Bangsar, The Sought After Location Posted : on 10/3/15
Bangsar has been a sought after location since the eighties. Today many wonder what the attraction is and why the investing public are willing to pay a premium for properties in this location.
There is a combination of factors that makes Bangsar an attractive option. For persons buying into Bangsar the rationale is simple :
- It is easily accessible from the City Centre, Petaling Jaya, and a host of other locations.
- Property values have over the years appreciated considerably and will further appreciate over time and this makes it a safe and conservative option.
- Bangsar has every possible convenience one could ask for. Book shops, Fast Food Outlets, Dentists, Clinics, Pharmacies, Fine Dining Restaurants, Shopping Centres, Car Showrooms and the list goes on. It provides a lifestyle that is sought after by most KLites.
- The retail business activities in Bangsar, caters to all categories of people and this is another factor that makes Bangsar a unique destination.
While Bangsar has much to offer, it also has its challenges. One of the major concerns that residents have is the growing commercial activity. More and more residential homes are being converted for commercial purposes and the encroachment of commercial activities into residential properties has given rise to one major problem, and that is the erratic and irresponsible parking of cars in front of homes. The insufficient parking facilities and the high car parking fees being levied by car park operators have given rise to this problem. This is a sore point which needs to be addressed.
While commercial activities have had mixed reactions from the residents, it has had a positive effect on property values. As an example, the bungalows along Jalan Ma’arof command very good rental returns, (RM 18,000 to RM 25,000 per month) and at the same time the value of these properties have appreciated dramatically. Recent sales transactions have been concluded at prices that have exceeded RM 1,000 per sq ft.
While there is growing commercial activity in Bangsar, investors and those seeking to stay in Bangsar are undeterred. Bangsar is still a very much sought after neighbourhood and we can be rest assured that property prices will only move up further. This is simply due to the strong demand from investors/home buyers and the limited number of units available for sale.
We may see slower appreciation of prices in the shorter term due to the recently imposed Responsible Lending Guidelines by Bank Negara, but in the longer term, property prices will most definitely move upwards.
Condominiums in Bangsar have seen a change in occupancy trends. In the early days and up to the late nineties, most condominium units were occupied by the expatriate community. However today, with landed property prices escalating, many locals have opted to stay in condominiums as it is a cheaper alternative. Security and life style issues have also played a part in this changing trend.
If an investor has a budget of about RM 1 Million to purchase a property in Bangsar, then the option would be to purchase a single storey terrace house (which is difficult to find) or a condominium unit. The options aren’t many, but there are opportunities in some of the older condominium developments.
Bangsar has always been a favourite investment option for many and will continue to do so for a long time to come. Escalating property prices do not seem to be a deterrent and this can be gauged by Mulpha Bhd’s Development which was launched recently. The development called The Enclave, consists of 7 beautifully designed bungalows with selling prices ranging from about RM 12 Million onwards, the response was good with several units already sold.
On a smaller scale, the double storey link houses (depending on location and the condition of the house) are now priced between RM 1.8 and RM 2.2 Million.
On the commercial front, the shops and the bungalows being used for commercial purposes are in big demand, with very few units available for sale.
For the investor, if risk is not your cup of tea and a safe and secure investment is what you are seeking, then look no further, Bangsar is where it’s at.
Carey Real Estate Sdn Bhd