Huge rise in commercial property loans in Malaysia | 17 May 2012
There has been a significant rise in the amount of commercial property loans taken up in Malaysia.
Official figures have indicated a 22.7 per cent annual spike in commercial property loans from March 2011 to March 2012, which is a higher increase than loans for any other purpose. The figure represents a 66 per cent growth in the last three years.
Pong Teng Siew, who is head of research at equity research firm InterPacific Research, claimed that the growth was reflective of the strong Malaysian economy over the last few years.
However, in an interview with commercialasia.com, he was keen to question whether such a level of borrowing could ultimately result in a potential asset bubble.
He said: “Starting from the end of 2009, there has been a big loan growth in the non-residential sector. The pick-up in loan growth in this sector was evident in the second half of 2009. This is faster than for any kind of loans. Can this pace of loan growth be sustained?”
Propertyshowrooms.com report that Malaysian investors are particularly keen to invest in retail buildings and that a number of huge investments were still in the pipeline. The hospitality sector was also described as “quite bullish” at the present time.
Written by Joe Elvin on behalf of Qube Global Software
While posted by Qube Global Software all views expressed are not necessarily those of the company. All facts are verified where possible directly by the author.
Qube Global Software and Engage enter joint venture in boost to Build to Rent Sector.
We are pleased to confirm that Qube Global Software will once again be exhibiting at MIPIM in Cannes, South of France.
Qube Global Software wins Industry Supplier of the Year Award for 2nd consecutive year | 2 December 2016
Qube Global Software won Industry Supplier of the Year at the News on the Block Property Management Awards for the second year running.