fbpx
Connect with us

News

New RM440 Billion China-Made City In Johor Bahru Is ‘Scaring Everybody’!

Published

Does China Now Own Malaysia? Rm441 Billion City In Johor Bahru Says Yes - World Of Buzz 7

Follow us on Facebook, Youtube, Twitter, and Instagram for the latest stories and updates daily.

A new zone has been devised in Johor Bahru called ‘Iskandar Malaysia’,  formerly known as the Iskandar Development Region and South Johor Economic Region.

It is devised to be a development corridor for that area but the amount of foreign investments is staggering, with China being a huge portion of said investments, according to Bloomberg.

Does China Now Own Malaysia? Rm441 Billion City In Johor Bahru Says Yes - World Of Buzz

Source: latitudes

Does China Now Own Malaysia? Rm441 Billion City In Johor Bahru Says Yes - World Of Buzz 1

Source: bloomberg

The zone now known as ‘Iskandar Malaysia’ was initially designed to leverage off Singapore’s fast growth, sorta like what Shenzhen is to Hong Kong, where the rise of living cost in Hong Kong prompted more people to move to Shenzhen, turning it into a city 10 million strong.

“The Chinese developers see this as an opportunity. A lot of them say Iskandar is just like Shenzhen was 10 years ago… Overseas investors coming to Malaysia is a new phenomenon so it’s hard to predict.”

– Jonathan Lo, Manager of Valuations (CH Williams Talhar & Wong)

Does China Now Own Malaysia? Rm441 Billion City In Johor Bahru Says Yes - World Of Buzz 2

Source: randomwire

Does China Now Own Malaysia? Rm441 Billion City In Johor Bahru Says Yes - World Of Buzz 3

Source: randomwire

And naturally people bought into that; construction projects, especially housing, began popping up left, right and center – so much that demand for new housing cannot keep up.

Companies who cannot sell these houses resorted to flying potential buyers in from China, and with new projects every other day, they just kept on coming.

Bloomberg stated that this is most likely the reason why AirAsia, our low-cost carrier, started to connect Guangzhou, China to Johor.

On one of those flights, 150 of the 180 seats were taken by a tour group organised by Country Garden Holdings, a Chinese property development compny. And almost half of them ended up buying a residence!

We are practically selling Malaysia to China at this point.

Does China Now Own Malaysia? Rm441 Billion City In Johor Bahru Says Yes - World Of Buzz 4

Source: bloomberg

“The Chinese are attracted by lower prices and the proximity to Singapore,” said Singaporean head of consultancy and research of a real estate firm.

Country Garden’s latest masterpiece, named ‘Forrest City’, is a massive RM441 Billion project. It’s quite literally a city in the sea as it is built on 4 islands reclaimed from the sea.

Forrest City alone can house around 700k people and while construction is only due to begin on February 2017 and already 8,000 apartment units have been sold, a good portion of which was reportedly sold to overseas clients.

Does China Now Own Malaysia? Rm441 Billion City In Johor Bahru Says Yes - World Of Buzz 5

Source: bloomberg

Forrest City idyllically paints the picture of a Utopian hub, but many critics are not convinced.

They mentioned the value of property in the entire Malaysia dropping 11% last year and by an even worse 32% in the state of Johor.

Worse, since China is swamping the Malaysian market, they may just send prices dropping further.

“If the developers stop building today, I think it would take 10 years for the condos to fill up the current supply. But they won’t stop.

“These Chinese players build by the thousands at one go, and they scare the hell out of everybody,

“God only knows who is going to buy all these units, and when it’s completed, the bigger question is, who is going to stay in them?”

– Shanker, Axis-REIT Managers

Follow us on Facebook, Youtube, Twitter, and Instagram for the latest stories and updates daily.



Just In

Feat Image Killing Feat Image Killing
News2 hours ago

The Inconsistent Law Allowing Local Councils in M’sia to Kill Stray Dogs by Shooting Them With Firearms

The killing of a stray dog, affectionately known as ‘Kopi’, in Besut, Terengganu, sparked outrage nationwide last month as the...

Collage 12 2 Collage 12 2
News3 hours ago

64yo Woman Turns Her Home into a Literal Prison With Iron Bars to Keep Drug-Addicted Son at Home

A 64-year-old woman from Thailand has come up with desperate measures in an attempt to help her 42-year-old son overcome...

My Post 1 2024 11 13T162127.643 My Post 1 2024 11 13T162127.643
News4 hours ago

21yo Woman Dies in Freak Accident After Container Overturns & Crushes Her Car at Penang Traffic Light

A young woman lost her life while a man was injured after the vehicles they were in were hit and...

My Post 1 2024 11 13T151827.903 My Post 1 2024 11 13T151827.903
News4 hours ago

Defence Minister: Year 1 UPNM Students Will Be Separated from Seniors to Prevent Bullying

Recently, the National Defence University (UPNM) has been riddled with controversy surrounding several bullying and abuse cases among their cadets,...

Collage 10 1 Collage 10 1
News7 hours ago

M’sian Courier Company Issues Apology After Viral Video Shows Van Driver Running Over Dog in Banting

A recent video circulating online shows a GD Express (GDEX) delivery driver making a routine delivery in a housing area...

Collage 9 1 Collage 9 1
News9 hours ago

34yo M’sian Found Dead After Allegedly Falling into a Water Container in His Home Bathroom

In recent news, a man was found dead after he was believed to have fallen into a water container in...

My Post 1 2024 11 13T105621.505 My Post 1 2024 11 13T105621.505
News9 hours ago

“They’ve amassed RM4.3mil” – Robbers Behind 44 Safe-Breaking Cases Shot Dead By PDRM at Jalan Imbi 

A group of Vietnamese nationals were shot dead at Jalan Imbi, Kuala Lumpur, at 11:30pm last night (November 12) during...

Feat Image Lhdn Evasion Feat Image Lhdn Evasion
News1 day ago

Here’s How M’sians Can Anonymously Report Someone Who’s Evading Taxes to LHDN

Previously, we shared how Malaysian entrepreneur and influencer Cik Epal claimed that her ex-husband, Jofliam, who owns a pizza business,...

Announcement

Latest Videos



TRENDING TODAY