- On the
whole, the property market in 1998 was sluggish. The total number and total value of
transactions decreased by 11.6% and 11.8% respectively compared
with 1997.
- However, the economy downturn did not
dampen demand for residential property in Kelantan. Residential
units priced below RM75,000 dominated the market with 81.3%
share of the total transactions.
- Demand focused on vacant detached plots as
well as single and double storey terraced houses priced below
RM70,000. Prices for all the three residential types were
generally maintained at the 1997 levels, but increases of 5.0%
-10.0% were noted in strategic locations.
- The rental market stabilised at the 1997
level. However, rental increases of 10.0% - 20.0% were noted in
locations close to the town centre and in the vicinity of
institutions and government offices such as the Pengkalan Chepa
and Panji areas.
- Demand for commercial property dwindled.
Newly-completed units faced the difficulty of securing buyers or
tenants. New developments proceeded only when there
were sufficient purchase orders. Prices and rentals of
shophouses remained at the previous year's level.
- The industrial sector experienced a
reduction in supply due mainly to the depleted supply of
industrial lands in the Pengkalan Chepa Industrial Estate.
Several new industrial estates in Peringat, Pasir Mas and Jeli
are expected to open in 1999.
- The market for agricultural land was
generally stable, but price increases for paddy and kampung
lands were observed in several areas.
- The leisure sector was adversely affected
by the economy downslide. Hotel occupancy rates eased
sharply between 15% and 20% from 1997.
- The market for development land also toned
down during the year. Activities centered on small-sized land
suitable for housing.
Kelantan |
