Wealth Blog | Kuala Lumpur property – beware monkeys

After my fruitless search for a shoebox flat in Wan Chai, the hunt switched to Kuala Lumpur. Why Malaysia? Well, Hong Kong Island is unaffordable now and cannot be said to represent value for money when a unit measuring less than 350 square foot, net or gross, has a price tag of HK$4-5 million. I decided to see what the same amount buys in Malaysia. Although currently moribund, thanks to chief executive Leung Chun-ying’s swinging 15 per cent stamp duty, there is no sign of Hong Kong prices dropping, even though transaction numbers have tanked. The market is at the top of its cycle, even if stagnant.

Widening the net

Time to property shop elsewhere. You find everyone has an opinion on this. Buy in Penang, I was told. Forget Kuala Lumpur. Why? Penang is Chinese, prosperous, busy property market, big units, ocean views, I was told. Big potential for mainland Chinese. Or if you want old, buy a shophouse in Georgetown, US$1m (HK$7.76 million) will see it bought and renovated. That didn’t sound bargain basement to me and that part of town is steamy and humid with no views. That I worked out for myself, from the air-conditioned comfort of the Trader’s hotel in its midst.

Dubai’s playground

Penang is certainly busy. The beaches, night markets and big hotels have become popular with rich Middle-East folk, so it’s thronged with ladies in full black burkas. They must be dying in the heat as they trot uncertainly along the uneven pavements in the slipstream of their husbands, who in stark contrast, stroll along in shorts and sandals. All good for business, but for me it’s a bit too busy these days. I liked the old idea that Penang was a bit sleepy. Then came The Tooth Trauma. It was not the E & O’s fault, it’s a lovely hotel, but I broke the cardinal rule of eating seafood while enjoying their justly-famed Sunday buffet. Never bite hard on anything crustacean. I chomped confidently on an innocuous-looking deep-fried oyster that containted a vicious little pearl. Crunch. A huge molar snapped in half and at HK$25,000 for the dental repairs and crown, it was the most expensive meal I’ve ever half-eaten. Call me shallow, but that painful episode rather coloured my view of Penang. Investment decisions have been based on less.

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