Regional development plans and an influx of investment are expected to elevate Iskandar Malaysia’s property market to greater heights.
The Iskandar Malaysia corridor in Johor has seen significant progress since its inception in 2006 as the country’s first economic growth corridor.
With RM368 billion worth of investments pouring into the region from 2006 to 2022, Iskandar Malaysia – which includes major cities such as Johor Bahru, Iskandar Puteri and Pasir Gudang – has become a prime destination for investors.
Although the region has faced challenges in recent years, including a property supply glut and restrictions during the COVID-19 pandemic, the stage is set for a resurgence amid various government-led efforts to attract more investments and improve infrastructure.
Combined with rising rental prices in Singapore and the additional stamp duty introduced this year, Iskandar Malaysia’s property market is set to benefit from the spill-over effects of the development plans and investment in the region.
Those seeking to capture the potential upside could consider developments like Setia Sky 88, located at the heart of the prime Johor Bahru city centre.
Upcoming Developments in Iskandar Malaysia
Two upcoming initiatives between Malaysia and Singapore are set to have a significant economic impact in the region.
Malaysia and Singapore are in talks to establish a Johor-Singapore Special Economic Zone (SEZ), which would drive sustainable growth, develop human capital, and improve infrastructure and connectivity on both sides of the border.
Singapore remains Johor’s second-largest foreign investor and has contributed to around 70% of Johor’s total foreign direct investment in the manufacturing sector, according to officials.
Another major initiative between Malaysia and Singapore is the Johor Bahru-Singapore Rapid Transit System (RTS) Link, which will connect Bukit Chagar in Johor Bahru with Woodlands in Singapore upon completion in 2026.
RTS Link will create a high-volume, fast, and efficient transportation system between the two stations that will be integrated with public transport systems at both ends, alleviating a long-standing connectivity issue and congestion at immigration checkpoints.
RTS Link is estimated to have a capacity of 10,000 passengers per hour each way with ride time being only five minutes.
Among the condos near Bukit Chagar RTS station is Setia Sky 88, located just 3 km, or a five-minute drive away.
Impact on Iskandar Malaysia’s Property Market
The SEZ is a much-awaited catalyst for economic and social rejuvenation in Iskandar Malaysia, translating to a substantial upside for the property market.
The SEZ is expected to provide a timely post-pandemic boost for the Iskandar Malaysia region by enhancing transportation, commerce, industries, tourism, and jobs.
As part of the ecosystem, the property market in Iskandar Malaysia would also be boosted, with more property investors and home seekers flocking to the area as the SEZ and RTS Link improve the ease of living and working there.
Data shows there is an upward trajectory of rent and property prices in the area, demonstrating sustained demand in Iskandar Malaysia.
Despite the severe economic headwinds brought on by the pandemic, the chart below shows sale prices for high-rises in Johor Bahru have fully recovered beyond 2018 levels, while rental prices have far overtaken the previous levels, with both showing a steady rise since mid-2021.
Setia Sky 88 – Life in the Clouds
Setia Sky 88 is one of the most sought-after addresses in the Johor Bahru city centre, offering a unique combination of an exclusive and tranquil lifestyle in the clouds.
This landmark development in Johor Bahru features 3 iconic residential towers with 360-degree panoramic views as well as state-of-the-art facilities for ultra-modern living.
You can enjoy luxury amenities such as a concierge, theatre room, wine lounge, karaoke room and gourmet kitchen, as well as some of the tallest sky courts and sky gardens in Johor Bahru City Centre, Iskandar Malaysia.
Not only is Setia Sky 88 a stone’s throw from the upcoming RTS Link station, but it also offers easy access to the nearby CIQ Causeway Link as well as other amenities in Johor Bahru.
Discover Setia Sky 88
The 55-storey residential towers in Setia Sky 88 offer a distinctive lifestyle experience which effortlessly integrates elegance, luxury and comfort.
Located on 4.5 acres of prime freehold land in the rejuvenated Iskandar Malaysia region, you can choose your desired homes at prices ranging from RM943,020 to RM1,283,620.
For more information, visit Setia Sky 88’s website or view the listing on iProperty.
