Puchong was once a mining town and it has now become a matured town in Klang Valley, largely due to its proximity to KL City Centre which has attracted home buyers’ buying interest. It is located 20km away from KL City Centre and 16km
from Petaling Jaya. Besides, the development of Cyberjaya and Putrajaya has also assisted in enhancing the appeal of Puchong amongst homebuyers. Meanwhile, most of property development here are landed properties which makes it favoured by homebuyers.
The city is connected to major highways namely Damansara-Puchong Highway (LDP), Lebuhraya Shah Alam (Kesas) and South Klang Valley Expressway (SKVE). In addition, Puchong is also connected by public transport as LRT line runs through Puchong. Sri Petaling Line has seven stops with stations located in Puchong Prima, Puchong Perdana, Bandar Puteri, Pusat Bandar Puchong, Taman Perindustrian Puchong, IOI Puchong Jaya and Kinrara BK5. The connectivity to major highways and LRT connection has helped with the development of Puchong
With the growing population, there is array of amenities in Puchong. The very first shopping mall – IOI Mall Puchong was launched in 1996. The mall has a million square feet of gross development, four levels of shops and has over 3,000 parking bays. In addition, there are growing numbers of commercial and shop lots. Besides, commercial development is also growing with Puchong Financial Corporate Centre (PFCC) built in Bandar Puteri Puchong. The PFCC is a finance and corporate zone comprising of four office towers and one hotel. The business hotel was run by Four Points by Sheraton which began operations in 2014.
IOI Properties Group is one the biggest developers in Puchong. It developed Bandar Puchong Jaya and subsequently developed Bandar Puteri Puchong and 16 Sierra in Puchong South. Apart from IOI Properties Group, other prominent developers in Puchong are YTL Land & Development Bhd, Malton Berhad and Glomac Berhad. Projects by the lake in Puchong include Lake Edge by YTL Land & Development Berhad, Lakeside Residence by Glomac Berhad and Mutiara Puchong by Malton Berhad. Recently, Mah Sing Group expanded its property reach to Puchong as it acquired parcels of land in Puchong for high rise development. As urbanization of Puchong is nearing maturity and with lands getting scarce in Klang Valley, developers are planning for higher density projects such as condominiums instead of landed properties to maximize the development value of land.
According to data from National Property Information Centre (NAPIC), House Price Index (HPI) for Selangor is on uptrend, supported by resilient demand for property in Selangor and recovery of property sector in Malaysia. HPI for Selangor is at 224.2 in 3QCY23, up from 220.5 in 2QCY23 and 218.0 in 3QCY22. HPI in Selangor recorded three consecutive growths in 1QCY23 to 3QCY23, in line with uptrend in HPI for Malaysia as property market is recovering post reopening of economy. Meanwhile, property landscape for Selangor is improving, evidenced by the lower residential overhang in Selangor. Residential overhang in Selangor fell to 4,228 units in 4QCY23 from 4,500 units in 3QCY23 and 5,258 units in 4QCY22. MIDF said it believes that the continuous declines in residential overhang is positive for the property sector in Selangor as it eases concern on oversupply in residential properties. Overall, the house sees that outlook for property sector in Selangor to be stable and positive, supported by the stable house price outlook and easing concern on residential oversupply
MIDF has reiterated that it is POSITIVE on property sector as the recovery in property sector will continue to drive new sales and earnings of property developers. Property price outlook in Malaysia is expected to remain positive due to healthy buying interest.
Top picks for the sector are Mah Sing Group (BUY, TP: RM1.23) and Matrix Concepts. The house likes Mah Sing for its quick turnaround strategy and high exposure to affordable homes via its M series projects. Besides, its growing presence in industrial property segment will support earnings growth in the medium to long term. Meanwhile, the house like Matrix Concepts as its new sales remain encouraging while landbank expansion in Labu will further buoy earnings growth. Besides, dividend yield of Matrix Concepts is attractive at5.4%.
