121 Residences

Connectivity

Just like the surrounding neighbourhoods, 121 Residences enjoys the benefits of well-developed transportation infrastructure. For motorists, the apartment is easily accessible via three major highways: LDP, NKVE, and SPRINT. Widely regarded as the veins of the Klang Valley, the ease of access to these highways mean commuting by car will never be unnecessarily long or stressful. A trip to the famous One Utama Shopping Centre takes a mere 5 minutes, while a drive to the city centre can take as little as 15-20 minutes.

For those preferring not to drive, fret not; efficient public transportation is just a stone’s throw away! The nearest MRT station, Bandar Utama MRT is just 1500m away, while the development of the upcoming LRT3 line will soon place a new LRT station at less than a third that distance from the apartment (400m).

Convenience

121 Residences’ excellent connectivity also means great convenience for its residents; everything an urbanite may potentially need can be found in the vicinity or is easily accessible. For shopping, choices are abundant with Malaysia’s best malls at most a short drive away. Besides the myriad of shops near 121 Residences, Damansara Uptown, a popular hang-out joint, is only 10 minutes away. For families with young children, quality education centres for all ages are close by.

Those more inclined to the great outdoors will also be pleased, with tranquil parks such as Central Park, Mutiara Damansara Recreation Park, and TTDI Park allowing for a retreat to nature. Golfers will be ecstatic, as 121 Residences is located within reach of some of Malaysia’s best golf courses (TPC Kuala Lumpur, Bandar Utama Golf Course, Kelab Golf Seri Selangor). Healthcare will never be a concern for residents either; health centres such as KPJ Damansara Specialist and Thomson Hospital are accessible upon demand.

Shopping:

• One Utama
• The Curve
• Ikea
• Ikano
• Centrepoint
• Glo Damansara
• Starling Mall

Education:

• First City University College
• British International School
• SMK Bandar Utama Damansara 2
• SMK Bandar Utama Damansara 3
• SMK Damansara Jaya
• SJK(C) Puay Chai
• Rainbow Garden Educare Centre
• Peter & Jane Kindergarten

121 Residences Floor Plan

121 Residences is structured into two 33-storey towers, with 834 units (280 units of which are serviced apartments, and the rest SoHo). The land is leasehold, with a standard tenure of 99 years. The apartment is also endowed with a decent, unobstructed view of the Damansara-PJ region, with no other substantially tall structures close by.

The SoHo units are 450 square feet large with 1+1 rooms (master bedroom and study) and 1 bath, ideal for small households and a cosy layout. Each unit comes with one parking bay.

The service apartments are slightly larger than the SoHo (750 square feet) with 3 rooms and 2 bathrooms, great for families or medium-sized households. Unlike the SoHo, the serviced apartments also have an attached yard for utility. Each unit comes with two parking bays.

Both types of units are unfurnished, coming with basic flooring (tiles, except the master bedroom which has laminated timber flooring).

121 Residences Facilities and Amenities

In terms of facilities and amenities, 121 Residences is above average with a clubhouse and a variety of conveniences for everyone, regardless of age or interest. Fitness facilities include two pools, a jogging track, and two gyms (one outdoor, one indoor). Additionally, children’s play areas, social areas, a tai-chi/yoga area, and a reflexology path are available. Amenities include:

Level 1

• Children-care Room
• Launderette
• Management Office

Level 6

• Swimming Pool (80m in length)
• Wading Pool
• Gazebo
• BBQ Area
• Multipurpose Court
• Children’s Playground
• Jogging Path
• Outdoor Gym
• Reflexology Path

Club House

• Multipurpose Hall
• Mini Market
• Gym Room & Fitness Studio
• Lounge
• Reading Room
• Tai Chi/Yoga Area
• Game Room
• Surau

121 Residences also provides above-average security, for residents’ peace of mind. Among the security features offered are round-the-clock security systems, patrols, and CCTV surveillance, and access cards for each owner.

121 Residences Property Analysis

121 Residences, with a total gross development value of RM321 million, comprises two blocks (Block A and B) on a land area of 1.25 hectares (12,500 square metres). Sales of Block A units were encouraging: an impressive 90% take-up rate via balloting in one weekend during its soft launch on Aug 25, 2019. Due to the demand for new apartments, its developer, Glomac has opened sales registration for Block B units. Glomac is targeting project completion in the fourth quarter of 2023.

Kampung Sungai Kayu Ara was once filled with small squatter homes and ‘kampung’ houses. Previously overlooked and under-developed, the area is quickly catching the attention of property developers and home-buyers alike. Development land is increasingly scarce in Petaling Jaya, and Kampung Sungai Kayu Ara, given its strategic location in between Bandar Utama and Damansara, is looking increasingly attractive as a potential uncut diamond. This, coupled with the recent overall bullish property kampong in the Klang Valley, explains the trend observed over the last 6 years; exponential development rates and a sudden mushrooming of modern residential properties in the previously quiet and uneventful area.

This new-found attention allows for attractive valuations; land prices have skyrocketed in the past few years. Undeveloped land in Kampung Sungai Kayu Ara in 2007 fetched a meagre RM70 per square foot; today, the land averages RM220++ per square foot (a 200% increase!).
Kampung Sungai Kayu Ara’s rapid developments have unfortunately created traffic congestions as population density shot up. Also, drivers use its roads as short cuts between Bandar Utama, Damansara Utama and the SPRINT Highway. The development is also sporadic; many pockets of village houses and old squatters remain within proximity to the newer developments.

Housing projects in Kampung Sungai Kayu Ara are mostly small because of difficulties in acquiring adjoining parcels of land. The land in this area comprises mostly small plots owned by individuals, a relic of historical land agreements. As a result, developers must obtain concurrence from all land-owners before acquiring and developing any plot of land here.

Target Market

Small families or individuals who prefer a smaller dwelling for easier upkeep and cosy ambience would find 121 Residences an attractive project. However, larger families or households may have mixed feelings about the smaller unit size. While the lower price tag may be ideal for targeting buyers on the lower end of the income spectrum, note that the price per square foot (see subsequent section) may be deemed high by most. The maintenance fee of RM0.38 per square foot is not the lowest either but is affordable given the unit sizes.

The strategic location of 121 Residences would appeal to those with no transportation of their own and the younger generation (because of its proximity to the contemporary malls and modern neighbourhoods). However, those seeking an upscale neighbourhood may find the project unfavourable given that the surrounding areas are still largely low-cost housing or village houses.

Overall, 121 Residences targets a specific customer segment well: small, lower-middle-income households seeking convenience and accessibility.

Competitor Analysis

The main property developers in the area are Metro Kajang Holdings Sdn. Bhd., Briswood Sdn. Bhd., and Ong Chong Realty Sdn. Bhd. However, none of these developers has a monopoly over the region; projects in Kampung Sungai Kayu Ara tend to be niche and isolated. Glomac Sdn. Bhd.’s overall reputation as a property developer can stand its ground against its competitors in the Kampung Sungai Kayu Ara market.

Briswood’s Se’terra, a 46-unit high-end, low-rise condominium on a 1.5-acre site on the Bandar Utama side of Kayu Ara launched in the second half of 2011. Its units are larger compared to 121 Residences’ (1,813 to 5,683 square feet) and priced from RM1.2 million. While not competing in the same target customer segment as 121 Residences, Se’terra’s higher price range (above RM600 per square foot) catalysed the transition to a more “high-priced” project in Kampung Sungai Kayu Ara. Now, an RM600 to RM650 per square foot price tag is gradually becoming the norm and acceptable in the market.

Ong Chong Realty Sdn Bhd’s Boulevard Residence is located on the southern half of Kampung Sungai Kayu Ara and appears to be the closest rival to 121 Residences’ target market. They have also developed numerous other projects in the area: Westwood Terrace and Chestwood Terrace (townhouses) and D’Residency (terraced houses), which were all sold out.

However, Glomac’s 121 Residences offering appears to be competitive in the market it is targeting, based on a benchmarking exercise of its peers.

121 Residences’ price per square foot is on par with other properties in the area. The small unit sizes of 121 Residences make it a clear choice for small families or individuals. In comparison with other properties in the area, 121 Residences stands out for its superior amenities and facilities. Its newer features, including the outdoor gym and a reflexology path, give it an advantage over the older properties nearby. In comparison to other condos, the maintenance fees for 121 Residences are fairly steep. This may be attributed to the higher cost of maintaining the large facilities and amenities.

Additionally, Glomac has a few other marketing tricks up its corporate sleeves. In conjunction with Glomac’s 30th Anniversary Rewards Campaign, the developer is offering special packages for 121 Residences with attractive rewards and prizes (including a chance to win a Proton X70, among other prizes). Buyers of 121 Residences units also get to enjoy the benefits of the Home Ownership Campaign (HOC) 2019. The HOC 2019 is a government initiative to promote homeownership for all and offers attractive incentives for property purchases listed under its scheme (i.e. a 10% discount off the property purchase price and stamp duty exemptions). These two plus points are non-trivial advantages that may spur greater demand.

121 Residences’ Developer: Glomac

Currently helmed by Datuk Seri FD Iskandar, Glomac Berhad comprises over 55 subsidiaries involved in a myriad of activities such as real estate, property investment, construction, property management, and car park management. To date, Glomac has completed projects worth more than RM8.8 billion in total sales value and is launching more than RM900 million worth of properties.

Besides 121 Residences, Glomac is marketing other projects such as Saujana Residen, Rumah SelangorKu – Seri Kenari, and Perumahan Komuniti Johor Amaryllis. This follows the huge success of Plaza@ Kelana Jaya Residences, which saw a take-up of 85% to date. 445 units were offered for sale, a sign of increasing demand for new serviced apartment projects. Glomac Centro was also developed by Glomac and has received a good reception to the project.

Summary

121 Residences has a mix of pros and cons, with nothing significantly deal-breaking. While valuations have potential to explode upward due to the attractive location of the land, much still needs to be done to improve the general environment. The property is not cheap in relative terms but is affordable at the expense of a significantly smaller dwelling. Good public transportation and attractive facilities balance the growing traffic congestion and higher maintenance fees. Overall, the property will appeal significantly to some, but may not be the right nest for most others.

[1] Prices are indicative, as they consider market resale value, and not just launch price.
[2] Total per month, not per square foot.