kemuning (high-rise), RM130 to
2
RM650 - SEPANG
RM700psf Highrise RM250 per sq ft;
4
RM800psf PROJECTS SEMENYIH
RM350 - Highrise
1
● Serendah (landed), RM200 to
RM500psf RM350 - Landed
PROJECTS
Landed RM550psf RM300 - RM300 per sq ft;
PROJECTS
RM350 - Landed RM400psf ● Puncak Alam (high-rise), RM200 to
PROJECT
RM800psf RM300 -
RM220 per sq ft;
RM500psf
● Semenyih (landed, RM300 to RM400
Of the 87 projects launched in the per sq ft;
nine months of 2019, 38 (44%) offered
units with built-ups exceeding 2,000 Types of Projects
sq ft, followed by 34 (39%) between 30 2018 2019
801 to 1,000 sq ft. A similar trend was 29
detected in the same period for 2018,
25
with 33 projects (out of 72) offering 25 25
units between 801 to 1,000 sq ft.
20
In terms of geographical locations, 20
Shah Alam and Sungai Buloh had
the most new property launches (5 15
each), followed by Klang, Subang Jaya
and Cheras (4 each). Seeing as Setia 10
12
Alam also had active launches during 10 10
the corresponding period in 2018, we
can see that the attention leans more 5 6 6
5 4 2 2 2
towards these more suburban areas. 1
As for the activities in Shah Alam, Klang 0
APARTMENT BUNGALOW CONDOMINIUM SEMI-D SERVICED SOHO / SOFO TERRACE / TOWNHOUSE
and Subang Jaya, it is probably due to / FLAT RESIDENCE / SOVO / SOSO SUPER LINK
the construction of the upcoming LRT3 SERVICED
APARTMENT
10 HERALD OCTOBER - DECEMBER 2019Unit Sizes Pricing Price Per
by Projects by Projects Square Feet (PSF)
13% Below 600sf 15% 15% Below 26% 32 Below 42
RM400,000 RM500
28% 601sf - 800sf 24%
50% RM401,000 40% 34 RM501 48
- RM600,000 - RM750
46% 801sf - 1,000sf 39%
RM601,000 RM751
49% - RM800,000
37% 22 - RM1000
15
31% 1,001sf - 1,200sf 22%
29% 1,201sf - 1,500sf 18% RM801,000 RM1,001
44% - RM1,000,000 38% 5 - RM1,500 4
21% 1,501sf - 1,800sf 17%
Above Above
42% RM1,000,000 49% 4 RM1,500 3
11% 1,801sf - 2,000sf 15%
31% Above 2,000sf 44%
Location
● Sepang (landed), RM300 to RM500
Rawang 5 5 Klang
per sq ft; Setia Alam 5 5 Kajang
● Dengkil (high-rise), RM350 to RM500 Puchong 4 5 Shah Alam
per sq ft; and Cheras 3 4 Bangi
Klang 3
● Puncak Alam (landed), RM350 to Mont Kiara 3
4 Sepang
RM500 per sq ft. Petaling Jaya 4 Sungai Buloh
3
Sepang 3 3 Setia Alam
Setapak 3 3 Subang Jaya
Cyberjaya 2 2 Bukit Bintang
For the nine months of 2019, affordability Kota Kemuning 2 2 Bukit Jalil
however is still the name of the game, with OUG 2 2 Cheras
Taman Desa 2 2 Cyberjaya
35 projects (40%) offering units priced Wangsa Maju 2 2 Dengkil
between RM401,000 to RM 600,000. This Alam Damai 1 2 Jalan Ipoh
follows a similar trend from last year, with Ampang 1
2 Kota Kemuning
Ara Damansara 1
36 projects (50%) offering units at that Bukit Bintang 1 2 Pantai Dalam
price range. Bukit Jalil 1 2 Petaling Jaya
Bandar Mahkota 1 2 Puchong
Bandar Sri Damansara 1 2 Puncak Alam
Over in the premium market, Bukit Bintang Bandar Sri Permaisuri 1 2 Rawang
leads as the most expensive (high-rise, Bandar Sunway 1 2 Taman Melawati
Bangsar South 1 2
RM1,500 to RM2,500 per sq ft) followed by Wangsa Maju
Cheras 1 2
Damansara Heights (high-rise, RM1,500 Balakong
City Centre 1
1 Bandar Sri Permaisuri
to RM1,600 per sq ft), Seputeh (high-rise, Damansara Heights 1
1
Dutamas 1 Bandar Utama
RM1,300 to RM1,500 per sq ft) and Desa 1 Damansara Heights
Jalan Klang Lama 1
ParkCity (high-rise, RM1,000 to RM1,200 Jalan Kuching 1 1 Desa ParkCity
per sq ft). Kajang 1 1 Dutamas
Kelana Jaya 1 1 Jalan Klang Lama
Kuala Selangor 1 1 Jalan Kuching
With NAPIC’s optimistic outlook of Putrajaya 1 1 Kepong
a resilient market, coupled with Segambut 1 1 Semenyih
Semenyih 1
government-driven initiatives towards Sentul 1
1 Seputeh
enabling the rakyat to purchase homes Seri Kembangan 1 1 Serendah
Shah Alam 1 1 Seri Kembangan
(in particular the extension of HOC
Sri Hartamas 1 1 Setapak
2019 till year end), it looks like demand, Sungai Buloh 1 1 Sri Petaling
including pent-up demand, is about to
steadily make its way back to the market. 2018 2019
OCTOBER - SEPTEMBER 2019 HERALD 11TAMAN
MELATI PUTRA KENARI PV 2
M3 FLAT VILLA PV 5
RESIDENCY
PV 3
TAMAN SRI MELATI UTAMA
MELATI TIOMAN
IMPIAN KENANGAN 1&2 TAMAN MELATI
PV 6
IDAMAN
PUTERA
GOMBAK SETIA
VISTA
WIRAJAYA PV 8
1&2
*RESIDENSI PUSAT LATIHAN
GOMBAK KAMPUNG TAMAN KOR POLIS
SUNGAI MULIA IBUKOTA INDAH TENTERA DIRAJA
DANAU PV 9
KOTA
IDAMAN SUITE WARIEBURN
PUTERI
CAMP
DESA SETAPAK
LA IDAMAN
VILLAS SUTERA
TERATAI VILLA
MEWAH DANAU
CONDO
MEDAN
INTAN
TAMAN
SETAPAK
IDAMAN
TAMAN SRI
TAMAN SURIA RAMPAI
KL
P. RAMLEE
TRADERS
TERATAI
MEWAH
APT
KENWINGSTON
PRIMA
MH SETAPAK
PLATINUM 2
LEGEND
Price RM(psf)
Under
Construction Below 200 201 - 300 301 - 400 401- 500
QUICK STATS
Completed 501 - 600 601 - 700 701 - 800 Above 800 Built Up (SF) Price (RM PSF)
Maximum 3,369 606
Minimum 549 274
* = Asking Price Median 1,033 382
Value Map Setapak North
A land of opportunity, just a stone’s throw away from the capital.
12 HERALD OCTOBER - DECEMBER 2019From its origins in tin-mining and
Completed (Built-Up, sq ft)
rubber-growing, Setapak has had
pockets of growth and urbanisation
Completion
in the past, but recently those efforts Project Minimum Maximum
Date
are happening at a faster pace,
turning the mukim (subdivision of a Danau Kota Suite 969 990 2018
district) into a great dwelling place Idaman Puteri Apartment 1,432 1,453 2000's
for young working adults who are Idaman Putera Apartment 1,336 _ 2000's
working in the city centre, but are
Idaman Suria Apartment 689 775 2000's
not only opting to live away from the
hustle and bustle of city centre living Idaman Sutera Apartment 850 _ 2000's
but are budget constrained. Its name, Indah Apartment 807 893 1990's
translated from Malay literally means
Kenari Apartment 818 _ 1990's
“one step” definitely rings true - it is a
step away from the city centre. In this KL Traders Square 842 1,059 2017
issue of Herald, we will be looking at La Villas Condominium 1,001 1,141 1990's
the northern part of Setapak. M3 Residency 807 1,092 2017
Medan Intan Apartment 990 2000's
Positioned north-east of Kuala Lumpur,
Setapak is situated in the constituency Melati Impian Apartment 872 873 2000's
of Gombak and occupies an area MH Platinum Residensi 648 1,830 2010's
of (160km2). Its northern limit is
Putra Villa 1,066 3,369 2000's
Gunung Bunga Buah; while its north-
eastern limit is Genting Sempah on Platinum Hill PV 2 1,324 1,496 2013
the Pahang border. Currently, what is Platinum Hill PV 3 1,270 1,281 2000's
considered “Setapak” comprises the
Platinum Hill PV 5 1,270 1,561 2006
township of Wangsa Maju, as well as
the first few stretches of Jalan Pahang Platinum Hill PV 6 1,335 _ 2008
and its surrounding areas. Platinum Hill PV 8 1,389 1,615 2010
Prima Setapak 2 Condominium 1,432 1,647 2010's
The most notable attraction in Setapak
is the National Zoo (Zoo Negara), *Residensi Gombak 126 672 923 2016
which opened in 1963. Meanwhile, Sri Tioman 1 & 2 Flat 581 _ 1990's
located just south of Setapak is the Taman Melati Flat 549 581 1990's
Titiwangsa Recreational Park. Other
Teratai Mewah Apartment 657 721 1990's
notable landmarks include Tunku
Abdul Rahman University College Teratai Mewah Condomonium 926 1,152 1990's
(or TAR UC), the P. Ramlee Memorial, Villa Danau 1,044 1,055 2000's
the Royal Selangor Pewter factory,
Ayer Panas Hot Springs, and Setapak
Central Mall (formerly KL Festival City).
Under Construction (Built-Up, sq ft)
In terms of government representation, Completion
Setapak has the following: Project Minimum Maximum
Date
● Gombak (parliamentary
PV 9 1,000 1,300 2020
constituency, under Selangor)
● Wangsa Maju (parliamentary Vista Wirajaya 1 & 2 (Rumawip) 850 884 2021
constituency, under Kuala Lumpur) Kenwingston Platz 1,010 _ 2023
● Setiawangsa (parliamentary
constituency, under Kuala Lumpur)
● Gombak Setia (state constituency, handful during the 1990’s. With land that were close to or exceeded the
under Selangor) availability a challenge throughout 1,000 sq ft mark, perhaps a season
the Klang Valley, Setapak follows a where developers were starting to
Setapak is well-connected to the similar trend - its properties are mostly build more spacious offerings more
Kelana Jaya LRT line, with stations in strata-type developments. discerning buyers with bigger families.
Gombak, Taman Melati, Wangsa Maju,
Sri Rampai, and Setiawangsa. Taking Initial projects in the area (around A quick glance at north of Setapak
the public transit lines means being a the 1990’s) were sized between 549 will reveal an overwhelming majority
few minutes away from the city centre, sq ft (Taman Melati Flat) to 1,152 sq of developments priced at around
as well as its various retail hotspots. ft (Teratai Mewah Condominium. RM301 to RM400 per sq ft, making the
Currently developments offer units area a land of opportunity for those
As mentioned earlier, Setapak saw that reach a maximum size of 3,369 sq looking for value buys near the city
accelerated growth and development ft (Putra Villa) - almost triple the largest centre. Look a bit closer, and one can
during the 2000’s. According to our offered in the 1990’s. even find homes priced below that
data, most properties in northern range and there are four such projects:
Setapak were completed around We also observed that the 2000’s saw Medan Intan (990 sq ft, RM293 per sq
that period, where there were only a an increase in projects offering units ft), Idaman Sutera (850 sq ft, RM288
OCTOBER - DECEMBER 2019 HERALD 13A hive of activity at Setapak Central right beside the busy thoroughfare of Jalan Genting Klang.
per sq ft), Teratai Mewah Apartment Setapak underwent a massive growth momentum isn’t about to end anytime
(657 to 721 sq ft; RM274 to RM277 per spurt during the 2000’s, with the wave soon. With a working population that
sq ft), and Idaman Suria (689 to 775 sq of urbanisation that first hit the capital is looking for affordable homes close
ft, RM288 to RM305 per sq ft). slowly flowing to its surroundings. As we to their workplaces in Kuala Lumpur,
approach the end of the 2010’s and Setapak is strategically poised to meet
Meanwhile, there are five projects start of 2020’s, it does look like that that demand.
offering units at a higher price range
of RM501 to RM600 per sq ft. They are
Residensi Gombak 126 (558 to 923 sq
ft, RM536 to RM595 per sq ft), KL Traders
Square (842 to 1,059 sq ft, RM459 to
RM591 per sq ft), Kenwingston Platz
(1,010 sq ft, RM550 per sq ft), MH
Platinum Residensi (648 to 1,615 sq ft,
RM433 to RM595 per sq ft), and Danau
Kota Suite (969 to 990 sq ft; RM589 to
RM606 per sq ft).
As of the time of writing,there are several
newly released projects into northern
Setapak, they are the aforementioned
Kenswington Platz (completion by
2023), PV9 (completion by 2020,
1,000 to 1,300 sq ft, RM423 to RM478
per sq ft), and Vista Wirajaya 1 and 2
(completion by 2021, 850 to 884 sq ft,
RM339 to RM352 per sq ft). It should
be noted that Vista Wirajaya 1 and
2 are RUMAWIP projects, part of an
affordable housing initiative across More modern commercial shops have been sprouting up in Setapak especially
the Federal Territories of Malaysia. those near newer developments.
14 HERALD OCTOBER - DECEMBER 2019(L to R) Sultan Perak Sultan Nazrin Muizzuddin Shah, artist Yusof Ghani, Datuk Vincent Sim. The artist introducing his artworks to the Guest of Honour
Sultan of Perak.
Yusof Ghani -
Segerak VIII: Utopia
The organisers Curate Henry Butcher, Galeri Prima, and Pinkguy Gallery take this opportunity to sincerely
thank His Royal Highness Sultan Nazrin Muizzuddin Shah, the Ruler of the state of Perak, for officiating the
exhibition “Yusof Ghani - Segerak VIII: Utopia” at 8pm on 8 August 2019. The organisers also extend their
gratitude to Tuanku Zara Salim, DYMM Raja Permaisuri of Perak, for gracing the event. Some 350 people
attended the exhibition’s opening.
Yusof Ghani (born in 1950, Johor) Segerak series were launched abroad In Segerak VIII, the movement of the
was at a late age of 31 when he had eg. in London, Spain, Hong Kong), figures are well captured. Some think
formal studies in art, specifically for and now, the final episode Segerak that the figures are better defined
his BFA (Bachelor of Fine Arts) at the VIII: Utopia here at Galeri Prima. than Tari, certainly with more swift
George Mason University in the United and deft motions, if not gestures. The
States in 1981, and then MFA (Master The word Utopia is defined as an idea (expressed on the canvas) is
of Fine Arts) at the Catholic University imagined place or state of things in depicting the events that take place
in Washington, USA in 1983. Previously, which everything is perfect and ideal. simultaneously around the world.
he had worked in art-related jobs
for 10 years. When he returned, he
lectured at the Mara Institute of
Technology.
As an artist, he has electrified the art
scene with his series like Tari, Topeng,
Wayang, Hijau, Segerak, Biring, Wajah
and Ombak.
Tari (painted some 30 years ago) is
among the most sought after series,
due to its rarity, scarcity, and good
quality.
Segerak was first introduced in 2004
some 15 years ago, since then, it
has evolved into various episodes as Group photo of the organisers comprising teams of Henry Butcher Art Auctioneers, Galeri Prima and
Segerak II, III, IV, V, VI, VII (some of the Pinkguy.
OCTOBER - DECEMBER 2019 HERALD 15HBAA’s Sim Polenn (2nd from right) introducing artworks by Dato’ Hoessein Enas to DYMM Sultan Selangor Sultan Sharafuddin Idris Shah at Henry
Butcher Art Auctioneers booth flanked by Director-General of the National Art Gallery Malaysia Prof. Dato’ Dr. Mohamed Najib and HBAA Director
Datuk Vincent Sim.
Henry Butcher Art Auctioneers
at Art Expo Malaysia
Henry Butcher Art Auctioneers (HBAA) participated in the 13th edition of the Art Expo Malaysia (AEM) from 11
to 13 October 2019 held at MATRADE Exhibition and Convention Centre (MECC) Kuala Lumpur.
As HBAA marks the 10th year of its astute of Tourism, Arts and Culture YB Tuan
art auctioneering presence in 2019, the Muhammad Bakhtiar Bin Wan Chik.
artsy week at the Art Expo 2019 became
the perfect backdrop to commemorate HBAA’s upcoming auction on 3
Henry Butcher’s decade old foray into November 2019 will have a total of
the local and regional art scene. The 188 Lots, among which 16 Lots are
excitement was added with a visit by Charity Lots. The auction aims to
His Royal Majesty, Sultan of Selangor raise RM200,000 or more from the
Sultan Sharafuddin Idris Shah, who 16 Charity Lots (artworks donated
spent some time admiring the pride by artists) to build an art school in
(From left) HBAA’s Sim Polenn introducing
of Malaysian art pieces by renowned Cambodia in a collaboration project the batik masterpieces to Deputy Minister of
artists on display at HBAA’s booth. with Richard Koh Fine Art for Blue Art Tourism, Arts and Culture YB Tuan Muhammad
Centre. The auction is scheduled for Bakhtiar Bin Wan Chik and Director-General of
Another VIP that graced HBAA’s 1pm at Galeri Prima, 31, Jalan Riong, the National Art Gallery Malaysia Prof. Dato’ Dr.
exhibition floor was the Deputy Minister Bangsar, Kuala Lumpur. Mohamed Najib bin Ahmad Dawa.
HBAA’s Sim Polenn (2nd from right) introducing artworks by Dato’ (From left) HBAA’s Sim Polenn, Crystal Tung, Deputy Minister of Tourism,
Hoessein Enas to DYMM Sultan Selangor Sultan Sharafuddin Idris Shah Arts and Culture YB Tuan Muhammad Bakhtiar Bin Wan Chik, Art Expo
at Henry Butcher Art Auctioneers booth flanked by Director-General of Malaysia Fair Director Sim Pojinn, Director-General of the National Art
the National Art Gallery Malaysia Prof. Dato’ Dr. Mohamed Najib and Gallery Malaysia Prof. Dato’ Dr. Mohamed Najib bin Ahmad Dawa and
HBAA Director Datuk Vincent Sim. Datuk Vincent Sim.
16 HERALD OCTOBER - DECEMBER 2019You can also read
