More affordable housing making its way to market
Kenanga Research says the property sector continues to improve based on what it sees dissipating concerns over affordability...
The eight core developments are residensi PR1MA, PR1MA premier, PR1MA mini townships, PR1MA transit-oriented developments (TOD), M40 housing in small towns and suburbs, M40 housing in the city, housing for youth, and retirement housing.
According to PR1MA chief executive officer, Datuk Seri Mohd Nazri MD Shariff, the housing products are designed to meet the current needs and requirements of today's home buyers in order to close the supply-demand gap in the affordable housing sector.
He said that there is a high demand for affordable housing, particularly in urban and suburban areas, as a result of economic growth, population growth, urbanisation, and the need for a modern and sustainable lifestyle.
Nazri said the TOD model is also becoming increasingly popular, particularly in large cities such as Hong Kong and Singapore, where it optimises land use in urban areas and encourages people to use public transportation.
He said the PR1MA TOD project will combine housing products, facilities, and sustainable elements centred on social integration and the creation of an inclusive society.
In 2022, PR1MA launched Astrum Ampang Residency, a TOD aimed at young professionals looking for a home near a transport hub in Kuala Lumpur, and sales have been positive, he told Business Times.
"PR1MA aspires to reduce dependency on private transport, which will indirectly increase disposable household income. We are studying some land that has the potential to be developed as a joint venture for TOD development," he said.
PR1MA has also identified some strategic land for the development of the country's first PR1MA mini township.
According to Nazri, this high-impact project will not only provide affordable housing for Malaysians but will also emphasise green technologies and sustainability in accordance with environmental, social, and governance requirements.
Nazri said the country's housing industry faces challenges such as a lack of suitable affordable housing and meeting the needs of today's home buyers.
He also said that the global Covid-19 pandemic has had an impact on the economy and construction and housing operations, particularly between 2020 and 2022. Many construction projects were hampered by labour shortages and rising building material costs.
"Besides that, there was a negative impact on society in terms of the domestic economy that affected access to home ownership in this country. Many people are facing difficulties getting housing financing," he said.
PR1MA has formed three strategic steps to accelerate growth in the affordable housing sector as the primary driver of the national housing agenda.
These include forming a strategic partnership with government agencies and experts to improve the quality of affordable housing across the country, and implement development programmes centred on market demand and needs.
The goal of these strategic measures is to strengthen PR1MA's position and capabilities not only in driving the development and ownership of affordable housing for the M40 group but also to help improve the quality of community life, Nazri said.
