JOHOR BAHRU (August 8): Due to a population boom, Iskandar Malaysia requires between 600,000 and 700,000 residential units from now until 2025.

“As of this year, the figure has gone up to 1.95 million and by 2025, we are expecting to have about three million people living within Iskandar Malaysia.

Iskandar Regional Development Authority (Irda) chief executive officer Datuk Ismail Ibrahim said that the population of Iskandar Malaysia had been about 1.49 million in late 2006, when the first economic corridor was launched there.

“Demand for affordable residential properties in Iskandar Malaysia is encouraging as of now and developers should build more houses in this category,” he said, as quoted by The Star.

Ismail said the outlook for property in Iskandar Malaysia will remain buoyant in the coming years, due to the influx of domestic and foreign workers which would push demand for property in the region.

Ismail, quoted by the daily, said the economic growth corridor has RM263.95 billion in committed accumulated investment from 2006 until June 30, 2018.

RM154.14 billion or 58% has been realised, while RM161 billion or 61% was from domestic investors. Foreign investors have contributed RM102.9 billion or 39%.

“Both domestic and foreign investors continued to show interest in Iskandar Malaysia despite challenges in the global economic situation,” he said, quoted The Star.

Valuation and Property Services Deparment director-general Nordin Daharom quoted statistics which showed 40% of residential properties sold in Malaysia averaged between RM200,000 and RM300,000. 

“Based on the transactions done, developers should build more of such residential properties to cater for demand from house buyers,” Nordin said.