By Nor Faridah Rashid, NNN-Bernama
Dubai : Malaysia’s Iskandar Development Region (IDR), being developed in the southern state of Johor, can expect more investors from Gulf Co-operation Council (GCC) countries, according to Iskandar Regional Development Authority (IRDA) chief executive officer Ikmal Hijaz Hashim.
“We are currently in discussions with investors from the GCC countries,” says Ikmal, who told Bernama that negotiations are underway with these investors but he was unable to comment specifically on the details. “however, current feedback has been very positive,” he said in a recent interview.
The Iskandar Development Region (IDR) is a new development zone being developed by the Malaysian government in an area covering 2,216 sq km in the southern part of Johor, just across the narrow Johor Straits from Singapore.
Ikmal was in Dubai to attend the just-concluded Cityscape Dubai, the region’s largest real estate event where 1,000 exhibitors took part, attracting more than 45,000 visitors from about 120 countries.
He said during the event, IRDA representatives met a number of interested parties who were keen to know more about IDR and the investment opportunities it had to offer. The IDR is expected to be showcased at Cityscape Dubai next year.
Asked about the level of awareness of investors in Dubai about IDR, Ikmal said IRDA was happy with the current level of awareness. “But we are striving hard to increase the awareness level about IDR within the region. Early next year we will be seeing even more aggressive promotional efforts in promoting the IDR,” he added.
Ikmal said IDR welcomed investments not only from the Gulf region but also from all over the world.
Compared with the mega developments in Dubai which is a maturing market, IDR is a relatively green field development which offered far greater upside potential for investors.
Noting that one of IDR’s key selling points is its unique strategic location in the heart of Southeast Asia, he said: “We are mid-way between the thriving economies of India and China.
“In addition, we are well positioned to be a gateway into the Asean (Association of South East Asian Nations). We offer very business-friendly policies, attractive incentives and excellent logistical connectivity,” he said.
On competitors, for example Singapore, which are also actively pursuing investors from the Gulf states, Ikmal said IDR offered the same geographical advantage as Singapore at a more competitive entry price point with far greater investment upside potential.
“As an example, residential property prices in IDR are not even one-fifth of those in Singapore and even if current land prices increase by 300 per cent (which some analysts have predicted), we would still be competitive,” he said.