Mont Kiara was “carved out” from the Segambut area which was then kown as a low-end residential area within Kuala Lumpur. Right from the beginning Mont Kiara was developed to target the upper market – the folks who would live in places such as Bangsar, Damansara Heights and Sri Hartamas. This was a challenge initially as Segambut Dalam was rife with squatters with land inherited through generations of farmers. It is of no surprise that there is a significant gap between property prices in Segambut Dalam and Mont Kiara.
Despite its close proximity to the city (in fact it’s only about 15 minutes away from the epicenter of Kuala Lumpur – the KLCC), Mont Kiara (known in Japanese as モントキアラ ) retains its suburban or residential charm. Calm and serene, it is well known as a highly accessible and livable neighborhood with a touch of luxury. It also boasts of excellent connectivity with good access to the numerous recreational spots of the nearby Bukit Kiara – famous of being one of the “green lungs” of the city of Kuala Lumpur.
Mont Kiara is known to house a significant community of expatriates from over 32 countries; particularly well represented are the Koreans and the Japanese. It was once estimated that just under half of the total residents are from abroad. Mont Kiara is the home of over 15,000 residents, and this number of growing with the influx of expatriates yearly. This is also a major driving factor behind the Malaysia’s property market outlook this year.
To cater for these expatriate families, there is a rather disproportionate number of international schools in Mont Kiara (and some in the greater Sri Hartamas area). Some of these are:-
- The Garden International School (British curriculum)
- Mont Kiara International School (American curriculum)
- Lycee Francais de Kuala Lumpur (French curriculum)
The Sekolah Rendah Agama Segambut Dalam (a religious school) is also nearby in the Segambut Dalam area – a mere stone’s throw away from most Mont Kiara condominiums.
Mont Kiara Property Prices
Property prices around the Mont Kiara area have been fluctuating for the last couple of years. There is a weaker demand in the Segambut Dalam area (and this includes Dutamas) with demand going stronger or weaker in a periodic manner. The location of the development is important as well as the brand name. It is evident that developments which carry the “Kiara” name generally could command better prices (Changkat Kiara, for example, is in Segambut despite its name). Here is a sample of the transacted prices of some developments in Mont Kiara (correct at the time of writing) –
- Kiaraville – RM618 psf
- Verve Suites – RM905 psf
- Hijauan Kiara – RM671 psf
- Mont Kiara Astana – RM516 psf
- La Grande Kiara – RM516 psf
[customx name=”Mont Kiara” rating=”4.9″ best=”5″ worst=”1″ pricerange=”$$$$” count=”2364″][/customx]
Decreasing Rental Yield
With the increase in property prices in Mont Kiara (and in the Klang Valley as a whole), rental yield is continuing its declining trend. Hikes of some 25% in the past three years are not uncommon; studio apartments which would have cost about RM600 PSF in 2009 are transacting at RM800 PSF and beyond. Rental, however, is up a paltry 5% with many condominiums experiencing declining rates due to slow take up.
As the Mont Kiara area is running out of land for new developments, we expect that there will be a natural progression in new upmarket developments in the Segambut Dalam area. However, there is still ample spaces for new developments off-Mont Kiara and this would keep developers busy at least for the next 6-8 years.
Despite the perceived “glut” in the Mont Kiara area, we reckon that there are good investment opportunities – given the huge spread of asking prices which is evident at the local property portals. As such, the price that you pay to acquire a property here at Mont Kiara is possibly the single most important factor which may make or break your investment.
To help you derive the “fair price” of a property at Mont Kiara (based on transacted price and not asking prices which can be misleading), use this guide provided by GoodPlace.my for free –