PROPERTY SNAPSHOT 1: Mainland Penang

• This week’s spotlight shifts outside to the secondary market for non-landed residences on Mainland Penang. The areas covered here include Butterworth, Seberang Perai, Bukit Mertajam, Simpang Ampat and Batu Kawan.
   
• Based on TheEdgeProperty.com’s analysis of transactions, the average transacted price of non-landed properties here have been steadily increasing since mid-2013. The growth of the average price accelerated further from 2014 onwards, coinciding with the opening of the Penang Second Bridge in March that year.
   
• The average transacted price hit a new high of RM 192 per square foot (psf) in 1Q2015, up 23.4% y-o-y from RM155 psf in 1Q2014. This follows a robust 9.7% y-o-y growth in the preceding year.  Transaction volume for the 12 months to 1Q2015 declined 16.8% y-o-y from 1,446 units to 1,203 units. 
   
• With limited land on the island, the mainland offers plenty of space  for development, with Batu Kawan, at the foot of the Penang Second Bridge, taking centre stage. Eco World will develop the RM10 billion, 300-acre Eco Marina township there, while the RM8.4 billion Aspen Vision City will include an IKEA mall. Batu Kawan will also be home to the RM1 billion Design Village Penang which will include a premium mall while Paramount has ambitions to build University Metropolis.
   
• Not all development activity is centred around Batu Kawan. Other major developments include the 1,140-acre Pearl City by Tambun Indah in Simpang Ampat. With ambitious projects and ample land supply, Mainland Penang property has been catalysed for years to come.

Bargains found here?

The Analytics are based on the data available at the date of publication and may be subject to further revision as and when more data becomes available.