Lowyat.NET: Latest topics by YoungLad

Existing KL City Center Airbnb Project Owners

YoungLad — Thu, 03 Aug 2023 03:00:52 +0800

Hello everyone,

First of all, I'm new to this scene, spent around 2-3 weeks to learn this so called property game. Hence, if I sound foolish and naive, please excuse me and please by all means, critically and constructively point out my wrong train of thoughts. Genuinely looking forward to learn from all the gurus and sifus here.

Reason I have created this topic is to humbly ask for any existing owners of Airbnb investment projects within KL City Center area, as I am trying to gather data to see whether this investment project or more so whether this category of projects is feasible or not. One most important question, are you able to cover your monthly instalments, and if so, what are the nett returns after profit sharing and costing with the Airbnb operators? One step further, if you do not mind sharing, could you reveal the nett average returns monthly?

There are so many out there such as the many Airbnb accommodations on the stretch of Jalan Yap Kwan Seng as well as so many Airbnb operators in the market. Scrolling through Airbnb, and taking the Airbnb projects on Jalan Yap Kwan Seng as benchmark, there are a lot of units with a lot of unoccupied days in the month of August.

I am looking to invest in such projects namely Armani Raja Uda, Exsim Hugoz. As per usual, their entries are attractively low with cashbacks and all, basically just 2% MOT and bank valuation fees. My thinking and calculation are as below:

Taking Armani Raja Uda as an example, I've booked a dual key unit and computed a monthly commitment of around RM 4.7k including mortgage payment, maintenance + sinking fund, fire insurance, cukai pintu, cukai tanah, wear and tear.
Total upfront around RM 40k.
Assuming average daily rates across the year is 200 and average occupancy per month is 15 days and since it is dual key the calculation is as follows: 200 * 15 * 2 = 6,000. Operators take 70%, and I would minus another 10% for utilities etc.: 6,000 * 60% = 3,600.
Monthly commitment around 4.7k so that leaves me on a monthly deficit of 1,000.

Are my computations too prudent and too below expectation?

Below is a quick video where I go through Airbnb website to see occupancy rates. Area in focus is IJN, Jalan Tun Razak and Kampung Baru as it is near to Armani Raja Uda.

https://www.youtube.com/watch?v=D7OatE1F6uk

Also, Kampung Baru, being an old Malay neighborhood, still some time to come before it gets more developed.
New development approach for Kampung Baru
Kampung Baru redevelopment to be realised through the latest masterplan

EXSIM KLCC Projects' Owners

YoungLad — Wed, 26 Jul 2023 02:56:06 +0800

hello

firstly, please bear with me as I'm new to property investments. thank you in advance also for your selfless sharing and teachings. looking forward to learn from the sifus here : )

I would like to know if there are any existing EXSIM KLCC Projects owners here.

since they are straight cut investment projects, would like to ask how much can such projects generate monthly, enough to cover instalments + maintenance + sinking fund? and can generate passive income? expressionz, ceylonz, scarletz.
are they well maintained? building quality of their products?

considering upcoming hugoz hence asking for info

also, feel free to share also your views on such projects

here are few of my thoughts and opinions, as far as I know,
1. Hugoz is last few piece development (maybe max another 2 projects?) in the stretch of Jalan Yap Kwan Seng road which supplies to KLCC (popular by demand on Airbnb)
2. Hugoz Airbnb is going to be managed by Mana-Mana operator and profit will be pooled and shared.
3. Hugoz and Mana-Mana (EXSIM's own Airbnb operator) forecasts high returns which of course is super inflated (refer to image below).
4. From researching at Airbnb, I can see that Scarletz some of them are so occupied whereas listings in the last few pages are empty. So then I am skeptical whether or not can they even cover monthly commitments. Also, how they pool units into groups and distribute the profits among owners. As we do not know how the pooling system works and how the units prioritization works, some owners may get more returns than others.
5. I quite understand that since this is cookie cutter investment project, capital appreciation may be hard to be realized. People wouldn't opt for these for own stay.
6. My thought process is for a dual key unit in Hugoz, I would need to fork out a total of around RM 50k including down payment, MOT, renovation, furnishing, etc. to start operating Airbnb and start generating income. Referring to the image below, I will deduct 30% from the net profit and normalize it from its over inflation by developers / agents / operators hence around RM 6k net profit from the Airbnb operations. Monthly commitments including instalments, maintenance, sinking fund, insurance, wear and tear sit around RM 5k. That means I can generate RM 1k every month. This investment would then need around 50 months to breakeven my initial cost of RM 50k. And after that 50 months, the rest are clean net profits. If I am so very lucky, and the unit actually appreciate in price, that's another bonus.

are there any flaws in my thought process? my only concern is 30% deduction from the operator's forecast is not enough to justify and normalize it.

Cow Pastures in Klang Valley

YoungLad — Sat, 19 Nov 2022 02:42:28 +0800

Hello,

I'm new to Klang Valley. I am looking for cow pastures areas in Klang Valley or areas with abundance of cow droppings.

If anyone has any pointers, would greatly appreciate it!

[WTB] Buying 0.5 kg Barbell Plates

YoungLad — Tue, 10 Jan 2017 02:01:18 +0800

Looking to buy 0.5 kg barbell plates. Any brands or any form of micro loading. Scenario - I have 1.25, 2.5, 5, 10 kg in my gym, however, I want to bump up my weight by 1 kg. For example, 1 kg which means 0.5 kg each side of the barbell then 2 kg which means 2x 0.5 kg each side of the barbell then 3 kg which means 2.5 kg + 0.5 kg each side.