KUALA LUMPUR: Property developers will look for ways to keep real estate prices stable despite an increase in the service tax to eight per cent in 2024 from six per cent now.

"It (prices) will slowly creep up because of the construction cost, but as developers, we have to manage it because construction costs have been going up over the years. We cannot price out the market," said Avaland Bhd chief executive officer (CEO) Teh Heng Chong.

He also said that the review of Malaysia My Second Home (MM2H) programme criteria could boost the sector, especially for properties priced more than RM1 million.

"It is the right time to do that," he said at the Ambank and Avaland green financing collaboration ceremony yesterday.

According to Bernama, Teh said that the rise in the number of foreign investors in Malaysia will likely lift prospects in the property sector in 2024.

Avaland inked green financing facilities worth RM129.8 million with Ambank for Alora Residences.

The GreenRE Gold-certified Alora Residences is a serviced apartment development. Featuring 770 units with built-ups of 923 to 1,457 sq ft and priced from RM693,800, the project has a gross development value (GDV) of RM552 million.

Alora Residences is part of the larger 5.26-hectare 2Fifth Avenue mixed development in Subang, Selangor, which comprises serviced apartments, retail, and office components.

"In line with the recent launch of our Sustainability Roadmap, we are proud to partner with AmBank for our 2Fifth Avenue masterplan with its green-inspired concept. With a total GDV of over RM3 billion, this green city will be a key contributor to Avaland's growth plans over the next 10 years," said Teh.

Under the collaboration, AmBank will provide RM129.8 million in green financing and up to RM54 million in end-financing for Alora Residences.

"We truly believe in the power of responsible banking to create a lasting positive impact. By bridging the realms of financing and sustainability, we can build communities that not only meet the needs of the present but also preserve the vitality of our planet for generations to come," said AmBank group CEO Datuk Sulaiman Mohd Tahir at the ceremony.