Unsold unit costs add to squeeze on developers in sluggish market

Kuala Lumpur

DEVELOPERS of strata titled properties in Malaysia are feeling the squeeze as sales remain sluggish - not only do they have to contend with holding costs, having to pony up associated fees on completed but unsold units is adding to their burden.

As unsold units continue to mount, the amounts can be considerable.

Hall Chadwick Asia Sdn Bhd chairman Kumar Tharmalingam said, in the past, unsold stock in a development averaged 15 per cent, mainly because the units were poorly designed or located (for instance, on the ground level or below it).

In the current environment, he estimated unsold stock to have dou…