Bangsar South: Most sought-after property investment today

Bangsar South has seen tremendous growth and development in recent years. (Property Advisor pic)

For those looking to live and work in an integrated development in Kuala Lumpur, Bangsar South is a great option whether you wish to own a property there or rent.

Bangsar South is located within the Kampung Kerinchi area.

In 2012, some controversy arose regarding whether the name Kampung Kerinchi had been changed to Bangsar South due to an image upgrade. However, former Federal Territories Minister Khalid Abdul Samad clarified that the name Bangsar South was chosen by the developer to reflect the more commercialised aspect of the mega project and its close proximity to elite Bangsar residences and developments.

Today Bangsar South specifically relates to the ongoing development of a 60-acre parcel of land, undertaken by the UOA Group, which acquired it in 2005. The site is located near Menara Telekom and Mid Valley Megamall.

To date, Bangsar South has seen tremendous growth in every aspect including rapid development by well-known developers such as Suezcap Capital Sdn Bhd, Weida Properties Sdn Bhd and KL Eco City Sdn Bhd.

The area is a self-sustaining ecosystem that lives up to the demands of modern-day living.

It is a transit-oriented development (TOD), being well-connected to transport infrastructure and surrounded by prestigious Grade A office towers, hotels, high-rise residences, as well as retail and F&B options.

For this very reason, Bangsar South has become the residence of choice for many expatriates, said Reapfield Properties real estate negotiator Jonathan Low.

“The number of expatriates and locals are increasing in the area, forming a steady economic environment. Further development of this ecosystem would attract conglomerates to tap into this development,” he told Property Advisor.

The high incomes of those residing in Bangsar South has meant that the standard of living in the area has improved significantly. Thus, the ability of many to pay a higher rental is also viable, said Low.

“I’ve seen the rental of studios, one-bedroom and 1+1-bedroom type units increase from RM1,800 per month to RM2,400 per month from the year it was completed.

“Its selling price has also seen an average capital appreciation of 6-7% per year before the Movement Control Order (MCO) started.”

Low noted that since most of the residents are higher-income individuals and successful businesspeople, the township has higher levels of security with resilient CCTVs to deter potential crime.

He also revealed that the demographic profile of buyers and tenants in Bangsar South has changed in recent years. There is now a higher demand from the Asian expatriate community, mainly those from China, Korea, Japan, Southeast Asia and India.

“Traditional occupant groups from Europe (UK, France, Germany and the Netherlands) and the United States are dwindling.

“Investors are mostly from China or Hong Kong now,” he said, adding that Bangsar South had become home to many successful companies like Bakertilly, Touch & Go, Honeywell, Orange and Razer as well.

Metro Homes Realty Bhd executive director See Kok Loong said the location of Bangsar South is strategic, nestled as it is between Kuala Lumpur, Petaling Jaya and Bangsar and easily accessed via the Federal highway, New Pantai Expressway (NPE), and SPRINT Highway.

“Residents of Bangsar South also enjoy the convenience of public transportation via the Universiti and Kerinchi LRT lines and stations, including a new phase of LRT lines to be constructed for Pantai Sentral Park.

“Other good accesses via roads are from Mont Kiara, Taman Tun Dr Ismail, Kelana Jaya and Brickfields,” said See.

Reapfields’ Low said with reliable accessibility, Bangsar South has enormous potential to flourish, especially for office spaces.

“Several businesses from Mont Kiara, Old Klang Road, Petaling Jaya, even Cyberjaya that rented offices from me in Vertical Office Suites and KL Gateway Corporate Offices said the reason they relocated was because of the better access to talent pools which prior locations could not provide.

“They (business) said it was hard hiring due to the lack of accessible public transportation and the difficulty in finding parking spaces. As a result, many businesses move to TOD hubs like this to set up operations. This can be seen from the high occupancy of Bangsar South office spaces.”

Low said that rental yields throughout Kuala Lumpur have been on the decline due to an oversupply of office space, but Bangsar South’s office rent has been the most resilient, holding its rates firmly through the years.

“As first impressions count, the offices here are conducive for businesses because the building facades and grand entrances to an office is exactly what companies want to present to their clients.

“This is especially important for companies that are participating in technology or who have a team of young talents.

“That’s however not just the only reason for choosing grade A offices in Bangsar South,” Low said, explaining that the internal server houses and fibre optic backbone inside the office buildings live up to the demands of the increasing number of businesses that adopt new technologies in their day-to-day operations.

This article was written by Sharina Ahmad of PropertyAdvisor.my, Malaysia’s most comprehensive source of property data, property analytics and insights.