The London-KL route is the first major step in Virgin-backed AirAsia’s international aspirations voted Best Asian Low-Cost Carrier and strengthens the Malaysian capial Kuala Lumpur as the regional low-cost aviation hub and a gateway into Australia and South East Asia with connections to Thailand, Laos, Vietnam and China.

The route was originally set to fly between Manchester and KL but greater demand is behind the likely decision to operate a Stansted-London route, due to launch in September 2008 and previously back in July last year, the fact that the new route has been launched is an achievement at a time when low cost airlines are going bankrupt the world over.

Commenting on the launch of the new flight route, Chintan Mahida said, ” With Air Asia X is committed to promoting tourism in Malaysia and South East Asia as a whole and Malaysia’s growing appeal as an overseas property investment location, the London to KL route is set to be a hugely popular link for business and leisure travellers seeking affordable long-haul travel options.

Booking is already open for five flights from London to KL a week starting from £179 one-way on Airasia.com

It is well documented that an inflow of investment fuels gentrification, new investments in property and building refurbishments have the effect of raising surrounding land values whilst well-known brands establishing themselves locally is indicative of an area being able to support mainstream business.

“The decision by US Pizza Chain Papa Johns to open a network of 100 outlets in Malaysia is yet another sign that Malaysia is well on its way to being a globally established destination.” commented Chintan Mahida, resident property expert at The Overseas Property Blog.

There are many common components of a successful tourist venue from sports venues to entertainment but there is food restaurants and food brand franchises move in when a regular flow of foot traffic has been established.  The most visible global franchise is McDonald’s which entered Malaysia back in 2004 and in recent years the presence of Starbucks Malaysia marks out a neighbourhood on the up. Papa Johns has quickly grown to become a worldwide recognised brand, named 2007 Pizza Today Chain of the Year and is a major player in the global pizza franchise market but up against Pizza Hut, already well established in Malaysia.

The US based pizza franchise is teaming up with local Malaysian outfit Berjaya Pizza Company Sdn Bhd and has even extended the initial  expansion plans to take in up to 100 restaurants over the next 10 years.  The group already has over 170 branches across Asia, 2,100 outlets in the US and a further 1,000 spread around the other areas of the world.  While there are many fast food chains around the globe they need to adapt to the times and trends in the market pace – few have been as successful as Papa John. For nine years running, consumers have rated Papa John’s No. 1 in customer satisfaction among all national pizza chains in the highly regarded American Customer Satisfaction Index (ACSI).

The fact that the Far East is now on the cards would indicate that there is already a substantial tourist base in the region as many people like access to recognisable brands even when they are thousands of miles away from home.  In truth, the Far East has been a tourist haven for many years but only recently have we seen the likes of Malaysia and other similar countries join the tourism party.  They all appreciate the value of foreign investment and have actively encouraged inward investment by major foreign brands with Kuala Lumpur’s KLCC Shopping Mall home to Starbucks, Deli France and Sbarro to name just a few.

However, it has to be said that dynamics of translating a brand from one country to another continent is a whole different ball game and the trick to the success of companies such as Papa John is their ability to adapt their product to local market tastes and learn as they move around the world – the basics remain the same but various local customs and requirements need to be taken into account. McDonalds has become a pro at tailoring their offering to local food tastes and a trip to McDonalds Malaysia will see you eating Ayam Goreng Spicy Chicken to you and me !

On the whole the presence of global brands indicates the mass market appeal of a location and Papa Johns is one more step along Malaysia’s path to mass market destination appeal.

Tourism Minister Sheila McHale recently announced a tie-up between Tourism WA (Western Australia), AirAsia X and Westralia Airports Corporation which is set to inject anything up to AUD$100 million a year into the Western Australian economy. The move is part of an ongoing venture to increase the transportation routes and links between Australia and Malaysia. While both Malaysia and Australia are very important tourist destinations the introduction of direct flights between Kuala Lumpur and Perth offers the potential for an array of cross marketing opportunities aimed at increasing visitor numbers for both countries.

Many in the Australian tourist market feel that this is payback time for the 40,000 visitors a year which take the short trip from Western Australia to Malaysia, injecting some AUD$157 million a year into the local economy. It also opens the Australian property market to investors from the Malaysia region, many of whom are enthusiastic about the potential for the Australian property market.

This new direct link from Perth to Kuala Lumpur also opens up the Perth area to a whole host of new visitors, the increased spending they bring and the need for greater tourist accommodation and entertainment venues. It will be interesting to see how the area benefits from the infamous ‘Ryanair effect’ link and the so-called budget airlines affect. Australian flights mean big business to Air Asia, so will be interesting to look at new routes in a few years time.

The good news follows hot on the heels of the Asia Property Trends Survey 2007, released by Asia property specialists, iProperty.com, which revealed that Malaysia ranks as the ‘top choice for investors’ in the region, closely followed by Singapore and Thailand. It is widely believed that, in line with the continuing shift in economic power to Asia – particularly to India and China – the Asia Pacific region will continue to lead world tourism growth in 2008, helped along by the upcoming Olympic Games being held in Beijing this summer. The forecasts, based on the Asian Travel Monitor, as well as on interim inbound arrivals data gathered by the World Tourism Organization (UNWTO) and the European Travel Commission (ETC) – show that Asia Pacific continues to be the fastest growing inbound and outbound tourism region in the world, with Asian inbound arrivals up by more than 10% in 2007, up on their 8% rise in 2006.

From its white sandy beaches with crystal blue waters to its incredibly metropolitan and sophisticated cities, Malaysia is very different in many way from other popular property investment locations. The country offers all the attractions of major beach holiday destinations combined with an affluent city landscape and manages to blend in a distinct Asian styling.

With its booming tourism industry, strong real estate market and aggressive government programmes to attract investors, retirees, expats and holidaymakers, Malaysia is a country of interest to many foreign investors. Malaysia’s property market today has key influences driving investor interest and commitment to Malaysian real estate investment.

1. Malaysian Government’s Long-standing Stability Bolsters Property Investor Confidence in the Region

Technically a constitutional monarchy, Malaysia has enjoyed sovereignty under an elected government since the 1950s. Known officially as the Federation of Malaysia, the country includes 13 states and is overseen by a Prime Minister, a House of Representatives and a Senate. Although it has experienced its share of turmoil in the past, the Malaysian government has held sway for decades, opening the doors for a strong tourism trade and a welcoming investment environment. The government’s long-standing stability gives property investors maximum confidence in this beautiful South-east Asian country.

2. The Nation’s Track Record for Embracing Foreign Investors and International Visitors Makes Investing in Malaysian Real Estate Feel Natural

The Malaysian government has rolled out the welcome mat for foreign investors. The country has undergone numerous reforms to bring its real estate market into a boom phase and is working to continue this trend. At the 2007 National Property and Housing Summit a representative from the prime minister’s office reiterated the official position on development. Despite a relaxation in foreign exchange controls, removal of restrictions on the number of properties foreigners can own and the creation of the Malaysia My Second Home programme, the spokesman Datuk Sri Effendi Norwawi said even more needs to be done to improve local housing and bolster marketing specifically to the foreign investment market.

The level of dedication the government has shown toward attracting and retaining foreign investment into the property industry in particular is quite extraordinary. This of course makes investors not only feel welcome, but also confident when buying Malaysian property.

3. Low Cost of Living Fuels Tourism, Second-Home Buying and Property Investor Profits in Malaysia

The cost of living in Malaysia is one of the most affordable in all of Asia. This helps bring holidaymakers into the country and also makes it attractive to expatriates and second-home buyers. This is very good for investors who plan on earning an income from buy-to-let properties and especially good news for those who are looking to buy and hold for a while for resale at higher prices down the road. The property market is presently described as being in a boom state. All of these factors combine to make Malaysian property more than just a little attractive to foreign investors.

4. Favourable Exchange Gives Strong Buying Power for European Based Property Investors in Malaysia

The low cost of living and the favourable exchange rate between the UK, Europe and Malaysia makes Malaysia highly attractive to buyers, holidaymakers and expatriates at the moment. With a single pound exchanging for nearly 7 ringgit for example, Britons’ money spends incredibly well here when invested into property in particular. And many expatriates, retirees and longer-term holidaymakers are even able to hire domestic help off the most reasonable of pensions or incomes meaning the nation is of interest to a broad base of individual. The favourable exchange rate bodes extremely well for investors looking to buy property at reasonable prices today to hold for long term capital growth, and also for those who want to draw holidaymakers to their rental Malaysian real estate.

5. A Growing Travel and Tourism Industry Gives Investors in Malaysia a Great Outlet for Returns

With some of South-east Asia’s most beautiful sites, its incredible weather and pristine beaches, Malaysia has a very strong tourism industry. The World Travel & Tourism Council estimates that the 2007 value of tourism for the country will fall in around USD 33.6 billion. Tourism here is on the rise, with an anticipated growth of 6.6% per annum between 2008 and 2017 – which is way above the international norm. From climbing Mt Kinabalu to touring the sights of Kuala Lumpur, there isn’t a shortage of wonders to behold within Malaysia. Its unique wildlife and pristine beaches also pack in holidaymakers in ever-growing numbers. This is exceptionally good news for property investors who want to target their properties toward the holiday-making market. With demand anticipated to rise annually, the prospects for buy to let profitability are bright.

6. The Climate and Geography Make Malaysia Stand Out at a Time When Investors Need a USP

Considering there is a general cooling of property markets around the world, the fact that Malaysia stands out in terms of its appeal, its lower property prices, its increasing tourism and the massive government commitment to the ongoing success of the nation – this all acts as a unique selling point for a property investor.

Malaysia is comprised of two quite distinct geographical areas, eleven of its states are found on the peninsula shared with Thailand to the north and Singapore and Indonesia to the south. The territory of Labuan and the states of Sabah and Sarawak are located 1,000 kms away in East Malaysia near Borneo, Indonesia and Brunei. With much of Malaysia surrounded by the South China Sea, visitors here will find a weather pattern that is best described as equatorial. The tropical and quite humid climate boasts temperatures around 30C during most times of the year. Holidaymakers will find much cooler temperatures in the more mountainous regions. The beautiful weather, incredible mountains and seaside views all combine to make Malaysia a favourite for holidaymakers, retirees and expats. The result is great investment potential for foreign buyers who utilize a number of different strategies within their property portfolio.

7. Buying Property in Malaysia is Hassle Free Making Investors More Comfortable

The property buying process in Malaysia is straightforward and investors will find that recent programmes have streamlined the process even further. Getting a mortgage in Malaysia is also possible for foreign investors through local banks and several international banking corporations as well, with the likes of big name players CitiBank having branches in the nation – all this adds to the ease and familiarity of everything related to the property buying process in Malaysia.

The actual tax exposure in Malaysia is quite low for investors who hang on to their property for a few years as well, capital gains is about 30% during the first few years after purchase, but drops sharply to 5% thereafter so this holding of property needs to be factored into an investor’s plans.

8. Booming Real Estate Market Makes Malaysia Very Attractive to Investors

Although 2007′s real estate market movements aren’t quite as ‘booming’ as experts predicted, the market is solid. Property investors in Malaysia are particularly pleased with a recent announcement that a Middle Eastern consortium intends to invest more than USD 1.4 billion in energy improvements, Islamic banking and the Malaysian property sector. Also, as the government works to raise awareness of the Malaysian property market and its distinct attractions, interest in the nation is massive. Property prices in Malaysia, despite all this, remain very affordable especially when compared with other hot markets around the world. New well located in demand 2-bedroom spa flats for example, have an entry price well below GBP 150,000. All of these things combine to make the Malaysian market incredibly attractive right now. Many expect the presently low prices for entry will not remain so low for so long and this gives an investor a straight capital growth path to follow.

9. National Economic Stability Gives Investors in Property in Malaysia Long-term Peace of Mind

With less than 30 million citizens living within it borders, the Malaysian economy is incredibly stable. With a GDP of USD 130.8 billion in 2005 and annual growth nearing 6%, the country’s economic status is more than holding its own despite recent worldwide downturns. The Malaysian economy is fuelled by the electronics, petroleum, timber and tourism industries and the stability of the nation’s economy combined with its low unemployment rate makes this a very attractive market for buyers that desire growth environments for their investment strategies.

10. Incredibly Welcoming People Make Buying Property in Malaysia and Living and Visiting the Nation Attractive

As evidenced by the government’s recent reform programmes to welcome foreign buyers and international holidaymakers, the Malaysian climate is very friendly for foreigners. The Malaysian people themselves are legendary for their warm nature and their desire to make expats, holidaymakers and investors at home in their country as well. There is such a positive vibe in and around Malaysia that it is no wonder it is attracting and retaining such strong levels of FDI.

Malaysia is a jewel in the South China Sea that is opening its doors wide for foreign investors and holidaymakers. With a promising property market and a tourism industry that is constantly growing, investors here are secure in the knowledge the country is going places.

Mont Kiara is a relatively new up and coming area with a lot of construction going on at present. Infrastructure has been drastically improved and the area has less traffic than inner suburbs. Mont Kiara is a mix of both commerical and residential areas and has attracted the attention of many overseas property buyers especially from Korea. It boasts golf clubs, a stadium and equstrian club in its midst.

The Malaysian government is actively trying to improve the environment for people looking to invest in the country, the upshot is that its capital city, Kuala Lumpur has become the regional headquarters of many of the world’s major corporations and its landmark Petronas Twin Towers are the centrepiece that kicked of Malaysia’s construction boom. With rapid urbanisation underway throughout the city, districts such as Mont Kiara and the Central Business District close to KLCC are becoming highly sought after property locations with the international affluent expat community and Malaysian city executives seeking upmarket serviced residences close to international schools and attractive shopping plazas. Driving through this global village, Mont Kiara appears to be condominium central with upmarket residences popping up on every corner and the success of project brands such as I-Zen, developed by the enclave’s second largest developer Ireka, whose first condo project Kiara 1 condominium launched two years ago is about 85% sold and completed in April of this year. Kiara 1′s initial average prices were RM380 to RM400 psf but its balanced units were now priced around RM500 psf. Ireka executive director Lai Voon Hon is confident of selling the remaining units in view of the strong demand from young professionals who like to live in Mont’Kiara because of its many amenities and good security. He said “Our Kiara 2 units have gone up in price. A one-bedroom 765-sq ft unit was transacted at RM555 psf in the secondary market and it could fetch RM4,500 a month in rental or a 15% yield,” he said. The high profile celebrity endorsed Tiffany condominium launched last July has also achieved 80% sales and One Mont’Kiara has almost been sold out although it has not been officially launched.

Property Prices in KLCC and Mont’Kiara have been reported to be stable achieving good capital appreciation and prices are likely to continue to rise given the increase in land price. In addition, average occupancy is about 90% and rents remain stable ensuring investors enjoy attractive rental yields averaging 8-10 per cent, with the better properties fetching as high as 15 per cent. The high-end and niche market is expected to continue flourishing with the outlook for these property developers looking bullish, enjoying the benefits of a recent Government ruling relaxing the rules on foreigners owning residential properties. Kuala Lumpur is just the start of things to come.

Malaysia, a Luxury Beach Resort Alternative

Malaysia may not be the obvious choice when you think of dreamy tropical beachfront resorts but accounts for 40% of the country’s land mass the Malaysian penisular’s extensive coastline and sprinkling of off-shore islands offers sun-seekers 4,675km of pure white sandy shorelines with views over the South China Sea and the straits of Malacca across to Sumatra on the western coast of its peninsula. Blessed by a year round warm climate Malaysia is well on its way to becoming home to the next generation of deluxe beach resorts. With a reputation for impeccable service, friendly locals and a standard of living to rival some of Europe’s major cities, beach resorts in Malaysia are fast developing into significant tourism destinations.

Set at the heart of South East Asia, Malaysia is Truly Asia at its best with a diverse, rich fusion of cultures, here you can experience fast-paced, modern city living or retreat to the picture-perfect sunsets of boutique island resorts. As this newest of travel hotspots hit Europe’s tourist radar and you add in the rapid economic Asia is currently experiencing the stars are aligning to create a developers heaven. Malaysia’s future investment potential lies in its wealth of tourism attractions from the bright lights, sights, sounds and smells of the city to the outstanding natural beauty of centuries old rainforests, majestic mountains, the wonder of Borneo’s dung caves to idyllic beaches and unspoilt dive sites to rival the Barrier Reef.

Bargain Beachfront Real Estate in Malaysia

Savvy city expats on contract in Hong Kong, Singapore and Malaysian capital Kuala Lumpur have been making the most of this region’s prime beachfront real estate, holidaying in Thailand, Malaysia and Vietnam for years. The rise of Thailand and Malaysia in particular has been notable as cut-price flights to Asia make it a great stopover on route to Australia. Malaysia’s location outside the “ring of fire”, spares it from the massive devastation from earthquakes, volcanic eruptions and tsunami’s which destroyed some of Thailand’s most valuable beachfront property in 2005 and despite making great strides re-developing coastal tourist resorts remains at constant risk in the future from natural disaster. Investing in property on the beach in Malaysia holds less risk and now greater reward as the country seeks to actively encourage foreign investment with buyer friendly property laws, tax incentives and fast-track licence approval to entice international developers and measures to foster an environment to fuel a booming real estate market.

From luxury island retreats off the tip of Malaysia’s west coast, the ultimate dive destinations close to Malaysia’s East Coast and the eco-friendly appeal of the Bornean states of Sarawak and Sabah the options for buying beach front property in Malaysa are plentiful. The piece de résistance however is the weekend getaway resort of Sepang, the newly coined Malaysian ‘Gold Coast’ and destined to become the tropical showcase of choice. Home to Malaysia’s F1 grand prix circuit, Sepang is highly accessible from capital Kuala Lumpur and with 22km of beach frontage facing the sheltered waters of the Straits of Malacca is the development site for a master planned global village. Nearby holiday favourite, Port Dickson, where many Singaporeans have invested in holiday homes is now also on the up with high profile projects also making the news.

So if you’re searching for a chic beach property and a sunset like this to call your own, investing in a slice of Malaysia real estate on the beach might be your best move yet.

The launch comes on the back of Oasis Hong Kong Airlines inauguration in October 2006, which brought cut-price Far East air travel to the UK with fares from £75 (excluding taxes) for a one-way flight from London Gatwick to Hong Kong. Low cost premium air travel is now on their agenda as they charter business Oasis, an affordable approach to business class air travel.

Most people view Asia as a long haul destination, faraway, somewhere reserved for that extra special holiday or trip of a lifetime. The advent of new carrier’s such as AirAsia X offering flight prices around half those charged by full service airlines, offers the long-haul low-cost traveller a greater choice of service for their travel requirements and gives them greater independence. Low fares attract volume and would pave the way for Asia to strengthen its appeal as a mainstream holiday destination which in turn may create locations that become magnets for overseas property investment. Having used Air Asia myself for cheap travel between Thailand and Kuala Lumpur during my property tour, it is clear that low cost travel into the region, will only serve to boost interest from foreign investors who are already buying into Asian property as shown by the opportunity to buy into Malaysian real estate projects such as the I-Zen development.

From its low–cost terminal at Kuala Lumpur Airport (KLIA) AirAsia X is expected to fly to London Stansted and Manchester in addition to launching a series of daily point-to-point routes to popular destinations in China (Tianjing and Hangzhou), India (Amritsar), Europe (Milan and Berlin), Australia and importantly the Middle East (Abu Dhabi). With an eventual plan to cover routes to West Asia, South America and the United States.

UPDATE:

According to BBC news, those of you keen to book the new Asia X service may have to wait until August 2008. Air Asia X have put the service on hold due to problems leasing the right planes at the right price which points to a lack of planning on the part of Asia X. As overall demand for increased air travel and therefore more planes has pushed up aircraft prices, low cost airlines starting are finding it hard to absorb these higher operating costs in addition to competing with big orders from the larger industry players.

Enjoying a central position for business and residential living, the Tiffani by i-Zen apartments are to be built to a very high specification aimed at appealing to the luxury end of market where demand remains high. Investors will receive their apartment fully furnished selecting from two interior design options. I-Zen buyers purchasing as a buy-to-let opportunity will also have the option of a guaranteed income return of 7.5% per annum offered by Ascott International, one of the world’s leading international serviced residence chains. The investment stacks up with an initial deposit of £24k and a subsequent acquisition of an 80% loan-to-value, 20 year mortgage from the United Overseas Bank.

Why invest in the I-Zen development?
- It offers a cash-flow positive, hands-free, invest earning a to 59% ROCE p.a possible
- Mont’ Kiara most highly desirable & international residential district in KL
- Only 10 minutes from the Central Business District of KL
- Affordability for property purchase is at a ten year high
- Urbanisation set to increase population by 4.5m over next 15 years
- Capital Gains Tax is set at only 5%

Buying a property in Malaysia
The Malaysian property market is experiencing growth at approx 10% per annum. Malaysia has steadily increasing population of 24m, half of which are under 27 yrs of age. A new and exciting market to invest in, Malaysia has positioned itself as an international business hub within Asia with a steady GDP of over 5.5% for the past 3 years. Malaysia has a robust economy offering low interest rates and competitive mortgage lenders providing longer repayment terms. Wages are increasing, unemployment is now below 4% and consumer confidence sustained near 10% these are all very positive indicators for a profitable property investment market.

Mont’ Kiara is the most popular residential location with Japanese, Korean, American and British business people therefore fetching high-yield rentals. Mont’ Kiara is a highly desirable home to the affluent international community in KL, the CBD is a major centre for international business development with the world famous Petronas Towers at its heart. This expatriate neighbourhood boasts international schools, a prestigious golf club, equestrian club, cafes and restaurants, shops and several convenient service amenities. Mont Kiara offers buyers accessibility, luxury and kudos.

Think of a seamless living environment where one space flows fluidly into another and somewhere to leave your worries behind, relax and unwind. An aspiration development, I-Zen offers more than a basic property, a designer residence offering a distinct and unique lifestyle focused on the needs of contemporary property buyers.

Apartments are equipped with state-of-the-art appliances, broadband, satellite, multimedia and the latest security features and stylish living features include walk-in wardrobes and 2 parking bays.

The development incorporates “The Sanctuary”, a clubhouse and 4000sqft landscaped garden retreat allowing residents a place to unwind. A state-of-the-art gymnasium, internal pool, yoga room, squash courts, tennis courts and an infinity-edge sky pool on the 27th floor complete the package.
i-ZEN is a brand that has been crafted since 2002 to embody style, service, security, sophistication and soul forming a porfotilo of meticulously designed up-market residential and commercial properties in Malaysia such as i-ZEN@ Kiara I, i-ZEN@Kiara II and i-ZEN@Villa Aseana.

I-Zen Payment Schedule:
- MYR20,000 (~£3k) holding deposit required immediately
- 20% (less holding deposit) payable after signing SPA (30 days)
- Deferred payment schedule until completion

Get ready to redefine your perceptions of space, a private world you can call home. Prices at i-Zen start from £120,000 with completion scheduled for July 2009. If you would like to invest into the Malaysian property market, I-Zen offers the ideal opportunity. For more details please click here to email us.

As the environment and global warming are hot topics of the moment, investor’s interest in eco friendly property developments is on the increase. Many of us don’t associate Malaysian Borneo as a property development hotspot, but the Nexus Resort at Karumbunai may change your mind.

The resort itself is situated 30kms northeast of Kota Kinabalu and is located on 3,335acres of lush tropical surroundings known as the Karumbunai Peninsula. The rainforests in this part of the world are over a million years old and provide home to many rare species of animals and plants including the Proboscis monkey and the Raffelasia (the world’s largest flower).

The area is home to Mount Kinabalu and Kinabula national park (a UNESCO site), which is an area of outstanding natural beauty. My advice having been there is to challenge yourself to climb the 4095m mountain, a 7-year old and 85-year have completed the 2 day trip!

The Nexus resort provides many luxury facilities including a beautiful SPA with an array of treatments to help you to relax revive and refresh. The 18-hole par 72 beachfront golf course has been voted Malaysia’s Leading Golf Resort 2005 by the World Travel Awards. was crafted by the Ronald Freem design group. Lagoon Park offers the following water sports activities, water skiing, kayaking and sport fishing, to name a few.

Residence Karambunai is being marketed as an absolute beachfront villa/condo development. 2-bedroom SPA villas and 1, 2-bedroom condos are available on the low-density complex. The design of the properties has been created by Hawaiian architects Wimberly, Allison, Tong & Goo who have incorporated a exotic traditional Borneo architecture to blend in with the serene outdoor landscaped gardens.

1 bed condos start from  £85,000 – 2 bed SPA villas start from £173,000
(Prices are approximations and vary due to currency fluctuations)

The development is due for completion at the end of 2007 and. All villas are fully furnished

As a foreign Investor the law does not permit ownership of freehold property and as such all properties come with a 99-year lease

This development is being marketed by Colliers Jackson Stops.