News & Articles Neoh: Adopt proactive strategies to preserve long-term value of high-rise properties
Neoh: Adopt proactive strategies to preserve long-term value of high-rise properties
11 Nov 2024
KUALA LUMPUR: The property market outlook remains cautiously optimistic, fueled by strong demand for high-rise residential in prime locations and projects designed to meet evolving buyer needs.
According to Datuk Neoh Soo Keat, founder and managing director of Trinity Group, developers who prioritise quality, wellness features, and location-specific demands are well-placed to capitalise on current trends.
He said that while investing in apartments and condominiums remains important, buyers are increasingly concerned about construction quality, maintenance challenges, and unforeseen repair costs.
Neoh said that a 2023 study by the Journal of the Malaysian Institute of Planners, examining 50 strata management bodies, found that the top three maintenance issues were clogged plumbing, roof leaks, and sewer pipe maintenance.
These not only inconvenience residents but also result in substantial costs. General repairs, electrical maintenance, and smaller but recurring issues such as lighting and drainage problems also impact residents' quality of life.
Maintenance costs are increasing due to higher tenant expectations and building service demands, according to research by UiTM Perak Branch, noted Neoh.
He said this underscores the need for proactive strategies from property developers to maintain the long-term value of high-rise properties in Klang Valley.
To address these challenges, Trinity Group has introduced its Gold Assurance Programme, which provides extended protection for condominium units, covering high-cost issues beyond industry standards.
Key features include a 36-month defects liability period for unit defects due to workmanship or materials, exceeding the 24-month standard mandated by the Housing Development Act.
"The extended coverage is crucial, as many defects may not be apparent within the typical 24-month timeframe.
"This holistic approach not only benefits residents with fewer recurring issues but also adds long-term value to the property, making it a more resilient investment for the future.
"We are committed to enhancing the quality and long-term value of our developments without necessarily leading to higher selling prices," he told Business Times.
Neoh also highlighted a pressing shortage of skilled workers in Malaysia's construction industry, with a current shortage of about 300,000 workers.
This shortage impacts the sector's ability to meet the country's construction demands, he said.
Neoh said a lack of trained personnel can result in lower-quality developments and repair work, leading to higher costs due to recurring issues and reduced property value over time.
"Some management companies may prioritise cost savings over quality, underinvesting in maintenance and staff training," Neoh warned, stressing that this approach can lead to poorly executed repairs and long-term property devaluation.
According to Datuk Neoh Soo Keat, founder and managing director of Trinity Group, developers who prioritise quality, wellness features, and location-specific demands are well-placed to capitalise on current trends.
He said that while investing in apartments and condominiums remains important, buyers are increasingly concerned about construction quality, maintenance challenges, and unforeseen repair costs.
Neoh said that a 2023 study by the Journal of the Malaysian Institute of Planners, examining 50 strata management bodies, found that the top three maintenance issues were clogged plumbing, roof leaks, and sewer pipe maintenance.
These not only inconvenience residents but also result in substantial costs. General repairs, electrical maintenance, and smaller but recurring issues such as lighting and drainage problems also impact residents' quality of life.
Maintenance costs are increasing due to higher tenant expectations and building service demands, according to research by UiTM Perak Branch, noted Neoh.
He said this underscores the need for proactive strategies from property developers to maintain the long-term value of high-rise properties in Klang Valley.
To address these challenges, Trinity Group has introduced its Gold Assurance Programme, which provides extended protection for condominium units, covering high-cost issues beyond industry standards.
Key features include a 36-month defects liability period for unit defects due to workmanship or materials, exceeding the 24-month standard mandated by the Housing Development Act.
"The extended coverage is crucial, as many defects may not be apparent within the typical 24-month timeframe.
"This holistic approach not only benefits residents with fewer recurring issues but also adds long-term value to the property, making it a more resilient investment for the future.
"We are committed to enhancing the quality and long-term value of our developments without necessarily leading to higher selling prices," he told Business Times.
Neoh also highlighted a pressing shortage of skilled workers in Malaysia's construction industry, with a current shortage of about 300,000 workers.
This shortage impacts the sector's ability to meet the country's construction demands, he said.
Neoh said a lack of trained personnel can result in lower-quality developments and repair work, leading to higher costs due to recurring issues and reduced property value over time.
"Some management companies may prioritise cost savings over quality, underinvesting in maintenance and staff training," Neoh warned, stressing that this approach can lead to poorly executed repairs and long-term property devaluation.
Source: NST.com.my