The Singapore-Kuala Lumpur high-speed rail is expected to make a very decisive impact in the South-Asia region. The memorandum of understanding for the said project was signed on July 19th by both Malaysian Prime Minister Najib Razak and Singapore’s premier Lee Hsien Loong.
The High-speed railway will comprise of eight stations spread between the two countries with Singapore having Jurong East as its station while on the Malaysian side it will be in Bandar Malaysia, Kuala Lumpur.
Two years ago one Mr. David Neubrooner from Singapore moved into his new five bedrooms house semi-detached house at a gated community known as Straits View Residences, which he purchased from a Malaysian Property Agency back in 2010, when the company launched the project in Singapore. He received the keys to his new house back in 2014, which apparently coincided with his appointment as the director of SLP property Agency Company. He stills works in Singapore during the weekdays but travels to his home with his son who just started high school this year.
“Security in JB is still an issue, but what I like most is the privacy and the open space that the place offers,” says Neubrooner.
“Singapore is getting ever more expensive and congested by day, something which ultimately will force many Singaporeans to relocate to Iskandar Malaysia,” he further added.
The high-speed railway is said to have the potential of cutting down the traveling time between the two cities (Kuala Lumpur and Singapore) to a minimum of 90 minutes for the 350km. The trains will operate at a top speed of over 300 km/h. This project is expected to be fully operational by the year 2026.
“The HSR is expected to increase the demand for houses in Iskandar Puteri but not the rest of Iskandar,” said Neubrooner.
“According to research, areas near stations at each end of the line will experience the greatest impact on residential property values, with KL benefiting more,” said Chris Boyd, Savills Malaysia Executive Chairman.
However, Desmond Sim, CBRE Research Head was of the opinion that the housing market in Jurong will benefit first since the HSR was the missing link in the Jurong Lake District. This will definitely benefit the residents in Lake Grande as well as the Lakeville @ Lakeside.
The May 2015 announcement that the location of HSR Singapore terminus would be in Lakeside Gateway Jurong caused Singapore property prices in Jurong to rise.
For Singapore, the project will be a big boost as it could potentially establish a more diversified platform that could bring about the general growth of the economy. The project could also be a plus for Singapore, as it could boost visitor’s arrivals, increase the avenues for more Singapore residents to retire and move into those areas that will be served by the high-speed rail. It will also help to create a favorable and enabling environment for Singapore-based firms to thrive on low operating costs when they set up along the railway route.