Connectivity, MSC status boost Bukit Jalil’s property values

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Bukit Jalil is seen as a new and bustling growth area.

To the south of Kuala Lumpur, Bukit Jalil is seen as a new growth area. It has a fast-growing population, well connected with a network of roads, highways and public transport.

Bukit Jalil spans over 20ha of prime real estate and houses the International Medical University, Technology Park Malaysia and the Asia Pacific University of Technology & Innovation.

The development has three light rail transit (LRT) stops, allowing its residents to get to Terminal Bandar Tasik Selatan and Bukit Bintang and Masjid Jamek in the city centre without driving.

The four key highways servicing the township are the Maju Expressway, Shah Alam Expressway, KL-Seremban Expressway and the Sungai Besi Expressway, which provide access to upcoming developments – TRX and Bandar Malaysia – and key townships, including Subang, Puchong, Sunway and even for businesses to access Port Klang.

According to a Property Advisor analysis, Bukit Jalil is largely favoured by investors, who accounted for 51.85% of all transactions in the first half of this year (1H2020), a sharp decline from 62.16% in 1H2019.

While transactions by first-home buyers (FHB) and investors increased in 1H2018 by 38% and 18% in 1H2019, these gains were, not surprisingly, reversed in 1H2020, retreating some 57% and 62% respectively, a result of the Covid-19 pandemic.

Interestingly, FHBs and investors appear to be purchasing slightly more expensive properties, as the median price paid increased by 2% among FHBs and 11% among investors in 1H2020.

What do the experts think?

Reapfield Properties realtor Jonathan Low told Property Advisor that Bukit Jalil is likely to boom in the next two years.

“The area has good returns in rentals and it has a large moving population due to its proximity to universities and public-listed companies.

“It is also a suburb of Kuala Lumpur, located at the centre of a vibrant area, with the National Sports Complex on the east, the Shah Alam Expressway on the north, city boundaries to the west, and the Puchong-Sungai Besi Highway as well as city boundaries to the south.”

According to Low, the area was known as the Bukit Jalil Estate until 1992, when development of the National Sports Complex began for the 1998 Commonwealth Games.

“Bukit Jalil has great infrastructure. The township also houses one of the last green lungs in KL, and will also be home to the upcoming Pavilion 2, Bukit Jalil.”

Pavilion 2 Bukit Jalil is a commercial/residential development slated to open its doors in May next year.

Due to Bukit Jalil’s strategic location connecting Selangor and Kuala Lumpur, Low said upcoming potential and economic growth is generally focused on e-commerce-related areas.

“That is why you see large redevelopments in the southern corridor of KL and Selangor (Sepang area), where the Digital Free Trade zone is located.

“Based on the latest city planning draft tabled by Kuala Lumpur City Hall, Bukit Jalil will be one of the first cities to directly benefit from this by the development of Technology Park Malaysia,” he said.

Technology Park Malaysia is the country’s innovation facilitator and technology enabler. It was established by The Ministry of Finance in 1996, and operated under the auspices of the Minister of Science, Technology and Innovation.

However, Low said the area needs to be upgraded to industrial-grade buildings for the e-commerce industry with features such as fibre-optic infrastructure, which is long overdue.

“What we find in most warehouses overseas is not present there, and it is an essential component of becoming a distribution hub.

“It is no coincidence that the whole city is a Multimedia Super Corridor (MSC) zone, and it is close to Bangsar South, where Alibaba and Touch & Go are located.”

The MSC is a Special Economic Zone and high-tech business district in central-southern Selangor.

Polygon Properties Sdn Bhd senior real estate negotiator Jenny Wong said its facilities and amenities make Bukit Jalil ideal for businesses to thrive, and it has also become a popular residential location.

However, one thing lacking since its 1998 founding is retail.

“Even today, there is insufficient commercial space in Bukit Jalil, so residents have to go to other areas, such as Sri Petaling/Old Klang Road, Subang and Sunway for shopping.”

The golf course is Bukit Jalil’s unique selling proposition. (Tourism Unit DBKL pic)

Firm demand for property in Bukit Jalil

Low said the properties in the area are mostly modern-build homes, which has created demand from young homebuyers up to 35 years old.

“In the years to come, demand for condominiums and serviced apartments with sophisticated facilities will increase as the younger generation of homebuyers shows a preference for facilities over unit size.”

He said properties that match these criteria are seen to have risen in price to RM650 to RM900 per sq ft.

“I believe it is due to Exsim Group, which is making its mark in Bukit Jalil (Twin Arks, The Treez, The Rainz). Many have the impression that properties in Bukit Jalil come with luxurious facilities.”

He said the unique selling proposition of Bukit Jalil is its 66ha golf course. “This makes the property limited edition real estate, so it is popular with higher-income Malaysians,” he said.

The upcoming developments by Pavilion Group, Berjaya Land Bhd and MRCB Corp Bhd are also poised to take this location to another level.

Polygon’s Wong said the younger generation tend to live closer to the north due to the affordability of the properties there.

“Families and higher-income people tend to live to the south, nearer to the golf course and Calvary Church, where units generally have clear views of the golf course. Prices of real estate in Bukit Jalil generally start at RM500 psf, with newer condos starting from RM700 to RM800 psf.”

This article was written by Sharina Ahmad of PropertyAdvisor.my, Malaysia’s most comprehensive source of property data, property analytics and insights.