Showing posts with label klang valley MRT. Show all posts
Showing posts with label klang valley MRT. Show all posts

Friday, July 8, 2011

The MY Rapid Transit - MRT Officially Launched Today.

This morning, I was invited to the launch of the Klang Valley MRT - yes, the one this morning, the one you all watched 'live' on RTM, the one at the KL Convention Centre. =) The MRT, or MY Rapid Transit - was officially launched and officiated by our PM himself, in front of plenty of media, members and officers from SPAD, Prasarana, MMC-Gamuda and so on.

A more than full house packed crowd filled Hall 4 of the KL Convention Centre.

First - in case you had been ignorant of the articles in the news, let me tell you what is this all about. This launch - was for the MRT Sungai Buloh - Kajang Line. The MRT Sungai Buloh – Kajang Line, is a Mass Rapid Transit line running from Sungai Buloh and cutting through the Kuala Lumpur City Center, before ending at Kajang. The Sungai Buloh-Kajang Line will cover a distance of 51 kilometers (of which 9.5km is underground). It is projected to serve a total population of 1.2 million currently inadequately served by rail-based networks - over 31 stations.

The programme booklet.

The MRT Sungai Buloh - Kajang Line is part of the Klang Valley Mass Rapid Transit project to provide an integrated and sustainable transport system for the Klang Valley. It was announced by the Government of Malaysia in December 2010 under the Greater Kuala Lumpur / Klang Valley National Key Economic Area as detailed in the Economic Transformation Programme.

o The objective of the project is to increase the number of people using public transport, alleviate traffic congestion and decrease travel time from one destination to another. For example a trip from Kota Damansara to Bukit Bintang which normally takes 45 minutes by car will only take 30 minutes via the MRT. The total time for traveling the entire stretch from Sungai Buloh to Kajang will be approximately 88minutes.
Everyone stood up for the Negaraku.

Preliminary work on the MRT Sungai Buloh – Kajang line begins with land clearing work at three sites; Sungai Buloh, Semantan and Cochrane. Actual civil works will only commence from November 2011. The project is expected to be completed in 2016. Financing for the project will come entirely from government funds.

The VIPS on stage with the launch.

Sorry for the blur pics, taken with the iPhone4 marr...

Anyways, here's the final confirmed alignment/route of the Sg Buloh - Kajang MRT line. =)

That is not all - there's also this LOGO DESIGN competition!!! The prizes are all so good... so must join ok! Let your designs be known! Go like the Facebook page now and show your support to no more traffic jams!!!

Friday, April 29, 2011

Residential property prices... How will it go?

According to an article in The Edge, Swhengtee International Sdn Bhd founder and president Gavin Tee said that residential property prices would see corrections this year; property prices may soften for certain products in certain locations, having escalated too fast last year.

Some people asked me for my opinion and in my view, I would quite agree with Mr Gavin Tee. However, I dont see the corrections as a major issue when you are making investments in property - especially residential properties. In terms of property appreciations and prices, there is no straight line upwards; it is always a staggard growth - and it just depends on how steep the line is. =)

...and so... the graph/line would look like this. Staggard upward movement. =)

In my view, I believe that the line is correct, but there will be some changes to the line. Let us zoom in a bit and I'll show you the difference... I believe that there will be a minor correction, which would somewhat be forgotten within a short period of time. After the correction is what matters... In the coming 24-30 months, I believe that the property prices would still go upwards, but slow down a bit (not so steep part of the line...).
How the market will behave after the slight correction.

It will still go up, but not as rapidly as before. In my opinion, property prices, in particular to residential ones are expected to go up at least 10% within this year itself, and steadily grow in the months after that. Being in the construction industry, I have additional 'insider information' of this potential rise; for a start, prices of building materials ranging from steel, cement, concrete, timber and so on have all gone up quite a bit. Apart from this, land costs and values have also gone up tremendously. It has come to the time that developers are unable to keep to the previous market prices, hence a natural increase of prices.

Prices of land, especially in matured neighbourhoods such as Petaling Jaya, the KLCC vicinity as well as various areas in Cheras, Kepong and Kota Damansara have been competitively and aggressively snapped up by developers. This sudden competition have resulted in higher land prices, pushing it way beyond the previous 20-25% (of the Gross Development Value) figures. Today, land costs accounts for almost 30%, and in some cases as high as even 40% of GDV values, resulting in a more expensive end product.

The Icon City PJ by Mah Sing

However, despite this, various developers are still developing properties around, and not giving up. I like the recently launched Icon City PJ by Mah Sing - it has quite an innovative design and layout, a futuristic look and importantly, the quantum of the property prices are not extravagantly priced.

As we go forward from here, I believe that the investors and future owners of properties would be looking at new innovations and ideas from the developers; and the developers have to work and think double hard in order to capture the investors' hearts. =)

The Glomac Damansara, by Glomac.

Another project that has caught my eye is the Glomac Damansara. It is a mixed development, with over 1.6 million sq ft of space, comprising shops offices, office blocks, apartments, as well as a Grade A office tower too. I believe this project would sell very well - do bear in mind that the *new* MRT would run near here, and there is a station nearby too.

So, in all, I would like to summarize that... yes, there will be a minor correction of the property prices in the months to come. But dont worry - I believe that the market will pick itself up and stabilize after that.

Just one thing that you need to think about though for investors.... for that, come back to my blog next week and you'll see it. =)

Tuesday, March 15, 2011

Klang Valley MRT: So many unanswered questions.

Today, I read an article on MalaysiaKini written by Moaz Yusuf Ahmad with regards to the Klang Valley MRT - and in particular, the so many unanswered questions.

"It has been approximately 1 year since MMC-Gamuda presented their unsolicited MRT proposal to the cabinet. More importantly, it has been one month since the public display for the Sg. Buloh-Kajang line of the Klang Valley MRT project. In this past month, we have learned a great deal about the plans for the MRT - including the proposed route, station locations (including detailed drawings), station & train designs, and even the feeder bus system.

If we compare the amount of information for the MRT project with the LRT extensions - and one can do this easily by visiting both websites, kvmrt.com.my and lrtextension.com - we would see that the government and regulators have been far more open and shared more information about the MRT project than rail projects of the past. And judging by the number of letters, articles, and questions raised, it seems that Malaysians, especially residents of the Klang Valley, are certainly more interested in the MRT than they ever were for the LRT extensions.

Unfortunately, it is also clear to us that many of the questions that have been raised about the MRT project have not been answered well enough by the Land Public Transport Commission (LPTC or SPAD - the government regulator for the project) - or MMC-Gamuda (the Project Delivery Partner) and other government stakeholders. One example is the question of why we need an MRT network. We are told that we need to have a rail network because, on the international & macroeconomic level, other cities in Asia have more kilometres of rail than we do.

In other words, we need a rail network because other cities have a rail network and we need to expand our rail network because other cities are expanding their networks. While this is certainly a legitimate argument, it is hard to avoid the idea that this 'need' may just because of ego - as if Malaysia needs to have an MRT network or the people of Thailand, Singapore, Taiwan, Korea and China will laugh at us. Or worse, we need shiny new MRT toys for the Klang Valley because other cities have shiny new MRT toys.

If we look at things regionally, we are told that millions more people will move to the Greater Klang Valley by 2020 and our roads will not be able to cope with the demand. Hence, we need an MRT network to move these people. The government through Pemandu have even made it clear that we need MRT lines with a carrying capacity of 40,000 passengers per hour per direction and that LRT, upgraded Komuter, Bus Rapid Transit, monorail, rapid trams, and even a reliable bus network are simply not good enough.

Without much more than a cursory look at the other options, the consultant responsible for the detailed Environmental Impact Assessment Report has stated that MRT, with its wider and longer trains, is far and away the best choice for the Klang Valley. It seems that size does matter when it comes to public transport planning.

But let's be realistic here - our current bus routes carry perhaps 1000 passengers per direction per hour. There is a huge gap between 1000 and 40,000. Where will these 39000 passengers per direction per hour come from? Another interesting detail is that the proposed Sg. Buloh - Kajang MRT has a theoretical maximum carrying capacity of 39,600 passengers per hour per direction.

However, with only 58 trains the actual carrying capacity for the whole line will be closer to 20,000 passengers per hour per direction - putting our new MRT line squarely within the capacity ranges for LRT. In fact, to operate at an average capacity of 38000 passengers per hour per direction along the entire Sg. Buloh - Kajang line we would need nearly 100 trains.

In other words, the actual numbers for the MRT line do not match up with the expectations - and the expectations themselves do not seem to have any clear justification. As we move down to a more local level, there are questions about the routing of the MRT and the location of particular stations. There are also questions about the interchanges, park & ride facilities, pick-up and drop-off lanes, and at the bottom of the list, the feeder bus network.

One common thread in these questions is about the integrated public transport network that the government is promising (and indeed, has been promising for decades). People are asking questions such as "how can we talk about an integrated public transport network but only introduce one line at a time?" as well as "how can we talk about an integrated public transport network without considering the integration?" and "how can we talk about an integrated transport network without talking about other modes of public transport?" The reasons for this can be found in the laws that govern public transport - laws which are inadequate and wholly out of date - but that is a subject for another letter.

Let me finish by saying this: Many people have argued that the rail network is necessary to serve as the backbone of the public transport system. Although this is a good analogy, they fail to understand the full implications of that backbone. The backbone exists to provide strength and protection to the central nervous system. The central nervous system exists because thousands of vital messages need to be moved from place to place in the body very quickly. But the backbone (indeed, the body itself) and the central nervous system cannot function properly without a strong, healthy nervous system to take messages all the way from the core, through the limbs and out to the extremities.

To finish the analogy, we can have a rail backbone, but it is more important to have a complete and healthy public transport as the nervous system first. And we have a long way to go before that happens."

For a start, I would like to give full credits to the Government and PEMANDU for the good amount of information on the MRT project that is available to the public. I think as a consumer, the rakyat deserves to know more of the project, its alignment, hazards and so on. I think Moaz had covered that in his article as well.

Anyways, I think I would have some valid opinions, and perhaps answers to Moaz's unanswered questions. He had mentioned on the need to have an MRT network - yes I do agree that the reason given may sound a little funny, but in my opinion, I think the MRT network is essential to the growth of the country, and Klang Valley in particular. The development in Klang Valley in the past 15-20 years have been somewhat scattered - we have opened up so many new areas for development - which to me, seems a little too far out from the KL City Centre. Today, we have tons of people commuting and driving close to 100km to get to work, from places like Seremban and Rawang and perhaps many other places. This phenomena had happened because properties are getting too expensive. This seems like a valid reason - but do note, these people have cars - what about those without? They would then have to take the public buses or taxi and try to stay close enough to where they are working. Having the MRT network eases the travelling hassles of the public - and that itself is a good reason.

I am not sure if PEMANDU actually said they are targetting 40,000 passengers per hour per direction, but I am pretty sure they want to achieve a good figure like that. Perhaps it was a misquote - but I am not sure. As for the current buses, I am pretty sure that it is moving more than 1,000 passengers per hour with the number of buses. However, a lot is to be questioned on the buses' punctuality and consistency.

Lastly - the integrated public transport network. I believe the Government is doing their own in-depth study on the integration part, but they are introducing one line at a time so that there isnt a major information overload to the mass public. Do note - there will be plenty forms of profiteering out there if the Government introduces all at one go. We are trying to introduce and implement a system that will ease the public transportation system, not to create an artificial demand for properties within the affected areas.