News: Reverting From Bangsar South To Kerinchi May Affect Property Prices

Jun 12, 2018

 
Describing the move as “irrational”, a real estate agent expects property prices in Bangsar South, Kuala Lumpur to drop once it reverts to its original name Kampung Kerinchi, reported The Edge.

“One of the main reasons, properties in Bangsar South have been selling very well over the past few years was because of its successful branding,” said Janet Chong, a real estate agent at Hartamas Real Estate (OUG) Sdn Bhd.

She shared that some of her clients had pulled out of a deal once they found that a particular project is not located within Bangsar South.

“There are many investors here because Bangsar South is a popular business hub close to Kuala Lumpur city centre,” said Chong, who specialises in properties within the area.

“Many foreign expats and companies select a place based on the address, especially when they are unable to be in Malaysia to look at the place. The fact is, Bangsar South is now more well-known than Kerinchi.”

Moreover, changing the name now will further dampen the area’s already soft property market.

She noted that the rental market in Bangsar South has softened due to the growing number of project completion within the area.

“Can you imagine what would happen if Bangsar South is renamed to Kerinchi?”

Fernstate Sdn Bhd Director Shawn Fernandez, however, thinks a name change will not have a significant impact on property prices.

This comes as property investors and buyers look at the property’s investability and liveability and not just its name when making a purchase.

“If you look from the investment point of view and if you talk to property buyers, they will be more concerned with things like whether it is a good area to live in, whether connectivity is good and whether there are amenities present in that area,” he said.

Nonetheless, Fernandez believes it is better to leave the name Bangsar South as is.

Meanwhile, Jonathan Lee, Chief Operating Officer at Reapfield Group, expects property transactions and prices to hold firm until the market gets a clearer picture of the effects of the name change.

“Although I don’t think the name Bangsar South was justified to be the name of the area in the first place, it was helpful to investors for that period of time…But now, if there is a name change, as an investor, I will shy away from that area for a while and wait to see what happens.”

Lembah Pantai MP Fahmi Fadzil had promised during the election campaign to revert to the area’s original name, citing historical significance.

Located along the Federal Highway, Bangsar South is an integrated property development project that was built on what was previously known as Kampung Kerinchi – an old settlement of urban pioneers.

 

Image sourced from The Edge Property

 

This article was edited by the editorial team of PropertyGuru. To contact them about this or other stories email editorialteam@propertyguru.com.my

 

 

 

Home buyers, sellers or property renters looking for Malaysian Properties, may like to visit the New Launches or Project Reviews page. Also, read up on how to improve your chances of obtaining a housing loan here

 

 

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Shaiful Safar
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True Vest Property Consultants Sdn. Bhd.
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