Property
Platinum Victory stays focused on Setapak
Joseph Wong 
The gazebo at PV18 Residence has an artistic feel to it. The project in Setapak has a GDV of RM590 mil
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Little-known Platinum Victory Holdings Sdn Bhd may not join the ranks of the major property developers in the country but it has been more than holding its own.

The Setapak-centric developer has been active in the last 20 years and breached its RM1 bil sales target last year.

The company is not resting on its laurels and has set a lofty goal of RM2 bil sales this year. Its executive director Gan Yee Hin is confident this target is achievable as it is lining up several property launches with a combined gross development value (GDV) of RM2.06 bil this year.

The projects are the RM590 mil PV18 Residence and RM717 mil PV9 Melati in Setapak, RM441 mil Platinum OUG at Bukit OUG and RM314 mil Platinum Arena in Jalan Kelang Lama, all in Kuala Lumpur.

Platinum Victory also has a number of on-going projects which include the RM909 mil Platinum Splendor Residence in Kampung Padang Tembak, Kuala Lumpur.

Gan says most of its on-going and future projects are targeted at the affordable market, which has been its main focus since its inception in 1997.

“We are recognised for our many high-rise developments, especially in Setapak. We are one of the developers that have played a major role in the blossoming of this area into the vibrant township it is today.

“Because of this, we have built a good reputation and strong level of trust among our buyers,” he says.

Platinum Victory is one of only a few developers that are able to deliver bigger-size units at affordable prices.

“Buyers don’t have to sacrifice the square footage for a lower price. We are not offering shoe-box units. Our units are around 1,000 sq ft and (cost) around the RM500,000 mark,” he adds.

 

Altruistic nature

One of the reasons Platinum Victory is able to offer bigger units at lower prices is its tie-ups with landowners.

“Land and construction costs will continue to rise. That is inevitable. One of the ways to ensure that we can continue to deliver affordable homes is to form joint ventures with landowner who, on their own, are unable to unlock their (land) value,” Gan says.

As such, the developer is looking for more joint ventures with landowners for its next phase of developments, he says, adding that it is in negotiations with two landowners on future projects.

“As a community developer, we focus on creating reasonably-priced products without compromising on quality, space and our promise on delivery,” says Gan.

He says from day one, the company has practised prudence and that has become a tradition.

The company’s founders – managing director Gan Yu Chai and his business partner Alex Tan – started out in Kuala Lumpur by supplying building materials from a factory in Muar, Johor.

They established the company when they saw an opportunity to develop their own project during the 1997/98 Asian financial crisis. Their aim was to become a niche player providing affordable, yet sizeable, homes.

Platinum Victory’s first project was Pelangi Condominium in Sentul. The group has delivered 12,098 condominium units, shops and office suites with a combined GDV of about RM5 bil.

Since 2002, it has completed 24 projects, including four that were joint ventures, says Gan, who is the son of Yu Chai.

“We have always been good with keeping our cost low. There are several ways to keep properties affordable. One is to keep the facilities minimal and avoid expensive amenities like steam rooms, saunas and spas,” he says.

Such facilities are also expensive to upkeep and will hike up the maintenance fee, he adds.

“Our maintenance fee for PV18 Residence is 22 sen per sq ft (psf), which is among the lowest in Kuala Lumpur,” he says.

PV18 Residence sits on 2.25ha of leasehold land along Jalan Langkawi, next to Danau Kota Lake, and consists of two towers. The project is expected to be completed in three years.

“The swimming pool is the most expensive component to maintain but that is a facility that residents want. Otherwise the maintenance fee could be lower,” says Gan.

Block A, which is 40 storeys tall, has 32 residential floors with 10 units per floor, or a total of 318 units. Block B has 42 floors comprising 34 residential floors with 16 units per floor, totalling 534 units.

The total of 852 units with built-ups of 1,021 and 1,219 sq ft are priced from RM473,000, which is lower than the average transacted price of RM519,166 for non-landed properties in Setapak.

The current average listing price for non-landed properties is RM574,909 and for landed properties, RM1.4 mil.

PV18 Residence’s facilities include a swimming pool, barbecue area, gymnasium, wading pool and gazebo on the ninth-floor landscaped deck while a basketball court will be located on the ground floor.

Just next to PV18 Residence is Vista Langkawi, an affordable apartment tower, which is also constructed by Platinum Victory. The 33-storey block is a Rumah Wilayah Persekutuan project.

“We are obligated to build affordable homes as part of the project because the property exceeds 2.02ha (five acres). This is a standard practice as required by the government and this is not the first time we have constructed such projects,” Gan says.

Gan says his company has played a major role in making Setapak a vibrant township 

Vista Langkawi will have 25 residential floors with 16 units per floor or a total of 398 units with a built-up of 926 sq ft.

Like PV18 Residence, the first eight floors are parking podiums. “There are no facilities for Vista Langkawi to keep maintenance low,” he adds.

Pointing to the scale model, Gan says the three towers appear to be connected but in reality, Vista Langkawi is separated from PV18 Residence and they have separate entrances.

Platinum Victory’s other projects Platinum OUG, PV9 Melati and Platinum Arena will be rolled out in the second, third and fourth quarters, respectively.

Platinum OUG features a 34-storey condominium block of 440 units with a built-up area of 1,250 sq ft and dual-key feature. PV9 Melati consists of 953 units in two 34-storey blocks with built-ups ranging from 1,000 to 1,300 sq ft.

Platinum Arena, located next to the Datuk Lee Chong Wei Sports Arena in Kuala Lumpur, will introduce a new concept revolving around sports. The 37-storey tower will house 728 units and 36 shops.

An artist’s impression of the gym at PV18 Residence

Setapak’s attraction

Gan says Setapak is a mature location with only several pockets of land left to be developed but it is still a sought-after location due to its proximity to the city centre.

PropSocial general manager Magdelin Tan agrees. “Originally a tin mining area as well as a rubber plantation in the 1880s, Setapak is now a bustling hub of activity that never sleeps,” she says.

However, she points out that as Setapak is a mature suburb, the area is filled with houses that are “significantly aged”.

Setapak is now a bustling hub of activity that never sleeps, says Tan

“The houses here are usually on the tired side, and in need of refurbishment,” she says.

This could be a reason why newer high-rise projects are drawing younger buyers as these projects address several fundamental needs – cheaper homes, better security, a more attractive lifestyle and proximity to their parents and other family members, says a property observer.

“The crime rate is reported to be higher in Setapak. So high-rise projects that offer better safety and security measures have a better selling point,” he says.

 

Good connectivity

Tan adds that in the past Setapak was not as well connected but in recent years, its connectivity has improved.

Setapak now has easy access to major highways such as the Duta-Ulu Klang Expressway (Duke), Middle Ring Road 2, and the proposed Duke 3.

The area will also be better connected to various modes of public transport, including the light rail transit and the Integrated Transport Terminal (ITT) Gombak which is expected to be ready next year.

According to Land Public Transport Commission (SPAD), the terminal will cater for express buses servicing the Eastern Corridor and will see the diversion of more than 400 buses from entering the central business district when ITT Gombak is operational.

Closer to home

It is quite common for parents to lend a helping hand to their children when it comes to purchasing a home. Interestingly, these parents prefer their children to stay close to them.

According to Platinum Victory Holdings Sdn Bhd executive director Gan Yee Hin, the trend is also evident among its house buyers.

He says in some cases, the parents buy the property but in their sons’ or daughters’ names.

He adds that the new trend is good for both parents and children.

“The younger generation can stay close to their parents while enjoying privacy, or vice versa,” he says.

Platinum Victory isn’t the only developer experiencing this trend.

Eco World Development Group Bhd saw a similar practice with its Parque Residences near Kota Kemuning, Shah Alam. Likewise, Ideal Property Group and Eastern & Oriental Bhd also experienced this trend in Penang while Ibraco Bhd discovered this in Kuching, Sarawak.

“This is a variation of the Asian-meets-Western view. To Asians whose filial piety is still strong and most families tend to stay in a generational home, moving out was once almost taboo.

“It was only much later that the children, particularly those who studied abroad, started moving out. But of late, as Malaysia’s population starts to age, we see this return ... children moving closer to their parents’ homes for the sake of the elders,” Gan says.


Other developers in the vibrant township

TO date, there are 144 existing landed and non-landed projects in Setapak as the area is a sought-after location in Kuala Lumpur.

Among the developers present in the township are SkyWorld Development Sdn Bhd, Binastra Land Sdn Bhd, Ekovest Bhd and Sierra Cube Sdn Bhd.

SkyWorld’s maiden development in Setapak is the RM2.5 bil SkyArena project, which is an 11.3ha mixed development featuring a 3.8ha multi-storey sports complex.

The company launched Ascenda Residences, which is the first phase of SkyArena, in 2014.

Ascenda Residences is 98% sold and SkyWorld is leveraging on its success to launch Bennington Residences, SkyArena’s second phase in 2016, as well as SkyLuxe on the Park in Bukit Jalil.

SkyArena, located off Jalan Genting Klang, is to be developed over five phases, with Curvo Residences being the third phase.

The fourth phase will consist of commercial components, with the final phase open for future development.

Ascenda and Bennington Residences offer a total of 1,230 residential units, with built-ups from 903 to 1,570 sq ft. They have a combined GDV of RM846 mil.

Prices of units at the two projects start from RM512,000 and RM584,000, respectively, with uptake for Bennington Residences currently at 73%.

Ekovest, headquartered in Taman Sri Setapak, is also playing a significant role in transforming Setapak.

One is its involvement in the rehabilitation of Sungai Gombak and the Klang River as part of the River of Life project.

About 130ha of river-fronting land, stretching for 3km, will be transformed by housing projects like EkoGateway, EkoPark Place, EkoAvenue, EkoTitiwangsa and EkoQuay. These projects are expected to generate a gross development value of RM16 bil collectively.

Not all are big developments. Some like Binastra and Sierra Cube, with their smaller projects, also contribute to Setapak’s growth.

In fact, Binastra has just launched its RM110 mil Sinaran Wangsa Maju development, a low-density project comprising one block with 206 serviced apartments, in Setapak.

“We’ve sold about 90% of the apartments,” says Binastra project director Steven Ooi, pointing out that the strong demand was due to its location in a mature neighbourhood.

The project is expected to be completed in the first quarter of 2022.

Sinaran Wangsa Maju features two sizes of 725 and 880 sq ft with two- and three-bedroom variations. Prices are between RM486,800 and RM629,800.

On the other hand, Sierra Cube’s RM210 mil The Nest, located on a 2.88ha site in Genting Klang, comprises 12 retail shops, 10 small-office-home-office (SoHo) units and 330 serviced apartments spread over three blocks.

The apartments come in five layouts. Type A units have built-ups from 855 sq ft, Type B (1,000 sq ft), Type C1 (1,517 sq ft), Type C3 (1,500 sq ft) and Type D (1,201 sq ft).

The units are priced from RM472,000 and are slated to be completed this year.



This article first appeared in Focus Malaysia Issue 275.