Hi Guys, OK, A bit of "sell koyok" from iproperty but still, a pertinent reminder of why strata titled G&G is gaining ground here in Johor with SEC and Ecoworld's projects over at tebrau side. (I have removed the some paras of the article here and there for brevity's sake).
These new generations of G&G are attractive indeed, but the downside is the developer bundling their lost of profit into the selling price and owners' future maintenance fee. The strata and individual titles are not so critical anymore. I have appended a related article that reflects on this growing trend.
On a side note, there are very few G&G launches this year. A good launch is Eco Botanic phase 2 in Q1 2015 that I asked my friend to place a cheque for a cluster semi-D. Phase 2 is further from the HTC and RM has weakened badly, so I expect demand to be high although pricing is $1.3 mil RM before discount.
Triple GG&G developments in vogue
Posted on September 30, 2014 | 1964 views | Topic : Investment.
By YVONNE YOONG
[email protected]
FIRST, there was the 2G (second-generation) smartphones, then came a succession of 3G (third-generation) followed by a wave of 4G, 5G and even more sophisticated new generation smartphones outdoing the technological features of its previous generations.
Likewise, what was once known as gated and guarded (G&G) developments are now considered passé due to an emergence of what I would coin as the triple Green, Gated and Guarded (GG&G) enclaves that are a green rating above the competition.
Tracing Malaysia’s love affair with the G&G concept mooted some 10 years ago when developers wanted to sell this “new alternative lifestyle for the bigger community as a whole”, GreenRE executive director James Chua said that the new trend points to the green equation of already successful G&G developments.
“G&G areas usually comprise an external wall backed by security system whereby CCTV (close circuit television) and community living exist with maximised security features.
“In 2008, G&G developments emerged in Iskandar Malaysia to enable residents to have a more peaceful state of mind due to Johor’s crime rate problem back then. G&G enclaves are getting more and more popular because of the lifestyle that people want – which is gated – and the prestige that comes with privacy,” he said, adding that green is also now the new equation for GG&G to flourish in response to strong market demand.
Chua said that the idea of G&G enclaves is nothing new as this concept dates back to ancient times – with its tales of gates and walls which were built around communities. He related that the Hakka people, being a nomadic community and tribe in China, used to travel frequently and live around a circle or courtyard in the middle that became their community centre. Even the history of the Great Wall of China, with its imposing barricade of walls, could be considered an early civilisation form of G&G – constructed to keep its inhabitants safe and secure while fending off invaders from conquering China.
Besides China, Chua said that even in parts of Europe – the concept of G&G enclaves was prevalent. Although appearing new today, G&G developments have come full circle and emerged in the guise of a fresh and feasible alternative lifestyle option.
“G&G is going through a life cycle. Life is like a cycle, and again, people are going back to the old lifestyle. Just like fashion where people go through the trends and fashion styles to again repeat what had been done before,” he added.
Green G&G developments are in
“There is, however, a noticeable trend of new residential GG&G projects that not only offer safety and security features, but also generously landscaped entrance statements and other green features. Hence, green and sustainable concepts now tend to accompany new GG&G developments.
“People see GG&G developments as being part of sustainability as they feel secure living in well-built houses accompanied by safe and secure features within a good green and gated environment. There are indeed more green rated GG&G projects skewered towards achieving sustainability and social security,” he observed.
Chua though cautioned on the downsides that come with this concept, including the fact that residents staying in G&G communities tend to be excluded from the rest of society.
“G&G developments tend to be inclusive for the residents since they are the privileged few guarded within the development. So, from an emotional perspective, people feel good and secure,” he said of the benefits of peace of mind and security as key factors contributing to the popularity and demand for G&G.
“Although the new trend is witnessing people wanting to live in GG&G enclaves, they have become inclusive in wanting to be given more private spaces. This is the new lifestyle as money is no longer an issue for many. They don’t just want a roof over their heads, but a lifestyle within a GG&G development. In the end, people may become introverted and won’t be able to merge with the rest of society,” he said.
He added that more upscale GG&G neighbourhoods are benefiting from the new trend which is witnessing extensive landscape and sustainable features emerging as seen in the entrance statements, communal walkways and public areas which address the residents’ needs for privacy, lifestyle and security while giving them green lungs within the community to interact and foster good ties.
GG&G community at Ken Rimba
A proponent of the green movement in Malaysia, Ken Holdings Bhd group managing director Sam Tan is also the Rehda Youth chairman who helps to fervently champion GreenRE initiatives and other green measures.
Implementing a sustainable GG&G township has not been an easy task for this developer but the group is already reaping the success from its 60 acres (24.28ha) of sprawling green enclave, which is further divided into smaller community precincts in the Ken Rimba freehold township in Shah Alam.
The Ken Rimba township comprising landed Legian Residences, Jimbaran Residences and Ken Rimba Condominium 1 and 2 are testimonies of the GG&G concept.
“We want to walk the talk. The parcels within the overall master plan have different entry and exit points in the individual precincts so there is no thoroughfare. The Ken Rimba Commercial Centre is the centrepoint of Ken Rimba which is surrounded by Legian Residences, Jimbaran Residences, Ken Rimba Condominium 1 and 2 while a commercial hotel parcel will soon be built.
“I consider our development in Ken Rimba an organic growth area for the long term. What is important for us as developers is to create value. Legian Residences’ terrace units have a Building and Construction Authority (BCA) Green Mark Gold rating while Jimbaran Residences is credited with a BCA Green Mark Gold Plus, making it the highest green rated landed residential units in the country.”
Tan shared that the latter project has just been upgraded with solar water transmitted to the kitchen and all the washroom areas. His belief in the green GG&G Ken Rimba township has been rewarded with prices of properties here escalating over the years.
“Most of the purchasers at Ken Rimba are first time buyers who have just settled down. In 2010, a 20ft x 65ft Legian Residences unit with a built-up of 1,800sq ft was sold for about RM380,000. Today, this unit is worth RM650,000 on a subsale transaction.
“The two-storey Jimbaran Residences units which come with a loft is larger than the Legian Residences. All of Jimbaran Residences’ intermediate units priced at RM610,000 per unit have been sold,” he said.
Championing close communities
A burning question in many G&G communities is how to encourage a sense of Malaysians coming together in unity when crime is happening rampantly.
Many are asking what can be done in this chicken-or-egg situation and how to bridge the gap between the haves and the have-nots.
“In trying to address this situation, we have water features, a playground and a basketball court in a park accessible for the Ken Rimba community. I think these features are important for the residents to promote a sense of community living,” he enthused. Putting in place another tall order, Tan, in championing Rehda Youth’s national and state policies said that he wants to encourage his fellow developers to think sustainably and green.
“This has actually changed the industry a bit as Malaysia is the first and only country in the world in which an NGO (non-governmental organisation) like Rehda has taken the initiative to lead the green initiative and to champion sustainability for developments.
“Singapore’s green initiative is championed by its Government through the BCA which has set in place various mandatory green requirements for the buildings there. Here, developers feel that promoting green features add value to their developments while giving them a marketing edge – besides taking pride in the knowledge that they are ‘doing the right thing’,” he maintained.
Tan said that developers have different objectives for going green – be it to voluntarily reduce carbon emissions, obtain green ratings or to have more choices that are relevant to today’s building context. Some developers believe that adopting the GreenRE rating promoted by Rehda (Real Estate and Housing Developers’ Association) will help them to obtain cost savings in the long run.
“Developers are nation builders. They construct all the buildings in the country. However, the green rating system is not mandated in Malaysia. Many relate to green buildings as being expensive and say they cannot afford to purchase homes anymore,” said Tan.
Set to debunk the myth of green burning a hole in the wallet, he said that his Ken Rimba Condominium 1 which is within a gated community is still competitively priced – even given today’s steadily soaring property prices.
“Many say going green is expensive but the freehold units at Ken Rimba Condominium 1 are priced from RM357 per sq ft. We wanted to present an opportunity for young families and individuals to live in a secure GG&G community so we made sure that we are able to offer affordable pricing to them.”
Located just off the Federal Highway, and connected to the KTM (Keretapi Tanah Melayu) station, he said residents staying here can take the train directly to KL Sentral to work, which is less that 1km away.
To date, 97% of its first block units have been sold while the second block of the condominium units have recorded about 80% sales.
In a month or so, the next tower block will be launched. Drawing a comparison to its early Ken Damansara project with a maintenance fee pegged at 23 sen per sq ft when it was first launched, he said that Ken Rimba Condominium 1’s maintenance fee is set at 24 sen per sq ft. Ken Rimba Condominium 1 units with a built-up area of 1,119sq ft onwards comes with dual certification.
A 50-metre (164ft) swimming pool complements the condominium and acts as an extension of sorts fronting the super-link pool villas of the Ken Rimba Condominium 1 units.
“We are, at the moment, still the highest green-rated developer in the country. The highest Green Mark rating is held by us for Ken Bangsar in Kuala Lumpur,” shared Tan.
Putting green measures in place
“In building a community, it is important, to consider the small details of the project, which we did for the residents at Ken Rimba. We want to promote community living and interaction at the precinct levels so that the larger picture sees a gathering of the residents at large taking care of themselves.”
Recognising that the right framework put in place is crucial, basic but often overlooked details to make the residents’ lifestyle conducive such as the free use of about 50 bicycles within the vicinity that come complete with mounted baskets enable the community to shop and bring home their groceries while walking the green talk.
“The GG&G concept is important to us and we choose to be there for the buyers. These daily activities can create and foster a sense of community living,” affirmed Tan of the spirit of volunteerism within the community.
“One of the measures we took to ensure sustainability was to create a legal framework with the implementation of a Deed of Mutual Covenant between us and the buyer. This is a separate contract stating that each owner needs to seek the management’s consent before selling the property.”
Tan said that the transfer of the property from an existing purchaser to a new sub-sale buyer will be made if the arrears have been cleared and if house rules have not been compromised.
Likewise, a sub-sale buyer would have to sign the same deed.
“We made clear regulations on this prior to them buying. I explained to the buyers that if they wanted to stay within a safe GG&G surrounding, everyone had to do their part by paying the arrears and observing the house rules to maintain the security and pristine condition within Ken Rimba.”
Tan said that many G&G concepts failed because of insufficient funds to ensure high-quality security and maintenance, and this is due to lack of enforcement towards those who do not pay the monthly fees.
“By taking this bold step, we made sure that residents in Ken Rimba are able to enjoy living in a safe and sustainable eco-system.”
In reflection, he said the move was ambitious, as developers usually, having sold the units and transferred the title over to the buyers, feel they have done their job and fulfilled their responsibility. Having this commitment to ensure the long-term sustainability of Ken Rimba’s GG&G as a whole, he persevered.
The results have been worth it as the township has yielded handsome results in a responsible green community.
“I want to ensure that not only the developer – but the development too – is successful. This is what we’ve done for our Legian Residences and Jimbaran Residences in our GG&G township.
“People like what we have done. It may seem onerous on the front but this has helped build a community. We need to take care of the guards and the community,” he concluded.
The successful model developed for Legian Residences has seen 70% of the 328 units being occupied. All of the Jimbaran Residences intermediate units are sold, with only corner lots left of the 168 overall units.
Residents at Legian Residences pay RM100 per month for maintenance fees. Those at the more upmarket Jimbaran Residences which has half the number of units of the former development, pay RM200 as maintenance fees.
http://www.starproperty.my/index.php/articles/investment/triple-ggg-developments-in-vogue/
Shhhh...cannot tell you 
