PROPERTY MARKET YET TO EXPERIENCE NEGATIVE IMPACT

KUALA LUMPUR, March 3 (Bernama) -- The Malaysian property market has yet to
experience a negative impact resulting from the global economic downturn,
according to a Malaysian National Implementation Task Force adviser.

Senator Professor Ismail Md Salleh said total property transactions in the
country last year increased by 10 percent as compared to the previous year.

"So far, there is no strong evidence of clear gap to indicate that the
property prices are declining, but end of the first quarter 2009 there should be
the reduction in frequency sales on number of transactions as the property
market will become more inactive, especially in high-end developments," Ismail
said.

He said this in a keynote address entitled "Looking Beyond: The Challenges &
Opportunities in the Malaysian Property Market" at the Rahim & Co seminar here
Tuesday.

Ismail said there was a major difference in the impact of the global
slowdown on the property markets of the United States, the United Kingdom and
Singapore compared to that on Malaysia.

According to him, the impact on the Malaysian property market was not
direct.

"In Malaysia the impact will come via the real economy due to a slowdown in
the aggregate demand resulting from decline in exports, continued retrenchments
and weakening of the commodities prices," he said.

Meanwhile, Rahim & Co's group executive chairman Abdul Rahim Abdul Rahman
said a decline in property prices, especially for condominiums within the
Kuala Lumpur City Centre (KLCC) area, is expected.

He said that condominium prices in the area had been projected to come down
by 25 to 30 percent due to the lack of foreign buying.
-- BERNAMA