The land and property value of the surrounding area of the Tun Razak Exchange (TRX) are rising as investors and real estate players anticipate the benefits of being close to an international financial district.
One of the reason for the interest of the surrounding TRX land is due to the anticipated improvement in the connectivity of the area, with new access points planned and existing road upgrades, along with two Mass Rapid Transit (MRT) routes.
“When TRX is completed, it will become a seamlessly connected hub with access to multiple highways. The integration of transportation service is one of the strengths of TRX is becoming Kuala Lumpur’s Financial District,” said real estate appraiser CH Williams Talhar & Wong Sdn Bhd deputy managing director Danny Yeo.
Last week, it was reported in various websites that a local company, Elite Starhill Sdn Bhd was in the middle of concluding the purchase of a 2.07 acre land in Jalan 1/77B, Imbi, Kuala Lumpur for RM388 million.
That translates to RM4,310 per square feet(psf), compared to the range of between RM3,100 psf to RM 3,600 psf recorded in the previous years for land in the Bukit Bintang and KLCC areas.
TRX can benefit Kuala Lumpur similar to what KLCC has done to the city. TRX estimates that it will spend more than RM3 billion on its infrastructure to make the 72-acre land into an international financial district.
The district will have direct access to major highways such as the SMART Tunnel and the Maju Expressway (MEX), as well as connections to Jalan Tun Razak, Jalan Bukit Bintang and Jalan Sultan Ismail. It will take about 40 minutes from TRX to Kuala Lumpur International Airport (KLIA) with MEX highway.
“Wherever you are driving from, whether it’s Jalan Tun Razak or Jalan Sultan Ismail or other highways, you would be able to drive straight into the TRX development.
“One of the biggest things done is to create a loop tunnel system for TRX, which provides direct access to and from the major highways such as SMART and MEX, to various points within the development. Bypassing the busy roads like Jalan Tun Razak,” a source close to the project said.
Visitors and those working within the district can enter TRX via the loop tunnels which lead them straight to the parking spaces which estimated to be more than 20,000 lots.
In order to reduce the number of vehicles at the street level in TRX, the district is also designed in such a way that parking spaces will be limited to the basement and podium levels only.
“This will be a sophisticated road network system that will be something new to Kuala Lumpur. It will give TRX absolutely the best connectivity in the city,” the source said.
Meanwhile, DBKL’s plan to upgrade Jalan Tun Razak will also benefit the area and TRX is expected to contribute to the cost of upgrading significantly.
“We are undertaking the upgrading works in Jalan Tun Razak to alleviate the traffic congestion near the Bukit Bintang area,” said Kuala Lumpur Mayor Datuk Mohd Amin Nordin Abdul Aziz.
He added that DBKL had come to an agreement with the country’s Economic Planning Unit (EPU) and TRX to share the cost of the upgrading works.
“This is part of DBKL’s continuous effort to improve the living quality in the city, and the convenience of Kuala Lumpur residents has always been our foremost consideration,” said Mohd Amin.
With both the MRT lines 1 and 2 passing through the TRX Interchange Station, pedestrian friendly infrastructure will have to be up to its mark too.
The TRX station which planned to be the largest in Malaysia, is expected to see an estimated 25,000 people passing through the station every hour at its peak hours. More than half of the people travelling to TRX are expected to arrive either with the MRT or the existing monorail line.
“TRX’s connectivity is further enhanced by the city’s largest MRT interchange station between the Blue Line, which encircles downtown Kuala Lumpur, and the Red Line extending into major suburban areas. TRX will also integrate connectivity to other transportation such as LRT and Monorail,” Yeo said.
As part of the walkable neighbourhood concept, TRX is working with DBKL to build a pedestrian connection that will link TRX with Bukit Bintang. These walk-ways are crucial features in TRX as people taking the MRT can walk out of the station and proceed straight into the mall or they can head to the mall though the central urban park under continuously shaded routes.
The sheltered path covers the entire district and it will make the connections between buildings not just accessible, but attractive for use. As part of the streetscape, cycling lanes are also incorporated in the district’s public realm plans.
With an estimated Gross Development Value (GDV) of approximately RM40 billion, TRX will encompass investment on the Grade-A office space, world-class residential, hospitality, retail and leisure offerings.
Modeled after other global financial centers such as Canary Wharf in London and the Marina Bay in Singapore, TRX has a development period of 15 years to be completed in phases with the initial Phase 1 slated for 2018.
Source – http://1mdb.com.my/news-coverage/trx-project-enhances-property-value-in-surrounding-area