Property developers advised to do more research



This website is

Welcome Main Forum FAQ Useful Links Sample Letters Tribunal

Property developers advised to do more research
The Star 16/04/2004

MALAYSIAN real estate developers must carry out research to compete in the new economy and avoid problems like having to abandon their projects due to weak demand, said an academic.

Dr Ali Parsa of the Centre of Surveying at London South Bank University said many property projects in Malaysia were half finished due to a drop in demand and the relative weak economic strength of property owners.

Stressing the importance of research, he said developers must understand that there was a direct relationship between economic and property cycles.

Dr Ali said real estate developers should learn from experiences in the late 1990s like the economic crisis and currency turmoil, which were caused by bad debts in the banking and property sectors.

Stressing that it was important for businesses to understand opportunities and threats, he said with the coming into effect of the Asean Free Trade Agreement, the Asean market would offer plenty of opportunities as well as competition. “If Malaysian (real estate) companies want to be well placed, they must be able to compete,” he said in an interview.

To be able to do this, they have to be dynamic and proactive in understanding the market and current economic conditions. They would also need to look into themselves whether they can compete with Asean countries such as Singapore and Thailand.

It has been estimated that there were RM403mil worth of abandoned housing projects in Peninsular Malaysia alone. These projects were from 82 housing schemes involving 38,094 houses.–Bernama

Main Forum FAQ Useful Links Sample Letters Tribunal

National House Buyers Association (HBA)

No, 31, Level 3, Jalan Barat, Off Jalan Imbi, 55100, Kuala Lumpur, Malaysia
Tel: 03-21422225 | 012-3345 676 Fax: 03-22601803 Email: info@hba.org.my